Is Price Really the Objection?

We hear daily about proposals being rejected because of price or that prospects are looking at bottom line numbers only and don't care about the delivery of service. Or perhaps you are reading that EVERY prospect is price driven and the only way to win accounts is to be the lowest guy in town. Now, while many RFPs or ITBs require that lowest price wins the award, there are many prospects who are looking for a different level of service when hiring a janitorial company. Seeking out those who are value driven and marketing to those prospects will be a great use of your time and energy.

The task at hand for the BSC is to sell the value of your company and demonstrate why a prospect should choose you! You may be jumping up and down with your hands in the air yelling "pick me, pick me" but unless you can convincingly show the reasons why you should be selected at a higher price, you won't be in the winner's circle. It starts with marketing to the right prospect and then demonstrating the value your company brings to the account.

Here are a few things you will want to master when demonstrating to the prospect all the reasons to "pick you":

1. Show the ease of doing business with you. Don't get bogged down with tons of rules and policies that make it a chore to do business with your company. Client friendly attitudes rule here.
2. Show that it is easy to contact you or someone in your organization. Don't make the prospect go through a lengthy menu of choices when contacting your office.  Provide a direct line or email.
3. Demonstrate how easy it will be once you take over the account by discussing a smooth startup, storage of equipment and supplies, simple invoicing systems and seamless supervision procedures. Prospects want to know that it's going to be simple and easy once you have started the account.
4. Show how you can increase productivity for the prospect by using your service.  Reduction in illness, sanitary and clean working environments and welcoming surroundings for their clients are some examples.
5. Keep pricing reasonable for the specifications and well aligned with your market.
6. Demonstrate the benefit to the prospect of using your service. What's in it for them? What are the benefits they will derive? Not the features of your company.
7. Make certain customer realizes there is no risk in doing business with you. They can have peace of mind knowing that their needs will be met and your company will be on hand to address any issues or requests.
8. Give assurance to the prospect that this is a good fit for a long term relationship and that you are in it for the long haul.
9. Finally, continue to send value messages to the client. Taking care of the extra requests in a timely manner, emergencies resolved quickly and total commitment to the client as if he/she is the only one you have.

Decisions to buy are made emotionally first and then justified logically.  Building the relationship is what moves along the emotional buying decision.  With all else equal, the buyer will select the person he/she LIKES the best.  They won't begin to do business with someone who may have a lower price, but whom they don't like.

Their initial relationship with you will help demonstrate how things will go should you be awarded the account. Keeping it simple will work. Most people buy what they think will be best for themselves, be reasonably priced and is a trusted source for the service.

Remember that price objection is most often a prospects way of telling you that value is lacking or not evident in your presentation and price. It's up to you to change that.

Sharon L. Cowan, CBSE is the former CEO of a multimillion dollar regional commercial and residential cleaning company. A 25 year veteran of the industry, Sharon is a popular speaker and workshop leader. She has been a guest speaker and seminar leader for BSCAI and ARCSI and a two time award winner from the BSCAI. Sharon holds workshops throughout the country for cleaning business owners. She is a designated Industry Expert for The Janitorial Store and has written industry eBooks and white papers. Sharon conducts seminars for Jon Don Stores, is on staff at Indian River State College and a Board member for Cleaning For A Reason. Sharon can be reached at 772-563-7320 or www.cleaningbusinessconsultinggroup.com

Listen to a member discussion about overcoming objections

Download a list of scripts for overcoming objections