How to Overcome the Price Objection

Written by on March 4, 2017

The Same Old ThinkingIf you’re a consultant, agency owner or service provider, we’ve all been in the situation where price seems to be an issue. After you share your consulting or agency fee their response is “that’s too expensive for us.” Or something similar.

I could just tell you that you aren’t “selling on value.” I could tell you that if they are focused on price, and you aren’t the cheapest, you’ll never win. Both, while they may be true, doesn’t really help you overcome this. By the time you’ve found yourself in this position, it’s almost too late. You didn’t sell them enough on the value, and yes you may need to revisit that and walk them through how they benefit from using you or your service.

However, I want to convince you that when your mindset is right, you’ll think through this objection differently, handle it differently and more importantly, inoculate it before it so it never comes up again.

“You are too expensive” is an indicator that they see you as an expense which is backward.

Think about it. If your prospective client were to give you $1,000 and genuinely believed you’d make them back at least $2,000 from your marketing or consulting efforts, how many $1,000 payments would they give you?

Answer: As many as it would take to keep you around forever.

You may have to actually call him or her out on this, “John, whether it’s $1000 or $5000, it doesn’t matter if you’re not 100% confident I can come through for you and make you money over and above the fee for my help. And I want to help, but not if you’re are just chalking me up as an expense rather than someone committed to helping you grow sales.” 

You are a revenue generator, not an expense. That’s the frame.

What is the expense of not hiring you?

What’s the cost of mediocrity? The same decline in sales or lack of growth? That’s the first thing to find out.

What’s the cost of pretending things will get better, but then never actually taking action and doing something about due to fear of initial investment?

I remember saying recently, “I’m not even an investment. Because investments can be risky. I’m not a risk because I know I can help you and I’m a solution. It’s the only reason I’m agreeing to help you.” (another reframe)

I had another prospect say to me while reviewing the agreement, “This is just too much money for us to spend.” My response, “That’s a sign you don’t trust I can actually help you and do what I’ve told you I can do for you. Our business relationship has to start with that initial level of trust, otherwise, we’re both wasting our time.” He signed and is still a client today. I had to help him address the real issue.

I can say this, with confidence, because it’s true. I knew I could help him.

It’s rarely ever about money.

Remember, you are only valuable if they believe you can help them grow.

It’s a mindset. It’s their mindset and it’s your mindset. You may have to change both. 

 


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