In this older (but still relevant) article by Tim Connor at EyesOnSales, Connor offers insight into the pressures sales people face from price-fixated customers. It’s no surprise to Profit2 that the pressures described here lead to eroding margin as sales people lower prices out of fear.
That’s why Profit2’s methodology emphasizes sales coaching and buy-in to arm sales people with the tools and confidence they need to actually ask for the margin that your pricing system suggests. We protect customer-item combinations that are price sensitive and focus margin improvement on identifying those that aren’t.[titled_box title=”I Need A Lower Price!”]
“How can today’s salesperson balance the drive for corporate profits, the customer’s desire for lower prices and high value and not sacrifice the organization’s ability to maintain market share, competitive position and long-term success?”
by Tim Connor