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The Dumb Money Is Gone…Raise Your Prices Or Enter The Race To The Bottom!

Ok…so a lot of people are starting to talk of tough time’s out there in the economy….people are starting to get nervous and are tightening their purse strings.

The common belief people have is when it time’s get tough, we lower our prices to keep winning the business and learn to live on a lower margin.

But what does this really achieve…you enter into a price war with your competition and whoever has the lowest price wins, right?

How’s that working for you?

You keep lowering your prices in a race to the bottom and your prospect still doesn’t buy from you.

Let me tell you this…the lowest price doesn’t win…ever!

Every time there is any uncertainty in the economy the dumb money stops flowing.  You know what I’m talking about, the people who walk around with open check books waving fists full of $50’s at anyone who would take them.

It doesn’t mean that there’s no money out there or that people aren’t buying.

All it means is that the people who are spending money aren’t waving it in front of you…you’ve got to work a little harder and smarter to get it.

I repeat…it doesn’t mean that you’ve got to be the cheapest.

That’s a tactic that attracts dumb money and we’ve already agreed that dumb money dries up in uncertain times like we are in today.

Now I frankly don’t care what business you’re in, your businesses revolves around convincing enough people to give you money in exchange for the goods or services you provide.

If no one gives you money…you don’t have a business, right?

So let me tell you what I do in uncertain times…

I Raise My Prices!!!!

 And I’ll still outsell every single one of my competitors…even though they could be as much as 50% cheaper than I am.

Why is this?

Well because when I raise my prices, that allows the the flexibility to dramatically increase the amount of value that I can offer my clients.

I’ll go to extreme lengths to demonstrate how working with me is the best option available for them.

Because I’ve got the increased margins, I can go well above and beyond the normal scope of work and give every one of my clients an incredible experience.

This leads to increased customer loyalty, repeat business and referrals.

See, the smart money doesn’t care about pricing….they’re only interested in Value.

The more value you can demonstrate, the easier it becomes for them to make a purchase decision and hand over money for your goods or services.

But let me share with you a little secret…

There is no point adding value if you can’t convince your prospects that what you are offering them is valuable.

You’ve got to be able to sell your services and be confident, no certain that your prospect would be crazy not to buy from you because you’re delivering them so much value.

So here’s my advice to you if you’re finding it tough to convince prospects to buy and believe that it’s a tough economic time that we’re in.

Firstly…look at all the things you can do to improve your customers experience and create as much value in the transaction as possible, even if that means increasing your prices

Next…Learn how to convince people that your products or services are the best solution for them and they’d be crazy not to buy from you.

Finally…Stop chasing dumb money and put in the effort to chase the smarter money.

These three steps will insulate you against any economic uncertainty and whilst your competition is floundering in the race to the bottom…you’ll be outselling and our serving them.

Enjoy your Day

If you’re looking for new clients, customers or sales Mat Boyle is THE person you need to speak with.  His proven processes help you find, understand, influence and convert targeted prospects into high paying clients.  To discover how Mat can help you, call him now 0431 636 706

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Posted on September 7, 2016

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