Most business owners and sales professionals fear facing price objections. Clients will resist if they feel the price is too high. But then again, they also don’t like it if the price is too low. You need to find the fine balance and get it just right. But what if you don’t? When a client says your price is too high, what’s the best next move? How to respond to that objection?
What if you could have the ability to master sales strategies that could turn your life around? A sales strategy that could turn a low ticket into a high ticket offer? A strategy that would allow you to face the price objection head-on and smoothly to turn your clients’ no into a yes every time? If we told you that there is one technique that will convince and compel your customers to buy from you, how would that impact your life? Ok, let’s see…
First, let’s first face it – prospects lie all the time. Sometimes they lie about the reasons why they buy. Other times they lie about the reasons why they cannot buy your product and service. It also happens that they tell you they can afford something that is absolutely out of their reach. But more often, they just say that the price is not right to get out of the purchase or deal they are simply just not ready for…yet. So – they’ll tell you that they can’t afford it or what you sell is too expensive. How do you deal with that?
You see, selling to a market that’s interested in buying shouldn’t be difficult. When you’re closing, very often you would deal with prospects that lie. When you deal with prospects that lie, it is hard to handle objections for some. But that shouldn’t affect you. You can learn the technique to handle price objections.
If you ask any sales expert, you will hear that selling has changed in the past decade. The old techniques are dead. Many now say that things are different and it is all one big recurring theme: “It’s a lot harder”. But the same experts also say that there is a new game in town in terms of approach and objection handling. So, what’s the secret? How to handle these obstacles such as price objections?
Low-Income Clients Or High-Income Clients – Know Your Customers
So, let’s get one thing clear first – your market. Sometimes you might be trying to sell in the market where your prospects truly cannot afford what you offer. But that would mean something else. In most cases, it means that you have to switch markets and adjust and polish your business model and plan…So, let’s see what to do in that case…
What if you have been selling to the wrong people? Selling to the wrong people is one of the most common and costly mistakes. You lose precious time and money – marketing in the wrong place. Your message doesn’t resonate because you have been sending it to the wrong audience.
Let’s look at an example. If you try to sell a Ferrari to a low-income family, in spite of how much they want it, – you won’t succeed. They simply cannot afford a Ferrari. You are in the wrong market and you will never make a single sale. Unless you give things away for a ridiculously low price…But if you are selling to the wrong people and the wrong place, lowering your price won’t help to increase your sales. And also, it may not help you with getting more responses if you’re doing it online. If someone clicks through social media platforms they won’t even look at your price, if the message you send doesn’t resonate with them.
So, if this is the case, you must reorient and make sure you market to the right people. And then – you have to learn how to handle price objections. You want to avoid offering discounts at all costs, and you never want to reduce your value in the market place. Handling price objections is of the utmost importance.
So, the most common lie in our experience is – “Let Me Think About It”. If they need to think about it – they will say no. When you want to make a sale, time is essential. If you get objections like, “I’ll think about it, send me more information, I’ll get back to you” then you know they will never get back to you. Or, in some cases, they will simply ghost you. This means you’ve failed to create a lack of urgency – the willingness to buy.
What then? How can you turn the situation around to fix that?
What if They Give You Price Objections
So, we all heard that one – “It’s just out of my reach now,” “I just cannot afford it at this time,” “It’s outside of our budget” and so on and so on. But let’s be honest – most of the time, it’s not the price. If the client really wanted to buy the product or service you offered – they would find a way to do so. There’s nothing that can stop a motivated and sure customer. If they really believed that what you’re selling is exactly what they need – they would find the means to buy it from you So, what’s the problem here?
Well, when they say the price is too high – it’s actually the value that they’re objecting to. If you hear the price objection, it means that you didn’t convince your client. They don’t think that what you offer is worth their money. What they’re saying is that what you’re selling is not worth the price you’re asking for. So what does this mean? – It means that it’s not about you – it’s about them. Why? Well…
The only thing that matters to them is that they get something for themselves. They could care less about you. So, if they don’t see the value for themselves in what you have to offer, no matter what your price is, they will feel it’s too high. It’s not worth it for them and anything they would pay would be too much.
What this means is that the solution is fairly simple.If you can convince your clients of the value being provided in your offer – the price won’t be an issue. If they truly can afford your product (which most likely they can, if they’re talking to you), they will buy as long as they believe in the offer.
You must remember – when you get an objection, it means “I don’t see your value” or “I don’t feel the sense of urgency” which also boils down to value. If they have to think about it – they aren’t convinced that they need it (your product or service) or that they need it now…They are not convinced that they shouldn’t wait any longer to receive the value that you offer.
So, to summarize – when you hear price objection it is most likely about one of the two things: they don’t see the value or they don’t feel the sense of urgency. If it is not one of these two – then you misidentified your customers and are trying to sell to the wrong market.
Therefore, identifying your clients is crucial in overcoming price objections. Without making sure you are speaking to the right audience and working with the right client – you will keep running into the same problem.
Price Objection is VALUE Objection
You see, if a customer doesn’t t see the value of the product, they will determine their price. They will lower the price until they get it to something that is acceptable and reasonable to them, or they won’t buy. If this happens – avoid anger. You might feel as if you’re not valued and overreact. There’s no need for that.
What you have to do when this happens is show the value of your product. With that said, you have to show them the value of the product. They want to buy but you have to show them – tell them why they should buy it.
And there are 2 things you need to understand. People without the mindset set on “willingness to buy” and “ability to buy” will never see the value of your product, even if they can afford it. They will not be convinced simply because they do not want to buy or because they cannot afford to.
Watch this video about the 3 most important skills in sales
Let’s be honest, if you don’t make the sale today, you will not make the sale tomorrow. So, if you’ve failed to convince your client on the value of the product and why they need to purchase today.
You see, there is one important thing to remember when talking about value. When we say value, we’re not talking about your value. We talk about value perception. Value is a perception – it is what they see. How they see your offer and what they can get out of it by using your product or service is all that matters to them.
So, how do you alter their perception? As a business owner and a closer -how do you tell the story that shows them the value of what you offer? What communication strategy you can use to compel your customers?
What is this value to them?
So, like we said earlier, value has to do with your clients, not with you. It is about them, not about you. And when they see value…then what you must make sure they feel is urgency. They must also feel the need to buy now.
“Remember, people don’t buy from you because they understand what you sell – they buy from you because they feel understood. – Dan Lok”
So, how do you get there? Maybe, your strategy is storytelling, or social proof, or guarantee? Whatever you do, you need to create a good story – the one that shows the value and creates urgency. What this means is that – it’s about the value proposition. And your story needs to be just that.
Find a way to create value around your product. You must make the value proposition irresistible and risk-free that when your customer sees it, they’ll say – “That Makes Sense”. Dan Lok has been teaching students around the world – in more than 150 countries. Thousands of his students have gotten value from my product. Not to mention – millions of viewers from his free content YouTube videos. There are hundreds of YouTube videos Dan produced over the years that have helped many create their story and strong value proposition.
However, what your story needs, besides value and a sense of urgency, is a guarantee. You must give your client some reassurance that your offer is worth the investment. They will examine your offer in detail and give you objections and you must give them assurance. And if you’re selling a high ticket product you’ll overcome price objections with this technique.
The Best Defense Is A Good Defense.
To avoid feeling stuck or cornered – we suggest you handle objections before they even come up.
Dealing With Objections From The Beginning
Let’s look at an example. Dan has a book – “The Closer’s BLACK BOOK”. This book was not available before. In order to acquire The Closer’s Black Book, you would have to be his student. Students that have invested up to $10,000 to learn what is included in this book.
Now, the book is available to those who didn’t take one of Dan’s programs. It is accessible to the public. This book consists of ‘counter-intuitive’ selling secrets that accrued more than $34.5 billion in sales. You will also discover techniques and strategies for overcoming price objections and many more.
So, the value of this book is clear. Now, the urgency exists as well because only a few books will be available. After what is in stock is sold out – they will not be printed again. Ok – so what’s the price? The Closer’s Black Book sells in Dan Lok Shop and it’s priced at $995.00. With that said, it is probably one of the most expensive, if not – “THE MOST EXPENSIVE” sales book in the world. And as you can see by that price – it is not for everyone.
If it’s sold to the wrong person, they’ll say – “That’s overpriced”, I would not even pay you “$5 dollars” for it”. Just like the story of a father and his son in the video – you’ll get price objections simply by telling the wrong people about your product. In fact, we would increase the price to the right people that will cherish the value of the book.
Dan won’t sell the book to someone who doesn’t see the value in it. But to the right person, it’s different.
To a business owner and sales professionals, this book has more value than any price. They know that the right technique could change everything that they do. Learning that 1 technique, 1 strategy that could double and triple their closing ratio.
Final Thoughts On Pricing, Price Objections, And Lying Customers.
What if the Black Book could help a real estate agent with a close of one more sale or with getting one more listing? That could translate to tens of thousands of dollars in commission. On top of that, they could still retain their knowledge and use that for the rest of their life. So, $1,000 dollars for a book is a no brainer – to the right person. That’s the difference.
So because of that, Dan is not going to lower the price of the Black Book for someone who doesn’t see the value and who won’t even pay $5 dollars for it. It makes no difference even if he were to lower the price – they still wouldn’t buy it. This book means nothing to them.
So, if anything, Dan would increase the price to maybe $2,000 dollar a book to the right person who will cherish it. There is no high price for a person who appreciates it and who sees the value that the Black Book could offer.
“Price Is Only An Issue In The Absence Of Value”
So, how can you make what you offer more valuable?
Let us stress this once more – set the value yourself. Do not let others decide your value. Set your price, deliver value for it, and present your offer with confidence. If you trust in your vision and your offer, then you will easily transfer that value into your offer.
Don’t lower your value to the wrong person. Increase your value and price to the right person. And if you want to hone in on your closing skills and really take your business to the next level – you might want to get a copy of the Black Book. It provides a step by step guide to closing deals on high ticket offers, and if you are ready to take your closing skill and your business to the next level, this might be just the book you’re looking for. Click here if you believe you’re the right person for it.