Episode 1161 – Stop Competing on Price: How to Sell on Value and Win Big
Compete on Value, Not Price
In this episode, Mike Campion explores one of the biggest challenges for cleaning companies—competing on price versus selling on value. Mike kicks things off by emphasizing how crucial it is to focus on the value you bring to your clients instead of just lowering prices. He warns that cutting prices is a quick road to becoming the “Walmart” of cleaning—sure, you might win the price war, but you’ll lose your margins, your ability to pay good employees, and ultimately, your business’s soul. Instead, Mike suggests that the real trick is to make your clients see the true value you’re offering.
Understand the Client’s Perspective
When clients say your service is “too expensive,” they’re really saying they don’t see enough value to justify the cost. Mike explains that people are naturally more inclined to avoid pain than to seek pleasure, which is why showing them how your service alleviates their pain is key. Rather than lowering prices, Mike suggests educating your clients on the value you’re already providing. If they see $300 worth of value in your $500 service, your job is to help them understand why your service is worth much more than that. It’s all about changing the conversation from price to value.
Listen More, Talk Less
One of the big takeaways from the discussion is that selling value isn’t about talking up your services—it’s about listening. Mike shares how too many salespeople fall into the trap of over-explaining why their service is the best. But the real power comes from asking the right questions and letting the client talk. When you ask the client about their pain points and let them articulate their needs, they end up convincing themselves that your service is the right fit. Listening, not talking, is what sets you apart from the competition.
Qualify Your Prospects
Mike also stresses the importance of making sure you’re pitching to the right people. If a potential client isn’t a good fit—like someone living in a trailer park who can’t justify your service’s cost—then it’s better to walk away. Your time and energy should go towards clients who can see the value you bring and are willing to pay for it. Mike advises that before even giving a proposal, make sure you and the client are on the same page about expectations and value. If they’re not a fit, move on.
Stop Focusing on Hourly Rates
Finally, Mike tackles a common question: how to get clients to stop thinking in terms of price per hour. The answer lies in reframing the conversation. Instead of talking about the number of hours or the rate, focus on the results you deliver and how you can solve their specific problems. People don’t care how long it takes as long as the outcome meets their needs. Mike compares it to getting an oil change—you don’t care about the steps involved; you just want your car running smoothly. By focusing on the big picture, you can steer clients away from price-per-hour thinking and towards understanding the full value of your service.