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Stop walking into a business with the goal of saving them money


Piggy bank on calclulator
Is saving money why people buy?

Rarely does a business begin with the sole aim of saving money. Reflect on that for a moment... So why, then, do we, as salespeople, often act as if cost-cutting is their primary concern?


In reality, a business's core objective is to offer a product or service of value to customers, who in turn exchange money for that value. If businesses were solely fixated on saving money, they wouldn't bother with the intricacies of selling; they'd simply seek the best bargains and likely find themselves out of business swiftly. So, what's their strategy? They strive to expand by boosting profits, achieved through increasing sales while keeping costs below gross sales. This equation hinges on both revenue and expenses. Focusing solely on cutting costs won't foster growth. Ultimately, businesses aim to increase revenue. And on the expense side, they procure items based on their value, not merely their cost. But what constitutes value? While there are numerous formulas, a simple one could be Value = (Quality + Service) / Cost (including Effort to acquire the product or service). Notice, using this equation, or any similar, you'll never find Value = Cost. If that were true, every business owner would dwell in makeshift shelters in the woods, as it's the cheapest way to live, right? Yet, most reside in homes because they understand value. The age-old adage "no one ever bought solely on price" rings true for a reason.


Now, let's address why we often approach businesses with claims like, "I can save you money!" Let's not pretend it doesn't happen. I received an email this morning (and many others in the past) with the subject line "I Can Save You Money on Your Business Phone Services!" The email proceeded to tout their expertise in telecommunications and guarantee "at least a 50% savings" on my phone bill. Really? Firstly, they didn't bother to understand what my business entails—I'm a telecommunications broker. I've already vetted the best value for my phone services and can guarantee they can't slash my bill by 50%. Secondly, they talked mainly about themselves, failing to grasp my needs. Self-centered pitches hinder rather than help. Yes, I understand it's spam, but in reality, many salespeople adopt the same approach in person or over the phone. They deceive themselves with the notion that they're "helping by saving money," hastily resorting to price-based sales without delving into the client's true needs. Sometimes, the aim is to trim telecom or internet expenses, but without thorough questioning and discovery of pain points, how can one reach such conclusions?


In essence, my message is clear: refrain from blindly chanting "I can save you money" and take time to understand genuine client needs. I wager none of you commute by bike or public transport, although they're cheaper than owning a car, so learn from your own experiences.


Here's one more lesson from someone who's been there: if something offends you, it might harbor a nugget of truth. Instead of dismissing it outright, pause and ponder, "How does this apply to me?" Only then can you truly grow. Wishing you all great success!

 

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