How to overcome: The Price Is Too High
Zig Ziglar framed it best with his follow up question to this common objection...
“Are you concerned about the cost, or is it the price?”
When I first discovered this gem from Zig Ziglar I could not wait to put it into action. I consider myself a sales practitioner.
I love nothing more than applying in real time, tools and tactics that I have learned. The idea of asking a client if it was the price or the cost that was their objection seemed bold at best.
Once I understood the context behind the question, I was armed and ready.
Opportunity Knocks!
The sales conversation was going very smoothly.
My client (let’s call him Jerry) and I had built great rapport, and most importantly I had uncovered his basic need.
We hit a road block once we began to discuss price. My client turned down my proposal by informing me that the price was too high.
This was my chance….
The sales practitioner in me was chomping at the bit:
” Jerry, if you don’t mind me asking, are you concerned about the cost or is it the price?”
Jerry’s immediate response was,
“I don’t understand your question, what’s the difference between the cost and the price?”
Five minutes later we inked the deal. What changed?
Price vs Cost
I demonstrated to Jerry how our service was all inclusive. We had no hidden fees or any additional costs further down the line. The price and the cost of our service were evenly aligned.
Our competitors on the other hand had lower prices but the lifetime cost of their service dramatically increased starting in year two. I had Jerry do the math and once that happened it was game over.
Key Insight:
Make sure you understand the difference between the price and the cost of a service or product.