How to avoid discounting

May 10, 2024

"Can I have a discount?"

Here we go!

As salespeople we know we shouldn't

It eats into profitability

Disturbs the win-win balance

But responding "No" is easier said than done

Let's explore with

🟠 Orange Hat Thinking 🟠

Ways to address the discounting question include

🔶 Sell value

Create an alternative to discounting by focusing on value selling

This involves understanding the customer's needs and goals.and then demonstrating how you can help achieve those outcome

Highlighting the value and benefits of the offer to justify the price without resorting to discounts

🔶 Adjust offer

Explore creative solutions such as

- bundling products or services
- offering incentives
- providing additional support or services to add value for the customer

🔶 Prepare 'argumentation'

What are the factors affecting the price?

Maybe the customer doesn't understand these and explaining why will help

Raw materials, economic factors, El Nino... many things could have an impact

🔶 Ask why

Some customers might be 'trying it on'

They ask automatically

Why not?

We've conditioned them to do this by agreeing to discounts too easily

So probe to understand what they would be willing to lose from the solution to achieve a lower price if that is what they genuinely want

Ultimately, the key is to shift the conversation from price to value and show how the product or service can positively impact the customer's business or life

This is our job as sales professionals

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