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LCT OOY Bill Atkins explains why cost is not a factor when the affluent reach for their wallets.
RED BANK, N.J. — One reason businesses enjoy working with the affluent is that the wealthy tend not to haggle about the small details.
Not surprisingly, cost is not a factor in their choices. Don't be so quick to discount your rates. The affluent know the value in quality and the prices that go along with the quality of the product or service.
I don't see advertisements for Mercedes listing "cheapest car." So why undersell your service? Often, when a customer calls and only asks "How much?", we talk to them and explain that our price is not the cheapest nor are we the most expensive.
Most people don't want the risk of depending on a cheap company. There's a reason why they are cheap. What if they don't show up? What kind of peace of mind do you have, knowing you are depending on getting to an important business meeting or vacation when you just booked with the cheapest service?
Think differently. Instead of undercutting your competitors in price, exceed your competition is quality. People who buy by cheapest price will leave for the next cheaper price. What can you do that would stand out? Do you offer an on-time or free guarantee? Are your chauffeurs trained in customer service standards? Do you send personal "thank yous" to every new customer?
What other things provide a better service to your client? Some people will always be looking for the cheapest priced Motel 6 economy room, but not everyone. Others will be loyal to the higher quality Ritz Carlton, Marriott, and/or Sheraton.
Not everyone wants cheap.
So the next time someone calls and asks, "How much?" try explaining what you have to offer in a conversational way. How would you describe your service to a friend or family member? Would you really want to be known for having a cheap product or service? Write down all the things that you do well. Use this list as you speak with your prospects and differentiate yourself from the cheap price competitors.
You'll be amazed when you start getting the price that your service is worth and the profits that go along with it.
Bill Atkins is the owner of RED BANK LIMO and a 2010 LCT Magazine Operator of the Year.
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Michael Baine
| about 9 years agobill, great stuff! Your right, so often I beleive we sell ourselves short most often just to stay in line with our competition. I know without a dought we provide a great service and product! Even in this down turn economy, its up to us to let the folks know not only the quality, but the service value they will also receive!