Why clients don’t buy from you and more importantly what you can do about it.
1. They simply don’t WANT what you’re selling.
2. They CAN’T AFFORD to buy what you’re selling.
3. They do not believe you are telling them the truth about your product/service and they are very SCEPTICAL about you delivering on your promises.
There’s not much you can do to overcome either of the first two.
There is a lot we can do about number three. First I
One of the simplest and most powerful strategies to overcome price competition is to set the buying criteria for the market.
As a business owner you know better than anyone what a client should consider in order to make the best buying decision. But here’s the thing most of your clients don’t know what you know.
So you need to tell them. If you don’t they will focus on what they can see and often that is price or something else that is very subjective.
So list out all the things someone needs to consider when making a purchase of what you sell. Bullet points are fine. Include everything even if you think it’s a small thing.
If you do it properly you will have 10+ things a client needs to consider to make a wise decision. You may have more. In fact more can be used as a marketing advantage but that’s another post.
Now that you have your list you need to make sure each point is expressed in terms that benefit the client. For example if you build houses and use steel frames you need to say why that benefits the client. In this example one benefit of that would termite proof so the house won’t fall down if there are termites in your area.
Then once you have them all together use the document in your proposals/meetings with potential clients.
By letting them know they need to consider all these things and that those are part of your offer it really makes you stand out from the competition. In fact you can straight out ask them if the other quotes include all these things.
How You Can Charge What You Are Worth
How to charge what you are actually worth?
The person who is most concerned about your prices is…
Sad to say it but true. Almost everyone I ever speak undervalues what they do. But they shouldn’t as almost always they are getting great results for their clients.
That’s the key results.
If you consistently get results for your clients then you already have step one sorted.
This is where you need to understand the ‘true’ value of those results. That is what are the results really worth in either dollar terms or benefits for your clients?
Do you know? If you don’t then you have some thinking to do. The good news is you will enjoy what happens when you do.
However their clients aren’t interested in hourly rates they want things like:
– enough money for good schools
– extra money for holidays
– peace of mind that comes from having enough money to last in retirement
They need your help to achieve these results. In this case the core result being offered is wealth building and financial management. How much is that worth to your client?
I don’t know the number in this scenario but it’s likely to be an absolute minimum of $100k.
So the challenge is to focus on building out an offer for your service that focuses on the results they get. When you can create that you don’t have to charge hourly. You charge a fraction of the results they get and so long as you deliver it’s a bargain.
Why? Simply because what they pay you is exceeded by the benefits they get. Now if you are in a position to guarantee those results…well then you can wipe the floor with your competitors.
Here are 7 strategies you can use to improve your results.
– Create an offer that is so strong it’s harder to say no to than say yes to. Most
– Ensure your copy on all your sites and marketing materials avoids using jargon. It needs to speak plainly to clients about exactly what you can do for them. They should feel as though you understand them perfectly because of the words you use.
– Target your marketing carefully. There’s no point getting potential clients you don’t really want and frankly can be a pin in the you know what. So be careful where you put your marketing message and how you describe who you work with.
– Use a powerful guarantee. Guarantees show clients they can trust you and if anything goes wrong you’ll make good. If you can find a common frustration in your industry and guarantee clients won’t experience that with you then you’ll clean up.
– Lower the cost of trying you out. Getting the first sale matters more than how much profit you make on it. Most real profit is made after the first purchase if you service the client well. So make your first offer as affordable as you can but not free. Free can encourage the wrong prospects i.e. people who can’t afford you.
– Deliver results in advance. This is especially good for services. Basically we want to find a way to allow potential clients to experience part of the benefits we offer before they have to pay any money. Two examples are test drives with cars and my all time favourite the puppy dog close. The puppy dog close is an old sales tactic where they let take you the puppy home and try it out and you can then return it if not happy. I probably don’t need to tell very few ever return the puppy.
– Provide as many testimonials and as much social proof as you can. Anything someone else says about your business is automatically trusted far more than anything you say about your business. Make sure any testimonial is very specific e.g. they had X problem and got Y solution. If possible get video testimonials, phone recordings are fine as long as the audio is clear.
Now I have some more advice that you can use from one of the world’s MOST successful fast food organisation
McDonald’s became rich with the something else marketing strategy. Are you using it?
It is a strategy that you use to maximise the value of each client when they do business with you. It is based on understanding that it is often expensive to gain a client for the first time. One estimate for McDonald’s suggests it cost them $1.91 to someone to the
But we all know they are still going. The reason is they have the discipline to offer every client something else that might like to buy. Originally this started with ‘would you like fries with that’. No reason why or incentive is offered they just asked you. Guess what 30% said yes and it added massively to their profitability.
Now they are even better at it they are up-sizes, value meals, etc and they usually have a reason why as well – save money.
There’s another business that used the ‘something else’ strategy to get rather big you may have heard of them – Amazon.
Their version is ‘Customers who bought this item also bought’. It works really well for them too.
Now it’s your turn to think about how to apply the something else strategy in your business. What else would your clients benefit from getting at the time of purchase?
If you have questions about applying any of these strategies in your business feel free to ask them below or if you prefer to do it confidentially you are welcome to message me.