How To Defeat Price Cutters

Distributors Need To Ask Good Questions

Price CuttersJohnny Campbell, head of consulting firm Rise Up and Win International and keynote lunch speaker at The ASI Show Long Beach yesterday, has clear advice for companies coming up against competitors that are all-too-willing to cut their prices to win deals. “If you help clients increase their profits and increase the loyalty of their customers,” Campbell said, “then price will never matter. You have to exist to help clients.”

The key, Campbell said, is that distributors should focus on becoming more than just product sellers to customers. “You need to be more to them,” he said. “You want to be more to their business, to their marketing plans, to their community, to everything they do. It’s a process, but if you can integrate your company into your clients’ operations and their everyday business, then price never becomes an issue.”

To get to that level of relationship with customers today, ad specialty distributors need to ask good questions. They need to understand the pain points and challenges of clients, and they need to find out exactly what drives their business today. Ultimately, they need to have valuable conversations that reveal how you can be a trusted resource – and not just the low-cost provider – for customers. “Ask the right questions so you know the higher purpose that promotional products can provide to your clients,” Campbell said. “There’s something that promotional products can bring their organization that gives a higher purpose than just buying items. What challenge do they have that promotional products can help solve? Knowing that for all your clients is the key to overcoming price cutters today.”