Sales & Marketing Authority, Bestselling Author & Business Motivational Speaker

Let’s assume you’ve just entered your favorite store to buy a box of widgets. You reach the widget aisle and realise that there are five or six different brands, each with different functions. Some even include extra benefits and perks, like extra widgets in the box or an unrelated prize you can add to your collection. Some of the boxes with “extras” cost less than the ones without.

Which one are you going to purchase?

If I were you, I’d buy the box of widgets offering 2 for the price of 1 and an extra free storage container. That’s great for you as the consumer, but how does your choice impact the bottom line of the widget manufacturer?

No matter how you spin the tale, the reality is that it costs money to give things away. You may be branding yourself as the company willing to “give” but are you really going to make a profit or keep that customer when the “free stuff” is no longer offered? Or will they then move onto the next manufacturer offering a bigger box at a lower price?

The theory applies no matter what type of service or product you are selling. Many salesmen tend to add additional products, services, or “perks” when they see their prospects hesitate. They think that throwing additional services into the package will encourage the prospect to buy.

Well, they’re right.

But what they don’t realise is that the more they give away for free the less they’re actually earning.

Make sure you are listening to your prospects and getting a good understanding of the reasons they are hesitating. Asking the right questions may give you the power to overcome an objection without destroying your bottom line.

Think about it.

Sean

Sales Expert - Marketing Consultant – Motivational Speaker