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What’s the Reference Number?
In the world of a sales representative that calls on retail flooring stores, a common phone call from a retailer can be, “I need a lower price.”
The challenge for the sales representative is not to become the one who trains their customer to know that there is always a lower price which in turn erodes the profit margins of the company and affects their commissions. Often, the call for a lower price is made after the retailer has secured the contract and is seeking to increase the profitability of the project while lowering the rep’s.
One simple solution is to ask the question, “What’s the reference number?” This does two things- if there is a reference number, the order has been placed so there is no valid reason for lowering the price. If there is no reference number, it may be a legitimate request that is needed to secure the business.
At the core, the better the relationship is that exists between the representative and their customer, the easier it is to navigate these conversations and know when it is better to hold firm or be flexible.
Happy Selling!
Regards,
Brian
