Kelly Mallozzi recaps the 2023 Annual Conference with this first installment of blog posts.
Notes from the PINE Annual Conference 2023 – Part 1
PINE members gathered for their annual conference, with GROWTH as the theme, on the shores of gorgeous Lake Winnipesaukee, NH recently.
Jam-packed sessions were so full of actionable information that a series is called for: you could not fit all the content in one blog.
So here goes:
PRICING STRATEGIES
First up was Allan Langer talking about pricing. Langer acknowledged that many people on the receiving end of a quote or pricing proposal experience sticker shock, and print sales folks are often faced with either the “your price is too high” objection, or “ghosting” in which the prospect goes dark and stops communicating.
Pricing is a complex dance of psychology, strategy, and communication. To master the art and science of pricing, you need clear messaging, preparation, a compelling presentation, and the persuasive power of social proof.
The main goal, according to Langer is to make the prospect COMFORTABLE. This must include how you present the price as well as how you prepare them to react to the price. He advocates for planting seeds so they are not surprised by the price, which can include getting ahead of the price objection with honesty and transparency. If you are rarely the cheapest, say that. Before you present the numbers. If you have 3rd party information at your disposal, such as a study of your competitive landscape, share that, as it builds credibility and serves to make a person feel more confident in your information.
The real revelations in the presentation came when Langer shared this data:
- Whenever possible, have your pricing end in a 7 or a 9
- NEVER end your price in a Zero.
- Even better, if the estimate comes in at 1040.00, reduce it to $999.99. There is a ton of research out there to back this up. Just trust.
- Whenever possible, give 3 choices. This could be achieved using paper stock upgrades or downgrades, or an array of quantities. The thinking here is that given a choice, a person feels more compelled to choose one, whereas if they are given one price, it is easier to just say NO.
Social Proof: The Persuasive Power of Validation
One of the most potent tools in the art and science of pricing is social proof. People tend to trust what others have tried and approved. Incorporating social proof into your pricing strategy can be a game-changer.
For instance, showcasing customer reviews, ratings, or testimonials near your pricing can help potential buyers feel more confident in their decision. If they see others have had a positive experience at a certain price point, they’re more likely to choose it. When they see that others know you, like you, and trust you, it makes it easier for them to say yes to you.
Pricing can feel like flying blind, and incorporating these strategies can help bring clarity and confidence.
Please connect with Allan Langer. He has even written a book!
https://www.linkedin.com/in/allanlanger/
HAPPY PRICING!
