By the Ocean
Couple of Clouds 73 Degrees
5:23 a.m.
Humans aren’t dumb. They watch. They learn. They adapt. They expect.
In the world of business, today is a day the Matrix has trained buyers to expect something “special.” A frenzied race to the bottom with no meaning. Sounds like fun!
In the world of the trusted advisor, today is a lesson-filled day you can watch play out in real time.
As we see the discounting machine get fired up with the dial turned to MAX today, it’s a good reminder that playing with discounts is like playing with fire for a trusted advisor.
You can create something spectacular, very quickly, right before it destroys everything.
Some of my clients sell to dental practices. This is an industry where a dentist can own a $4 million practice and end up with NO PROFIT. Everything that comes in GOES BACK OUT.
It’s called: activity with no progress.
The point of business isn’t to make money, the point is to keep it.
Discounting your services runs counter to this overarching goal. But it’s not actually the money that matters. You can always make more. What you CAN’T fix so easily is the training you offer to the marketplace about what it means to work with you.
Never forget that your behavior attracts certain types of individuals.
If you use discounts, you attract buyers who are motivated by discounts. They care more about deals than results. (This is always a bad sign.)
In the trusted advisor business, discounting is a short-sighted and dumb thing to do. Especially these days as the number of TRUSTED choices available to buyers is declining rapidly.
Lots of businesses understand this. Here’s just one example: Louis Vuitton. Does that company discount its products?
Here’s the answer:
“Louis Vuitton never discounts its products.”
Not much left to discuss there!
Look at what the masses are doing, don’t do that.
I’m hoping for the day this principle is no longer true. I’m not sure how many years it will take or exactly what day it will happen. But I’m 100% sure it’s NOT TODAY!
So in the meantime, don’t make stupid choices based on fear and lack. It’s a disease, and only you have the cure.
Discounting widgets on a shelf? Maybe.
Discounting you? Definitely a bad idea.
Figure out how to be a “good deal” for your buyer without discounting anything.