discounting signalsRecently, I began searching for a new software package for my company.  I had done the research, read reviews, talked with others and decided on a particular type of computer program.

Funny thing happened along the way.

In talking with several other companies that had worked with the company, I kept hearing the statement, “You can dicker with these guys.”  Wow, what a statement to hear!

Here was the system I knew was going to be best for my company. Hands down it had what we were looking for and now comes the clincher — these guys will discount!

From that point on, every element of our focus was on making sure we were going to get the best price.  Suddenly, benefits and expected outcomes shifted to full speed ahead to get a lower price.

Yes, you can say for a moment that would be the type of company you would want to sell for because they’re willing to discount to close the deal.   Problem is the argument doesn’t hold, because now you as the salesperson have two issues.

First, you have  to demonstrate to the prospect the system is the solution they’re looking for.  Second, you have to negotiate a price knowing the customer is going to beat you up.

In my book, that is a pretty lousy sales process.  Problem is they’ve told the market they discount!

Now look at this from my perspective as a buyer.   I want to buy and I’m ready to buy, but I’m afraid I’m not going to get as good of a deal as possible, so what do I do?  I wait them out and play games with them.

Result is I’ll still buy, but only after waiting a period of time. When I do, I’ll pay less than I was planning to.

Look at this from the salesperson’s perspective.  They have sales that drag out much longer than need be and their company makes a lot less profit than they could be making.

Are you or your company signaling the marketplace you will discount?

Copyright 2013, Mark Hunter “The Sales Hunter.” Sales Motivation Blog.

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