Price is NOT the Reason!

Posted by Doug Davidoff

Feb 22, 2010 4:07:21 PM

Friday was a tough day for me. Lots and lots of conversation with selling organizations and I must have heard 20 times that price is the reason people change providers and price is the reason for the decisions that are made.

Let me be clear - Price is NOT the reason someone doesn't buy from you.  It never is.

I understand that buyer's say it's about price.  I know that customer's budgets have been cut, that discretionary budgets have been virtually eliminated and that competitors are only all too willing to engage in a "race to the bottom."

As I wrote last month, the equation for price is to add the value the customer puts on the commodity with the price they place on your intelligence or approach.

So the reason people don't buy from you is that they don't feel that your approach creates enough value to justify spending more money.

Want them to pay more?  Demonstrate that you can create results.  Don't just say you can - demonstrate it.  Stop focusing on the stuff you do and focus, maniacally, on enabling your buyers to understand the results you can create.

Bottom line - customers won't pay more for your stuff than they will for your competitors stuff, but they will spend more for better results.

Topics: B2B Sales Strategy, Sales Training/Coaching