Talking about Price with Keno Helmi

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Dec 1, 2024

Join a captivating discussion on the nuances of pricing in sales. Learn why establishing value upfront is crucial to avoid low perceptions. Discover the significance of a thorough discovery process that aligns your solution with customer pain points. Find out how to defer pricing talks to maintain leverage and build trust through transparency. Explore the power of using broad pricing ranges tied to ROI as a strategy for navigating early pricing pressure.

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INSIGHT

Early Price Anchors Decide Perceived Value

Buyers form price anchors very early when they lack a reference point.
John Kaplan says that without anchoring you become an 'apple' instead of 'insulin' in value perception.

ADVICE

Negotiate Evaluation Criteria Early

Negotiate how your software will be evaluated and measured early in the process.
John Kaplan argues this preserves margin and shifts perception toward higher value.

ADVICE

Use Discovery To Anchor Value

Do a thorough discovery to map your software to the buyer's pain and value creation.
John McMahon warns that weak discovery makes preserving margin much harder later.

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In this short segment of the Revenue Builders Podcast, Veteran Sales Leader Keno Helmi talks with Revenue Builders about price. When do you give your pricing? How do you make sure your buyer sees the value before you present pricing? These few minutes are worth your time.

KEY TAKEAWAYS

[00:01:28] Establish Value Early: Prevent customers from arbitrarily assigning low value by anchoring them to the true worth of your solution.
[00:02:32] Discovery is Critical: A robust discovery process aligns your software to customer pain points and value creation.[00:02:59] Avoid Premature Pricing: Deflect pricing conversations until you've gathered sufficient requirements and context.
[00:05:25] Build Trust with Transparency: Acknowledge customer concerns about pricing while explaining the complexities involved.
[00:07:02] Broad Pricing Ranges: Use ranges and commercial terms to delay definitive pricing until later stages of the deal.

HIGHLIGHT QUOTES

[00:01:28] "We’re peddling insulin here, not apples. That’s why we establish value right out of the gate."
[00:02:03] "Negotiate how your software’s value will be evaluated—this determines whether you’re seen as an apple or insulin."
[00:02:32] "A great discovery process sets the foundation for preserving margins later in the deal."
[00:05:25] "Trust can wobble if sellers shy away from addressing pricing concerns with authenticity."
[00:07:02] "Broad ranges tied to ROI are your Plan B when pressured for pricing early."

Listen to Keno’s Full Episode Here: https://revenue-builders.simplecast.com/episodes/mastering-negotiation-in-b2b-sales-with-keno-helmi/

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Hosted by five-time CRO John McMahon and Force Management Co-Founder John Kaplan, the Revenue Builders podcast goes behind the scenes with the sales leaders who have been there, done that, and seen the results.

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