“You can’t make gross profit anymore now that we are fully in the digital age.” That is a common observation repeated every day by frustrated salespeople and managers. The reality is, that simply is not true. Gross profit is and always will be possible — if you create and practice the right elements for profit.
First of all, it is never possible to make the profit you desire without the right belief system and mindset. If you believe you cannot make profit, you will act in such a way to prove yourself right. Everything you do will have a subconscious driver that will lead you to sabotage profit. If you buy into the belief system that it is not possible then, it will not be possible. You will have given away your power.
The second part of our mindset is how you value yourself. If you believe you are valuable, you will present yourself and product or service in that manner. Not arrogantly, mind you, but with an extreme sense of value. If you do not value yourself, you will demean what you sell with every fiber of your being. You will dress in a lesser manner, talk in a less confident tone, present and demonstrate in a defensive manner and sell yourself short. It’s never really about the customer; it’s about you. You either believe in yourself or you do not. Give yourself permission to be worthy.
Examine everything in your sales process and ask yourself what diminishes or builds your value. What do you do in your sales process that tells your story, tells it well and demonstrates it? Stories build value. No story, no value. At that point, you are simply a commodity selling a commodity. Commodities are not valued; thus, you are transactional instead of transformational.
Your sales process must differentiate, elevate and motivate. Otherwise, you are elevating price as the sole reason for a decision. All decisions are based upon leverage. Unless you have specific leverage points built into your presentation, you are asking your customer to think in terms of price only. Remember: All things being equal, the final decision will be on price. Your job is to make everything about you, your product, service and delivery of that service as being far from equal.
How do you handle the issue of price? Perception is reality. If you pre-frame the issue of price in a positive fashion, you can build value. If you do not, you will forever be in a defensive and reactive mode. It is far easier to practice risk aversion than risk reversal in the mind of the customer.
What have you and your organization done to train and educate on the issue of professional negotiation? Negotiation begins in some manner at the point of contact. What do you have in your phone process or other contact points to handle the question of price? Knowing what to do, when to do it and how to do it leads to higher profits.
Nobody — and I do mean nobody — makes you lower your price or lower it continually to a level that is not satisfactory. Price cutting is a self-inflicted wound. It is simply an excuse that competition is driving down your profits to an unacceptable level. If you have the proper belief system, mindset, sales process, education and ongoing training, it is absolutely possible and probable to immediately increase your profits instantly.
If you increase your gross profits by 10 percent, it would take a significantly lower resulting sales volume to lower your overall profitability. Examples from history simply do not bear out this probability. Other than Wal-Mart, name one discount retailer that has survived in the last 100 years.
Change your thoughts and actions and you will change your profits. Always take responsibility that it is simply a result of you. Do not whine, blame or do anything else to give away your power. Take back your power and you will take back your profits. You are worthy.
To receive the free special report “Take Back Your Profits,” e-mail me at info@tewart.com with the word “Profit” in the subject line.