When A Customer Says, “Your Prices Are Too High.”
Have you ever been faced with questions and/or statements from a customer like….
“Wow, your prices are higher than other lawn care and landscape companies. Do you not research what your competitors are charging?!”
“That’s really expensive. Do you offer any kind of discount?”
“We’ve reviewed your estimate, but it’s just too overpriced for me.”
When faced with these kinds of questions/objections, it can be easy to let your frustrations get the best of you. However, the right thing to do here is:
- Actively listen.
- Take a moment (and breathe).
- Repeat their reasoning back to them.
- Ask a follow-up question.
- Redirect their argument.
When you take the time to listen to your customer’s concerns, then take a moment to take it all in by repeating their reasoning back to them, all while asking a follow-up question, you WILL be able to redirect their argument back to why YOU are the RIGHT CHOICE for their lawn care and landscaping needs.
To better understand how each of these work, let’s break them down into actionable steps…
Actively Listen
The number one rule to listening is don’t interrupt! The customer needs to be heard and as the business owner, you need to know what’s preventing them from booking your services. This is your one chance to find out what’s holding them back.
Take A Moment
When hearing negative objections about a quote/proposal, it’s easy to get defensive. Give yourself a moment to take in all the information given to you by the customer and think about what you need to say in order to win the job (or move on).
Repeat Their Reasoning Back
Summarizing and repeating back what the customer has said to you, shows the customer you’ve understood their issue. It also ensures that you are both on the same page. By doing this, it gives both you and the customer a moment to reflect on what’s really preventing them from accepting your quote/proposal.
Ask A Follow-Up Question
After listening to the customers concerns about the price, is there anything else you need to know about what’s preventing them from moving forward? This is your time to find out, so ask a question that will lead them down the path you want them to go.
Let’s take the 3 examples from the top and talk through some follow-up questions:
“Wow, your prices are higher than other lawn care and landscape companies. Do you not research what your competitors are charging?!”
You could follow it up by asking/saying:
- Have you ever paid for this service before?
- Our prices are high compared to what?
- We’re not trying to be the cheapest, our prices are designed to match the quality services we offer.
Another way to approach this scenario is by explaining your value in detail and/or letting them know you’ve been told this before and provide them with an example from a client who booked even though they had the same objection.
“That’s really expensive. Do you offer any kind of discount?”
You could follow this up by asking:
- We’d like to be able to make this work for you, is this a budget issue or a cash flow issue?
- What were you looking to spend on this kind of service/project?
This objection is truly all about money and the price they had in mind for this job, so by finding what they want to pay, you can find a way to meet in the middle (if possible).
“We’ve reviewed your estimate, but it’s just too overpriced for me.”
Follow this up by stating:
- Thank you for your feedback. We wish you the best of luck with your project. If we can help you in the future, please let us know.
- Thank you for letting us know. Please know that your estimate is good for X more days, so if you change your mind give us a call!
Remaining professional during a rejection like this is CRUCIAL for any business.
Redirect Their Argument
When redirecting the customers argument, be mindful to not escalate the situation. What you are wanting to accomplish by countering their argument is to show them why you company is the best fit for the job (and essentially why the price is appropriate).
Dealing with these kinds of price objections and complaints is all a part of owning and running a successful service based business. And as an industry leader, I know all too well that these conversations can be frustrating. The key though, is to maintain your professionalism and never burn any bridges. What can set you a part from your competition is the way in which you handle these kinds of discussions. Your professionalism will go a long way with the customer once they check out the competition and realize that your prices are more than worth it.
Final Tips To Help You With These Discussions
- Sell them on the value and quality of work your company offers BEFORE the estimate goes out.
- Pick up the phone and call, this is not a text or email kind of situation.
- Be confident in the value and quality of your work, and know your worth.
- Evaluate whether or not you’d really like to work with the customer.
- Don’t spend a lot of time going back and forth, move on quickly.
- Always keep track of your correspondence with the customer.
The Green Executive is here to help you navigate these kind of situations in your business through our 1:1 consulting services. Let us help you become an industry leader by taking a deeper dive into your day-to-day operations and develop more thorough solutions. Book a FREE Consultation here!