Friday, November 13, 2009

How Much??.

Client: So..I hear you're a house painter?
Me: Yup...Indeed.
Client: Well...I own a house.
Me: Man...that is tremendous. I like Shelter...think it's important.
Client: And it needs to be painted!!
Me: You don't say?
Client: How much would you charge me to paint my house?
Me: I don't know...I need to see the house.
Client: Ah...yeah...I guess that makes sense.
Me: It really does..

I hate when I ask somebody what something costs and they can't give me a direct answer...HATE IT. And salesreps are always told by their "senior mentors" to "never give price until you can sell value first". That's garbage.

But sometimes the above dialog is a reality.

We have NO idea where you are as an organization looking to develop new business. Or if you're looking to acquire a company or are thinking about shopping yours, the number of "unknowns" is innumerable. Talking about price and rates before a detailed discussion (and signed NDA's) is stupidity.

What does your Target Account List look like? Why are these companies on your Target List? (We'd LOVE to break into General Electric!!..they spend ALOT on what we provide!!.) What worked in previous marketing and sales campaigns? What do prospective clients tell you WHEN THEY CHOOSE A COMPETITOR over you? Tell me a little about your vendor partners. Have you thought about acquiring a company (and their customers) as opposed to slower, organic new client growth?

I could could type another 30 questions, easy...I think you get it.

BALLPARK!!!! I NEED A BALLPARK NUMBER, DAMNIT, OR THIS CONVERSATION IS DONE!!

Fair.

I charge NOTHING when working as a Recruiter. The company that ends up hiring you pays.

I charge between $500 and $1,200 a day as a Contractor. New Customer Acquistion programs lives in the $500 a day neighborhood; Mergers and Acquisitions experience and expertise is in the McMansion part of town. Performance guarantees/bonuses, Upside Agreements,expenses,agreed-upon success benchmarks, yada, yada. We'll mutually agree upon that stuff...or we won't.

We need to "see the house". With your help and heavy early-stage involvement, we'll agree on numbers where everybody is happy.

No comments: