Dealing with prospects who only seem to be making final decisions on price can be frustrating. There are a million ways you want to answer their question, "Why should I buy your product instead of your competitor's?" but the only one they want to hear is "Our product will cost you less."
On top of this, you can be sure that your prospect has been researching your product online and thinks he or she knows everything and thinks that price is the only remaining differentiator. When you're in a sales call and this happens, don't be daunted -- here are some ways to overcome price competition.
Tell Your Prospect Something They Don't Know
Yes, your prospect has done their research -- but you can, too. Before your call, take some time to research the prospect, and during your call, ask questions to get to their pain-points. With this context in mind, point out how your product will specifically address their challenges. Framing your product as the solution in specific scenarios will add a dimension they may have not been aware of before. Now you can get them to be more willing to listen.
Be a Consultant, Not a Salesperson
Steer the conversation away from price and towards value. How? Ask consultative questions that allow the prospect to voice, themselves, why they are looking for a new solution. Now open the dialogue up and talk about the problem and potential solutions, and suggest how your particular product can help achieve desired outcomes. When you work with a prospect instead of talk at them, you're taking them out of the mentality of a sales call and into one of a consultation.
Give Real-world Customer Examples
Never underestimate the value of a good story. Your customers are one of your biggest assets when it comes to making a sale -- give examples of customers who had been in similar situations and how they achieved success by incorporating your product into their solution. If available, mention there are some case studies that you'll send them following your call. Real examples allow prospects to relate and imagine themselves into the scenario -- including imagining achieving their desired outcomes. This creates a solid value proposition as to why your product is a better fit -- even if it is not the cheapest option.
While price competition is prevalent in sales, a good salesperson can steer the conversation towards creating value around their product and ensure price is not the only deciding factor in a sale.
What are some tactics you use to overcome price competition in sales? Let us know in the comments section below!
Jill Konrath is an internationally recognized sales strategist. As author of two bestselling books, SNAP Selling and Selling to Big Companies, she's a frequent speaker at sales meetings and conferences. You can follow her at @jillkonrath.