Some say never lower your price. Others say always negotiate. Regardless, price is important to buyer and seller alike.
Buyers want a fair price, while sellers want a fair profit.
Prospects have a valid concern about being able to afford a solution. That concern can prompt them to ask about price early on. This can become a trap for you. Discussing price before you understand what’s driving the purchase is risky. You might not end up presenting the best solution for their money. Or you might try to sell something that is beyond their means. The first leaves money on the table, the latter risks backouts after the sale. Not good.
If low price is your key selling advantage, talk about it early and often! If not, here’s what you can do instead:
1. Acknowledge that price is important. Explain that at this point you’re not sure what they need so it’s hard to quote an accurate price.
2. Recommend that you start with a conversation to get a better understanding of their situation and the solution they seek.
3. Promise them that you will discuss price once you to have a better idea of the right solution for them, and
4. Gain their agreement to proceed with a discussion. Then ask them to start describing their needs.
This 4-step approach works whenever you need to defer price discussions. It sets the stage for both buyer and seller to get the greatest benefit.