Overcoming the "You're Too Expensive" Objection
When a prospect says, "You're too expensive," it's essential to recognize that their words might not always reflect their true concerns. Your role is to challenge and clarify their objection through thoughtful questions, allowing you to address the root of their hesitation. Here are some scenarios and strategies to respond effectively:
Scenario 1: The Price Question Comes Up Early
If the prospect asks about your pricing right at the beginning of the meeting, it’s crucial to shift the focus from cost to the value and outcome you can provide. You can respond by saying:
"Do you mind if I ask a quick question? It seems like price might be a key factor for you. Would that be the primary consideration in your decision-making process?"
- If they say yes: Respond with, "Well, we might have a challenge here because we're not the cheapest option. If price is your only concern, there may be no point in continuing unless you can convince me otherwise."
- If they say price isn’t the only factor: Say, "Great, besides price, what other factors are important in your decision?"
This approach encourages the prospect to consider other aspects of value that your product or service offers, beyond just the cost.
Scenario 2: The "You're Expensive" Objection at the End of the Meeting
When the prospect says you're expensive at the end of your discussion, respond with:
"Can you clarify what you mean by that?"
Note: This is a statement, not a question, aimed at inviting them to express their underlying concerns. They might not have explicitly said they can’t afford it, so it’s important to explore further. For example, they might say:
"I met with [Competitor] and they gave me a lower price."
- Your response: "Was there anything about what they said or did that put you off?"
- Follow-up question: "If their price was lower, what stopped you from signing up with them?"
If they respond with something like, "We wanted to understand why you’re more expensive," you can follow up with:
"Why do you think we’re more expensive?"
Let them answer this themselves. They might say something like, "Maybe you offer a better service," which opens the door for you to discuss the value you provide and why it justifies the cost.
Scenario 3: Price Comes Up Mid-Conversation
If the price question arises while you’re still discussing how your service or product aligns with their needs, you can steer the conversation back to value by saying:
"I’m happy to discuss pricing, but could we first explore whether we’re a good fit for each other?"
This keeps the focus on the value you bring to the table, ensuring that both parties are aligned on the benefits and outcomes before getting into the specifics of pricing.
Key Takeaways:
- Probing Questions: Always ask probing questions to uncover the prospect's underlying concerns. For example, ask, "What makes you say we’re expensive?" This allows them to verbalize their thoughts, leading to a deeper understanding of their needs and concerns.
- Let Them Reach Their Own Conclusions: Encouraging prospects to answer their own questions and come to their own conclusions is far more effective than traditional selling. It leads to a more authentic and convincing decision-making process, where they feel ownership of the outcome.
By using these techniques, you can turn price objections into opportunities to highlight your value and align your offering with the prospect’s true needs.