Heat-Up Your Negotiations by Using this Refrigerator Salesman's Trick
One of my client-taught classes pertained to Negotiation.
I was working with the owner of a rather large appliance store in Los Angeles and he gave me a tutorial on the three grades of refrigerators. Each, of course, was separated from the other by price, about $250 in each grade.
So, you could purchase an entry level fridge at about $500, a middle grade at $750, and the top of the line started at around $1,000.
"Guess which one is most profitable to us" he challenged.
"The most expensive, I suppose" I offered back.
"Wrong!" he beamed, obviously relishing his victory over the professional smart guy.
"It's the middle grade, and can you guess which one most people end up buying?"
This time, I was ready.
"The middle one?"
"Exactly," my client pointed out.
He went on to tell me that the most expensive model was the one that he made the least profit on, which, you have to admit, is counterintuitive. He also said, feature for feature it was actually the best value for the customer and the most durable.
People like choices, he went on, and if you can offer three grades of anything, they'll gravitate to the middle because they think it's SAFE.
They could do better or worse with regard to their investment, but the middle just feels right.
Remember this the next time you're negotiating. Don't just offer a high and a low.
Always include a most profitable "middle" choice!
Related Tags: sales, keynote, convention, ucla, customer service, tele-sales, negotiation speaker, negotiation consultant
Best-selling author of 12 books and more than 1,000 articles, Dr. Gary S. Goodman is considered "The Gold Standard" in sales development, customer service, and telephone effectiveness. Top-rated as a speaker, seminar leader, and consultant, his clients extend across the globe and the organizational spectrum, from the Fortune 1000 to small businesses. He can be reached at: gary@customersatisfaction.com. Your Article Search Directory : Find in Articles
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