“Hey, how much do you make a year?” is a horrible way to start a date. However, in business settings, uncovering budget is a crucial step in the process.
For whatever reason, budget is always hard to discuss. It almost feels like a faux pas to the unseasoned sales person. Yet, no buyer will execute a contract without knowing the price. Businesses need dollars; customers need services. So how can we bring up money without offending your buyer?? Here are my 2 favorite tactics to uncover a prospects budget without offending them.
1. Ask politely. Unless your buyer comes from another galaxy, they understand, that goods/services must be paid for. So as a sales person, figure out if your product/service solves their need then fire away.
- “Has your team developed a budget for this initiative?”
- “We’ll try to get our fees as low as possible, but what are your expectations regarding the budget for the whole year?”
- “How are you currently solving for this problem, and how much are your currently paying? Time? Expense? People?”
2. Drop your traditional range. While you are running through your product demo, casually drop the expected range that a typical customer falls into. If you cannot come up with a “traditional range” then you product is probably too complicated to buy.
- “… and the typical account gets a 1 year license, services of xyz, including the mobile widget abc, for around $15-20K – all in for the year. Is that inline with what you were expecting?”
- “In order to solve your goals, and cover your total user count… a typical engagement with us would fall between $15-20K – all in for the first year.”
Getting to a budget can get you to a Yes/No very quickly. Be confident in your ask, and find the win on the table. Keep crushing it.
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