Hogwash!
That's what I say to people who tell me that their business is purely and solely a "cheapest price business."
People who stubbornly insist that "MY business is different" are right, but not in a good way.
Their business is different because it will never make big money.
People who are unwilling to open their eyes to BIG ideas are solidly parked right in their own way... their own BIG obstacle to success.
Big money is made by translating great ideas from outside your industry -- whatever it is -- into your industry. What gives you your competitive edge is a unique selling proposition (USP).
That's the key... not your low, low price. (Although in some instances your price may be part of your USP.)
Recently, I was consulting with a client and I was explaining my opposition to selling by cheapest price.
She insisted that hers was an intangible, not a product; that my examples didn't apply to her business; and that, basically, I had my head up my butt. I tried to explain in terms I hoped she'd understand:
So the critical question is:
"Why Do People PAY MORE For Some Services When The CORE SERVICES Offered by CHEAPEST PRICE Competitors Are Pretty Much The Same?"
"Debbie," I told her, "You've gotta understand: value differences don't have to come from the 'core' item."
It doesn't matter whether you're talking about a product or a service. Value differences usually come out of areas of expertise and service such as:
"And Debbie," I explained, "it's a hell lot easier to make money by selling half as much at double the price. Does that make sense?"
It made sense to Debbie and I hope it makes sense to you! Just to make sure, I'm going to give you...
5 QUICK-TURN TACTICS for closing BIG TICKET deals
#1 - Compare apples to oranges.
"Tired of dragging out a bulky food processor and guessing which attachment is the right one for the job? The compact Ultimate Chopper is 4 machines in 1 so you can replace your food processor, coffee grinder, standing mixer and ice cream maker and gain more counter space in your kitchen." (Ultimate Chopper)
#2 - Decrease the price by adding valued component parts.
"Bring your spouse for FREE! Yes, not only can you come, but you can also bring your spouse for FREE. This is a ,995.00 value by itself." (Real Estate seminar)
#3 - Identify the unique, invaluable aspect of your product.
"Quite honestly, the majority of currently available bodybuilding training and nutrition information today is never going to produce gains for 98% of the population.
"The pros simply have much better genetics for building muscle and are taking massive amounts of anabolic drugs...I'm not a "Mister" anything. I've never won a title.
"I'm just a guy who after 22+ years of trial and error has figured this stuff out and can relate to the plight of the genetically average trainee. I absolutely know what works for genetically average bodybuilders who want to maximize their potential. I know exactly what the average guy has to do to make muscle mass and strength gains as fast as genetically possible." (Bodybuilding)
#4 - Make the high price itself a benefit.
"Organic foods are more expensive because production is more labour intensive and without herbicides, pesticides and other chemicals, the yield is generally smaller." (Organic food)
#5 - Break down the big amount into smaller amount.
"Valuable legal services for less than a cup of coffee a day, from top law firms! Protection for you, your family or your business!" (Pre-paid legal services)
If you are going to use "lowest price" to get your foot in the door to acquire a new client, then the race is on to "switch" that newly acquired client from price orientation to value orientation BEFORE somebody finds 'em and offers to beat your price.
The Lesson: You CAN charge more for your stuff as long as you're showing you client that even though she's paying a premium price, she's getting a good value. Think "added value." Think "golden handcuffs"; benefits/service so good I won't walk away from it, even for a lower price.
Copyright 2004 Quick Turn Marketing International, Ltd.
About The Author
Dan Lok is the World's First Quick-Turn Marketer, with a proven track record of selling over 17.3 million dollars of merchandise and services. He's the rebel copywriter who's created hundreds of money-making ads and sales letter for over 39 different industries. And now, you can get inside the head of one of the world's top copywriters without paying a dime at www.quickturnmarketing.com
after renovation cleaning Glencoe ...You bet it's worth it. Publicity via news releases, along... Read More
WHEN you are operating or planning a small business that... Read More
1. Resolve to build a consistent network system.Since referrals are... Read More
If you are a non-operator owner of many work trucks,... Read More
Why should you describe your business to others in 5... Read More
It is essential that you fully understand how the fuel... Read More
So often small service businesses fail to exploit niches, which... Read More
At first blush this idea might be difficult to wrap... Read More
Your business account comes with an ATM, Debit card. Pick... Read More
So you want to start a business but you don't... Read More
We were more than excited. Our women's doubles tennis team... Read More
Do you own a franchised business? Over 400,000 franchised businesses... Read More
Just a few years ago, when one thought of a... Read More
Lance Armstrong this week won an unprecedented 7th Tour de... Read More
Here are some of the questions that you need to... Read More
As a company grows, the owner's role begins to change.... Read More
In many industries, image is one of the last things... Read More
Maximum efficiency in the cleaning industry is a key to... Read More
The FTC, Federal Trade Commission, is considering modifying the franchise... Read More
Send handwritten notes. That applies whether you're a guy or... Read More
Why should you always maintain a good report with a... Read More
Microfiber cleaning towels have been around for about ten years... Read More
Before you want to build your business, you need to... Read More
The choice to incorporate a small business in Florida has... Read More
Most new small businesses won't be in business this time... Read More
spotless home service Glenview ...Cash is the lifeblood of any business. As humans need... Read More
Forget everything you've ever heard about the U.S. Small Business... Read More
You know your prospects need what you sell. You know... Read More
1. Leadership Is Learned ? While many people appear to... Read More
Time. As a small business owner, it's the commodity you... Read More
As you may know, there are many ways to incorporate... Read More
The employer / employee relations environment has been constantly evolving... Read More
If you run a mobile car wash, mobile fleet washing... Read More
Over regulation of small business is so intense it is... Read More
It is estimated that 78% of all small business start-ups... Read More
Passion. Passion alone can make your business successful. As an... Read More
Here are some sound debt collection techniques that can be... Read More
Every home business has the same problem of how to... Read More
Do you have a Business Plan? Congratulations, but you are... Read More
Since you own a business you probably have liability insurance... Read More
The modern Franchise business model and the much different business... Read More
"The way to develop self-confidence is to do the thing... Read More
Now that you have invested your time, energy and money... Read More
How many hours do you work a week? When was... Read More
TACTIC #1 -- Never simply slash your prices, unless you're... Read More
How careful are you with the data you collect from... Read More
When we speak of branding most of the time people... Read More
Your on-line success is based on your efforts and yours... Read More
If you're an entrepreneur responsible for your own small business... Read More
It is imperative to have your business legally prepared. How... Read More
Small Business |