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Amber
12-19-2015, 02:45 AM
This may sound like a simple question, but how do you handle a call from a customer that asks what do you charge?

I got an unsuspecting call this evening from a lady inquiring about my services and what I charge. I'm not used to receiving calls like this (usually customers have already done research and most don't call for that...my prices are clearly listed online) and was caught off guard. In short, I was afraid to give her a quote....the way she asked for price right away made me think she was looking for some kind of deal. I do my best to give an impression that my business is not cheap, it's premium-priced for premium service. Anyway, I fumbled a bit and quoted $$$ based on the info she gave me. When I got a few pauses, I immediately told her that my business is growing, values reviews and I would love to work with her. I quoted half of the original quote and still got a bunch of pauses. She said she would call back. But I doubt that now. Hmmm just wondering what I should do next time. I admit sales is not my strong suit!


Should I have a script for all situations? What do/would you do?

Fulcrum
12-19-2015, 09:19 AM
Sounds like either a tire kicker or a competitor checking out prices. Happens all the time and not a lot you can do about it.

turboguy
12-19-2015, 10:17 AM
Not everyone who calls you will buy so don't feel sales are not your strong point just because one person doesn't buy. We have our prices online and most every call asks the price even if they have been on one of our web sites.

When I first started in sales I read a lot of sales books. I picked up a lot of great information and it helped my skills. One of the things I remember reading was that one way to increase sales was to make more sales calls. I started tracking my calls vs my sales and it was almost consistent that I would get one sale for every 5 sales calls. I sat a goal of trying to do one more sales call a day and sure enough my sales increased and that 5 to 1 ratio held true. You may not be able to increase your sales calls but my point in mentioning this is that you will never get 100% of the calls you get turning into sales. No one can do that. Sometimes when you have the right product and the right presentation you may get close. I have had a few times with the right product that I got well over 90% but that is rare.

If you really feel sales are not your strong point then perhaps reading some good books on the subject might help you. Selling is something that can be learned. When you understand buyer psychology selling becomes easy.

Harold Mansfield
12-19-2015, 12:15 PM
I have prices online as well. If a caller has found me through one of my websites they can't miss them.

I've found that most people who call and immediately want to know a price, haven't clearly thought out what they want so they can't express it to you. I usually just turn it back around on them and start asking what it is that they need a price on.

In my business it usually goes something like...

Do you need a website for your business, an organization, personal?
What does your business/organization do?
What kind of website do you need? Informational? eCommerce? Lead Generating/Landing page?
What is the purpose of the site?
Who is your target market?
What kind of functionality do you need on the site? Sign up forms? Membership? Accept payments?
What kind of marketing materials do you already have? Logo? Images? Video?
How many pages are you envisioning? What are they?
Do you already have the content written out, or do you need help with that?
Do you already have a domain?
Do you already have hosting?
When would you like to get started, and when do you need it done by?

That's usually enough to get tire kickers stuttering and either move the call into a conversation about what I can do to help them, or send them back to the drawing board to figure out what it is they're asking a price for.


Don't let people throw you off of your game. If you have rates online, be firm and say them with confidence. If the relationship starts with them intimidating you and demanding things, you will hate doing the work for them because they will make you miserable.

Know this. People aren't stupid. They know exactly what they are doing when they try to bum rush a price out of you without giving any details. 9 times out of 10 they are being deliberately vague to get the lowest price possible and then they'll try and toss in bunch of extra things they need done after the fact...playing dumb and naive along the way. "That should be easy, right?", or "You mean that's not included?".

I get a bad feeling in my gut from people who start off with "I just want something simple". This statement is rarely true.
Don't fall for it. They know they can't call any other kind of business or service and get a price without giving up any information.

There are some people who are generally clueless, but you can tell the difference between the ones who really just need some answers, and the professional price shoppers that beat down everyone they do business with.

Amber
12-19-2015, 06:37 PM
Not everyone who calls you will buy so don't feel sales are not your strong point just because one person doesn't buy. We have our prices online and most every call asks the price even if they have been on one of our web sites.

When I first started in sales I read a lot of sales books. I picked up a lot of great information and it helped my skills. One of the things I remember reading was that one way to increase sales was to make more sales calls. I started tracking my calls vs my sales and it was almost consistent that I would get one sale for every 5 sales calls. I sat a goal of trying to do one more sales call a day and sure enough my sales increased and that 5 to 1 ratio held true. You may not be able to increase your sales calls but my point in mentioning this is that you will never get 100% of the calls you get turning into sales. No one can do that. Sometimes when you have the right product and the right presentation you may get close. I have had a few times with the right product that I got well over 90% but that is rare.

If you really feel sales are not your strong point then perhaps reading some good books on the subject might help you. Selling is something that can be learned. When you understand buyer psychology selling becomes easy.

Thanks for the suggestion. Do you know of any good sales books that helped you, that you'd recommend?



I have prices online as well. If a caller has found me through one of my websites they can't miss them.

I've found that most people who call and immediately want to know a price, haven't clearly thought out what they want so they can't express it to you. I usually just turn it back around on them and start asking what it is that they need a price on.

In my business it usually goes something like...

Do you need a website for your business, an organization, personal?
What does your business/organization do?
What kind of website do you need? Informational? eCommerce? Lead Generating/Landing page?
What is the purpose of the site?
Who is your target market?
What kind of functionality do you need on the site? Sign up forms? Membership? Accept payments?
What kind of marketing materials do you already have? Logo? Images? Video?
How many pages are you envisioning? What are they?
Do you already have the content written out, or do you need help with that?
Do you already have a domain?
Do you already have hosting?
When would you like to get started, and when do you need it done by?

That's usually enough to get tire kickers stuttering and either move the call into a conversation about what I can do to help them, or send them back to the drawing board to figure out what it is they're asking a price for.


Don't let people throw you off of your game. If you have rates online, be firm and say them with confidence. If the relationship starts with them intimidating you and demanding things, you will hate doing the work for them because they will make you miserable.

Know this. People aren't stupid. They know exactly what they are doing when they try to bum rush a price out of you without giving any details. 9 times out of 10 they are being deliberately vague to get the lowest price possible and then they'll try and toss in bunch of extra things they need done after the fact...playing dumb and naive along the way. "That should be easy, right?", or "You mean that's not included?".

I get a bad feeling in my gut from people who start off with "I just want something simple". This statement is rarely true.
Don't fall for it. They know they can't call any other kind of business or service and get a price without giving up any information.

There are some people who are generally clueless, but you can tell the difference between the ones who really just need some answers, and the professional price shoppers that beat down everyone they do business with.

It sounds like you have a good script going. I did ask a few questions but it did seem like she was just price shopping...especially since I offered to slash the quote in half, along with a free consultation! Need to work on that confidence thing ;)

Fulcrum
12-19-2015, 06:51 PM
...especially since I offered to slash the quote in half, along with a free consultation!

Don't do this as it makes you look desperate. Your price is your price. When you appear desperate, unscrupulous customers will take advantage of that - especially when most of your billing is time related. Not to mention that they will do all they can to withhold and/or delay payment.

This doesn't mean that you can never drop your price in the event of high volume sales to one customer.

Harold Mansfield
12-19-2015, 07:15 PM
Don't do this as it makes you look desperate. Your price is your price. When you appear desperate, unscrupulous customers will take advantage of that - especially when most of your billing is time related. Not to mention that they will do all they can to withhold and/or delay payment.

Exactly. It took me a long time to learn that new customers don't appreciate a deal. They could care less. All you're doing is lowering your value in their eyes and they will treat you as if your time is nowhere near as important as theirs, which means that they will waste your time. So that project that you gave a drastic price drop on because you thought you could knock it out in a couple weeks, now becomes a couple of months and you're miserable working for the client.

That's not to say that I don't at times lower a price, but when I do they also have to give something up, or be responsible for putting in more work themselves.

You also have to be willing to say "I'm sorry, I don't think I'm going to be able to help you", and send them on their way.

Amber
12-19-2015, 08:23 PM
Thank you both for the input. This was one of my first calls to receive asking for a quote.

Just a note, I do pet sitting and charge on a per visit basis. This new customer wanted to do a 10-day long visit starting the next day until the 29th. It's odd to hear that long of a visit as a first inquiry and on short notice, which caught me off guard. A long visit like that is obviously in the $$$'s and I was afraid of "scaring her off" I guess. She also mentioned she had a sitter lined up but bailed on her last minute.

Anyways thanks for the tips and I should just learn to stick to my guns when I come across a questions like that.

Fulcrum
12-19-2015, 08:46 PM
Thank you both for the input. This was one of my first calls to receive asking for a quote.

Just a note, I do pet sitting and charge on a per visit basis. This new customer wanted to do a 10-day long visit starting the next day until the 29th. It's odd to hear that long of a visit as a first inquiry and on short notice, which caught me off guard. A long visit like that is obviously in the $$$'s and I was afraid of "scaring her off" I guess. She also mentioned she had a sitter lined up but bailed on her last minute.

I think you may have been price checked by a competitor.

She's in a bind due to her current sitter bailing. It's short notice. She didn't give you her business, even though she was "desperate" AND you gave her a 50% discount. Just so you know, anyone who does this to me gets a 50% price increase (plus $100/hour 2-way travel if I have to pick up and deliver) and I think most of the active members here operate with similar policies.

Paul
12-20-2015, 01:23 AM
For me, when I call to inquire about pricing on a service, it’s really more about being comfortable with the person or company than the price. I like to be sold a little and have a bit of conversation. I probably annoy some folks that way but once I feel comfortable I usually pay whatever it is.

Sometimes it’s not them being cheap, it’s that they really are budget constrained. If you feel a hesitation with your pricing rather than start slashing prices turn the question on them. You can ask them if budget is a concern or what budget are they comfortable with and you can see if you can work with it. They might be a fixed income widow with a true budget concern or a rich divorce just being a b…You can decide if you want the work from either one.

Harold Mansfield
12-20-2015, 02:18 AM
Sometimes it’s not them being cheap, it’s that they really are budget constrained. If you feel a hesitation with your pricing rather than start slashing prices turn the question on them. You can ask them if budget is a concern or what budget are they comfortable with and you can see if you can work with it. They might be a fixed income widow with a true budget concern or a rich divorce just being a b…You can decide if you want the work from either one.

That's noble, and it's not like I'm not without a heart. But I'm not selling necessities. It may be different if it's a little old lady that needs a roof in the winter, but I build websites and provide marketing expertise. Technically, it's a luxury item.

There are plenty of low cost website solutions from Squarespace to Go Daddy site builder. If that's what you can afford, then that's where you need to be until you can do better. Not trying to get $2k worth of services from me for $800 because you're on a budget.

I provide a specialized service and comes with a ton of expertise and training that it takes years to accumulate and a lot of time to keep up on. My clients get a wealth of knowledge from me before, during and after what ever specific technical service they contract me to do. To be honest, it's really not my responsibility if they can't afford what I charge. I know my prices are competitive if not cheaper than most, and they certainly won't get the on call service that I give. You can't call Squarespace and ask one of their techs the kinds of questions that I get in my email box everyday.

I'm on a budget too and it's dependent on people paying what things cost.

It's not like I can go to HP or Microsoft and tell them, "Look, I'm on a budget but I really need a new Surface Pro 4 for work. So if you give me a deal today, I promise to buy more items from you later".

The OP provides pet services. Owning pets is a luxury item. People who can't afford pets, don't get them. Pet sitting and waste clean up is a luxury service. There should be no nickle and diming on the price, or again...people can have a friend or family member watch their pets and clean up their own yards.

Paul
12-20-2015, 03:16 AM
It’s not about being noble. It’s about business. You and I don’t work with budget constrained widows. However, in my case I can scale my services to accommodate various business budgets.

The OP asked about how to handle price sensitive inquiries. She was willing to discount by 50% so obviously she wants the business! My point was for her to engage the client in a discussion about budget before just slashing prices or dismissing them as cranks.

Harold Mansfield
12-20-2015, 11:51 AM
It’s not about being noble. It’s about business. You and I don’t work with budget constrained widows. However, in my case I can scale my services to accommodate various business budgets.

The OP asked about how to handle price sensitive inquiries. She was willing to discount by 50% so obviously she wants the business! My point was for her to engage the client in a discussion about budget before just slashing prices or dismissing them as cranks.

Yes, I totally agree. I wasn't addressing you specifically, just the notion of price shoppers who expect you to care about their budget for a service or an expertise that they want. Yep, scaling services is exactly how I do it. I don't do the same services for a lower price.

I will repeat, NO ONE gives you any kudos or appreciation for cutting people a deal. The customer certainly doesn't appreciate it because getting you to accept less and still get the same service is their job. Now you've set a precedence of not charging them full price. So when will their budget allow for them to pay you full price? Never. Why would they ever pay full price now that they know you'll do it cheaper?

Then again, when I was starting out and struggling I did whatever work I could get my hands on for whatever price I could get to keep the lights on. So there's that too.

Amber
12-20-2015, 07:31 PM
For me, when I call to inquire about pricing on a service, it’s really more about being comfortable with the person or company than the price. I like to be sold a little and have a bit of conversation. I probably annoy some folks that way but once I feel comfortable I usually pay whatever it is.

Sometimes it’s not them being cheap, it’s that they really are budget constrained. If you feel a hesitation with your pricing rather than start slashing prices turn the question on them. You can ask them if budget is a concern or what budget are they comfortable with and you can see if you can work with it. They might be a fixed income widow with a true budget concern or a rich divorce just being a b…You can decide if you want the work from either one.

That's actually a really good tip. I think I should start ask them questions (kind of what Harold suggested) and depending on their needs, quote a price. But also letting them know that premium options cost more money.

I am also not depending on this business 'to pay the bills' or 'keep the lights on'. It's a side business that I am passionate about and if it deems profitable in the long-run great! However I am sensitive in maintaining a good reputation and by keeping this reputation, I feel pressured to not turn anyone away (if that makes sense).

Harold Mansfield
12-20-2015, 08:36 PM
However I am sensitive in maintaining a good reputation and by keeping this reputation, I feel pressured to not turn anyone away (if that makes sense).

It's a fine line. You want to build a good reputation, but not at the expense of giving everything away, and of course you're in it to make money. However, in sales you have to be willing to walk away.

That pressure to try and please everyone can also backfire on you. Every person is not a good customer to have. There are some people who cannot be pleased no matter what you do. They will make your life hell with demands, leave you bad reviews, file charge backs, and all kinds of nonsense that will cost you time and money.

You're not obligated to serve everyone who calls you on the phone. As long as you don't violate any Federal laws as reasoning to deny service, you can deny who ever you want for any reason.

Part of growing your business is also targeting/choosing the right clientele.

InBusiness
12-26-2015, 02:29 PM
When caught off guard, I would suggest just having a ready to go answer for the next time something similar happens. There is a first time for every situation and sometimes situations get repeated so you donīt want to be caught on the same again. It doesnīt matter how long youīve been in business, there is always something new that will appear so you are not alone!
As for the prices you are offering, donīt put yourself down. Pet sitting is a lot of responsibility, many people consider their pets as part of the family so they are looking for a place and a person who will take good care of their pet. A very low price is what may scare the customer off. By offering a cheap service, you can give the impression that your work is not that good, have this in mind whenever someone calls, what you are offering is according to all the responsibility and love to those pets you take care off.