Discounting strategies for consultancies
Say you are a consulting business turning over more than £1m and regularly discounting your fees. If you are making £200,000 profit and giving away, on average, a 10% discount, do you realise that you would increase your profit by 50% if you stopped discounting?
Most consulting owners do realise this. And they are interested in giving away less when they are negotiating, but they don’t know how.
Here is a 4 minute clip from one of our face-to-face events where I shared a selection of alternative strategies to discounting.
These strategies included how and why to:
- standardise your discounts
- move the conversation away from cost and onto value
- build team belief in your rates
- target gross margin as well as net margin
- ask for something in return for a discount
If you would like to speak to me or get the views of our panel of growth experts on your sales strategy, consider becoming a member of our network where you get access to actionable insight and expert views on all the topics that are critical to growing your business.
Article | Sales and marketing
The Consultancy Growth Network