7 Discount Countermeasures

And a Nuclear Option

In any negotiation, there’s going to be a client/customer/buyer who is going to ask for a discount.

Discounting your product/service should be your last option in selling. You may think a 10% discount is no big deal, it’s just, well...10%. There are three problems with this line of thinking:

1) Depending on your cost structure, a 10% can impact the bottom line by 20%-30%.

2) And, a 10% discount means you have to find more business to make up for that 10%.

3) Discounting is equivalent to ‘gifting value’. The late great Mack Hanan, the father of Consultative Selling said it best, “Discounting is the ignorance tax you pay for not knowing the value of your product.” In other words, you can’t defend your value if you don’t understand it!

So, here are 7 Discount Countermeasures you can use to avoid giving (or gifting) value.

A countermeasure is an action taken to counteract a threat.

Yes, someone asking for a discount is a threat to your business and dare I say, you’re paycheck (commission).

Countermeasure 1: Offer 3 options (Good, Better, Best) in a proposal or offer. If the client says, “Can I get a discount?” Just shift down to the next lowest option.