Overcoming Objections to Price

How much more could you earn if your prospects didn't object
to your prices? You'd close more sales and be more
successful.

Like most service professionals and small business owners
chances are you struggle with objections to pricing on a
daily basis. You lose business because prospects get stuck
on price. Your pricing will never satisfy everyone but the
following ideas will help you eliminate pricing objections
from the majority of your buyers.

MARKET TO PROSPECTS EMOTIONS
One of the biggest marketing mistakes you can make is to
start by marketing to a prospect's head instead of their
heart. If your marketing materials and presentations lead
with a presentation of the product or service features
and/or your own credentials, this is the wrong information
to present up front to prospects and can hinder the sale of
your products and services.

The majority of purchases are ultimately based on emotion.
Vehicle purchases are a great example. Sales of 4 wheel
drive SUV's has soared despite the fact 90% of the buyers
never go off road or need the 4 wheel drive functionality.
Porsche sales have grown steadily, despite the fact that
most often their owners use them around town and in traffic,
rarely if ever driving at the over a hundred miles an hour
they are easily capable of going.

Your prospects buy your products and services for their own
reasons, not yours. Get their attention by focusing your
marketing on their concerns. Use questions to bring their
emotional reasons for making a purchase into the
conversation. When you present the benefits of your products
or services, do so in the context of your prospects'
emotional interests.

- Are you marketing to your prospects hearts or their minds?

UNDERSTAND THE EMOTIONAL REASONS PEOPLE BUY
Some people buy cars based on their perception of safety,
others based on the potential for speed and others make
their selection based on how little gas the vehicle
consumes. If you want to be more successful in marketing you
need to know the emotional reasons people buy your products
and services.

Reasons prospects buy include fear, gain, comfort, security,
pride and personal satisfaction. When it comes to making a
decision these are the motivators that determine whether
your prospects buy your products and services.

If you sell investment advice, fear of loss, desire for gain
and security may all be motivators. If you sell wide screen
TVs or audiophile stereo equipment, personal satisfaction
and pride may be the motivators. If you sell graphic design,
your client's desired image is a motivator.

Marketing is about helping prospects make decisions. If you
understand the emotional reasons your prospects use to
justify a purchase than you can pitch to their emotions in
your advertisements, on your web site, in your brochure and
in your presentations and conversations.

- What are the emotional reasons your prospects buy?

HELP PROSPECTS DEFINE VALUE
To help prospects understand the value of your services,
don't tell them; ask them. Most people learn by putting new
ideas into their own words. Use questions to get prospects
to identify the ways they'll benefit from your products. Ask
them what they want, what they are looking for, and how they
expect to benefit. Get your prospects to define their
aspirations and objectives for their purchase.

These questions actively engage your prospects. By
describing the benefits they are looking for they begin to
imagine how much better off they'd be with your products and
services.

- What questions can you ask to get prospects to describe
the value of your products and services?

PUT PRICE INTO CONTEXT
There is a reason a car salesman has you look at a car in
detail and take if for a test ride so you can experience all
the features before they'll discuss price.

Hedge funds are investment vehicles that can provide unique
benefits such as being able to achieve steady growth in both
up and down markets or unusually high returns. Some
investors believe these benefits are worth paying hedge fund
managers ten times the normal management fees.

A price of ten dollars or ten thousand can scare your prospects
away if you give it to them too soon. After prospects' have
defined the value of the service or product they're interested in
and can see themselves usingit, then and you present your pricing,
they are much more likely to buy.

- Are you presenting your pricing information too soon?

Increase your sales by pitching to your prospects' reasons
for buying. Use your questions to help prospects define the
benefits of your products and services in their own words.
They will have far fewer objections to price and you'll make
more money.

-
2004 © In Mind Communications, LLC. All rights reserved.