Selling in a Crisis

49Protect Your Prices

In a crisis, smart companies search for ways to cut costs without damaging their business or putting themselves behind the eight ball when the recovery cycle begins.

In some cases, short-sighted executives issue blanket orders to freeze spending completely or reduce all expenses by some arbitrary number. Most of the time, these rash expense-cutting measures end up costing businesses much more in the long run. But in the emotionally charged environment of an economic crisis, logic tends to get thrown out of the window.

When you get calls from customers looking for price reductions, it is easy to panic as you anticipate the conflict and the awkward conversation with your customer. A natural human response when facing conflict like this is to avoid it or delay responding. Do not do this. It causes you to look defensive and opens the door for your competitor.

Likewise, coming off as combative and digging in your heals will not help your case. Your overriding goal must be to retain your customers, not drive them into the arms of your competitors.

When these calls come in from customers, put aside panic and assume the role of a calm, logical, trusted advisor. Respond quickly and take the issue head on. Listen, learn, and discover. Then, rather than making any commitments, ask for time to come back to them with a thoughtful response.

As you formulate your response, step into your customer's shoes and view the situation from their perspective:

• What is their ultimate ...