How To Politely Decline A "Price Match" Request?

[David Earle]

Hi,

I own t-shirt & hoody printing business. I'm sometimes asked to match or beat quotes from competitors. The customer usually says that they like our company and would prefer to deal with us because we've got lots of good (and genuine) testimonials on our website, lots of photos of our work etc so they've got more confidence in us than whichever competitor has quoted them a much lower (and unrealistic) price.

Basically from the price some companies are charging it's obvious that they are either using naff quality garments and/or prints, or they're going to wait a couple of weeks for delivery when we do things within 5 working days max. We are offering a quality service, we're a well run business, our product quality is the best available, some of the prices I'm asked to match are outrageous/not viable for a serious business like mine.

So, I'm asking you, fellow business owners, how would you go about replying to these requests? I usually meet them halfway and explain why we're the best company to deal with. There no hidden costs with us (setup fees, VAT etc) the price we quote is the price you pay etc.

 

[Spearmint]

Hi,

I own t-shirt & hoody printing business. I'm sometimes asked to match or beat quotes from competitors. The customer usually says that they like our company and would prefer to deal with us because we've got lots of good (and genuine) testimonials on our website, lots of photos of our work etc so they've got more confidence in us than whichever competitor has quoted them a much lower (and unrealistic) price.

Basically from the price some companies are charging it's obvious that they are either using naff quality garments and/or prints, or they're going to wait a couple of weeks for delivery when we do things within 5 working days max. We are offering a quality service, we're a well run business, our product quality is the best available, some of the prices I'm asked to match are outrageous/not viable for a serious business like mine.

So, I'm asking you, fellow business owners, how would you go about replying to these requests? I usually meet them halfway and explain why we're the best company to deal with. There no hidden costs with us (setup fees, VAT etc) the price we quote is the price you pay etc.

Reading your thread through again, I believe that you've answered your own question, so let them have it.

You're offering a quality product and service and these potential customers know it.

 

[Spearmint]

P. S
Just to clarify from my last

Let them have it -i.e the reason why you can't give them a discount

 

[maxine]

It depends on whether there is value in your testimonials and quality of work? Of course there is

It also depends on how much you want the work and whether stock to get rid of etc

This is a good opportunity for you to go back and say that whilst you don't have a policy of price matching you can explain your value for money as blah blah blah and go on to explain the quality reputation, quality garments.

You could emphasise a money back guarantee instead or perhaps just give a nominal voucher for money off code such as £5 or whatever as a goodwill gesture by stand by your quality message.

Good luck

Personally when I get these types of calls for telemarketing price matching I won't entertain it as either there is value in my pricing or there isn't

 

[Bob]

I'd agree with Maxine. Either your prices are right or they're not
I'd go with a discount voucher of their next order

 

[Vending Siting Services]

If you genuinely do offer a superior quality product then you have your answer. We quite often get asked to price match in our industry - we always refuse as our methods of packaging is far superior and costs more, we could never compete on price, if we did we would go bust! Once they compare like for like there is no question and always pay the difference.

Unless you are not making sufficient profits in your business you will not be here long term.

Barbara

 

[kickkick]

Why not perhaps highlight the key facts as to why you provide a better service to the client on your website.

Explain on your website the benefits of using your business and reasons why you don't price match and state because other companies are are using lesser quality products, longer delivery times etc.

State the reasons why you set yourself apart from the competition. You have good testimonial to back your reasons up so the trust is there already.

Good Luck

 

[crphillips]

We get the same. We're more expensive than most of our competitors.

When people ask us to price match I'll be cocky but polite about it. I'll say to them there's no way we can do it for that price. We're the best around and get the best finish in the area and use the best quality parts. That's why we're more expensive. They'll then ask me if we can come down in price at all. I'll respond saying no. That's what it will cost for us to do the job to our standard and anything less we consider a bodge.

You've got to be willing to loose the odd customer but most will still go for it. Also when they have gone for the other, cheaper company, they usually get us out in a few months to put it right. The conversation usually goes something along the lines of "you came recommended from a friend and we got a quote from you but it was more expensive. We got someone else to do it but we're not happy with it. We want it to look and work like the one you did for our friend. Can you come and have a look?". I usually go and have a look and give them a quote more expensive than our original one as we have to undo the work the other company did. Win win.

A client recently said we were £500 more expensive. He asked if we could do it cheaper. We said no. He phoned a day or two later and booked in. Another guy said we were £1000 more expensive but he wanted us to do it as we seemed like we knew what we were talking about and we were the only ones that said we could do what he wanted rather than trying to flog him a job that was 'easier' for the fitter.

If your confident in your service and garment quality then stick to your prices. If the work tails off and your going broke then you'll have to sell the cheap tat coupled with poor customer service like your competitors

 

[Websitehandyman]

I tend not to decline any money offered to me. In your situation I wouldn't decline it exactly but I would tie it into another purchase. So "ok, if you buy x amount we can do that". But you'll have look at your own buying levels to see if doing that might take you up the discount ladder and give you even more profit then you currently do get.

 

[mobyme]

I would say "certainly we can price match providing you are willing to accept the same level of quality and service being offered by our competitor"; bit of a mouthful but it works every time. That single simple sentence explains why you are charging more.

 

[Doodle-Noodle]

You tell them that your prices reflect the quality of your products and service. If they want the best quality & the best service then they have to accept they need to pay for it.
They know that anyway - they're just hoping you don't!

 

[Preemo]

I probably won't get agreed with here, but if I were one of those customers and I was saying how your business looks better overall, better quality, faster delivery etc. then I would happily pay the extra cash to have that bit of satisfaction knowing you're buying from a quality company.

I also agree that you've answered your own question, let them know why YOU feel you're a better company for the reasons you've stated, if they aren't smart enough to go with you, and they choose a stupidly low priced company instead, let them have what they bargained for!

All the best

 

[Fred_the_frog]

Don't be cocky, ignorant or 'give me a mouthful' because if a company does this to me then i'll go somewhere else...
You could just try saying 'Sorry, No we don't' ?

Maybe you could knock a little bit off, say 5%, but say that is all because of the quality of your goods. It makes the customer feel like you are going out of your way for them and pleases them, and its not much of a loss to you

 

[deniser]

I give them reasons why the other company might be selling them cheaper and then point out that we offer low prices all the time (no gimmicks) and tell them to go buy elsewhere if they found it cheaper. They always come back and pay full price either because they were trying it on or because the price was related to one of the factors I pointed out to them, usually because pricing differed per size and they were only looking at the smallest.

Oh and, we are not John Lewis and why should we price match, that's their USP, not ours,

 

[crphillips]

Don't be cocky, ignorant or 'give me a mouthful' because if a company does this to me then i'll go somewhere else...
You could just try saying 'Sorry, No we don't' ?

Maybe you could knock a little bit off, say 5%, but say that is all because of the quality of your goods. It makes the customer feel like you are going out of your way for them and pleases them, and its not much of a loss to you

Maybe cocky wasn't the right word but be confident. Hold your ground and explain why. It works for us but may not for you. Our line of business is fairly niche and i know where the best around for at least 100 miles. I'm happy for the people to go elsewhere if they don't want to pay what I'm charging. They're not the type of customer I'm looking for. Quite often if they want a cheaper job I'll recommend they go to competitor of ours who i know is cheap but rubbish.

 

[Montaigne]

It depends on many factors. The obvious one is if your price is £10 a T-shirt for example but your operating costs are £5 it seems pointless to turn down work even if you only make £1 a T-shirt if the alternative is unpaid downtime. On the other hand if you are working full time then it makes little sense to sell a T-shirt at £6 when it stops you from doing work where you're selling it at £10.

 

[Spearmint]

Potential customers aren't stupid. They've already done their research and they could quite easily go and buy the goods they want from a cheaper competitor, but they've already recognised a benefit from buying the goods from you, and that must count for something.
This price matching is fine for goods like a TV which is a particular make and model, but for goods such as those that the OP is selling you can't compare them, so I don't think you should be drawn into it.

When buying tyres would you price match a quality branded tyre with a remould!

I'm sure that we can all think of products and their cheaper alternatives that we wouldn't touch with a barge pole, and you don't think twice about paying the extra for the one you want, but you wouldn't even consider trying to ask a company to price match it.