Oh, your dream client gave you their business all right. But that doesn’t mean you didn’t really lose on price. You can win the business and still lose on price.
You won the business and still lost on price:
- If the only reason you won the business is because you discounted your price more than your competitors did. You didn’t create enough value to move the decision from price to cost (this is about creating value).
- If you allowed your dream client to underinvestment in the solution they needed. You let price prevent you from selling your client what they really needed.
- If the price you agreed upon doesn’t allow you to deliver the results that you promised. There isn’t any way to win if you fail your client.
- If you won at a price that makes it all but impossible of your team to deliver the results. You won at a price that massively stresses the rest of your organization.
- If you negotiated price more than once on the way to winning the deal. You fell prey to negotiating tactics. (leading to many of the problems above)
You can win the business and still lose on price. It’s important that you create value and in doing so claim enough value to ensure that you deliver it.
What are the problems that come along with winning on price?
Have you ever won on price only to discover that you’d have been better off losing?
How do low margins make it difficult to succeed for your clients?
Is it possible that your dream client was already underinvesting when you found them? Doesn’t lowering the price make it more likely that they are dissatisfied?
Subscribe to my weekly podcast In the Arena.