Excuse me, but I don’t want your business.
Those are odd words to hear and to be honest, most of us think they’d only be spoken if some travesty had been committed. Why wouldn’t you want someone’s business?
All that matters is to make money isn’t it?
As a business owner, we operate for many reasons, but at the end of the day, our goal is to make money; to earn a living so we can put our children through school and take our wives or husbands out for dinner on Friday night. Many of us, especially in the beginning, can’t afford to turn business away, even if we wanted to.
But there is one avenue of thinking that can become very destructive to a business that isn’t Amazon or Walmart. To be fair, there is much a potential client can learn online before making the first phone call, but without fail, the heart wrenching, gut sinking feeling that always comes when the only question someone asks is, “what will it cost?”.
There’s no question that it will cost. It could be a little, or a lot. Some business owners know what their fees are and even a good portion of the fees their competition charges.
That type of thinking can ruin your business however. As entrepreneurs, we have to stop thinking about cost and start thinking about value. To some, that’s a conversation of semantics, a change of words, but to those who understand the meaning, value can be very powerful.
Why do you have to show value?
Value is the differentiation that sets you apart from your competition. Imagine two businesses that are exactly the same. The employees are the same, the prices are the same, even the decorations on the wall are the same. How do you choose between them if not random?
Now, imagine yourself one of those companies. How do you show potential customers that they should choose you? Unfortunately if you and your competition only talk price, you’ll soon be in a race to becoming a non-profit industry. No one can afford to withstand a price war.
That’s why to truly encapsulate what sets you apart from the competition, you have to show value. I want to know that the four tires I just bought for my car are going to give me something else above that other set I was going to choose. They were the same price. I had to choose. But my advisor suggested them because they last an extra 20,000 km’s: Value.
As salespeople, we show value when we have the opportunity to sit with our prospects. Car salespeople, insurance agents, even grocery clerks. We communicate our value.
With the internet however, the world has simultaneously become larger and smaller. Our mindset has to change so we aren’t complaining about tire kickers or bemoaning the last two customers who were only looking for a price.
No, we have to embody the concept of value. We live that value. We are the best because we offer the best value.
When you show value:
To clients – they give us reviews
To an audience – they like and share our content
To employees – They work harder
And when all of these elements come together, you don’t worry about the price and whether you have the competitive advantage to compete with Walmart. No, you show more value until your customers stop thinking about price and realize the value. You know it’s true.
Want proof? Take an inventory of the companies you buy stuff from without looking for a second opinion.
Perhaps it’s your dentist, grocery store, or hair stylist. You really don’t care what the price is, because they get you. They understand what you want so you don’t have to go out of your way to explain it to them. You value their time.
Wait though, because there is a dark side to the conversation. You must always be showing that value. And you will know the signs when your current people start reverting to a conversation about price or worse, your Facebook or Google Reviews start coming in less often or slip from 5-stars to 4-stars and lower. Asking the price is one thing, focusing on it is another. You want to offer a service such that people don’t care about the price.
Then the next time they need something, it won’t be a conversation, it will be a purchase order.
Start today. Do that inventory of people you work with and observe their services. Then think about the things you can do to add value. New week we will show you 5 ways you can show value through the digital world.