Are You Justifying Yourself? Value vs. Price

Do you sell your company's value to your clients or are you trying to justify your price?

To justify is to defend or uphold as warranted or well-grounded. This puts you in a very defensive and perhaps adversarial relationship with your clients or potential clients.

Many clients I coach have been justifying their prices when working with their clients. They state a price and then try to back it up with as many reasons as they can think of.

The definition of value is to consider with respect to worth, excellence, usefulness, or importance. Building value for your clients or prospects puts you in a win-win situation that helps you build a better relationship with your clients or prospects.

To build value, first you need to get into the mind of your prospect. What is it that they want or need? What keeps them up at night? What is the end result or benefit that they want? By communicating this to them they will feel like you understand them and build trust.

Second, you need to see how what you offer will help them with their problems. This can be tricky. When questioned many of the business owners I ask have a very basic answer. For example, a restaurant owner may think they feed people. But in reality if they had connected with the wants and needs of the client they would say “We provide a relaxing place away from home to enjoy a great meal without having to decide on a menu, grocery shop, cook, or do dishes!” This sounds great. He has plugged into the clients' mind and understands why they want to go out to eat.

Third, you need to communicate what you do with confidence and a positive mindset. This will come across to your prospect and make them feel confident in doing business with you.

Stop justifying and start building value, and you will see your business grow rapidly.