123. What to do when a client or prospect asks for a discount

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Every so often, a client or prospect will ask for a discount.

And personally, I never do it. For a few reasons.

1. In order to do the job well, you need to be properly so you can invest the necessary time and energy to get a result.
2. You need to earn a profit on your time—not just be paid for your time. You can reinvest or take home that profit. That's what a business does.
3. It wouldn't be fair to other clients if you gave them a discount and not everyone else. 
4. You need to be excited about the work you do and the price you charge. Otherwise, you won't be properly motivated. Never apologize for your price. 
5. When you discount, your clients will value your work less because you value your work less. Your expertise is an asset, not a commodity. 

So what do I say when clients or prospects ask for a discount?

1. Ask why the number is so important to them
2. Refocus them on the value of the project
3. Remove something from the scope to make it work
4. Find another lower-cost option they can buy
5. Do a custom project (which will be more expensive)
6. Ensure you're talking to the financial buyer, not an employee
7. Pass on the project if it's not a fit/you're not valued

Some people negotiate with everyone for everything. It's in their nature or disposition. I don't take it personally. 

As long as I have a scalable ladder of options for clients to select from, it shouldn't matter what your price is. If they value your expertise and you help them see how the investment will pay off, they will pay full price.

Otherwise, send them to someone who is cheaper.

Listen in for a lot more nuance on this subject.

—k