by Tony Vidler
If there is one objection which continually gets professionals in a tangle it is the client who says “it’s too expensive”. When a client says “too expensive” YOU you haven’t done your job…
Whether it is your fee for a particular project, and ongoing service cost or the price of a product solution the same words come out from too many clients too often….”it’s too expensive”. What the client is really saying is “that’s not worth it” – and that is why I say “the adviser hasn’t done their job”.
Price is a reflection of cost – not an indication of value.
Think about that. When a client says the cost is not worth it then clearly they do not understand the value they are receiving. If the client doesn’t fully understand the value being created then of course any cost is too much – no price is a good price.
When a client says your fee or a product cost is too expensive just say “compared to what?”
Then let them answer it…don’t answer it for them. You will then be in a position to explain and discuss the value for the client, and put the price (or cost) into its proper perspective.
Using clever techniques and glib lines to “handle objections” rarely work in building or maintaining long term client relationships that are based upon trust, loyalty and high value advice. They will work for people who are in transactional businesses where a client purchases a thing and then moves on to the next transaction, but they do not really work when it comes to selling the intangible.
In an advice-based business the only thing that a client is saying when they express concern about price is that they do not yet understand the value.
It really is this simple: if they think it’s too expensive, then I still have work to do.0