Price Cutting? Not!

Since my early days in Manufactured Home (MH) sales, first at retail centers and later with in MH Communities, the issue of price cutting has been a perennially hot topic for MH professionals. Many are willing to close a deal by cutting the price. My personal take is; not!

Let's see why offering a price and holding to it makes good sense.

The problem with price cutting is that once you cut the first time, it is hard for the other person who is 'haggling' with you to know when they have 'hit rock bottom.'
If you cut prices for the person in front of you, how about the next customer, and then what about their cousins?
How do they know that they “deal” you are giving them is the same deal you give to others?

The point is that once you start down the slippery slope of price cutting, the other party has many questions, some they may ask, some they may never express but are still very much on their minds.

So my basic policy is simple. We offer a fair price, we make a profit at what we do (we are not the federal government with their deficits). We give good service and stand behind what we promise!

One of the many ways you can express that is as follows:

“Mr. Jones, I've often asked for discounts in my life too, so I respect the fact that you want to get the best possible deal. There are other companies out there that will haggle with you. We give you a fair, honest value, it is the same kind of great value that the person before or after you gets, unless some of our costs happen to fluctuate up or down. We do what we say we will do, not more, but not less!

So when we do business you don't have to wonder if someone else is getting special treatment and you are paying for their special treatment. We are fair to everyone, does that make sense? Great, then let's do some business.”

Learn to justify, stand by and hold your price. Your company's bottom line and your customers will be glad that you did. ##

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