Same situation, 2 advisors
In yesterday’s daily the message kind of didn’t get through the intended way. I’m sorry. There were a few readers’ responses that made me realize that. Thank you. 🙂 Hopefully, this time it will be clearer. Imagine this. You need to make an important decision on your business. A game-changer. One that has the potential to change the way you’re perceived in the market you serve. You approach 2 advisors (Will and Joe). Your budget is 10K. In the future of this (imaginary) scenario, both of them…
Nobody move!
Play it safe. You’re not chased by a T-Rex. Not now —and certainly not once you get to innovate and bring great, new things to the market you serve. However, that’s how many businesses, orgs and entrepreneurs behave once they reach a certain point. Because now that you’re there, you’ve got much to lose. Just think of this: What if you get much more to win?
Are you the expert?
Do your customers just ask you for what they need and you tell them “Yes, here are some options for you to choose from”? Or do you guide them through the process so that they can make an informed decision? Or do you even tell them “No, sorry. I don’t do that / provide that / work like that”?
Money is not a problem.
“Money is not a problem.” In a negotiation in behalf of a client, I asked my client:”Please give me the prices (at full) for these 2 programs your customer wants to buy. Money is not a problem. They have as a minimum 24K euros.” The answer? “Here. This is the price —but you can offer it for less.” The “less” price? 16K The fear of “losing” the opportunity made them leave money on the table. Despite having the extra approved budget. Of course, now comes the ethical question: “Isn’t this…
Will & Joe
What if they both had fixed prices… and you could have the answer now (Joe) or in a few weeks (Will)? [Notice that “few weeks” is more than a month.] It’s a game-changer for your business —think of it as THE thing that will put you in the stratosphere of your field. Which one would be YOUR choice?
Inflation
If your country’s economy hits 15% inflation (in comparison to the last year). What do you do with your prices? Raise them? Maintain them? Lower them? Why? 🙂
Using the same tools as your competition
That doesn’t define that you’re supposed to charge as them. The thing that makes it different is not the tools used, but how you use them, and the perspective you take. Using the same tools can lead you to outstanding, different results than the others (after all, we all have a brain, and how we use it is what makes a difference), results others could not achieve. Remember, it’s not about WHAT you use X, or HOW you use X. It’s about how YOU help THEM get what they want. It’s always been about…
What about their budget?
Even when you hear me say (over and over) that your price has nothing to do with your customer’s budget, you can always find a workaround. If their budget is way off your minimum, you have 2 options. Saying No. Saying Yes. Wait… Saying Yes? To lower than MY minimum??? WTF, Rod? You can say yes, in a way that’s profitable for you. You may not deliver the whole thing you have in mind, but there might be something you could do, and make it profitable for you (I’ll say it just in case anyways:…
Look for someone
If you’re not having the best time with how your business is doing, look for help. Look for someone who, as painful it is for them, will tell you the things straight up. Someone who’ll call out the bullshit —and call you out to hear what you won’t necessarily like. Yet, something that will be in your best interest. Here’s how you’ll know: they’ll call it out not to sell you anything, but to get your shit together. And it’s painful. I mean, it’s your business. Your own baby. In the long run…
Building ladders
If you want to be more accommodating to your customers budgets, you can do so. In a profitable way. You can build offering ladders (a game-changing concept shared by Jonathan Stark) An offering ladder (aka product ladder) is a mix of offerings (products, services) that is progressive both in impact for your customer, as in price. They go from low risk, low trust, low friction to high trust, high impact. The goal of it is to reduce the friction with your prospects, so that it can build trust…
