How many times have you heard somebody say this? Not only in sales, but in every-day situations.
From a sales perspective, there is actually no such thing as “too expensive”. The meaning of “too expensive” is always “it’s not valuable to me”.
Just think about it. We can all buy, sell, choose something at a lower price tag, but what are the consequences of the lower price? Do we actually consider that when choosing a product, a service or a person for that matter?
When companies hire employees, do they actually evaluate what that person can bring to the table, or do they just look at a category that fits that job description and make an offer accordingly? I think we all know the answer to that.
Do we consider the long-term consequences?
When a person chooses a product or service, do they consider what might happen if they go with the provider that has the best price tag? Some people do, but most people don’t.
Cheaper products and services sometimes cost way more than a solution that lasts longer and is future proof.
We have also all worked with the people who are highly paid and don’t bring value and the ones who are talented and efficient, but underpaid.
One of our clients manufactures and sells modems to prevent internet outages, certainly a product that is essential these days to keep businesses up and running. Their fiercest competitors are not other companies that offer a similar model, but cheap consumer devices that you and I would use for our homes.
What is the value of anything?
Imagine, you are a company where the cash registers depend on a reliable internet connection and this company uses the same product that you and I use for our home offices. Sounds crazy, right? But it’s the truth.
I experienced it first-hand a couple of years ago when I wanted to buy something at a Dunkin Donuts kiosk at JFK airport and the cash register wouldn’t open up. In an airport! where time is of the essence. Maybe management didn’t consider what the loss of revenue would cost them and I am not even touching on the bad customer experience.
There is always a cheaper solution
Everything comes with a price tag, some higher some lower. And some products are competitively priced but when you choose a new solution, a new hire or a new product always consider the long-term value vs. the short time savings.
And for us sales people, we need to make sure that people understand the value of our solution. Leading with value is key, so price discussions don’t come up in the first couple of minutes, but at a point when the decision to purchase is being made.