๐ธย Stop losing money from giving discounts
How much money have you and your organization left on the table because of giving discounts?
Imagine what could all of that money have been used for?
โ Not only that, how much damage has it already done to your brandโs product or serviceโs value?
And worst of all if done consistently, it trains your market to expect discounts from your company all the time.
In this video and writeup, we will be sharing with youย 7 ๐๐๐ฉ๐๐ค๐ฃ๐๐๐ก๐ ๐จ๐ฉ๐ง๐๐ฉ๐๐๐๐๐จ ๐๐ฃ๐ ๐๐ฃ๐จ๐๐๐๐ฉ๐จย on how to overcome the problem of giving discounts and have your salespeople overcome price objections.
Here are the key reasons why salespeople give discounts:
1. An easy way out to close the sale
They donโt need to defend their price, and the customers are more likely to buy from them.
2. Pressure to hit targets
The moment theyโre under the stress and pressure of needing to hit their targets, they start becoming desperate.
What are they likely to do then?
Throw the price, offer discounts, so that they can get the sales.
If youโre a sales leader, and youโre pressured to hit targets too, you may very well fall into the same trap.
In turn, you could be creating an environment where your sales team is spoiled and always expects to give discounts.
So how do you change a salespersonโs discount mindset to aย ๐ท๐ข๐ญ๐ถ๐ฆ ๐ด๐ฆ๐ญ๐ญ๐ช๐ฏ๐จ ๐ฎ๐ช๐ฏ๐ฅ๐ด๐ฆ๐ต?
1. Stop giving them discounts
As a sales leader, you have to draw the line and maintain the price integrity of your offering by not allowing them to give discounts in the first place.
2. Train them with the right skillsets
You should empower them with the skills and knowledge to defend against price objections and justify the price.
One of the techniques is to sell the value by highlighting your differentiation.
This sets your offering apart from the competitors and your salespeople will be able to justify the price.
3. Strategise
Different sales scenarios require different strategies for the customer to buy.
Certain customers may need you toย ๐ฅ๐ช๐ด๐ค๐ฐ๐ถ๐ฏ๐ต, ๐ฅ๐ฆ๐ง๐ฆ๐ฏ๐ฅ ๐ต๐ฉ๐ฆ ๐ท๐ข๐ญ๐ถ๐ฆ, ๐ฐ๐ณ ๐ฉ๐ฐ๐ญ๐ฅ ๐ญ๐ฐ๐ฏ๐จ๐ฆ๐ณย to close the sale.
But what is the right strategy? You have to think and strategize together with your team to get the answers.
4. Scripting
Sales is a communication game where youโre eitherย ๐ต๐ฆ๐ญ๐ญ๐ช๐ฏ๐จย orย ๐ข๐ด๐ฌ๐ช๐ฏ๐จ.
The problem is most salespeople are unprepared, they donโt know what to tell or what to ask. This is where the script comes in so that your salesperson has a solid foundation ready to engage in any sales conversations.
With a script, they can be better prepared to handle price objections and still close the sale without discounting!
5. Identify & highlight the strengths
Do you have a better design? Longer durability? Better warranties? better service? bigger inventories?
Are your salespeople more trained?
Are your payment terms, more flexible?
Is your service world-class?
Is the quality better?
Whatever it is, what are your strengths?
Let the salesperson master it!
6. Instill the belief in the product/service, company, & themselves
By identifying and highlighting number 5, they will be able to achieve this. Belief is the foundation of preventing your salesperson from discounting and collapsing under price pressure.
If they donโt believe in the product/service, in the company,ย and themselves, they are going to offer more discounts to win against the competition because they feel weak.
But if they have a strong conviction and confidence in themselves, the products/services, and the company, then they will be able to defend their strengths, not resort to discounting, and still win the sales!
7. Constant training & coaching
This is absolutely essential, we can do this through role-play and sharing case studies.
Whenever a salesperson closes a sale, get him or her to share how they closed it, with or without discounts. Identify how they managed to defend against price pressure from the customer or the competitor to maintain the quality and value of your offerings.
They need to be constantly trained and coached to articulate your Unique Selling Proposition (USP) to differentiate between you and your competitors.
So, every single week, sit down with your salesperson, roleplay with them, and see how they defend the price.
Throw price objections at them.
โYour price is too expensive.โ How do you handle them?
And once a while when you walk past their desk, ambush them and say:
โHey man, your competitor is offering a cheaper priceโ
โLonger payment terms, and the same products.โ
โWhy should I buy from you?โ
Let them rebut,
Let them defend,
Let them answer this objection.
See how they respond provide feedback and suggestions for improvements accordingly.
And thatโs how you can train up a masterful sales team and provide them with real solutions. So, they are able to defend against discounts, price wars, and other challenges.
Constant training and constant coaching are key. If youโre able to open the minds of the salesperson, train them well, coach them well, motivate them, then they will stop discounting and start defending. Giving you better results, and more revenue.
Ladies and gentlemen, if we can do it, you can do it too.
Share this post if it has been useful for you, and share with us in the comment section how you overcome discounts.
