I challenge you to take a moment and think about the contents of your kitchen cupboards – are they filled with no-name brands? What about your bathroom? Are the shelves filled with the lowest priced shampoos, skin treatments and cosmetics? What is in your driveway? Is it a plain, modest best value automobile?
Of course not!
Everyday we have the opportunity to buy value brands but how many of us actually do? If price were the number one reason behind a purchase decision wouldn’t we all be using value brand products?
The fact is we do not buy on price! Price is an element but not the most important element. We want value and value is about trust not price.
Why do most salespeople complain about price when price is rarely an issue?
Price is not the real issue but it is important and as buyers most of us will go there first because it helps us define the purchase. Knowing the price helps us rank the product and the seller. In some cases we may want the most expensive option available. When most salespeople hear the price question what they really hear is ‘your product is too expensive’ when most of the time the real question is ‘please justify your price.’
The problem with most salespeople is that when they hear the price question all they can think of is how the price of the offering ranks compared to the competition. If the price is higher they feel they have already lost.
I have sold all kinds of products and my experience is that it is so much harder to sell the lowest price option than the highest priced option. At the lowest price there is usually nothing else to talk about. There is very little opportunity to inspire or to trigger the many emotional aspects that go into every purchase decision.
To survive the price question you need to know your product and company inside out. You need to know every feature and benefit. You also have to understand that until you establish trust with the buyer that your efforts to build value will be very difficult.
Even with a pure commodity such as gasoline, or potatoes people and businesses still pay higher prices to work with companies that build and deliver trust.
The first thing you always sell is trust!