How Do You Manage A Salesperson Who Always Asks For Lower Pricing?
The Situation
Scott has been a member of your technology services sales team for about a year. When it comes to prospecting, there is no one better on your team than Scott. He gets prospects on the phone and locks-in meetings with the right people. However, every time he gets close to the finish line with an account, he comes in your office panicked and says he needs a lower price or he will lose the account.
When he first joined the company and made these requests, you acquiesced and gave him the price he wanted so he could get some wins under his belt. Now, every single deal he brings to the table “needs” lower pricing or he is going to lose it. At the same time, his peers have been successful winning business at the desired price level.
This morning, Scott came into your office to request a price concession and you said you wouldn’t do it. You told him that he needed to sell the value the company brings to bear and not sell on price. Now, Scott is annoyed, frustrated and feels he will be unable to sell.
Your Challenge
Given that Scott has been with the company for a year, is there a way to turn this around? If so, how would you do it? Or, is Scott a lost cause?