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Getting the pricing right - estimating the impact of your price offer
(Fred, Brusino Arsizio, 2005)
The goal of this page is to help you estimate if you hit the right point with the offer you make. Just compare the look and the shade of the client's face with the images below and you roughly know where you are. Please don't do this real-time, meaning, do not ask the client to 'keep that for a minute' while you check and compare with these images. Make it like a mind game. Experience has shown it otherwise negatively impacts the collaboration.
Please do your homework. You offer made no impression whatsoever, well within budget. He will probably simply continue talking, explaining on how your services is going to be a amjor deal for the company etc. All bla bla. He'll also probably forget about you untill you call in about a week or so. Since your offer is well within budget he did not need to think nor to discuss. Simply have you wait and confirm when you call back.
OK, you made an impression, it came through although it might not have been the impression you were looking for. You probably hit about what was budgetted for. The impression you made probably had less to do with the value of your service and more with the fact that there now will be no room left to throw that party or to buy that new hardware.
Now we are talking. You've hit the right starting point for a discussion. Enough above budget to get him worried, not enough to start thinking about competitors and the time/effort it will take changing everything. Be prepared to know your key features, and what it is the client is trying to achieve.
Oeps. You went to far. Your client now is going through the pro's and con's of your competitors, trying to think of where the competitor's telephone numbers are, and who was that sharp guy again he had to turn down because he was already in business with you. Be prepared not only to list your key features but also how they compare to your competitor and how your competitor will not be able to offer what you can, especially not by that sharp guy.
Call 911. Your offer was way off, and the customer passed-out flat. If you are lucky he will not remember what made him pass-out and you might be able to blame the lousy coffee or the bad food. Maybe the failing airco. What ever. If not, start packling and start all over again with the next one.
 
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