Do you need your salespeople to better defend your pricing? Are you tired of them constantly giving in to a customer's demand for lower prices? If so, then this video will help your sales team.
The video provides six areas where your salespeople can get your customers to focus on something other than the sticker price of your product. Here are the six strategies to helping your salespeople better defend your product or service's price.
1) Focus on cost-per-use and longevity benefits: If your product lasts longer than the competition, then define that in a dollar value savings for your customer.
2) Quality: Is your quality vastly superior to that of your competitors? If so, then your customer doesn't just save on usage. They also save on inventory costs as your products are less likely to get damage or even fail in service.
3) Can your sales team focus on increased yields and performance? If so, then make sure they use this when discussing pricing.
4) Vendor Managed Inventory (VMI) is a great solution to moving past the price of your product or service. Consignment agreements allow you to ship large volume of product to your customers without them having to pay for it all at once. Instead, they only pay for what they use in the month they use it. Your customer reduces their pricing and their per-unit freight costs on incoming shipments which results in lower inventory costs.
5) Finally, what about adopting a loss leader pricing strategy, one where you keep your primary product's pricing as is, but offer your customer a discount on a less important product.
This video will help you answer those customers who claim your pricing is way too high.