Making Your Prices Stick… Without Getting Stuck PRESENTER: Vince DiCecco Your Personal Business Trainer GlassBuild America Expo September 13, 2017 Atlanta, GA

Questions to Ponder Do people buy primarily on price? What % of your customers are price buyers? When you shop, do you buy primarily on price?

“The Price Buyer” Take up all of your sales time Do all the bitchin‘ Forget to pay Tell everyone else how little they paid Drive off your good customers Won't buy the next time unless the price is too low again Will continue to get a low price from you until you go broke, then say "I could have told you that would happen. Their price is too low." Run up your investment in inventory equipment trucks people supplies warehouse time Lie to you Steal from you

Three things happen just before a company goes out of business They cut price to stimulate sales Gross margin drops Sales volume increases

Did You Know? 94% of customers will bring up the subject of PRICE first. 44% of sales people will change the subject rather than answer the question, “How much does this cost?" 33% of sales people don’t EVER VERBALIZE the price during the sales process.

Dumb Things Sales Reps Say "If I were you, I'd buy it." "You ain't gonna believe this price." "Would $500 be too much?" "Where do I need to be?" "How much did you want to pay?" "Ain't it a crime what they get for this stuff now-a-days?"

Recognizing Price Pressure Tactics “Is that your best price?” “Will you match or beat your competition?” “I’ll need at least 3 quotes.” “I can only spend so much.” “What’s your price for (big order)? “You know…we’re not-for-profit.” “I can get the same stuff down the block cheaper.”

“I can get the same stuff down the block cheaper” He, indeed, can get it but-- a) he doesn't want to b) he better not c) he can't He can't because-- a) he's lying b) it's unavailable c) it's not the same stuff

Do’s and Don’ts About Defending Your Prices (Compete on Price—HIGH Price, that is) Remind yourself…often “I do not sell a commodity.” Emphasize your Unique Value Proposition Don't make noises indicating your price is negotiable Use “The price is...” instead of adjectives, adverbs or pronouns around the word “price” Don't signal that your price is too high Don't go WOWING your price Use testimonials that pay top $ Use the Magic Square

The “Magic Square” QSD = 10 Price = 10 QSD = 8 Price = 8 QSD = Quality, Service and Delivery QSD = 10 Price = 10 QSD = 8 Price = 8

Words of Wisdom Run, don’t walk, away from price buyers Perennially test your price Set yourself apart from competition by listening, nurturing customer relationships, keeping promises, and emphasizing your UVP Fix any delivery problem or risk losing more business Keep your finger on the pulse of your business - Know your GROSS MARGIN Practice handling the issue of PRICE confidently, credibly, and comfortably.

Thank you for attending!