The Recession Paradox

Many business owners and salespeople ask me: In a down economy, do you believe in lowering prices? And I have to scratch my head and wonder what they're thinking, because their question spotlights a paradox in how people think about restoring their income.

You're struggling financially, and the answer is to lower the amount of money you're bringing in? Lemme ask you this: When the car is running out of gas, would you recommend punching a hole in the gas tank as a solution? Obviously not. Better solutions might be to check your tire pressure, clean the air filter, turn off the air conditioning, drive the speed limit, etc.

Your costs haven't changed, your lifestyle hasn't changed, the bills aren't any lower this month. You MUST think about how you can maintain not just pricing but income. How can you help clients and prospects see your superior value in times of economic stress? How can you keep your pipeline full? Back to my car analogy, what can you check or turn off to maximize returns?

One thing would be to network more, and network smarter. Attend more business events, join a BNI chapter, get more face time with decision makers and people who value your friendship, your skills, and your success.

Talk to clients and prospects about how you're NOT stripping down your product or service but maintaining price to increase your profits. Eroding value is a dangerous game.

Or, DO strip down your offerings to give your customers a "B" option. Can you provide Widget Lite? Are there things you currently package with your product/service that your customers could take care of on their end? That would be an acceptable reason to drop the price, and no one would think you're desperate.

Think about incentives, too. What could you include with purchases that has a high perceived value? Shipping? A carrying case? A Starbucks gift card? A valuable report?

Keep your head in the game, keep that smile shining at all times, and give your best to your clients every day.

Sell Your Smarts

One of my favorite topics when talking to niche groups is Information Products, or more commonly, eBooks.

These groups tend to have a following, whether it's one another or their end users. And on the individual level, some of these professionals just may know a lot more than the majority in their field. They've got marketable knowledge, and it's only making them so much money because they only use it 5 to 8 hours per day.

So I ask them: Why aren't you making money 'round the clock? While you sleep, you should be selling your services; while you eat your Cheerios, you should be cha-chinging that virtual cash register; and while you're out on the golf course, you should be working on your swing ... AND making some much-deserved dough.

How? With Information Products, of course. Take what you know, get an experienced writer to put it into book form, and get the writer to also create a compelling ad that can be easily distributed to the masses.

I'll bet YOU know a thing or two, don't you? Thinking about what you know that might be worth some coin? Give me a call and I'll help you add "Author of..." to your credentials.