In business negotiations, price disputes always loom over salespeople like the Sword of Damocles. The moment a customer exclaims, “It’s too expensive!”, many sales reps instinctively lower the price again and again.
HONIK Biz reminds you: While compromising on price might yield short-term results, over time, you’ll find that no matter how low you go, there will always be competitors offering even lower prices. After all, many deep-pocketed manufacturers engage in price wars to capture market share, leaving smaller businesses struggling to survive by operating at a loss.
How do you shift a customer’s mindset from “It’s too expensive” to “It’s worth it”? True negotiation experts skillfully guide customers to focus on the real value of the product rather than just the price tag. Here are four practical strategies to turn the tables at the negotiation table and make customers willingly pay!
1. Comparative Product Analysis: Highlighting Value Through Comparison
When a customer questions the price, instead of rushing to defend it, guide them to compare products. Here’s how:
– Step 1: Select two well-known competing products—one priced lower and one higher than yours.
– Step 2: First, explain the shortcomings (functionality, quality, after-sales service, etc.) of the cheaper alternative. Then, highlight how your product matches or exceeds the premium option.
– Step 3: During the discussion, identify the customer’s real needs and pain points, then strategically align your product’s strengths with their requirements to ease their price resistance.
This approach helps customers realize, “You get what you pay for,” shifting their focus from price to value.
2. Cost-Performance Analysis: Showcasing Long-Term Returns
Naturally, customers want a good deal—just like any consumer, we all prefer “high quality at a low price.” So, in negotiations, emphasize cost-performance to divert attention away from price alone.
HONIK Biz notes that cost-performance varies depending on the customer and usage scenario—this is where salespeople can add value. For example, a mopping-sweeping robot may cost more than a basic vacuum robot, but it saves water, time, and effort—making it a must-have for busy professionals who rarely have time for chores.
Beyond functionality, highlight brand reputation, after-sales service, warranty coverage, and other benefits that cheaper alternatives lack. The key is making customers understand: Buying cheap might cost more in the long run, while the right product is the real money-saver.
3. Uncover the Real Objection: Is “Too Expensive” Just an Excuse?
Sometimes, when customers say “It’s too expensive,” they don’t truly reject the price—they just want something extra to justify the purchase.
In such cases:
– Check your company’s available promotions and offer complimentary gifts or discounts to turn hesitation into delight.
– Probe deeper into their concerns and recommend alternative products or bundled solutions that better fit their needs.
Remember: A customer’s “price complaint” may be the final hurdle before closing the deal. The key is finding their psychological compensation point.
4. The Art of Price Concessions: How to Compromise Without Hurting Profit?
If the customer still insists on bargaining after discussions:
– Avoid being too rigid, but don’t weaken your stance or keep conceding.
– When the buyer shows slight flexibility, meet them halfway to create a win-win, preventing resentment.
– Once an agreement is reached, close the deal quickly to avoid last-minute complications.
Sales isn’t about convincing customers—it’s about guiding them to recognize value. When they see how your product solves their problems, delivers long-term benefits, and outperforms competitors, price will no longer be the dealbreaker.
