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How to sell value?

by 1TIME
17 replies
Hey everyone,

I know some people charge 1500-1997 per month for SEO or SMS marketing and others charge as low as $100-$200 per month. From what I've been reading the people who charge higher prices provide more value in their sales meetings/presentations.

Can someone explain how I can present "value" in a presentation to justify a high price for my products. I would really appreciate some kind of outline to go through during the presentation so clients would have no problem paying me $997 per month and up for my services.
#sell
  • Profile picture of the author Becker13
    Banned
    sales videos, professionalism, know how and overall how you carry yourself.

    Imagine some stupid looking college kid who knows a thing about SEO walks into your office and says he will rank your sites in google...would you pay him 1g for his services (hell no)

    Now imagine a nicely dressed, confident business owner walks through the door who had earlier sent your a highly professional demonstration video. He is clean cut and speaks like he knows exactly how to make you money.. Would you pay him 1g+ (yes)
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    • Profile picture of the author 1TIME
      Originally Posted by Becker13 View Post

      sales videos, professionalism, know how and overall how you carry yourself.

      Imagine some stupid looking college kid who knows a thing about SEO walks into your office and says he will rank your sites in google...would you pay him 1g for his services (hell no)

      Now imagine a nicely dressed, confident business owner walks through the door who had earlier sent your a highly professional demonstration video. He is clean cut and speaks like he knows exactly how to make you money.. Would you pay him 1g+ (yes)

      Thanks for you reply. But isn't their more to do this than image? Also do you recommend using a power point presentation during your meeting?

      I know I wanna talk about the benefits, specifically how it will benefit him during the meeting and then maybe provide how much ROI my services can offer him and help him focus on the problem and position myself as the solution. Would you say this is a good process?

      Also do you have maybe some kind of a template or general outline that you go through when you are presenting or do you just freestyle it?
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  • Profile picture of the author Jason Kanigan
    What magnitude of problem(s) are you solving for your clients?

    If you solve the problem of blasting messages to people who have signed up to receive them, you get paid a little.

    If you solve the problem of bringing in a specific range of additional revenue dollars, then you get paid more.

    Get your prospect to calculate, right in front of you, how much more business they expect to bring in by using your service. If they use their numbers, they cannot argue with you. Take a percentage of this (I usually use 3%) and that's your price. So if someone is expecting to make $100,000 additional revenue dollars off my services, I charge at least $3,000.

    Note how in both situations WHAT you do is exactly the same, but WHY you do it and the client's perception of it is the difference.
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    • Profile picture of the author 1TIME
      Originally Posted by kaniganj View Post

      What magnitude of problem(s) are you solving for your clients?

      If you solve the problem of blasting messages to people who have signed up to receive them, you get paid a little.

      If you solve the problem of bringing in a specific range of additional revenue dollars, then you get paid more.

      Get your prospect to calculate, right in front of you, how much more business they expect to bring in by using your service. If they use their numbers, they cannot argue with you. Take a percentage of this (I usually use 3%) and that's your price. So if someone is expecting to make $100,000 additional revenue dollars off my services, I charge at least $3,000.

      Note how in both situations WHAT you do is exactly the same, but WHY you do it and the client's perception of it is the difference.

      Wow great explanation! Thank you!
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  • Profile picture of the author Seantrepreneur
    Becker13 pretty much nailed it, but that's the first step. To me its an absolute MUST to look and act professionally. Second is you really act confident in your services. Third, is to provide crazy amounts of value and show them the benefits of using your services. Make it so that they they think can't possibly turn up this amazing deal you are giving them!

    The simple answer to a power point presentation is, no. That's way over doing it for a meeting. It takes up to much of your time to create and really doesn't provide that much benefit. You can explain your services just as easy as you could present them.

    Hope that helps,

    Sean

    P.S. That template you were talking about, lets just say I may or may not being creating one of those right now.
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    -------->Started with $500 on Amazon and building it from there. Week #1 income report is live ($593.78 in revenue)<----------
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  • Profile picture of the author Maketso
    Although this is not the full outline you seek, consider something I do as part of a value proposition to a prospect. I'll show them real-time proof of the results I've achieved...say a Google Page 1 listing. Then, I let them know that I only work with one client of a given business type in an area (e.g., just one dentist in Denver, just one roofer in Denver, etc.).

    I'm selling results & exclusivity...and making sure they understand that I'll either be dedicated to them...or to a local competitor. I emphasize the working-with-you part...and leave it to them to ponder the downside of missing out on my services. Working with just one dentist in Denver takes me off the market...and that is worth extra monthly fee right there.
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    • Profile picture of the author 1TIME
      Originally Posted by Maketso View Post

      Although this is not the full outline you seek, consider something I do as part of a value proposition to a prospect. I'll show them real-time proof of the results I've achieved...say a Google Page 1 listing. Then, I let them know that I only work with one client of a given business type in an area (e.g., just one dentist in Denver, just one roofer in Denver, etc.).

      I'm selling results & exclusivity...and making sure they understand that I'll either be dedicated to them...or to a local competitor. I emphasize the working-with-you part...and leave it to them to ponder the downside of missing out on my services. Working with just one dentist in Denver takes me off the market...and that is worth extra monthly fee right there.
      Thanks for your tips Maketso. However I do not have any clients to show proof of. Would it be a good choice to offer my services for free to 1 client to build my portfolio and use his results as a testimonial to future clients?
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      • Profile picture of the author Maketso
        It's your call 1Time, but I feel your time is worth something. That being said, you may choose to discount (or deeply discount) services for your first clients. It's what I did...and I looked at it as an investment in my business to grow a client base...and build a story. Results come from this...and so does confidence.

        Let them know you'll be providing highly-discounted services because you want to break into the, say, chiropractor niche in your area. Just don't give them everything. Instead, perhaps offer a limited set of services...then upsell them later on, say, video marketing, reputation management, etc. I use Sean D'Souza's approach for my proposals...provide two choices...a good offer...and a better offer. Every business owner, so far, has gone with the better offer.

        Is that helpful?

        Don

        Originally Posted by 1TIME View Post

        Thanks for your tips Maketso. However I do not have any clients to show proof of. Would it be a good choice to offer my services for free to 1 client to build my portfolio and use his results as a testimonial to future clients?
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  • Profile picture of the author abubakar89
    Explain benefits and highly focus on this thing.

    If you can show a person that how can he make extra $5000 a month he will be happy to share $1000 with you

    A good portfolio also adds up great value
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  • Profile picture of the author Jason Kanigan
    About the issue of not having existing clients...this has come up for me (in a particular field) and my clients (new businesses). I say: it doesn't matter. Don't discount. Get paid full price for what your expertise is worth.

    If they balk at the price, and it's more than the knee-jerk "That's too much" (Compared to what, exactly?), then you've missed something in your sales process.

    * You didn't get pain on the table, and your prospect to acknowledge that it exists

    * You didn't quantify the effect of the pain enough (how much is this costing you?)

    * You didn't uncover the prospect's true budget, and you're talking to a tire-kicker.

    There are other things that could go wrong in the process,but these are the main ones. If I acknowledge that I'm losing $5000 a month because of some pain issue (machine breakdowns, lost business during off-peak hours, processes taking twice as long as they should to be completed by my staff), and you show me a way to fix it for $500 a month, I'd be an idiot not to go ahead and get you working on the problem.

    There ARE a couple types of people who need social proof--examples of others who have succeeded by using your product or service. However, there ARE also other types who do not require this kind of proof--and they will instantly go ahead with you, provided that you have proven your worth as a problem-solver.
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    >> Executive advisory: Unstick sales, strategy & growth problems fast → jasonkanigan.com

    >> Selling? Then this is the FREE YouTube series you need RIGHT NOW
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    • Profile picture of the author warmchords
      Originally Posted by kaniganj View Post

      If they balk at the price, and it's more than the knee-jerk "That's too much" (Compared to what, exactly?), then you've missed something in your sales process.

      * You didn't get pain on the table, and your prospect to acknowledge that it exists

      * You didn't quantify the effect of the pain enough (how much is this costing you?)
      Jason, have you ever experienced difficulty revealing this "pain" during a pitch due to a prospect already experiencing success and rapid growth in their business, despite their need for our services?

      I will be trying to feel out my prospect's goals for growth and marketing budget in our second meeting tomorrow, but it's a strange situation because I have determined that a) his business is less than 6 months old and it's been doing very well despite his need for IM work in several areas, and b) he has spent very little in advertising and marketing to date.

      I can easily get this guy going on his aspirations for growth, but he certainly didn't have many "pains" to talk to me about during our first meeting.
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      • Profile picture of the author Jason Kanigan
        Originally Posted by warmchords View Post

        Jason, have you ever experienced difficulty revealing this "pain" during a pitch due to a prospect already experiencing success and rapid growth in their business, despite their need for our services?

        I will be trying to feel out my prospect's goals for growth and marketing budget in our second meeting tomorrow, but it's a strange situation because I have determined that a) his business is less than 6 months old and it's been doing very well despite his need for IM work in several areas, and b) he has spent very little in advertising and marketing to date.

        I can easily get this guy going on his aspirations for growth, but he certainly didn't have many "pains" to talk to me about during our first meeting.
        Thanks for the question. Well, maybe he doesn't have any pain right now. Perhaps you need to wait 3-6 months for his initial growth to slack off, and then he'll be receptive.

        Something else to consider is that all prospects lie. Me and you, too, when we're buying. So you're very unlikely to get to the real emotional pain right away. It could take a few chats. There's always the "Gain" approach: ask him, if he used your services, how much more revenue he thinks it could earn for him. Determine if this is realistic and adjust up or down and get agreement. If it's his number, you won't have any problem. If the investment is a fifth or a tenth or less of the return, he should go ahead.

        Or maybe there's a hidden objection here. Do you have a common one, like I talked about in my recent video, that keeps coming up? You could try asking, "I'm getting the feeling that there's something else here that's blocking us from continuing. Is there something, a concern you have maybe, that you'd like to share with me about this service?"

        Let us know how it goes!
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        >> Executive advisory: Unstick sales, strategy & growth problems fast → jasonkanigan.com

        >> Selling? Then this is the FREE YouTube series you need RIGHT NOW
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