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Business Development Obstacle: How the Price Objection Impacts a Business and what to do about it!

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Question added by Emad Aldaous , Country Manager , SLA Expert
Date Posted: 2015/03/11
VENKITARAMAN KRISHNA MOORTHY VRINDAVAN
by VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.

Develop brand value and Quality Assurance, Avoid premium pricing.  If objection is raised we must be capable of highlighting the quality and bestow  him with  a possible price reduction slightly lower than the market perception.  And again if confronted do not loose the customer with a little more offer saying this as special rate for him and is final. Do not hesitate to replace the defective product at the first instance itself.

Thank you for your invite to answer.

Ibrahim Hussein Mayaleh
by Ibrahim Hussein Mayaleh , Sales & Business Consultant and Trainer , Self-employed

Price objections affects the sales volumes, profit, market share, continuity and many other business related issues which will negatively affect the business development

IRPHAN GHANI
by IRPHAN GHANI , Senior Management , A

Price becomes a major obstacle to an extent that one becomes desperate to an extent of offering it free of cost. Such situation mostly arises when our other competing tools/skills other than Price is weak and one generally is unwillingly to accept the same and is effortless for self development.

Vinod Jetley
by Vinod Jetley , Assistant General Manager , State Bank of India

As much as80% of objections that salespeople encounter are related to price and most often these objections are self-created. Although situations may vary, all price objections have the same cause: your prospect's perception of you and your product are low, or the salesperson's perception of themselves or what they are offering is low.

What do we do as Sales Professionals that negatively impacts our chances and our margins?

Kiran Balamukunda
by Kiran Balamukunda , Sales Manager , SunpowerGen FZCO

The way to handle a price objection is to propound a Value proposition.

Muhammad Usman Tariq
by Muhammad Usman Tariq , Visiting Faculty , National University of Science and Technology

it surely impacts the business as with the rise of the price the business development methods get complex and slow. 

Asif Khan
by Asif Khan , Business Head , Ecstatic Motors and Brandz Management Consultant

Pricing no doubt is most important aspect/factor of buying/purchasing/selling.If any proposal/product/service is getting rejected/remaining unsold because of it's pricing only then that conveys it's pricing is an obstacle.Now the question arises who have created this obstacle? and How this obstacle can be removed? Answer to it lies in the research/study done/factors considered at the time of deciding/finalising the proposal/product/service.If the proposal/product/service is getting rejected/remaining unsold just because of pricing then that conveys their exists in market better/similar proposals/products/services at lesser price,that in turn conveys failure to take in to consideration that facts/ground realities while deciding the price.The resolution to price becoming an obstacle lies in..1st ensuring the proposal/product/service offers some/many benefits over others..No.2 convincing/training the employees & business associates about that edge/benefits over others..No.3 Training/Ensuring the employees & business associates are able to convey/convince the same to end users/consumers.

Alex Al Yazouri
by Alex Al Yazouri , General Manager , Al Mushref Cooperative Society

Price Objection has a very serious effect because it will be a "tough sale" if it's not adjusted or fixed through promotions, then go from there to the next step.

Kishor Vadher
by Kishor Vadher , Sales Manager , Hausstrom ltd. Lagos

Price is most important factor in business development but with the price factor brand also come into existence as cheap price product consider low quality product and customer also suspect upon that  and if price is higher then company will face many obstacle as it has not brand equity so after making good brand it is advisable to make good price so company may get profit as well as brand equity.

RAJ DAHIYA
by RAJ DAHIYA , Project Manager - Energy Optimization , Siemens

Endorsing answers given by fellow experts

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