In foreign trade business, price is one of the core elements of negotiation. Customers often question the price and think that our quotation is too high. In the face of this situation, we should not only start from the high or low price, but also explore the reasons and value behind the price. This article will focus on price positioning and strategy, and share how to use price factors in foreign trade negotiations, enhance persuasiveness, and achieve mutually beneficial and win-win cooperation.
1. Understand the underlying logic of price gap
When communicating prices with customers, we must first understand the underlying logic of price gaps. A 2% price difference may be because we provide better services; a 5% price difference may be due to our unique production process; a 10% price difference may be because we use better materials; and a 20% price difference indicates that our positioning is not at the same level as that of the customer. By understanding these logics, we can explain the price difference to customers more specifically and show our value.
2. Improve price recognition with service added value
When the customer’s target price is not much different from our quotation, we can focus on emphasizing the added value of the service. For example, we can provide door-to-door delivery services, packaging requirements that meet national standards, and professional after-sales services. These services can bring convenience and security to customers, thereby increasing their acceptance of prices.
3. Process differences and material selection show professionalism
When the customer’s target price is within a reasonable range from ours, we can start with the process and materials. Elaborate on our process production steps and how to avoid potential problems through fine processing. At the same time, show the comparison of products produced by different materials, so that customers can intuitively feel the difference between standard materials and non-standard materials. Such a display can show our professionalism and enhance customers’ trust in our products.
4. Specific examples and evidence enhance persuasiveness
When explaining price differences, we can use specific examples and evidence to enhance persuasiveness. For example, provide specific cases of process differences, different material testing methods, and comparative data on actual use effects. These specific information can make customers understand our advantages more clearly and more easily accept our prices.
5. Be cautious in dealing with unexpected price differences
When price differences exceed our expectations, we need to be cautious. First, we need to investigate and collect evidence to understand whether the customer is talking about the same product or is deliberately lowering the price. Second, if there is indeed a large price difference, we can try to discuss the possibility of cooperation with the customer to see if there are other ways to achieve mutual benefit and win-win results.
In foreign trade negotiations, the use of price positioning and strategy is crucial. By understanding the underlying logic of price gaps, emphasizing service added value, demonstrating process differences and material selection, providing specific examples and evidence, and carefully responding to price differences that exceed expectations, we can better communicate with customers, enhance persuasiveness, and achieve mutually beneficial and win-win cooperation. In future foreign trade business, let us continue to learn and practice, improve our ability in price negotiations, and create greater value for the company.