“We lost (again) against a much more expensive solution.”
I picked this line up as I was scrolling through a Slack channel within a SaaS community.
The person that posted the message was asking for help – clearly puzzled over how this could have happened…
It brought back memories from my time at Unit4. Back then, we always seemed to have to give more discounts to win a deal.
…In Germany, because we were the underdog and we had to be cheaper than SAP to win some share.
…In Norway, we were the market leader and had to drop our pants because new players were undercutting us.
…In Belgium, however, we were winning – a lot.
We were winning while being ‘the most expensive’ – often even at double the price of other shortlisted vendors.
Why? Because we understood that customers’ perception about the ‘least expensive’ is not the price tag itself – but the perceived value they gain in relation to the price tag.
So very often, ‘the most expensive’ offering was the no-brainer deal for them. They’d happily pay a premium – because what they invested in gave them a premium…. every day.
Your most ‘expensive’ pricetag becomes the cheapest when you have clear proof of value.
Question to reflect upon:
If you’d ask ten random prospects in your pipeline how they perceive your offer, what will they say: Most valuable or most expensive?
#saas #b2bsales #valueselling