“Is my price too high?”
We’ve all thought this at one time or another. No matter how good of a salesperson you are, this has entered into your mind. It would be almost embarrassing to realize how much money we all have left on the table because we didn’t position ourselves quite right to maximize the price.
Want to know one of the number one reasons salespeople often think their price is too high? It all has to do with other price perceptions they begin to believe. The best way around this is to always have in your mind a price point that is 30 – 40% higher than what you’re asking. By thinking of a higher price before you go into a sale, you will feel the price you’re actually presenting is very affordable. We call this the “pricing contrast principle” and it’s one of the easiest techniques you can use to feel more comfortable about your price.
If you can’t find a competitor that has a higher price than you, then the way you develop your pricing contrast principle is by listing all of the things you offer in your price vs. a competitor. By looking at your list and knowing the real value that goes into each item on the list, you will begin to see that the price you charge is quite low compared to a competitor’s price. What I like about this approach is it then gives you the ability to see value even when your price is higher than your competitor’s.
Don’t underestimate the power of your mind. If you continually think your price is too high, then inevitably this will show up in how you carry yourself with the customer, buyer or purchasing department. On the other hand, if you embrace the truth that your price is not too high and is actually very reasonable, then your body language and voice will reflect this confidence.
Is your price too high? I doubt it. In fact, it might not be high enough.
Copyright 2011, Mark Hunter “The Sales Hunter.” Sales Motivation Blog.