To Discount or Negotiate? Pricing Strategies Decoded
To Discount or Negotiate? Pricing Strategies Decoded
Asking about price is a Buying Signal
To Discount or Negotiate? Pricing Strategies Decoded
Asking for a lower price is a Stronger Buying Signal
To Discount or Negotiate? Pricing Strategies Decoded
They’re entitled to ask for a discount. You don’t have to say YES
To Discount or Negotiate? Pricing Strategies Decoded
Everyone negotiates: If you’ve ever “thrown something in” you’ve negotiated!
To Discount or Negotiate? Pricing Strategies Decoded
Discounting is not a requirement. It’s a policy
To Discount or Negotiate? Pricing Strategies Decoded
Everyone wants to know 2 things: 1) That they got the best price 2) That the next customer won’t get a better price
To Discount or Negotiate? Pricing Strategies Decoded
Do you own any of these?
To Discount or Negotiate? Pricing Strategies Decoded
Did you get a discount?
To Discount or Negotiate? Pricing Strategies Decoded
Should you offer a discount?
To Discount or Negotiate? Pricing Strategies Decoded
Should you negotiate?
To Discount or Negotiate? Pricing Strategies Decoded
Every dollar you discount is profit you gave away.
To Discount or Negotiate? Pricing Strategies Decoded
Discounting vs. Negotiating
To Discount or Negotiate? Pricing Strategies Decoded
Discounting is an individual venue’s policy decision. Supply & Demand
To Discount or Negotiate? Pricing Strategies Decoded
22 dates made up 50% of all weddings! All Saturdays!
To Discount or Negotiate? Pricing Strategies Decoded
Choose a Discounting policy Apply it consistently
To Discount or Negotiate? Pricing Strategies Decoded
• • • •
Structured Discounting: Friday or Sunday discount Seasonal discount Package discounts Discount is applied equally to everyone
To Discount or Negotiate? Pricing Strategies Decoded
Value is not the same as Price
To Discount or Negotiate? Pricing Strategies Decoded
You set the price‌
To Discount or Negotiate? Pricing Strategies Decoded
‌your customer determines the value!
To Discount or Negotiate? Pricing Strategies Decoded
Value is determined by the price each customer actually pays
To Discount or Negotiate? Pricing Strategies Decoded
Will they pay more for a higher value?
To Discount or Negotiate? Pricing Strategies Decoded
It’s their perception of value that matters
To Discount or Negotiate? Pricing Strategies Decoded
How will they know that they have your best price? When you say NO to a lower price!
To Discount or Negotiate? Pricing Strategies Decoded
“I’ll buy if you match the other vendor’s price.”
To Discount or Negotiate? Pricing Strategies Decoded
“You can have their price, or our services.�
To Discount or Negotiate? Pricing Strategies Decoded
Do they want someone, or do they want YOU?
To Discount or Negotiate? Pricing Strategies Decoded
If they don’t perceive a higher value with you, the cheaper price wins!
To Discount or Negotiate? Pricing Strategies Decoded
The money follows their priorities
To Discount or Negotiate? Pricing Strategies Decoded
What are their priorities? April vs May
To Discount or Negotiate? Pricing Strategies Decoded
Do you know your value?
To Discount or Negotiate? Pricing Strategies Decoded
Do you believe your value? “I wouldn’t pay my prices!”
To Discount or Negotiate? Pricing Strategies Decoded
To Discount or Negotiate? Pricing Strategies Decoded
Don’t sell with your wallet!
To Discount or Negotiate? Pricing Strategies Decoded
Packages vs A-la-carte which is a better value?
To Discount or Negotiate? Pricing Strategies Decoded
Which is easier for you to sell? Option 1 All A-la-Carte
Option 2 One Allinclusive package
Option 3 Multiple Packages
To Discount or Negotiate? Pricing Strategies Decoded
Which is a better value? Option 1 All A-la-Carte
Option 2 One Allinclusive package
Option 3 Multiple Packages
To Discount or Negotiate? Pricing Strategies Decoded
“…although a-la-carte pricing provides the most information, couples actually rated it as less informative than pricing packages.” WeddingWire WedInsights Vol. 6
To Discount or Negotiate? Pricing Strategies Decoded
Sell Your Value!
To Discount or Negotiate? Pricing Strategies Decoded
Discounting changes the value Value is the price the customer actually pays
To Discount or Negotiate? Pricing Strategies Decoded
Discounting without taking anything back gives away your profit!
To Discount or Negotiate? Pricing Strategies Decoded
How do you set How do you set your prices? your prices?
To Discount or Negotiate? Pricing Strategies Decoded
How do you set your prices? • Expenses + Labor + Profit
To Discount or Negotiate? Pricing Strategies Decoded
How do you set your prices? • Expenses + Labor + Profit • Expenses X 2 (Keystone Markup)
To Discount or Negotiate? Pricing Strategies Decoded
How do you set your prices? • Expenses + Labor + Profit • Expenses X 2 (Keystone Markup) • Expenses x 3, 4, 5…
To Discount or Negotiate? Pricing Strategies Decoded
How do you set your prices? • • • •
Expenses + Labor + Profit Expenses X 2 (Keystone Markup) Expenses x 3, 4, 5… Based upon competitor’s prices
To Discount or Negotiate? Pricing Strategies Decoded
Are you making enough PROFIT?
To Discount or Negotiate? Pricing Strategies Decoded
What are you really selling? The EXPERIENCE of doing business, specifically with you!
To Discount or Negotiate? Pricing Strategies Decoded
The experience starts before you even know they’re interested.
To Discount or Negotiate? Pricing Strategies Decoded
What are you really selling? The RESULTS of doing business, specifically with you!
To Discount or Negotiate? Pricing Strategies Decoded
They’re shopping for the results
To Discount or Negotiate? Pricing Strategies Decoded
They buy the results
To Discount or Negotiate? Pricing Strategies Decoded
They review the results
To Discount or Negotiate? Pricing Strategies Decoded
Discounting vs Negotiating • Know your value • Price for the value you bring • Hold on to your Profit!!
To Discount or Negotiate? Pricing Strategies Decoded
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To Discount or Negotiate? Pricing Strategies Decoded
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To Discount or Negotiate? Pricing Strategies Decoded
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To Discount or Negotiate? Pricing Strategies Decoded
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