Mastering Sales Pricing Discussions

Pitching ROI in sales is dead. According to Gong data, presenting ROI and low close rates go hand in hand. Two things happen when most salespeople sell ROI: - they do it so naively that it backfires - it's a Hail Mary attempt to save a deal When a senior exec hear's a salesperson say "the ROI of our product is..." they write-off that salesperson. They think you’re making too big of a leap between what your product does and the expected financial return you’re waving in front of them. The best salespeople create bullet-proof business cases instead. (Read: ROI is only one element of this!) Here's how they do it, according to one of the top business case experts in the world: 1. State the Situation Define the current state. What are they trying to accomplish? What's standing in their way? Make it relevant to the exec's priorities. Make it urgent with conflicting obstacles standing in the way of their goal. 2. Define the Problem Statement This is what most sellers get wrong: They think buyers buy because of ROI. Nope. They buy to solve problems first. And the financial ramifications of those problems are far more compelling than the ROI of your product. In other words, the 'cost of inaction': - what is the problem costing them? - what the opportunity costs? - what are the indirect costs? - what are the direct costs? Capture the problem as well (or better) than your customer can. 3. Create a Bridge Read: This is not about your product. Read (again): This is not about ROI. The Bridge explains the root cause of the problem. Which then allows you to explain what the customer NEEDS to solve the problem. 4. Define Three Scenarios. This is where you start to hint at ROI. Show three possible scenarios. - no action - best case - base case Executives think in ranges and possibilities. Yet most sellers give a definitive number: "You'll get exactly 22% ROI on our product, just like our other customers!" That's a sure-fire way to lose your credibility. Build three possible scenarios instead. 5. Define the Required Resources. Explain what the customer will need to do to make this projection successful. - dedicating headcount - dedicating time - spend - etc. Most salespeople shy away from this. They want to make it seem (unrealistically) easy to deploy their product. Execs know better. Call out what you need for this to be a success, and you'll earn instant credibility. Plus, you reduce their fear of shelf-ware. Because they know what it takes to avoid that now. That's all for now. P.S. I've watched over 3,000 discovery call recordings in Gong. Here's a (free) list of 39 questions that sell I compiled along the way: https://go.pclub.io/list

"Is $20/month too much for our product?" Instead of guessing, we used the Van Westendorp method to find our pricing sweet spot. 4 questions revealed exactly what users would pay (and we haven't touched our pricing since). Here's the framework any founder can steal: 1. Send a survey to actual users, not prospects We surveyed people already using Gamma. They understood the real value of our product, not hypothetical value. Too many founders survey their waitlist or randomly select people who have never used their product. That's like asking someone who's never driven about car prices. 2. Ask these 4 specific questions - At what price would this be too expensive for you to consider it? - At what price is it expensive but still delivering value? - At what price does it feel like a bargain? - At what price is it so cheap you'd question if it's reliable? These create bookends for perceived value. You're mapping the entire spectrum of price psychology, not just asking "what would you pay?" 3. Plot the responses and find where the lines intersect Graph responses from lots of users. Where "too expensive" and "too cheap" lines cross: that's your acceptable range. Where "expensive but fair" meets "bargain": this is your optimal price point. 4. Test within the range, don't just pick the middle The intersection gives you a range, not a number. We ran pricing experiments within that range to see actual conversion rates. A survey shows willingness to pay; testing reveals actual behavior. 5. Lean towards generous (especially for product-led growth) We chose to be more generous with AI usage than our "optimal" price suggested. Word-of-mouth growth matters more than maximizing initial revenue. Not everything shows up in the numbers. 6. Lock it in and stop tinkering Once you find the sweet spot through data, stick with it. We haven't changed pricing in 2 years. Every month debating pricing is a month not improving product. Remember: pricing is a signal, not just a number (Image: First Principles)

We were 25 minutes into the call when they asked: Prospect: “So… can we get some ballpark pricing?” Me: “Happy to share. Just curious - are we currently the vendor of choice? Or are we still in the mix with others?” Prospect: “We’re still evaluating about five different vendors.” Me: “Got it. And what are you evaluating us all on?” Prospect: “Mostly features and pricing.” Me: “Appreciate the transparency. Mind if I be blunt for a second?” Prospect: “Go for it.” Me: “We don’t like to win on price. We don’t like to lose on price. We like to win on product.” Me: “If you’re telling me we’re the best solution for your team, then we can figure out how to make the pricing work. But if you’re not there yet, I’d rather not pretend price is the blocker.” Prospect: “Fair. We’re still figuring out what we really need.” Me: “That’s what I figured. And that’s why I hesitate to get deep into pricing. If you’re still defining the problem, every number’s going to feel too high.” It shifted the energy. Too many teams ask for pricing before they even know what they’re buying. They want quotes before clarity. Discounts before direction. Numbers before need. But pricing only makes sense once the value is clear. So here’s what I’ve learned: Make sure you’re the vendor of choice first. Make sure they know what they’re solving and how you solve it. Then have those money conversations. That’s how you avoid racing to the bottom. And win on the thing that matters most... The product.

Stop copying competitor pricing. These 4 questions will tell you exactly what your specific customers will pay. When we first launched Attic salt, we spent n no of weeks trying to figure out a pricing strategy that will work. Attic Salt is democratising the fashion by bringing in value at a sharp price yet we have to maintain fair wages for our artisans and  technicians who bring the garment alive with so much innovation,skill and dedication. Then I found the Van Westendorp Pricing Model, a simple 4 question method helps you understand how customers really see your price. Used by brands like Dropbox, HubSpot, and Mailchimp, the Van Westendorp model was developed by Dutch economist Peter Van Westendorp.    Here's how it works… You ask potential customers four key questions about price: 📍At what price would this product feel too cheap to trust? 📍At what price would it feel like a good deal? 📍At what price would it start to feel expensive but acceptable? 📍At what point would it feel too expensive to buy?     Now plot these answers on a graph. The intersection points reveal your: Indifference Price Point → where people are split between “cheap” and “expensive”Optimal Price Point → where hesitation from both ends is minimal Acceptable Price Range → your sweet spot for maximum traction When we used this model, we realized we were underpricing. Customers thought the product was “too affordable to be good.” We adjusted, and sales went up without changing a single feature. If you’re launching something new or entering an unfamiliar market, don’t guess. Use this model. Gut feelings are great for design. Not for pricing. Are you still trusting yours? #PricingStrategy #ConsumerInsights #D2CBrands #FashionBusiness

Picture this: You’re in the middle of a big sales pitch. You’ve rehearsed your slides, your numbers are strong, and you’re trying to impress investors. Then you hit your “cost” slide. And you notice something: • One of your top investors gives a negative nod (saying “yes” but shaking their head “no”) • Then they lean back in their chair, a classic distancing cue • Finally, a tiny eye roll Three red flags in a row. Most people would ignore it and keep talking. Master communicators do the opposite. They stop mid-pitch and say something like: “Let me pause for a second. Does this all make sense?” How are you feeling about this slide?” Do these numbers look right to you?” Those questions aren’t aggressive. It’s a way to get back on the same page. The investor might respond: “Actually, those numbers don’t make sense because…” Now you can address their hesitation in real time before they mentally check out. Here’s the science behind it: When someone shows you a red flag (a distancing gesture, a frown, a head shake) they might have switched from logical listening to fear. They’re in an emotional state: anger, fear, confusion, or even disgust. And when that emotional brain lights up, their ability to process information shuts down. So, no matter how brilliant your next argument is, they won’t hear it. That’s why master communicators pause right there and gently ask: “Hey, is everything okay? You seem unsure. Want to pause for a sec?” That simple act resets the emotional tone. It signals empathy, safety, and sets the foundation for influence and trust.

Buyer: We need about 100 seats, can you share pricing with us? Rep: You bet, at that volume it's $1400 a seat, so $140,000. 😑😑😑😑😑😑😑😑😑😑😑😑😑😑 I've heard this on discovery calls 1000 times - we get a direct ask on pricing and we give a direct answer. Or worse, we dance around it and don't answer because we've been taught to withhold price until we can prove value. But telling a buyer "Poof, you need 140K, thx!" is rarely the right answer. Instead, here's my script: "You bet! A quick note that we have a ten-seat minimum for starters, and that's at $1600 a seat. So, worst case, we could start you there. However, we have discounting tiers that kick in at 25, 50 and 100 seats, with 100 being $1400/license. In addition, we have discounts that we can add in if we can look at a multi-year agreement. All that to say, there are a few directions we can go to get you started with us and also to give you the best rate." 1. Be honest about where the buyer can start. 16K can earn you the opportunity to keep talking and prove value on that and future calls. 2. Be transparent about your price - if you have a minimum threshold on seats, price, or size of engagement, be honest and save everyone the hassle and time if it's not a fit. If they need one seat and you can't sell less than ten, tell them to buy online or let them find nine friends - don't burn multiple calls only to disappoint you both. 3. Talk about discounts (and competitors) early. I've never shied away from telling buyers exactly how they can reduce their price with us - it's not artificial discounting, it's things that are in their control. If you struggle here, I could NOT recommend Todd Caponi's new book Four Levers Negotiating more. Bonus: your conversation will be different than the ones they're having with "well, I'm going to need to prove more value before I can give you a number..." reps and you'll stand out positively. #samsales

97 seconds into a discovery call, we got bullrushed. "How much does it cost? That’s what the decision-maker wants to know.” Steal our response: 1. What I Say: “Yep! We'll definitely cover pricing today. Honestly, there's a million ways an engagement could look based upon what you're trying to accomplish. To avoid throwing the kitchen sink at you, mind if we start with a few questions around the goals you're looking to accomplish in working with us? That'll give me enough to share a sense of what options I'd recommend and rough pricing for those." 2. The Underlying Psychology: You're in TROUBLE if you blindly throw up a dollar figure with zero context. But you also look salesy and difficult to work with if you REFUSE to share price. This talk track eases their anxiety about getting pricing while also re-establishing that I need context to avoid throwing up an unrealistic quote. 3. A Few Keys to Sharing Price: - Early in the sale, it's often better to give a range than a specific amount. - You can use a formal proposal as your leverage for getting the decision-maker to join a live call. - Have multiple packages? Recommend the one you think is best for them. This reduces their fear of messing up by spreading some of the decision-making responsibility from them to you (JOLT Effect) - Never let your personal financial situation impact your pricing confidence. B2B purchases are on a whole different scale than B2C purchases. --- How do YOU respond when you get asked about pricing early? 

A rep told me she's been closing deals by giving 15 to 20% discounts. Not because prospects asked. Because she didn't think they'd say yes otherwise. I told her "You're training prospects that your price isn't real. And you're killing your margins and confidence." Here’s something I want you to think about… When you rely on discounts, you're not solving a pricing problem. You're covering up a value problem. Prospects push back because they don't trust the value yet. When you drop your price, you confirm it wasn't worth the original number. So what do you do instead? Build trust before price comes up. First, build a case study library. Most reps can't tell good stories about past clients. They know they've helped companies but can't articulate HOW. Schedule one hour interviews with your team who's done the work. Record it. Walk through specific situations. The company. The problem. What they tried before. The solution. The result. When a prospect brings up a concern, connect it to a real story. "You sound just like Company X. They had the exact same challenge. Here's what happened..." Stories are proof. Proof builds trust. Trust justifies premium pricing. Second, lead with your guarantee. Build it into your pitch. Example for Executive Search as that what this rep sold: "We're not the cheapest. We're typically 20 to 30% more expensive. But we offer a 12 month guarantee. If the placement doesn't work, we replace them at no cost." You've reframed the conversation. It's not about price. It's about confidence in the outcome. Third, disqualify price shoppers early. When someone says price is their number one concern: "Just to make sure we're aligned. We're typically more expensive by XX%. If price is your primary factor, we might not be the right fit. What do you think?" You flipped the script. They have to sell YOU on why they should work with you. Either they say "Actually price isn't the only thing. We care about quality too." Great. Real conversation. Or they say "No it really is just about price." Perfect. You saved weeks chasing a deal you'd never win. Fourth, use their business as an analogy. "In your business, are you the cheapest option?" Usually no. Mid tier or premium. "If a competitor came in 50% cheaper, what would they have to cut?" Cheaper materials. Less experienced people. Worse service. "Exactly. Same in our world. If someone's dramatically cheaper, what do you think they’re CUTTING out?” You just used their logic to justify your pricing. Fifth, know when to walk away. If you've shown value, told stories, offered a guarantee, explained ROI, and they're still pushing for a discount? They're not your customer. The right clients choose you because you're the obvious choice. Not because you're cheap. — If you found a ton of value out of this, you don’t want to miss my LIVE sales coaching call, for free: https://lnkd.in/g3CP4v2q

Traditional objection handling feels manipulative because it is. Buyers can feel when you're using a technique on them. The SPIN, LAER, and Feel-Felt-Found methods all have the same problem, they're about winning an argument, not solving a problem. Here's what actually works with today's sophisticated buyers: 1️⃣ Validate, don't combat When a buyer says "Your price is too high," stop trying to justify it. Start with, "That's a completely fair concern. Most companies we work with initially felt the same way." Validation before response changes everything. 2️⃣ Ask genuine questions Instead of launching into your prepared rebuttal, get curious: "What price point were you expecting?" "Which competitors are you comparing us to?" "What would make this investment more acceptable?" 3️⃣ Acknowledge the objection might be valid Sometimes, your solution genuinely isn't the right fit. The best reps are willing to say: "Based on what you've shared, this might not be right for you right now. Here's why..." This honesty builds tremendous trust. 4️⃣ Focus on business impact, not product features When they say "We don't need this feature," stop defending the feature. Redirect to outcomes: "I understand. The reason I mentioned it is because companies like yours have used it to achieve [specific result]." 5️⃣ Give them space to think After addressing an objection, stop talking. The silence feels uncomfortable, but respect their need to process your response. The best objection handlers aren't the smoothest talkers. They're the most empathetic listeners.

𝗠𝗼𝘀𝘁 𝗰𝗼𝗮𝗰𝗵𝗲𝘀 𝗱𝗼𝗻’𝘁 𝗹𝗼𝘀𝗲 𝗰𝗹𝗶𝗲𝗻𝘁𝘀 𝗯𝗲𝗰𝗮𝘂𝘀𝗲 𝗼𝗳 𝘁𝗵𝗲 𝗽𝗿𝗶𝗰𝗲. 𝗧𝗵𝗲𝘆 𝗹𝗼𝘀𝗲 𝘁𝗵𝗲𝗺 𝗯𝗲𝗰𝗮𝘂𝘀𝗲 𝘁𝗵𝗲 𝘄𝗮𝘆 𝘁𝗵𝗲 𝗽𝗿𝗶𝗰𝗲 𝗶𝘀 𝗽𝗿𝗲𝘀𝗲𝗻𝘁𝗲𝗱 𝗺𝗮𝗸𝗲𝘀 𝗽𝗲𝗼𝗽𝗹𝗲 𝗵𝗲𝘀𝗶𝘁𝗮𝘁𝗲. If your discovery calls end with “Let me get back to you” or “I need to think about it” this is usually why: 𝟭. 𝗬𝗼𝘂 𝘀𝘁𝗮𝗿𝘁 𝘄𝗶𝘁𝗵 𝘁𝗵𝗲 𝗳𝗶𝗴𝘂𝗿𝗲, 𝗻𝗼𝘁 𝘁𝗵𝗲 𝘃𝗮𝗹𝘂𝗲 People need to feel the transformation before seeing the cost. → Paint the outcome first. Example: “Imagine running your coaching business without burnout… for less than a daily coffee.” 𝟮. 𝗧𝗵𝗲 𝗽𝗿𝗶𝗰𝗶𝗻𝗴 𝗰𝗼𝗻𝘁𝗲𝘅𝘁 𝗶𝘀 𝘄𝗲𝗮𝗸 A number feels big in a vacuum and fair when anchored. → Show the current pain → the potential gain → then the price. 𝟯. 𝗜𝘁’𝘀 𝗹𝗮𝘆𝗼𝘂𝘁𝗲𝗱 𝗶𝗻 𝗮 𝗰𝗼𝗺𝗽𝗹𝗶𝗰𝗮𝘁𝗲𝗱 𝘄𝗮𝘆 Too many options or messy formatting makes people freeze. → Use clean tiers, short bullets, and simple words. 𝟰. 𝗧𝗵𝗲 𝗽𝗿𝗶𝗰𝗲 𝗳𝗲𝗲𝗹𝘀 “𝗵𝗲𝗮𝘃𝘆” Small framing shifts change the emotional load. → Monthly > yearly, clear inclusions, round numbers, easy comparisons. 𝟱. 𝗬𝗼𝘂 𝗱𝗼𝗻’𝘁 𝗴𝘂𝗶𝗱𝗲 𝘁𝗵𝗲 𝗱𝗲𝗰𝗶𝘀𝗶𝗼𝗻 People need a gentle nudge, not pressure. → “Which option supports your goals best right now?” Pricing isn’t about the number. It’s about how the number feels. ♻️ Repost if you want more coaches to price with clarity and confidence. #sales #coach #business