06-30-2005, 01:35 PM
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Join Date: Jun 2005
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TIP: How to deal with cheap people
OK so you already know that your prices are the best in town, especially if you operate out of a home base. You keep your overhead low, you are not too cheap and of course you have the best quality, right?
But still it NEVER fails!! In through your door, on the phone or even in the street, you run into them ... Mr. I want it for far less if not the for free, guy" (AKA - Mr. Cheapie".
Having had a few clients of this nature I have learned a few things. I am sure for the most part, you may already know this. But none the less, here are a few things to consider.
Option 1 is to cut them loose before they bleed you dry.
Mr. Cheapie will never take into consideration your time. Time is money!! They run a business didn't they know this? For the amount of time you have spent going back and forth, design after design and the I will think about it's, you could have gone 3 stores up and sold a 3x4 printed banner for far less but made a heck of a lot more.
Option 2: Let them believe you have a different price schedule.
When you meet with them and the client asks for a quote. Ask them "Do you want the normal price I regularly charge, or do you want your price?" Of course they will answer for their price. You tell them a price that is much higher then what the real price is that you would normally charge , but for you your price will be xxxx (still slightly more then what then what your regular price will be), adding in "because I have a feeling we are going to be doing more business in the future."
EXAMPLE - "The price I would charge a regular customer is $50, but for you, because I have a feeling we will be doing a lot more business in the future, your price will $35."
Of course the odds are that Mr. Cheapie will still ask for a better price. That's when you tell them with a DEEP Sigh
"(SIGH) OK but this is virtually at my cost but for you then it will only be $25."
What Mr. Cheapie doesn’t know is the final price you gave him was the actual price to begin with. Instead Mr. Cheapie feels special now because he won you over and more importantly he got a better deal then anybody else.
From that point forward every price you give them you always start off with saying "your price is ..." Then end the quote with a reminder to not tell anybody else because that price is just for them.
Keep in mind in order for this to work you NEED to know a few things such as market price for what is being sold and a base understanding of their business. Not to mention, it is always helpful to develop a business relationship with them first. But all that is a tip for later
Hope it helps
Vince
But still it NEVER fails!! In through your door, on the phone or even in the street, you run into them ... Mr. I want it for far less if not the for free, guy" (AKA - Mr. Cheapie".
Having had a few clients of this nature I have learned a few things. I am sure for the most part, you may already know this. But none the less, here are a few things to consider.
Option 1 is to cut them loose before they bleed you dry.
Mr. Cheapie will never take into consideration your time. Time is money!! They run a business didn't they know this? For the amount of time you have spent going back and forth, design after design and the I will think about it's, you could have gone 3 stores up and sold a 3x4 printed banner for far less but made a heck of a lot more.
Option 2: Let them believe you have a different price schedule.
When you meet with them and the client asks for a quote. Ask them "Do you want the normal price I regularly charge, or do you want your price?" Of course they will answer for their price. You tell them a price that is much higher then what the real price is that you would normally charge , but for you your price will be xxxx (still slightly more then what then what your regular price will be), adding in "because I have a feeling we are going to be doing more business in the future."
EXAMPLE - "The price I would charge a regular customer is $50, but for you, because I have a feeling we will be doing a lot more business in the future, your price will $35."
Of course the odds are that Mr. Cheapie will still ask for a better price. That's when you tell them with a DEEP Sigh
"(SIGH) OK but this is virtually at my cost but for you then it will only be $25."
What Mr. Cheapie doesn’t know is the final price you gave him was the actual price to begin with. Instead Mr. Cheapie feels special now because he won you over and more importantly he got a better deal then anybody else.
From that point forward every price you give them you always start off with saying "your price is ..." Then end the quote with a reminder to not tell anybody else because that price is just for them.
Keep in mind in order for this to work you NEED to know a few things such as market price for what is being sold and a base understanding of their business. Not to mention, it is always helpful to develop a business relationship with them first. But all that is a tip for later
Hope it helps
Vince
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Dreams are useless, unless they provide substance which is tangiable. Only I can make my dreams worth it.
Dreams are useless, unless they provide substance which is tangiable. Only I can make my dreams worth it.
