General

Do you sell the product cheap just to make a sale? Part II

The luxury good folks know how to sell boatloads of $300 designer glasses to people who never thought they’d spend money like that on non-prescription sunglasses. That’s after they’ve used the “high-to-low” strategy of course. See $14,000 handbag post here

Do you use their “high-to-low strategy” when the prospect asks, “How much is it?”

Or are you one of the women who does the opposite? You offer the product for as little as possible – even without profit to yourself – just to make a sale or not to seem like you’re “making money off a friend”?

Over the last 7 years I have shown some of you how to answer the “How much is it?” questions by using the high-to-low strategy with your own company product or recruiting packages.

This high-to-low strategy has led to more product sales, and more reps saying ‘yes’ than any other method I have taught.

Learn step by step how to do it for customers and recruits – take your pick of options below – from high to low.

For reps who want to build a customer empire a la AOL or cable TV

1. Deluxe: New School Program (15 CDs): $163 It’s here. And the MP3s are here $111.

2. Medium: 3 Scripts 5CD program and book combo, “If My Product’s So Great, How Come I Can’t Sell It?” Click here $67

3. Starter: “If My Product’s So Great, How Come I Can’t Sell It?” Click here $17.95.

For recruiters who don’t want to scare away good prospects

1. Medium: The Skeptical Market Recruiter CDs $119 here.

Last week, iGaggle/NMC member Suzanne sent me this email:

“Hi Kim,

“I wanted to let you know about something that happened just this week. I was contacted by a lady who had originally thought about signing up as a Herbalife distributor last year. Turns out the lady she talked to last year was trying to get her to sign up with the largest package we have and she couldn’t afford to do it then.

“She had been thinking of calling the lady and then saw my van at Lowe’s (I have decals on my van about losing weight) and figured it would be a good idea to call me. I of course suggested a smaller package, which we will get her going with tomorrow. I told her it’s more important to get her results first and then she can decide what she wants to do in terms of the level she wants to get in at; in the meantime she will get her business kit and get that first level of discount. She appreciated me suggesting that she start small and also appreciated my honesty about the business and what it would take to build it…

“Thank God I had taken your Skeptical Market Recruiter course, so when she told me what she wants to earn, I was able to tell her how many customers and reps she would need to earn that. THAT was cool – I had never been able to do that before your class. YAY! :-)”

About the author

Kim Klaver

4 Comments

  • Way to go, Suzanne! The other lady’s greed was your gain. I am very happy for you.

    You know it happens quite a bit though. People get greedy and want to make as much money off their new recruit as possible. That method doesn’t pay in the long run though.

    Taking the time and listening to people’s needs and guiding them accordingly will pay off. Your new team member will be very thankful that you took the time with her. She is in very good hands with you!

  • We do the same thing. Instead of asking someone to buy (okay, the other guys say “invest in”) an Executive pack at $1200 filled with gift samples, we ask “how many people do you want to start “gifting” and from there choose the appropriate way to start. It makes a real difference in the new associates experience, and as important, in my sense of fairness and integrity. We build slower, but it is solid business.

  • It’s not just about products but services too. I work in private practice as a physiotherapist as my mainstream job (hopefully not for much longer!). I don’t offer my clients a $500 package of treatments, but many inevitably spend that much buying one treatment at a time. It doesn’t seem like you are spending so much when it’s bought this way, and you never really know how much treatment a patients is going to need. I beleive it greedy and manipulative to offer more than they may need (and afford) in one go. The same goes for signing up a new recruit or customer.

    Furthermore I don’t believe it appropriate to undersell either. One of my colleagues is with me in believeing you should charge what you are worth (your service, your product etc), and spending the time the client deserves with you. My other colleugue is a bit more about quantity not quality (more clients, less time & less money per client). Guess who has the higher stress level?? Not me.

    It is quite a balancing act isn’t it, not to under or over sell?

  • I always recommend we offer all of the available options and let the prospective customer or distributor decide what they feel comfortable with. No one likes to feel pressured into a decision, including me. Before I make any decision, I do my research to see what my options are and then I make the best decision for me based on that research.

    So it is important we treat others as we would want to be treated. After all, it is about them, not you! And I have always said “if you have to talk someone into signing up, you better be prepared to spend a lot of time talking them into working!” I am only looking for the people who see what I see who will stand up and say “Yes! That’s me! I want to do that too!”

    Their perception and decision also has a lot to do with how you present the products and opportunity.

    For example, with my weight loss company, I ask prospects if they want to pay retail or become a member of our FREE 90-Day Loyal Customer Program to purchase products at 40-50% off retail for their 90-day body makeover. Guess which one they choose? I have not had a single person choose full retail and I get a LC for 3 full months and they get the best price available (same as distributor price) and the best results with my products.

    Best of all, most LC’s continue to purchase after the 3 month commitment and about 75% convert to a Distributor account within that time period as people start to notice how good they look and ask what they are doing differently.

    So I always ask them if they know people just like them who are struggling to lose weight, who will want to try the product too once they start looking younger and slimmer, and guess what their answer is? I haven’t had anyone say “no”, even the ones who hate network marketing. I let them know they can either refer those people to me or they can set up their own distributor account so that the company will pay them for those referrals.

    If at that point, they don’t say they want to do that right now, then I let them know they can convert their Loyal Customer account to a distributor account whenever they want to start telling people about it, so that they can earn money every time someone they talk to buys the product.

    For the ones that say they want to do that right now because they already have people in mind, I give them the options: $35 for a Business Kit that provides them with a few marketing materials but no product, no website, etc. or $299 for everything they need to build a business – websites, marketing materials, over $450 retail value of products to use and sell, etc. Guess which one they pick? I have not had a single person sign up for $35!

    I also tell them about the Loyal Customer program and how it benefits them as a distributor too. Someone who has no interest in building a network or team can still make a substantial amount of money by simply gathering customers. In fact, 60 customers earns them an average of over $600/month which is matched with an additional $600 Car Bonus for a total of over $1,000/month. Of course, that is the minimum scenario but I like to show the minimum and let them dream from there.

    So it may take a little longer to do this, but in the end, I have provided them with all the options and information they need and they have made their own choices all along and feel happy and excited about those choices. I would rather have someone excited and committed than someone who thinks about their decision and calls me with buyer’s remorse to cancel their order or distributorship.

    This process can be easily adapted to any company, product or service. But, however we choose to do our presentations, if we treat others as we wish to be treated, we cannot go wrong.

    Follow Your Passion,
    Michelle Sanchez
    Network Marketing Success Coach
    Heart~2~Heart Coaching

    http://itworksbodymakeover.networkmarketingcentral.com
    http://nonigirl.networkmarketingcentral.com
    http://dreamtrips.networkmarketingcentral.com
    http://michelle.networkmarketingcentral.com

    “Never doubt that a small group of thoughtful
    committed people can change the world; indeed, it
    is the only thing that ever has.” — Margaret Meade

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