How do I know if i am Selling Value or Selling Cost?
Selling Cost – You will find prices on the website usually marked with a tab that says prices or rates. They will be talked about in the first 5 minutes of a phone call with a new client.
Marketing material will display a price list or mention a $ OFF service with the advertisement to get people’s attention. Typically the business owner will give a quote on the phone or email for what the total booking will cost. They will usually have lower prices than the national average. They will be found in coupon mailers like ValPac, on the back of receipts and pay to be listed in the Yellow Pages.
Selling value – You will not find the prices on the website or any of their printed materials. Prices are not brought up until then end of the initial phone call and they are marketed more though word of mouth, relationships, and by providing community education through blogs, events, and articles in local publications.
They tend to be positioned more as experts in their field in their community, thus creating more value to their services.
This difference when you are focused on the value is that it becomes more of an emotional buy and not a logical… “what dollar amount” is this worth? That is logical. There are always going to be companies that are more or less expensive than you – but if you can prove that your services are more valuable than others, you will win every time!
We are in a service industry. When you have a service business – it is in your best interest to sell value. It isn’t like we have two coins in our hand and one is worth five cents and one is worth a penny. It is not as black and white as that. It is much more grey.
When a business owner sells their services it is up to them to do just that. SELL!
Although, how they sell is the determining factor of how successful their business can be. Will they sell COST or VALUE? The cheaper your prices, the more you sell cost. The more expensive your costs, the more you sell value.