I have a return customer that expects free stuff or cheaper prices then anyone else. I just had to tell them I'm sorry, our costs have went up and offered a coupon for $10 off $45. Or $5 off $35. I think that's reasonable plus free shipping. They still are being unreasonable and said they will go buy a similar product. Well, I can't keep giving stuff away for free. Can't do it!
I recently came across your channel, and it truly is one of the best places to learn about B2B marketing. Thanks a lot for videos. Student of your wisdom from India
Dear Sir, Customers are very intelligent and in this scenario competitors are fighting like cats and dogs to win orders. Purchase manager want everything in a cheap price. There usual answer is they don't have budget - they wan the product but don't want to pay the price
I have come across hard negotiating managers who says " All is good but we don't have the money and we all know they have the money it's just they don't want to spend and with 1000 of suppliers they can squeeze the best discount"
ashish shukla Do "We all know?" Dont ASSUME YOU HAVE ALL THE ANSWERS. Unless you can prove that beyond a doubt it's a eroding mentality method to do business. I as a customer can FEEL you not believing me. I have no time to lie to my vendors. Got it? Work on your ethics, not the customers'.
I know this video was made in 2014 but here in the future, 2022, there's so much work to be had if someone doesn't like our price I just laugh and move on to the next customer.
If a supplier has increased yield wouldn’t it most likely result in efficiencies and a leaner process as well less scrap,and rework which ultimately result in a cost savings which in turn means they can lower the cost?
@@dougwallace2210 I have a reputation for being the best. I know builders who go with guys because they are cheaper. That's fine. I do work one way. Flawless.
@@dougwallace2210 so after knowing they go with a cheaper guy to get horrible quality to save a couple grand on a million dollar house. I work with both trim companies and always do the same work. They want the lowest bid. It's sad I know. Back in the day people saw quality. Now they see $$$
smokingcheeba420 -- Here is the facts about "CHEAP" pricing and that builders ALWAYS go with the cheapest bid...first its not true, I used to do right at 200 new homes a year I was NOT THE CHEAPEST, nor was I the highest...IF , and I say IF, your mindset was true ROLEX watches wouldn't be in business , and your kidding yourself if you think only the rich purchase those, they don't the majority are financed! how about high end cars? any thing you want , there is a segment of highend and lowend products...fact is about 20% of people purchase soley on price, 1/2 of those because its the most expensive the other because its the cheapest...so that leaves 80% of people purchasing in the middle....further proof that you don't have to be the cheapest to get work, 2 things are going on if thats your experience, its either your mindset or you're fishing in the wrong pond. So here's the last thing in that equation, do you think buyers are telling you the trueth? how can you tell if a buyer is purchasing soley on price? (some will clearly tell you ) do a good , better , best pricing system, you'll find that the majority of your sells will be the middle. give it a try
But what if cost per use so the longevity as well as a quality and performance are fixed by the specification? So when you negotiate with a buyer they can always say your competitor offered the same product quality wich is in line with a specification but it's cheaper than yours. Ok logistic cost is a variable, but for example what we can do in a situation when you and our competitor are located in the same region? The area is sales of the vehicle componenets to the automotive OEMs.
Ian Johnson My husband and I are from Boston. We own a graphics company. within the past few weeks with all the snow the state has had many deaths and injuries due to people falling off roofs while shoveling snow from their roofs. I told you all that to tell you this. We designed a tool that one can remove the snow from their roof from the ground on a single story home. When used from the roof on a second story home, the user never has to leave the safest spot on the rook, the peak in order to clean all the snow off the roof. Having said all that right now we are in search of ways to price our invention since this is off the grid from what we normally do we are lost at pricing it. Which is fine since the season is pretty much over now and we are not looking to make sales this season. We are gearing up for next season. As long as we can keep as many people as possible on the ground and safe and they can remove the snow from their roof preventing collapses that's our goal. So all of that story is what lead me to your video. Phew,,,I said a lot lol
Good for you! Sounds like a great product. However, if you are going to get a "feel" for what your customers might be willing to pay, you have to ask them during a time when they know they'll need it - a time when they'll be willing to pay a little more for it - and that's immediately after a snow storm. It's no different than when an Air Conditioner unit suddenly breaks down in 105 degree heat - or when the electricity goes out when it's -13: People will go out of their way to solve those problems. I am not saying you should price yourself out of the market, but what I am saying is that you price what the market will bear - so, capture your costs but use information directly from your future clients - homeowners who hate removing snow.
Ian Johnson Right we have done that as far as asking people what they would pay for it. Of course everyone price point is so insanely different from one person to the other since everyone's value of anything is so dramatically different. This is why we are not releasing it until next season we have 7 months to do all of our research and marketing
Your sale will fail 100% of time if you don't have a comeback to the customer in this case. I like the notion of putting the shoe on the other foot. What do you want as a customer ? Customers want the bakers dozen. The royal treatment. The best deal. The free lunch. Those things are really included in the price, arnt they. Customer rapport. Previous customer confidence. Ready and good communication. Every thing is a starting point.........
paul dow The free lunch? No, people dont want their egos stroked! Respect, quality, and FAIR market pricing with proven high standards without egos and gouging and fees to drown in.
ARE YOU KIDDING ME HERE? -- come on guys this isn't rocket science, if yyou use this shit right here, your going into things that don't need to be discussed, trust me, these things he listed doesn't mean shit to your buyer. next time you get a price objection, use this phrase----" unless I misunderstood what it is you where/are wanting, the price reflects what YOU said YOU wanted" did i mis- understand something? - no the customer gets to tell you what it is they where really wanting? or what the other objection is this bullshit above is just that - don't do it that way
Doug - I've consulted in multiple industries - Aerospace, Automotive, Satcom, Telecom, Concrete, Manufacturers: You never want to sell to a buyer - but - if you do, this is exactly how you do it. You're arguing against standard practices endorsed by Karras Effective Negotiation (fortune 500 CEO negotiation training) , Sandler Sales Institute and dozens upon dozens of sales training programs. When your price gets shopped - YOU define yourself, your business and your price.
iAN - i'M not wanting to argue at all, just re-watched your video, Noticed now it says B2B SALES? don't know as I rarely sell to business per say (I'm a 99% residential Hvac sales and service guy - and have attended many sales seminars regarding selling) I've never ever heard of this theory that you outline as how to over come a price objection. I'm positive if I was to list freight as a reason for my pricing, my home owner wouldn't give 2 cents regarding it, it means nothing to them ( which is my point of objecting to all of this) and doesn't enter their realm of consideration, freight is just OUR cost of doing business, it doesn't enhance their lives at all, nor so I see any of the things listed above, that a home owner would consider as relevant to their situation. - I feel there are better ways than what you have listed. as with all sales technique's, they will work on some people some of the time - but as a sales person I'm looking for the ones that have higher closing rates. my OP
I have a return customer that expects free stuff or cheaper prices then anyone else. I just had to tell them I'm sorry, our costs have went up and offered a coupon for $10 off $45. Or $5 off $35. I think that's reasonable plus free shipping. They still are being unreasonable and said they will go buy a similar product. Well, I can't keep giving stuff away for free. Can't do it!
this just help me with my problem running my painting business. thanks man great job
Thanks Erik
Also another painting business. Thank you.
Clear transmission of knowledge? No 30 minute life story? Finally…. Liked and subscribed!
I recently came across your channel, and it truly is one of the best places to learn about B2B marketing.
Thanks a lot for videos. Student of your wisdom from India
Dear Sir,
Customers are very intelligent and in this scenario competitors are fighting like cats and dogs to win orders. Purchase manager want everything in a cheap price. There usual answer is they don't have budget - they wan the product but don't want to pay the price
I have come across hard negotiating managers who says " All is good but we don't have the money and we all know they have the money it's just they don't want to spend and with 1000 of suppliers they can squeeze the best discount"
ashish shukla
Do "We all know?"
Dont ASSUME YOU HAVE ALL THE ANSWERS.
Unless you can prove that beyond a doubt it's a eroding mentality method to do business.
I as a customer can FEEL you not believing me. I have no time to lie to my vendors. Got it? Work on your ethics, not the customers'.
Thank you for the overview, it pushed me to think about my offer again.
Great - don't fall for the buyer's tactics. Stick to your approach.
Excellent short video for great ideas to keep customers coming back and referring for future business!
I know this video was made in 2014 but here in the future, 2022, there's so much work to be had if someone doesn't like our price I just laugh and move on to the next customer.
Simple and powerful. Thanks..
Thank you!
Thank you, this works for us.
Thanks for explaining how to defend my prices.
That was really helpful thank you 😊
Thank you
If a supplier has increased yield wouldn’t it most likely result in efficiencies and a leaner process as well less scrap,and rework which ultimately result in a cost savings which in turn means they can lower the cost?
People want to make money. They go with the cheapest bid. Quality is out the window. You gotta drop quality to drop the bid to get the job.
no you dont - its your mindset that needs to change if you believe that
@@dougwallace2210 I have a reputation for being the best. I know builders who go with guys because they are cheaper. That's fine. I do work one way. Flawless.
@@dougwallace2210 so after knowing they go with a cheaper guy to get horrible quality to save a couple grand on a million dollar house. I work with both trim companies and always do the same work. They want the lowest bid. It's sad I know. Back in the day people saw quality. Now they see $$$
smokingcheeba420 -- Here is the facts about "CHEAP" pricing and that builders ALWAYS go with the cheapest bid...first its not true, I used to do right at 200 new homes a year I was NOT THE CHEAPEST, nor was I the highest...IF , and I say IF, your mindset was true ROLEX watches wouldn't be in business , and your kidding yourself if you think only the rich purchase those, they don't the majority are financed! how about high end cars? any thing you want , there is a segment of highend and lowend products...fact is about 20% of people purchase soley on price, 1/2 of those because its the most expensive the other because its the cheapest...so that leaves 80% of people purchasing in the middle....further proof that you don't have to be the cheapest to get work, 2 things are going on if thats your experience, its either your mindset or you're fishing in the wrong pond. So here's the last thing in that equation, do you think buyers are telling you the trueth? how can you tell if a buyer is purchasing soley on price? (some will clearly tell you ) do a good , better , best pricing system, you'll find that the majority of your sells will be the middle. give it a try
No, they don't. I will pay for the best quality if it is tangible quality you can prove.
You lower quality and Im gone.
This would be great if any of the people in charge were smart enough or gave a shit to even listen or understand any of this. It's sad.
that. was very helpful thank you much.
thanks
But what if cost per use so the longevity as well as a quality and performance are fixed by the specification? So when you negotiate with a buyer they can always say your competitor offered the same product quality wich is in line with a specification but it's cheaper than yours. Ok logistic cost is a variable, but for example what we can do in a situation when you and our competitor are located in the same region? The area is sales of the vehicle componenets to the automotive OEMs.
you.re the best. thank you
Price is too high HA ... go somewhere else then it’s a world of 8 billion people WHO CARES !!
AWESOME POINTS !! Thank You
Thanks a bunch! If you ever need me to do a video about something that interests you, just let me know.
Ian Johnson My husband and I are from Boston. We own a graphics company. within the past few weeks with all the snow the state has had many deaths and injuries due to people falling off roofs while shoveling snow from their roofs. I told you all that to tell you this. We designed a tool that one can remove the snow from their roof from the ground on a single story home. When used from the roof on a second story home, the user never has to leave the safest spot on the rook, the peak in order to clean all the snow off the roof. Having said all that right now we are in search of ways to price our invention since this is off the grid from what we normally do we are lost at pricing it. Which is fine since the season is pretty much over now and we are not looking to make sales this season. We are gearing up for next season. As long as we can keep as many people as possible on the ground and safe and they can remove the snow from their roof preventing collapses that's our goal. So all of that story is what lead me to your video. Phew,,,I said a lot lol
Good for you! Sounds like a great product. However, if you are going to get a "feel" for what your customers might be willing to pay, you have to ask them during a time when they know they'll need it - a time when they'll be willing to pay a little more for it - and that's immediately after a snow storm. It's no different than when an Air Conditioner unit suddenly breaks down in 105 degree heat - or when the electricity goes out when it's -13: People will go out of their way to solve those problems. I am not saying you should price yourself out of the market, but what I am saying is that you price what the market will bear - so, capture your costs but use information directly from your future clients - homeowners who hate removing snow.
Ian Johnson Right we have done that as far as asking people what they would pay for it. Of course everyone price point is so insanely different from one person to the other since everyone's value of anything is so dramatically different. This is why we are not releasing it until next season we have 7 months to do all of our research and marketing
Freight is a killer.
I quit buying from a supplier due to fluctuating freight costs. Other suppliers have freight built in.
Yes - freight is a killer - but in the end you pay for it regardless.
Your sale will fail 100% of time if you don't have a comeback to the customer in this case.
I like the notion of putting the shoe on the other foot.
What do you want as a customer ?
Customers want the bakers dozen.
The royal treatment.
The best deal.
The free lunch.
Those things are really included in the price, arnt they.
Customer rapport. Previous customer confidence.
Ready and good communication.
Every thing is a starting point.........
paul dow
The free lunch?
No, people dont want their egos stroked!
Respect, quality, and FAIR market pricing with proven high standards without egos and gouging and fees to drown in.
I say this won’t work
If anyone interest in realy good sales training. Follow
Uk’s most hated salesman.
You’ll thank me
ARE YOU KIDDING ME HERE? --
come on guys this isn't rocket science, if yyou use this shit right here, your going into things that don't need to be discussed, trust me, these things he listed doesn't mean shit to your buyer.
next time you get a price objection, use this phrase----" unless I misunderstood what it is you where/are wanting, the price reflects what YOU said YOU wanted" did i mis- understand something? - no the customer gets to tell you what it is they where really wanting? or what the other objection is
this bullshit above is just that - don't do it that way
Doug - I've consulted in multiple industries - Aerospace, Automotive, Satcom, Telecom, Concrete, Manufacturers: You never want to sell to a buyer - but - if you do, this is exactly how you do it. You're arguing against standard practices endorsed by Karras Effective Negotiation (fortune 500 CEO negotiation training) , Sandler Sales Institute and dozens upon dozens of sales training programs. When your price gets shopped - YOU define yourself, your business and your price.
iAN - i'M not wanting to argue at all, just re-watched your video, Noticed now it says B2B SALES? don't know as I rarely sell to business per say (I'm a 99% residential Hvac sales and service guy - and have attended many sales seminars regarding selling) I've never ever heard of this theory that you outline as how to over come a price objection. I'm positive if I was to list freight as a reason for my pricing, my home owner wouldn't give 2 cents regarding it, it means nothing to them ( which is my point of objecting to all of this) and doesn't enter their realm of consideration, freight is just OUR cost of doing business, it doesn't enhance their lives at all, nor so I see any of the things listed above, that a home owner would consider as relevant to their situation. - I feel there are better ways than what you have listed. as with all sales technique's, they will work on some people some of the time - but as a sales person I'm looking for the ones that have higher closing rates. my OP
Most customers dont want to hear of see this mumbo jumbo.
Depends on the industry and the sales person. I've had good sales people sell me things I didn't even need.