“Your Price Is Too High”: Handle Price Objections Like a Pro +EXAMPLES
Introduction
Ever had a customer tell you, "Your price is too high"? It’s something nearly every small business owner in the home services and trades industry has faced. You put together a fair quote, taking into account your expertise, materials, and the time it will take to do the job right—only for the client to push back, questioning the cost. It’s frustrating, no doubt.
But here’s the thing: that objection is more common than you think, and it’s not always a deal-breaker.
The key to overcoming these price objections isn’t to immediately lower your price—it’s to shift the conversation. By showing the true value of your services, building trust, and offering flexible solutions, you can turn these objections into opportunities. This blog will show you how.
Key Takeaways
- Understand the objection: It’s often not about money—it’s about value or urgency.
- Focus on value, not cost: Reframe the conversation to highlight the long-term benefits of your service.
- Be empathetic: Listening to your customers’ concerns and offering solutions builds trust.
- Avoid immediate discounts: Offer flexible payment options or adjust your service package instead of lowering the price.
- Be prepared: Rehearse your responses to common objections so you can confidently guide the conversation.
Why Do Customers Say "Your Price Is Too High"?
Before diving into strategies, it’s important to understand why customers raise price objections in the first place. It’s rarely just about the money—there are deeper concerns driving this reaction. Let’s break down some of the most common reasons customers say your price is too high.
1. Perceived Lack of Value
Often, customers don’t fully understand what they’re paying for. If they can’t see the value your service provides, they’ll focus only on the price tag. This is especially true if they’re comparing your quote to cheaper alternatives, even if those options don’t offer the same quality or scope of work.
For example, a customer might be comparing your quote for installing premium kitchen cabinets with a lower bid from someone offering substandard materials. If they don’t understand the difference in quality, they’ll naturally focus on the lower price.
2. Budget Constraints
In some cases, a customer genuinely can’t afford the price, especially if they didn’t anticipate the cost being so high. This can be a real obstacle, especially for homeowners who are working with tight budgets or unexpected repair costs.
3. Low Urgency or Weak Need
Price objections can also stem from a lack of urgency. The customer may not see their problem as something that needs to be fixed immediately, or doesn’t feel that the benefit of your service justifies the cost right now.
For instance, a homeowner might acknowledge that their roof needs repair but not see it as an urgent issue. They’ll use price as an excuse to delay the decision, thinking they can put it off for another season.
4. Desire for a Deal
Some customers simply want to feel like they’re getting a bargain. Even if they can afford the price, they may try to negotiate simply because they believe they can get a better deal.
Understanding these underlying reasons helps you tailor your response to overcome objections in a way that feels natural and persuasive.
Proven Strategies for Handling "Your Price Is Too High" Objections
Now that we’ve identified why customers may have a price objection, let’s dive into how to overcome these challenges effectively. Below are strategies that will not only help you handle price objections but also improve your overall sales process.
1. Shift the Conversation to Value
When customers say your price is too high, they’re focusing on cost because they don’t yet understand the full value of what you’re offering. Your goal is to shift the conversation from price to value.
Here’s how to do it:
- Highlight the long-term benefits: Whether you’re offering home repairs, landscaping, or HVAC services, explain how your work provides value over time. Will your solution save them from larger repair costs down the road? Does it improve the home’s resale value? These are the kinds of things customers need to hear.
Example Script:
“I understand why the cost may seem high upfront, but let’s break down what you’re getting. This isn’t just a repair; it’s an investment that prevents future problems, increases your home’s value, and provides peace of mind.”
- Compare it to lower-cost alternatives: If the customer mentions a cheaper competitor, explain the differences in materials, expertise, or warranty coverage. Be polite, but clearly outline why your service is priced higher and what the added value is.
Example Script:
“You’re right, there are cheaper options out there. But with my service, you’re getting [X benefit], which means you won’t have to worry about [problem] in the future. Cheaper alternatives may save you money now, but they’ll likely cost you more in the long run.”
2. Use Empathy to Connect and Overcome Price Objections
When a customer objects to your price, your instinct might be to jump straight into explaining why it’s justified. Pause, acknowledge their concerns, and empathize with their position first.
This is a crucial step in building trust and rapport. Instead of being defensive, show that you understand their hesitation.
Example Script:
“I completely understand where you’re coming from—managing a budget can be challenging. Let’s take a closer look at what’s included and see how it aligns with your needs.”
By addressing their concerns upfront, you make them feel heard, which softens the objection and opens the door for further conversation.
3. Offer Flexible Payment Options
Sometimes, customers don't have a price objection itself, but rather an issue with how they’ll have to pay for it. Offering flexible payment options can make your service more accessible without lowering your rates.
- Payment in installments: Allow customers to pay in smaller increments over time.
- Deferred payment: Offer the option to pay a portion upfront and the rest after the work is complete.
These options give clients the breathing room they need to make the purchase without compromising your revenue.
Example Script:
“I understand the total cost might be a concern right now. We do offer a payment plan that could make this more manageable for you. Would that help?”
4. Show Proof of Value
One of the most persuasive tools you have is social proof. When a customer has a price objection, show them that other people have already paid that price and are happy with the results.
This can be done through:
- Testimonials: Share quotes or reviews from past clients.
- Before-and-after photos: If you’re in a visual trade like landscaping or home remodeling, these images can speak volumes.
- Case studies: Share specific examples of how your work helped previous clients save money or improve their home’s value.
Example Script:
“A lot of our customers had the same concern about the price initially, but they found that the results more than justified the cost. Here’s what one of our recent clients had to say after we completed their project…”
5. Ask Questions to Clarify the Price Objection
Instead of guessing why the customer objects to your price, ask them directly. This will help you understand the true root of the price objection, allowing you to address it more effectively.
Ask thoughtful, open-ended questions like:
- “What part of the service feels too expensive to you?”
- “Are there any specific features or parts of the service you don’t think are worth the price?”
These questions help you pinpoint what’s causing the hesitation and can guide you in offering a solution that addresses their specific concern.
Example Script:
“I hear you. Let’s talk through what’s most important to you in this project. Which part of the service doesn’t seem to match the price?”
When to Walk Away from a Deal
It’s important to remember that not every customer will be a good fit for your business. If a customer is fixated on getting the lowest price and doesn’t value the quality of your work, it’s often better to walk away than to compromise your standards.
Know when to stand firm on your pricing. If a client insists on a price that is unsustainable for your business, politely decline and move on. This maintains the integrity of your brand and allows you to focus on clients who understand the value you provide.
Example Script:
“I completely understand your concerns, and I appreciate you taking the time to discuss this. However, in order to maintain the quality of work we deliver, I’m unable to lower the price further. If you’re looking for a different solution, I can refer you to another provider who may better fit your budget.”
Conclusion
Handling price objections is a natural part of running a business, especially in home services or trades where costs can fluctuate based on materials, labor, and project scope. But instead of seeing price objections as a hurdle, see them as an opportunity to demonstrate the value of what you offer.
By shifting the conversation to focus on value, using empathy, offering flexible payment options, and providing proof of your work’s worth, you can overcome objections with confidence. And when necessary, don’t be afraid to walk away from clients who aren’t the right fit.
The next time you hear, "Your price is too high," you’ll know exactly how to handle it—like a pro.
Oh, if you want to learn how to overcome other price objections, you can check this blog.
