Lets talk about value for a few seconds. So the title of this is video is “Price is only ever an objection in the absence of value. All too often, as other entrepreneurs know, we focus on “Why is someone objecting to paying for my product, my service, whatever.” Now, there’s different forms of objections when it comes to objecting on price: they can outright say “nope, not gonna pay that much money,” they can negotiate with you. But more often than not, what it comes down to is when you’re receiving objections about price, that means you haven’t built the value for what you’re offering yet. You’ve got to fix that first. If you fix that first, then price won’t ever be an objection anymore because what will happen is if someone doesn’t have the money they’ll simply say “wow that seems like a great deal, I just don’t have the money.” So it’s not an objection of price, it’s an objection of “well I don’t have the money for it,” if they don’t have the money then they’re not going to buy it anyways, so who cares. But, if they’re saying “oh it’s too expensive, I don’t think it’s worth it,” things like that. When you’re hearing stuff like that that means you haven’t done a good job of building a value for what you’re offering for everyone else out there.
And so a couple of things that I want to leave you guys with to help you overcome that price objection. The first part was the video yesterday that I talked about the “so that.” We want to sell on emotions and we want to sell on benefits, not on features. Features don’t sell things. If you sell features, this is when you will hit price objections because it’s hard to quantify the value of a feature. To me a certain feature might be worth a lot, to someone else maybe not so much. So it’s hard to justify a feature. When you sell a benefit instead, now all of a sudden the benefit is always going to have a far, far greater value than the feature ever will. A feature is something that you can just get, a benefit’s like “aw yeah, like I can see that, I can make that happen,” or like “I want that.” It’s a posturing thing, instead of saying “You have this, I want it.” The more they want it, the more they’re going to pay for it. So that’s number one. You’ve got to drive value through the selling of benefits. Like I said, I walk through how to start doing that in my other video.
Next, you have to stack the value. Now this is a term that I can’t even remember where I heard it first, but stacking value is a hugely, hugely important piece of overcoming price objections. What I mean by stacked value: you’ve all been on webinars, I’m sure you’ve seen a webinar, a sales pitch, or even infomercials on TV, they’re like “well you’re gonna get this, but wait, there’s more!” Then they stack this and this and this and this and they stack all of these things on top of it so that all of a sudden you’re like “oh man, wow I could totally see why that’s worth 20 dollars or 200 dollars or 2000 or 20000.” Doesn’t matter what the pricepoint is, you just have to stack the value in front of what you’re offering. So stack value as much as you possibly can and you’ll go through and find out how you stack value very quickly. If you don’t know what your customers value, just ask. Straight up just say “Hey, what else would make this better for you? What would make this more worth it? What would make this easier to use, quicker to use, quicker implement, easier to understand?” Anything of that nature, just ask and then stack those values in what you’re doing. If you stack that in there all of a sudden it’s like “oh well hey, for 20 bucks” or again 20000 doesn’t matter what the differential in the price is all of a sudden their like “man that’s totally worth it, I can see that being completely worth it.
Alright, so again, sell on benefits, stack the value. Then the last thing I want to leave you with here is don’t bring the price up first. He who talks first, or he who gives the price first, that’s the person who loses. It’s true. So stack the values, sell the benefits, talk about what it’s going to do. Throw in some feature things because obviously you’ve got to have some features in there but it shouldn’t the only thing you have. Build all that up and then, only after you’ve built all of this value and you’ve been building it up and up and up, then what you want to do is you want to bring the price up. What will happen is if you bring the price up after you’ve done all of this value building, what’s going to happen is everyone’s going to go “oh man, wow, that’s totally worth it.” I can totally say “I’m gonna get all of that stuff for only this price?” Notice the difference of “only this price” versus “oh, I’ve got to pay that much” or “oh it’s so expensive” or “Ah, I don’t know if it’s worth that much.” Notice the difference in the words there and that’s a huge, huge part of what you do. So again, sell the benefits whatever those are. If you’re not sure, ask. Stack the value. Again, if you’re not sure, ask.
Also, side note, something that people don’t do often is just straight up ask their customers how could they make the experience better. How could they make the product, the service, the whatever better. Great case of one actually. I just got back from a car dealership dropping my car off to have a small repair done to it. When I pulled up for my appointment at noon, I actually pulled up about five minutes early, I stood around for about six minutes before someone finally walked over and said “Hey have you been helped yet?” I’m like “Nope!” And they did a fantastic job and they were super nice once they got a hold of me and I got in their system, but I stood there for several minutes just kind of twiddling my thumbs looking on going like “Hello? Is anyone going to help me here? What are we doing?” The funny part is that that particular company rarely ever actually asks for feedback about the service. They did a really great job in a lot of areas and in others, not so much but they never ask. Again, that’s a customer service example, but the same differential in customer service as with sales. Just straight up ask people what it is that they want. What can make it better, what can make it more helpful etc. and then build that into your value. Just build that piece in and all of a sudden you’ll be selling a heck of a lot more because also now you have exactly what they want. You’ll also be surprised what kind of stuff out there people actually want. A lot of times its something small, just a little thing here a little thing there that’s going to make it all the much better if you execute it.
So these are my tips for building the value to overcome the price objection. Remember, price is only ever an objection in the absence of value. So if you’re receiving price objections you haven’t done a good job of building the value. Go back and figure out what is it you’re offering take a look at the sales tactics you’re using, look at the words you’re using. Are you talking features or benefits, are you talking value, are you actually building something that someone wants or are you giving them some erroneous thing that they’re like “eh, I don’t get that why would I want that.” If someone doesn’t want something that’s not relevant to them or their audience, they’re not going to perceive value with that.
One more thing that I want to leave you with value is all about perception. The value of something, while often times can be quantified, the perceived value of something is so much more important to take note of. So when I say perceived value, for example if I were to say “hey I’m going to put all of this information into a PDF and I’m going to email it to you.” What’s the perceived value of a PDF of the information that I’m talking about right here in this video. Probably not that high because PDFs don’t have a lot of perceived value. They have a very low perceived value. However, if I said I was going to send you a worksheet to ensure that you have everything that you need when selling or putting together an offer, to stack value and make it happen and I’ll put in a nice checklist for you so you never forget to do all of these things in ever offer you do ever again, what’s the perceived value of that? It might be the same exact thing as what I just said. It might just be a PDF, it might be literally the exact same thing as what I just said, but notice differential of how I sold the benefits: so you don’t have to think about doing these things again. If I just said I’m gonna send you the PDF, well that’s the feature not the benefit. Also, what are you sending? A checklist has a higher perceived value than a PDF does, even if the checklist is in a PDF it doesn’t matter. The perception is that it’s worth more because you can use it for something. So keep that in mind. So that was a very simple example of this, but keep that stuff in mind as you go forward when you’re selling things out there and doing better. That’s it for today.