I had someone contact me recently about running ads on my website. I gave her my price, she asked for a lower price. I respectfully declined and she could not understand why. I told her my other advertisers were all paying the rate that I offered her. How could I justify to them that she was getting a lower rate? People talk and you know that someone would find out. Then, going forward, if someone wanted to place an ad, they too would want a special rate.
I understand that sometimes “sales” and “specials” are a necessary cost of business. Maybe sales are sluggish, and you want to give them a boost. Revenue is down and you need an up month. OK, as a business owner you must do what needs to be done. But understand that by discounting your product or service you are conditioning customers to de-value what you are offering them. Discounting lessens the perceived (and therefore, actual) value of your product or service.
Do you have a hard time saying no or letting a deal fall through so you give in and give away discounts? Instead, simply say “I’m sorry but we don’t offer discounts. We believe that our service/product offers more value for your money and it will be unfair to our other customers if we make an exception.” If the customer/client gives you a hard time or is aggressively persistent, maybe they are not the right customer /client for you.
In the end, respect yourself and respect your value.
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Kevin Willett is the Author of One Connection How you can grow your business (and change the world) one connection at a time. The business networking book is available on Amazon. Purchase One Connection on Amazon