How to Masterfully Explain Online Why Your Stuff Costs So Much
Over the last 4 years, I’ve arguably talked more about the issue of discussing pricing on your company’s website maybe more than any single person or entity online. I do not say this to brag whatsoever, rather, I bring it up because just as it was a hot topic then, it seems that companies still want to have internal civil wars as to how to address their company pricing, with debates raging in board rooms and marketing departments across the globe.
This being said, I have come to the conclusion there are basically two types of companies when it comes to this subject:
1. Those that are embarrassed of their pricing
2. Those that are proud of their pricing
Think I’m oversimplifying it?
I’d beg to differ.
Doing it the Right Way when Face to Face
One of my dear friends and mentors is Ian Altman. Ian travels the world and teaches companies how to grow their revenue by changing the way they think and talk about selling.
He’s as good as anyone I’ve ever seen and his services come at what some would consider a steep cost.
But if you asked Ian if he was “expensive,” he would likely say something like:
“Well that depends. Many of the companies I work with are able to account for monumental gains in sales revenue by applying what I teach them—numbers that dwarf what they spent on receiving my training in the first place. So whether you view that as ‘expensive’ or ‘cheap,’ is up to you.”
Ian knows how to change one’s paradigm with just a few simple words, which is exactly why he’s so successful at what he does.
Doing it the Right Way Digitally
“There is No Such Thing as Cheap or Expensive, But Thinking Makes It So”—-Shakespeare, if he were alive today 🙂
The subject of pricing, no matter what you sell, always has been and always will be relative.
This is exactly why those that know how to explain pricing, and truly get how to demonstrate “value,” generally induce more trust and results than those that do not.
It’s also why those that show any sign of fear or embarrassment when discussing their pricing often will lose their prospect’s trust before the conversation even begins.
Let’s look at one more example online, one that I feel is easily some of the best copywriting I’ve ever seen on this important subject.
Most of you may not have heard of Tom BIHN bags before, but their quick background is that of a company that started making high-quality bags (mainly for travel, biking, laptops, etc.) here in the US in 1972 and have managed to grow quite the following over the years, in what is a highly competitive market.
But the reason I bring Tom BIHN up is the way they address the subject of pricing on their website. Here are their exact words:
Why are TOM BIHN bags so expensive?
TOM BIHN bags are carefully constructed of fine quality materials and components in our own Seattle factory. They’d be less expensive if we had them produced in China or Vietnam, but then we’d lose control over the quality of the finished product and the quality of the jobs we create. Our turn-around time (the time between designing a new product and being able to ship it to customers) is quite fast, especially for a small company. We could use cheaper materials, but we’ve been making bags for a long time and plan to make them for a lot longer still: we don’t want folks complaining about this or that part breaking or wearing out prematurely. There are plenty of less expensive products on the market and it’s up to you, the consumer, to decide if the quality of our products justifies their expense.
Why are TOM BIHN bags so cheap?
So now that you know what goes into our products, you might wonder why they aren’t even more expensive. First of all, we sell almost exclusively to the end consumer, so there is no wholesale-to-retail markup: you buy directly from the factory. Second, we are a lean little company: we are not top-heavy with vice presidents, nor are we traded publicly. We are a museum-quality example of human-scale capitalism: we make stuff and sell it to people.
Pretty slick, huh? Heck, after reading that, do you think many people are going to complain about their pricing being too high?
Of course not.
That’s the essence of transparency and excellent copywriting online my friends, and it’s something possible for each and every one of us.
So my challenge for you is a simple one:
Embrace the subject of pricing. Whether it’s digital or in a face-to-face conversation, you’ve got to change the way you talk about this subject if you want to overcome the concerns of your prospect and earn their business. And like Tom BIHN, embrace who you are. Embrace what makes you special.
By so doing, you just may turn the entire pricing conversation on its head…
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