There is a disturbing trend that I have heard with the companies I work with. And it starts when prospects start asking for a lower price or a “deal”, or a referral before committing, or a free trial of demo products or services.

The problem I hear is that sales reps, both newer reps and even some seasoned reps, drop the price right away or offer a trial, or hand out references easily thinking this is what will close the sale.

If you’ve done it yourself, then you know all too well the disgusting feeling of “giving the store away” only to have the prospect refuse to do business with you. Not an effective sales strategy…

The answer is to learn the fine art of negotiating. In a nutshell, the basic point of negotiation is that you both have something the other party wants, so you give to get. And this is the problem for most sales reps: They just give things away (like a free trial or a lower price) without getting anything in return.

Here’s how to change that. Let’s do a quick role play:

Example one:

Prospect: “Do you offer a free trial?”

Rep: “We don’t usually offer a ‘free’ trial, but there are a few options I can offer in terms of a free month at the start of your contract with us. I would have to talk to my manager about this.

“Before he does, I know he’s going to want to know that you’re up and ready to go before we set anything up. So let me ask you…”

Now qualify for the budget, time frame, and start date before offering that free trial.

Example two:

Prospect: “That price is too high. Can we buy half a position to test it?”

Rep: “That’s something I would need to get approved. Just out of curiosity, if I took this to my manager and he approved it, would you be ready to give us the go-ahead and start service today?”

Here again is the basis of the negotiation. Never give away a free trial or drop the price without first getting something from your prospect. In this case, a compromise.

If they say they are willing to compromise, you can get your manager’s approval. If they say they still need to think about it, it’s up to you to keep closing and isolate the real objection.

Example three:

Prospect: “I need a referral.”

Representative: “I’d be happy to provide you with one. However, before I do, I want to make sure that if, after speaking with them, you’re ready to start working with us. As you can imagine, all of our clients, like you, are busy. and they don’t want people to take their time if they’re not convinced of our solution.

“So let me ask you this: At what price are you willing to commit if the benchmark works?

“How about a start date?” etc.

Again, you have to get something from your prospect before you give them something. This is negotiation.

There are many advantages to working your closing this way, but the biggest one is verifying that you’re dealing with a buyer and not someone who’s just a ‘maybe’. You know as well as I do that these “sort of” prospects hardly ever buy, and by giving in to them, you’re making yourself weaker and weaker as a sales rep.

So try the techniques above and start negotiating instead of giving up control of your sale.

You’ll close more sales and feel better about yourself!