Discounting: Respect yourself or else your prospects won’t!
Summer time is usually slow for us just like countless other organizations out there.
Last June, I was discussing our services with a prospect and he asked for a discount.
This post isn’t about whether or not should you discount, there’s strong arguments on both sides of the subject.
So here’s what the prospect and I agreed to: I gave him a 25% discount since it was our slow time as long as he signed the agreement by the end of the month. I wrote it clearly in the proposal that the discount was null and void by the certain date.
The deadline came and passed and I closed out his file.
Later on, I heard from my prospect out of the blue that they wanted to move forward and asked for the same discount.
I politely told them no. I wanted their business but didn’t need it. I was in a better negotiating position since things have picked up.
We discussed things and I agreed to give him a 12.5% discount rather than 25%. He wasn’t thrilled but I resent him the proposal with the new deadline in writing.
Guess what? He signed the agreement and we are good to go.
If you give in too quickly, in my opinion, I don’t believe the prospect will respect you. Your deadline and word is no longer good and they know if they push hard enough, you’ll give in.
Don’t!
If a girl meets a guy at a bar and gives in quickly by going home with him after the first night, the guy may not respect her.
Same way with your prospects. Stand your ground. Tell them no politely and professionally.
Respect yourself. If you don’t, the prospects won’t either.