Your customer tells you that $2395.00 for that product is more than they wanted to spend. Mike, I just cant fork out that much money right now, even though I know these cabinets have all the bells and whistles.
At this point, should you try to justify the price with more Value? Should you drop the price? Should you look for a different buyer with more money? So many difficult choices, and so little time.
Before you do anything, keep this in mind. Without realizing it, most sales people will respond as if they had a $2395.00 price objection. They do not. How much is the actual price objection? The difference between $2395.00 and the number the customer has in her head that she wanted to spend. If she is thinking about a competitors cabinets that sell for $1695.00, the sales associate has a $700.00 objection. If the client decided that she cant spend more than $2000.00, the sales associate has a $395.00 objection.
Unfortunately, we do not know the amount unless we ask. There many ways to ask. Here are a few examples. Im curious, have you looked around at other models? What are the prices you saw there? Originally, how much did you expect to spend on the cabinets? How much more money are these cabinets than you wanted to spend? Once we have an approximate number, we can choose the best logical response.
The important thing to remember is that our price objections are limited to the difference between our price and the amount the customer wants to or expected to spend. They are not objecting to $2395.00. They are objecting to the price differential. By identifying this number, we respond to an objection that is much lower and far easier to overcome. Using Value Drivers to justify the difference is a great way to go. Lowering your price to match their expected price point is also an option, but we are not fans of lowering the price each time a customer tells us that we are too high.
Focus on the differential in price and effectively illustrate to the client that the difference is worth it. Make sure you find out how much they wanted to spend first. Otherwise, you are shooting in the dark. Sell the Value of the price difference with confidence and you will win many of these sales.