Asking hard questions... and being honest

by kemdev
11 replies
Hopefully this helps some of the newer people here still trying to build their portfolio, or those who keep getting stepped on or pushed aside. It's a lesson I've learned continuously throughout my career... and it's cost me my fair share of sales.

How many times has a prospect asked you to call back in three months? Or asked you to send an email? How many times have you met with an interested prospect, given your pitch, and had them say no without giving a real explanation (or worse, blow you off - tell you to call back, not return your calls, etc...)?

If this describes you, don't worry - it describes the situation many people face. Including myself. Sometimes, there's nothing we can do. The prospect really wasn't that interested to begin or simply didn't have the funds to move forward. But a lot of times, I think the reason stems from something much deeper.

When I first started out, I wanted to give away the farm. My prices were low (around $500, sometimes less), and I was willing to bend over backwards for the sale. Desperation isn't the right word, but it's the first word that comes to mind. And no matter how much you try to hide it, it's blatantly obvious to your prospects.

Just an example. When prospects used to say, "I just want a basic website that has my name, address, and phone number." I'd say... "Sure! Here's what I can do for you..."

When prospects used to ask, "Do I really need a mobile website?" I'd say... "Well, you should want one. And here's why..."

When prospects asked for a price within 5 minutes of our meeting, I'd give it to them freely. And it was low.

I thought my 'inexpensive' solution would lead to more sales.

I thought by agreeing to everything the prospect said, they'd like me more.

I basically told the prospect what I thought they wanted to hear, in hopes they'd return the favor at the end of the conversation. But that generally led to brush-offs and dead contacts.

What I've found more recently, however, is that many times prospects actually WANT to hear what (you'd think) they DON'T want to hear.

This can be something as simple as price. If two websites are identical, paying $500 will always be better than paying $1,500. But two websites are never identical. And for someone who wants it done right, $1,500 actually sounds better than $500. Value, perceived.

Or something as major as your tone. When a prospect says, "I want a basic website with my name, address, and phone number." I say, "No you don't." ... with the slightest of pauses to see their reaction. It's often confused, because they want to know what comes next... "You want a website that keeps visitors on your page, educates them on what they need, and leads them to make a phone call to your office. A simple name, address, and phone number won't do that."

This generally leads them to asking you what they need. And it leads to them actually listening... and maybe more importantly, believing.

Prospect don't want Yes-Men. They want someone who will give them the right advice, even if it sometimes contradicts what they think they want.

Another example... sometimes saying less is more. If you need to describe the benefit in great detail, it can lead to suspicion and doubt in the prospects mind. When a prospects asks, "Do I need a mobile website?" I say... "Yes." That's it. When they ask why... I say, "Do you want people on mobile devices to be able to see your website, find your number quickly, and click to call?"

When they say yes, I tell them they need a mobile website. And move on from there. You can pretty much assume the mobile sale from there, factor it into price, and tell them it's included in the quote.

When a prospect asks for price too early, don't give the knee-jerk reaction. Ask them what they need. Price will come soon enough, after you have all the necessary details.

It's perfectly OK to tell prospects NO. Whether they want something for free, want something you can't do, or want the wrong thing.

And it's perfectly OK to quote a higher price than you think the prospect is comfortable with, if it's necessary to do the job right.

Don't fall victim to your prospects and what you think their expectations are.

EDIT: It's also okay to ask for the sale when the prospect is sold, even if it's in the middle of your presentation. You can sense when a prospect is ready to buy... from a buying signal to a certain question. Don't delay the process. Take care of payment and while you're doing so, fill them in on everything they need to know.

I use the hosting setup to segway into payment. For instance... last week a prospect stopped me in the middle of a sentence and asked for my price. I immediately told him, because he was from a referral and I could sense he was ready to move forward. After I told him, I flipped open my laptop and said lets go ahead and take care of the domain and hosting right now. After that's done, the next logical conclusion is getting your check.
#hard #honest #questions
  • Profile picture of the author MaxwellB
    That's absolutely right. And it's something most warriors don't get because they see people online saying "bank $197 checks all day!" and stuff like that.

    No, my first ask for a mobile website is $2,500. That's after proving that it will lead to thousands worth of additional business. If that's too much or they give me a problem that's when I drop it to $1,500 in exchange for referrals, which is what I want ($1,500)

    Ask more than you want so you have the room to negotiate.
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  • Profile picture of the author Aaron Doud
    Maxwell do you have an example of one of these $2500 mobile websites?

    The normal mobile websites I am used to are worth $300 to maybe $1,000 but have yet to see anything I would say was worth $2,500.
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    • Profile picture of the author MaxwellB
      Originally Posted by Aaron Doud View Post

      Maxwell do you have an example of one of these $2500 mobile websites?

      The normal mobile websites I am used to are worth $300 to maybe $1,000 but have yet to see anything I would say was worth $2,500.
      Worth is a matter of how well you prove it.

      You calculating the worth of a mobile website in your mind by looking at it is hardly what I'd call reliable. And trust me Aaron I see your posts around here and I like your advice but you know as well as I do that you can sell anything for any price as long as you prove the value.

      They look like every mobile site you've seen for restaurants and country clubs and coffee shops and pizza places...I build them in Dudamobile.

      Takes me 30 minutes to make it perfect. Does that mean it's only worth $300?

      I prove they'll make $1000-3000 more per month with it and show them how much easier it is to use.

      Then i ASK for $2,500. If you ask for a penny people will give you a penny if you ask for $2,500 you have a better chance of getting it than if you ask $300.

      So I end up cutting it a generous $1000 to $1,500 and settle there.
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      • Profile picture of the author kemdev
        Originally Posted by MaxwellB View Post

        Worth is a matter of how well you prove it.

        You calculating the worth of a mobile website in your mind by looking at it is hardly what I'd call reliable. And trust me Aaron I see your posts around here and I like your advice but you know as well as I do that you can sell anything for any price as long as you prove the value.

        They look like every mobile site you've seen for restaurants and country clubs and coffee shops and pizza places...I build them in Dudamobile.

        Takes me 30 minutes to make it perfect. Does that mean it's only worth $300?

        I prove they'll make $1000-3000 more per month with it and show them how much easier it is to use.

        Then i ASK for $2,500. If you ask for a penny people will give you a penny if you ask for $2,500 you have a better chance of getting it than if you ask $300.

        So I end up cutting it a generous $1000 to $1,500 and settle there.
        I guess you can prove they'll make $3,000/mo. with good numbers, but that doesn't mean it's reality. Maybe this project is of a bigger scope than I think, but I can't imagine any typical contractor, dental practice, or even law firm that could net $30K+ per year with just their mobile site.
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  • Profile picture of the author MaxwellB
    Then don't imagine it

    I don't know what to tell you guys I mean jesus it's not just you guys but everyone.

    All anyone does to sell mobile websites is say:

    HEY LOOK BUSINESS OWNER IT'S GOT A CLICK TO CALL BUTTON BLAH BLAH AND IT LOOKS BETTER RIGHT? AND YOU SHOULD WANT ONE BC IT'S MOBILE DUH!

    Then they ask $297 and struggle to get sales and make any real money. I'm not saying this is you guys I'm just saying I talk to a lot of people and that's the mindset out there.

    I do VERY conservative calculations based on mobile website conversion rates and the amount of traffic they currently have.

    OR if they don't have much traffic I will use numbers based on future traffic but before more traffic comes the 1st step for them is a mobile site. They want to be getting 1000 hits per month well they need a mobile site first because half of the visitors on their website are on their phones.

    I don't do contractors I like to stick to restaurants where the average table brings in at least $60, chiropractors because they are entrepreneurial and always looking to do whatever they can to make more money, and accountants.

    Dentists are too hard to get a hold of and however...I do need to correct you, a client to a dentist is worth thousands because they come back for years.

    No one is calculating the true worth of a customer. Restaurants may make $60 for that one table but get them into your loyalty program and that turns into at least 4 visits per year!

    It's frustrating but hey all I can do is hope some people will read this, and a light bulb will go off and it'l make people start formulating their sales presentation differently, asking for more and making more money.

    I'm out to enjoy my weekend.
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  • Profile picture of the author mrjosco
    What seems to be forgotten in this discussion is choices.

    Sure a mobile website might bring in $3000 per month - but that doesn't mean they should pay $2500 for it.

    If there was only one supplier, then of course! They would be stupid not to. But there isn't just one provider. There are literally tens of thousands of providers - including cheap or free online versions.

    Heck, doesn't even Duda mobile compete with their own resellers for as little as $7 per month.

    Now, knowing a mobile website could mean $3000 per month you might see the value in a $2500 mobile site - but only if that is all you know.

    If you know there are choices ranging from $7 per month to $2500 (plus a fee per month) I am sure, well - then $2500 doesn't provide value unless it has something unique to offer.

    Of course, I can see justifying $300-800 because of the expertise and personal service AND because the time saving of not having to build it yourself. I can even see this plus a residual cost of $20-40 per month for the same reasons.

    Value is more than what it brings the customer. It also takes into account options.
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    • Profile picture of the author Greg guitar
      Originally Posted by mrjosco View Post

      What seems to be forgotten in this discussion is choices.

      Sure a mobile website might bring in $3000 per month - but that doesn't mean they should pay $2500 for it.

      If there was only one supplier, then of course! They would be stupid not to. But there isn't just one provider. There are literally tens of thousands of providers - including cheap or free online versions.

      Heck, doesn't even Duda mobile compete with their own resellers for as little as $7 per month.

      Now, knowing a mobile website could mean $3000 per month you might see the value in a $2500 mobile site - but only if that is all you know.

      If you know there are choices ranging from $7 per month to $2500 (plus a fee per month) I am sure, well - then $2500 doesn't provide value unless it has something unique to offer.

      Of course, I can see justifying $300-800 because of the expertise and personal service AND because the time saving of not having to build it yourself. I can even see this plus a residual cost of $20-40 per month for the same reasons.

      Value is more than what it brings the customer. It also takes into account options.
      I can understand where you're coming from, but you are thinking of a mobile site as a commodity. I think what Max is talking about is going in and showing them that he is the expert they need; showing them he knows how to get them more business, and the site is simply a vehicle.

      He is also showing he is more than a salesman; he has their best interests at heart, and demonstrates that by making the value he brings very explicit and easily understood; that inspires massive confidence, and a willingness to pay him whatever he asks, without any thought of shopping for a better price; some might, but he probably wouldn't want them as clients anyway; price shoppers aren't the best customers; you want people that see you as their champion, and would be afraid to lose you; not who see you as a seller of a commodities like a grocery store where they will look at the ads each week before deciding which provider to go with.

      They were not going to do it themselves, so the fact that he made it clear what they were leaving on the table, makes them want to be involved with him; not just any old site salesperson who does treat it as a commodity, and dives right into features without first establishing value. When Max runs the numbers, he isn't just establishing the site's value; he is establishing his own, so that no free software can ever replace him.
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      • Profile picture of the author wealthyminds
        Originally Posted by Greg guitar View Post

        I can understand where you're coming from, but you are thinking of a mobile site as a commodity. I think what Max is talking about is going in and showing them that he is the expert they need; showing them he knows how to get them more business, and the site is simply a vehicle.

        He is also showing he is more than a salesman; he has their best interests at heart, and demonstrates that by making the value he brings very explicit and easily understood; that inspires massive confidence, and a willingness to pay him whatever he asks, without any thought of shopping for a better price; some might, but he probably wouldn't want them as clients anyway; price shoppers aren't the best customers; you want people that see you as their champion, and would be afraid to lose you; not who see you as a seller of a commodities like a grocery store where they will look at the ads each week before deciding which provider to go with.

        They were not going to do it themselves, so the fact that he made it clear what they were leaving on the table, makes them want to be involved with him; not just any old site salesperson who does treat it as a commodity, and dives right into features without first establishing value. When Max runs the numbers, he isn't just establishing the site's value; he is establishing his own, so that no free software can ever replace him.
        Makes a lot of sense Greg. Well said.

        Bottom line - Just don't be a seller - be a professional consultant. Think beyond just a mobile website.
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    • Profile picture of the author DABK
      A bit more precisely:

      the choices are not ranging from $7 per month to $2500 (plus a fee per month).

      I mean, in a sense, they are, as in, they exist. But, if I'm looking for a site that's going to make me $3000 a month, then that has to be factored into choices.

      People have ranges as to what they can afford and as to how much they want for their investment and how much $ they want back (expressed in $ not percentage).

      If a $500 makes me $500 a month and a $1,100 makes me $1,100, they're both options and, if I can afford the $1,100, I'll take that.

      However, if the $1,100 makes me $2000 a month and the $500 a month makes me $50, the $500 is not even an option.

      And I've met one person who had a monthly $ (cash) low limit and acted on it (the percentages were better on something that did not meet his lowest cash limit and he turned it down in favor of a worse (percentage wise) option that did meet his lowest cash limit test.

      But, yes, people do have options, are aware of them. But some people can make them think there are no other options. Case in point, my barber. I've been going there for 17 years. At first, because I lived a block away. For the past 8 years, I've lived over 14 miles (35 minutes by car if there's no traffic). On the way there, I'd pass dozens of other shops, I'm sure... without noticing them.

      A while back, pushed by my wife, I looked into other options... Turns out, my barber charges $20 for a haircut... Three barbers within 1 mile charge between $5 and $15... And there were dozens other options... I'm still with the original and do not consider to have options. (It's the atmosphere - physical and the way the staff interacts with clients and among themselves, not the cuts, by the way. Also, I don't like the owner... Don't dislike him either... I'd rather get a cut from anyone else in his shop.)

      Originally Posted by mrjosco View Post

      What seems to be forgotten in this discussion is choices.

      Sure a mobile website might bring in $3000 per month - but that doesn't mean they should pay $2500 for it.

      If there was only one supplier, then of course! They would be stupid not to. But there isn't just one provider. There are literally tens of thousands of providers - including cheap or free online versions.

      Heck, doesn't even Duda mobile compete with their own resellers for as little as $7 per month.

      Now, knowing a mobile website could mean $3000 per month you might see the value in a $2500 mobile site - but only if that is all you know.

      If you know there are choices ranging from $7 per month to $2500 (plus a fee per month) I am sure, well - then $2500 doesn't provide value unless it has something unique to offer.

      Of course, I can see justifying $300-800 because of the expertise and personal service AND because the time saving of not having to build it yourself. I can even see this plus a residual cost of $20-40 per month for the same reasons.

      Value is more than what it brings the customer. It also takes into account options.
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  • Profile picture of the author kemdev
    What happens when a restaurant pays $1,500+ for the site in the hopes that it will produce $3,000/mo. in sales as the salesman told them... but it doesn't reach the target?
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    • Profile picture of the author Greg guitar
      Originally Posted by kemdev View Post

      What happens when a restaurant pays $1,500+ for the site in the hopes that it will produce $3,000/mo. in sales as the salesman told them... but it doesn't reach the target?
      I would avoid quoting numbers until I was very secure about them; Max is quite experienced and comfortable with what he knows. Even then, I'd make it clear the numbers are only estimates, but that the worst case scenario still leaves them better off than doing nothing, which is clearly the wrong decision. But if they do get a decent amount of traffic to their site, they will at least get a positive ROI, so they aren't likely to want a refund or be hating you or anything.
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