Have you ever been in negotiations with a new client or customer, and they ask the inevitable question: “Can you do this cheaper?”
Or maybe they try to ask it more politically – “How can we work together to get this proposal to only $8k instead of $20k?”
What’s the best way to answer a question like this?
When I get this question – all I want to do is send them this meme:
Seriously though, let me take a couple of minutes to give you some insights on this question that seems to come up more often than not.
I mean, we’re all looking for a better deal. Retail has trained to ask if we can get it cheaper or if there’s a coupon, etc.
So how do you handle this issue of price in your own business?
Honestly, it’s one of the toughest issues I’ve faced in my business – when a potential client tries to haggle with me on price.
The most important strategy I use is scheduling an exploratory call. I get a lot of information upfront by sending them questions to answer in advance:
- Why did you reach out to me?
- What’s the biggest challenge in your business today?
- What’s the #1 way you get new clients/customers?
- What’s your website URL?
- What are you launching? What’s the price point?
- How many people are on your list?
- How long have you been in business?
- What’s the biggest thing you need help with on your launch (or your business)?
The more information I can get upfront, helps me get to know them a bit before we jump on a call.
They ask me how they can work with me on these calls and invariably ask me about my pricing. See the EndNote below for more insights into how I do this.
I have three options that they can choose from to work with me, and I tell them that.
- Done for you — $25k
- Done with you – $15k
- Do it yourself with my help – $8k
These prices are usually over a 2 – 4 month period time. Sometimes there’s some wiggle room, depending on what specific things they’re looking for someone like me to do.
Typically when I work with someone to build out their launch or online customer experience, it takes at least two months and could go to four months. Or one client I worked with was for 12 months.
We usually figure out what they need the most help with on the call, and that’s how I create my proposal for them when I build out the three options.
And I tell them upfront – writing copy is one of the expensive parts of the proposal (and so is project management).
Copywriting is incredibly time-consuming, and I do a lot of research. So whenever a client wants copy, the price is going to be higher.
When a client starts to hem and haw about price, all my internal warning signs go off (my spidey sense), and immediately I know, if they’re haggling me about price now, next it’s going to be about something else.
People show you their true colors all the time. And it’s important to PAY ATTENTION to their behavior and what they’re showing you upfront before you sign any agreement.
So if a potential client is trying to nickel and dime you or tells you they can’t pay that but can pay a lesser amount, you need to be prepared with an answer BEFORE this comes up.
I look at a lot of different factors before I make my decision to work with a client. Do my research and ask colleagues what this person’s reputation is, and do they pay their consultants on time or early.
A while back, I had a potential client ask me to look over some copy that a copywriter wrote for him. After I did, he asked if he should pay him his fee or not.
I was taken aback – and my mind was going “red flag, red flag, red flag.”
If he’s asking me this, what if I do something he doesn’t like? Is he gonna withhold paying me too?
There’s so much that goes into working with a new client. I find relying much more on my gut instinct and paying close attention to client’s behavior is hugely important.
If a client wants to haggle with you about your fees, think twice about working with them.
AND make sure you have an agreement upfront about how much they will pay you each month. I’d have the agreement in writing.
A good example of making exceptions — I had a client I’ve worked with on and off for years.
Remember the big lesson here that I learned the hard way – people ALWAYS show you their true colors. You just need to pay attention and don’t make excuses for them.
They’re not gonna change.
You need to politely tell them it’s not a good fit, or they’re not the right client for you, and offer to give them a referral.
NOTE 1: If you want to know more about my “Perfect Non-Formula for converting 1 hr free calls,” – click here to read the article on my blog.
NOTE 2: Whenever you are ready, here are three ways I can help you increase your course, product, program, or event conversions.
- Jump on a Free Call with me – just go here and answer a couple of questions – then you will get to my calendar. The reason I ask these questions is so that our call will be much more productive. And I will give you at least three things to help you transform your business immediately.
- Get my 7-Step Soulful Marketing System. It contains all my best stuff on creating and launching your products. Plus, you get proven templates, tools, and worksheets valued at over $4,056! Click Here For More!
- Work with me and get your course, product or service launched. Or maybe you want to create or increase your conversions on your online dream client/customer experience. Or if you’d like to work directly with me to get more clients/customers and launch your product… just send me an email and put in the subject line “Get launched”… and tell me about what you want to launch, and I’ll get you all the details.