I think sometimes we as business owners and entrepreneurs think we know what is best for our customers. And while sometimes we may have insight into something our customers are not yet aware of…we certainly don’t know what is BEST.
I say that carefully.
The whole point of listening to your customers, is that YOU, as a business, are trying to solve THEIR PROBLEM. If you aren’t listening to them, how are you going to help them?
The whole point of a product or service is to solve a problem, fill the gap, or provide an easier/cheaper solution. (Shark Tank often uses the term ‘better mousetrap’).
If you think about a salesman (or saleswoman) who answers the phone when a potential client calls in, customers are reaching out to a business to seek a solution. They are ready to spend ‘some sort’ of money to have that ‘pain point’ taken away. That’s why when I hear businesses or sales people say ‘they weren’t ready to spend’ I cringe.
They called. They were ready to spend.
How MUCH they wanted to spend may not have matched your price point. But then again, did you BUILD ENOUGH VALUE?
Not everyone has enough money to buy a half a million dollar home, but we can all agree that the price point might be worth it. But don’t be short with a potential customer who in two years, might be able to buy that home…they’ll remember how you helped them.
Which brings me to the next point: building value.
When you have a moment, write down WHY you charge the prices you do, and if you are more expensive, explain to yourself why you are more expensive. Are you just greedy? Or do you actually bring more to the table? Are you less expensive? Explain the benefits of being less expensive to yourself.
If you have a hard time explaining it to yourself, chances are you aren’t even close to conveying it to your customers…and if you have employees, they don’t understand and aren’t helping your business either.