Thursday 11 June 2009

What To Do When People Request A Price Reduction?

When people are going through hard times they might ask you to lower your prices. If you do it, they'll be shopping for lower prices after the recession so don't do it without one helluva fight. Because price shoppers aren't loyal and they don't know the value of your services, (have you demonstrated them?)

Make the the person asking for a price reduction is the decision maker. Go to see them face to face. Ask them if their customers are asking them for a reduction?

If you absolutely have to and want to reduce a price then make it a temporary reduction that helps them out while they are going through a rough patch. But make sure it's only for a few months and then you'll increase your price to them so that you can catch up with the lost income. That way it's temporary.

And remember abandoning those clients that are a pain, constantly ask for low fees and take up your time is the right thing to do anyway.

PS you have to spend £7,500 to get £75 off line rental :-(

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