The cheap seekers are calling

Welcome to Week 14 of my adventure of following the Start Up Version of the Grow Your Business Marketing Plan + Calendar.  In my posts, I talk about my voyage down the road of self-employment as a VMA, my achievements and roadblocks along the way, and I include a weekly recap at the end.
 
This week, I received two calls from people who had found my website by searching online.  Great news!
 
The not so great news is that the first question from both of them was “how much do you charge?”
 
This question annoys me.  But I guess price shopping will always be around.  I found this article called The Problem with Price and it gave me some perspective on price, value, and dealing with cheap seekers.
 
These phone calls made me see the point, even more, in going out and getting your desired clients with tools like cold calling and networking.  Find ones you know can afford you.  Learn about them.  Target them.  Then attack.  Show what an expert you are in their business.  Show what you can do for them, and what makes you stand out.
 
I’d say there is a far bigger chance of getting business from them—then from people who call and say, right away, “how much do you charge?”

Anyway, I’m looking at the bright side—that I got two phone calls in two days from people who I don’t know inquiring about my services.  It’s also good news that I see an even greater value in going out and finding your prospects so you don’t have to get desperate and lower your rates.
 
Have you had to deal with any cheap seekers lately?  Do you feel that finding your prospects, instead of waiting for them to find you, allows you to get your desired rate?
 
Week 14 Recap:  This week I’m working on getting my promo piece organized.  I found an article that makes a good point about speaking directly to the needs of your audience when creating promo pieces.  I have most of the material and need just a little bit more.  How is your promo piece coming along?
 

Comments

[Tara]

I, too, am turned off when people ask only about price; we know they are just looking for a "deal" and it doesn't give us the chance to sell ourselves.) So, when someone just asks about price right off the bat, I tell them I quote by the project, and ask if they can tell me a little bit more about what they need. That way, they're doing the talking and then I have a chance to respond to their needs and specifics positively rather than immediately giving them an answer to a question that sets me off.

[Ursula Saqui]

I agree that some people are just looking for the cheapest price. However, sometimes people just don't know what to expect in terms of price. I don't expect someone who has never used a research company to have an idea of how much it would cost to launch a customer satisfaction survey. If someone asked me for a price, I would start out by giving them a range and say "it depends."

I sometimes ask the price question early on just so I don't waste anyone's time. For example, take a look at business coaching. I have found rates ranging from $75 an hour on up. If you are a business coach charging $300 an hour, you are out of my price range and I don't want to take up any more of your time.

So I agree that someone asking the price question early on may be a cheapskate but maybe not. I would look for other indicators as well before I disqualified them.

[Ilise Benun]

I agree with Ursula. To me, people who start by asking about price are usually telling me they need to be educated. So my job is to do that.

And just because someone asks about price first, doesn't mean you have to tell them. I also start out with, "It depends. Tell me more about what you need."

[Catherine]

I agree with all of the above.
It is frustrating to be asked our hourly rate or a "ball park figure" for a project.

I usually ask about the project. Then, I'll ask questions, like the ones Peleg gave in a webinar: give a range of prices. Usually, it's a good way to assess, and clients tend to be honest about it. And it usually ends up in a project.

If they don't want to give details, then I know they are not a client for us and end it there... nicely.