Friday, June 18, 2010

How Much Trust When the Meter is Running?


Jacquie has been self-employed as a graphic designer for four years. She has found that her prospective clients (for example to design new logos and use those logos in designing stationery) typically start the buying process by asking her, “How much?”

In her first year, Jacquie found this frustrating because she could not answer right away. She needed to learn each client’s needs and expectations before she could provide a reasonable estimate, and her estimates were based on how much of her time would be needed.

Eventually, she learned to redirect that question to gauge the scope of each new project. This allowed her to provide reasonable estimates and close sales. Still, from that first question until the client signed her estimate, there was always uncomfortable uncertainty and a sense of risk.

There seemed to be a problem of trust intrinsic to the pricing aspect of the sales process. For example, one prospective client said, “I understand that you’ll show me three logo options with samples of how they’ll look on stationery. I am then supposed to choose and you’ll proceed from there. But what if I don’t like any of them as-is and want you to adjust or mix-and-match before I approve one? Would your fees stay the same?”

Jacquie dreaded this. If the client was not satisfied with her initial work, then she would have to charge more or make less money for her time and effort. Under the circumstances, neither possibility was welcome.

She considered that she would have to improve her skill at developing trust. She also longed for a way to make buying from her easier – especially if she could avoid the tension involved in estimating and hoping to make a decent profit when working for clients whose need for her billable time could exceed their budget.

Q1 What if Jacquie reviews her process for each type of project to establish a range of cost? This way, somebody interested in a new logo and stationery, for example, could ask, “How much?” and Jacquie could reply, “It would cost between X and Y dollars. Let’s discuss what you’d get.”

Q2 What if, in addition to replying as above when asked, “How much?” Jacquie would say, “If we can discuss how important it is to you, then we can fix the fees in advance with a satisfaction guarantee”?

- Glenn R Harrington
Articulate Consultants Inc.
www.articulate.ca

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