In a perfect world a computer business owner should be able to arbitrarily come up with their pricing model and never have to come down from that price. Unfortunately this is not a perfect world and the market place is still going to decide what the price and terms for IT services is going to be. This is an extremely messy process but that is exactly how establishing the fair price for any service works. The initial marketing sets the price from a blind spot and hopes to get as close to what the market place will accept. However, what happens when you find prospects through your IT marketing that are willing to talk and consider a proposal but end up rejecting your offer based on price or terms? Should you just get up and indignantly walk out of the door? Or should you be prepared with a counter offer and begin negotiations?
I ask that question because recently this is exactly what a computer consultant did when a prospect told him that he wasn’t willing to sign a three year agreement and asked if he had an alternative offer. This tech guy told him that he couldn’t offer any less than a 3year deal and got up and walked out of the office. The reality is that the process for finding the market prices and terms was just beginning. Now is when you begin to negotiate to exactly what will allow the prospect to open up their check book and get started with a managed services agreement. Very few deals are ever done with a prospect agreeing to the initial contact without requesting any changes.
Think back to the last time you made a major purchase like a car or home… did you just blindly take the asking price and write out a check? Or did you make a counter offer and ask for some upgrades to be thrown in to sweeten the deal? I think if you’re honest with yourself you will agree that most deals of any sort have a little bit of negotiations involved. Therefore if you want to have success with an IT sales leads campaign then you need to be prepared to make a counter offer. If you’re shrewd then you will have left some room in your initial proposal to allow for some negotiations before a mutually agreeable terms are reached.
John Black is the Marketing Director at MSP Telemarketing and has over 10 years experience marketing for IT providers and var marketing to help them get more IT sales.