However, this can be detrimental to your success. We all feel strongly about what we have to offer and sometimes that can make us blind to the fact that small adjustments can make all the difference to our customers and potential customers. This week we are going to talk specifically about repackaging what you are selling. Often presenting things in a slightly different way will completely change the customer’s perception of your product.
If you offer services though this can seem like a strange concept. You are thinking, I don’t have an actual package that sits on the shelf so to speak. So, how can I repackage it? But services need to be packaged just the same as products on a shelf do. It is about how you group “items” together and how you price things. In a minute, we will cover a few concepts that you are familiar with but may not have thought to use for your own offerings. But first, ask yourself the following questions.
What are people asking for?
So, you have this great company. You have amazing stuff to offer but what are people really asking for? If they aren’t buying what you are offering are the asking for something else? If you sell services and they aren’t buying the ones you have available but are asking for your time in other ways maybe it is time to look at creating products around what they are asking for. Sometimes as service companies, we must remember that often what our customers and potential customers really want is access to us. They want someone they can ask questions, bounce things off of, or brainstorm with. This is especially important for entrepreneurs who are often going it alone. They may not be in the position to bring on staff but that doesn’t mean they don’t need a sounding board. If this is something you are good at and you’re being asked for it chances are you are doing it and not getting paid for it. This is a great opportunity for you to create a “new” offering and start getting paid for it.
What objections are you hearing?
One of the important questions to answer when people aren’t buying is what objections do they have. Something is keeping them from making that final purchase decision. Is it price? Is it value? Do they not understand what they will be getting? Do they not understand why you are different than your competitors? When you have a true understanding of what is stopping them you can work to remove the barriers and start the sales flowing.
If you aren’t hearing objections and you aren’t making sales, then you need to start asking questions. You need to find out from people who have passed on what you offer. Talk to your network. What do they think of what you are offering, your prices, your value, etc.? Just because people aren’t telling you doesn’t mean the objections don’t exist. You have to find the answers.
A quick look at pricing
Price so many times gets in the way of someone making a purchase decision. And it isn’t always because the price is too high. Sometimes a low price can greatly affect the perceived value of your product and that can stunt sales growth just as much as a price that is too high. In a future Monday’s Marketing Morsel, we will go more in-depth on pricing.
Once you have answered the two questions What are people asking for? and What objections are you hearing? It is time to put those answers to use as you reimagine what offering and how you are offering it. Here are the concepts I mentioned earlier that you are probably familiar with but not using.
We have all heard of bundling. The phone companies do it. The cable companies do it. The make-up companies do it. Restaurants even do it. But have you ever thought about how you can do it? Bundling is a wonderful marketing tool that adds tremendous perceived value for the customer without always adding cost for your company. If you run a service business. And you offer a great service that is your premier product. And you have a few add-ons that go nicely with your premier product. What if instead of offering them ala carte you put them all together for one price and even threw in something for “free” when people buy the bundle. In this case, you probably aren’t really giving it away for free but the pricing of the bundle is less than all the items individually so it appears that you are.
Bundles are great. You sell more items for a higher price than if you sold one and the perceived value to your customer is huge. Everyone loves a deal. Also, you have a customer who will now experience more than one thing you have to offer which gives you more chances to show them why they made the right choice. And more chances for repeat business.
Buy More Save More
Just like bundling you have heard of Buy More Save More. Retailers have been using this sale technique for decades. The premise is simple and straight forward. They more a customer buys the larger the discount they will receive. But many entrepreneurs and small business owners don’t think about this great tool when it comes to their products and services. Especially if you are offering services. I bet you are already doing it to some extent but haven’t ever thought to make it part of your actual offerings. If you run a service business, do you offer a customer who hires you for one hour the same price as the customer who hires you for 10? No! So, guess what, that’s buy more save more. You want them to hire you for more hours so price it that way. Drive the customer to the package that has the best value. Again remember. Everyone loves a deal. And it also makes you more money too.
The most important take away from this Morsel is don’t get stuck when you hit the obstacle of slow sales. Michael Jordan said, “Obstacles don’t have to stop you. If you run into a wall, don’t turn around and give up. Figure out how to climb it, go through it, or work around it.” As entrepreneurs and small business owners you can never give up you must figure it out.
By: Amy Matthews, CEO, AMI