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You may believe that one of the primary challenges you have when selling is your higher price. Because you invariably get questions around your higher price, and because you are continually compared with your lower-priced competitors, it’s easy to conclude that your higher price makes selling more difficult.

This is categorically untrue. Your higher price makes it easier to sell, and a lower price makes it more difficult.

Less Than Zero

The fact that you have a low price in your category is an indication that what you sell is something worth less than its higher-priced competitors. If what you sell was better than your competitors, it would be worth paying more to obtain. The lower price is an indication of a lack of value.

If what you sold at a lower price would create greater outcomes, it would be worth paying more for. If what you sold eliminated risk and ensured those outcomes it would be worth paying more for. When it does neither, it isn’t easy to sell.

If the outcomes your dream clients need could be obtained at a lower price, there would be no reason for anyone to provide those services at a higher price. The fact that some of your dream clients know that something better is available makes your offering look inferior. This too makes selling difficult.

When you sell with a lower price, you lack the ability to differentiate on anything other than price. That is, in fact, the model.

The truth of the matter is, when you sell the lowest price, you are settling for clients who are settling for you. Your clients want more value but are only willing to pay for good enough, and you want clients who are willing to pay more for better without the ability to offer them “better.” Selling is hard when what you sell doesn’t create value for the clients you want.

There is a reason so few sales organizations are good enough to execute “good enough.” It’s difficult. Selling to people who don’t want to invest enough to get the outcomes they really want is easier, but the execution is much more difficult.

Higher Ground

It’s easier to sell with a higher price. First, the price itself is an indication of quality. It’s a shortcut that indicates you are investing more in generating better outcomes, whether that be a better product, a better service, or a better solution.

A higher price also means that you are doing something different that makes a difference worth paying for. That difference, that ability to solve your perspective client’s challenge and give them what they really want or need is what is worth paying more to obtain. When you sell at a higher price, you are compared to competitors at all price points, which allows your prospective client to look for differentiation worth paying for.

At a higher price, you have something to sell. At a lower price, the only thing you have to sell is a lower price. If delivering greater value at a lower price was easier, more sales organizations would choose that strategy.

Sales 2016
Post by Anthony Iannarino on December 22, 2016

Written and edited by human brains and human hands.

Anthony Iannarino
Anthony Iannarino is a writer, an international speaker, and an entrepreneur. He is the author of four books on the modern sales approach, one book on sales leadership, and his latest book called The Negativity Fast releases on 10.31.23. Anthony posts daily content here at TheSalesBlog.com.
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