This one is the 6 of Diamonds from the Selling Value card deck.
If you are having value conversations, you’re focusing on, what’s the problem the client’s trying to solve? What’s the result they might expect to achieve?
And if that result is quantifiable and we’re selling to a company, then almost certainly you can turn that quantifiable results into incremental profit to that company. But in order to do that, we have to understand the business of our customers.
I remember a long, long time ago when I was in sales, we were selling automatic test equipment and we had a device that was more accurate. But in order for the test equipment that was more accurate to have value to the client, we had to show, how does this more accurate tester generate more profit?
“If we don’t understand the business of our customers and we don’t understand how they’re going to make additional profit, then it’s really hard for us to help our clients say, here’s why this capability generates more profit for you.”
– Mark Stiving
Well, the answer was, in order for a semiconductor manufacturer to ensure that a part was of a specific speed, they had to take in the accuracy of the test equipment. And so, if a test equipment was less accurate, they would build a bigger guardrail. And if a test equipment was more accurate, they could have a smaller guardrail, which meant more parts would pass the test. And those more parts passing tests were sold at higher prices, meaning they made more profit.
The point is, if we don’t understand the business of our customers and we don’t understand how they’re going to make additional profit, then it’s really hard for us to help our clients say, here’s why this capability generates more profit for you. And when we’re able to do that, then clients are much more likely and willing to buy from us.
We hope you enjoyed this example of Pricing Table Topics. What you just heard was done without a script. If you want to get better at speaking about pricing and value, grab a deck of our cards, pick a card, and read the saying. Then, talk for one to two minutes about what that card says. You’ll become a better speaker and expert.
If you have any questions or feedback, please email me, [email protected].
Now, go make an impact.
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