How To Respond To Price Negotiation - The Keeping Blog

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2/17/23, 1:23 PM How to Respond to Price Negotiation - The Keeping Blog

How to respond to price negotiation – examples

“How much of a discount were you thinking?”

Customers who ask for excessive discounts on your service probably don’t appreciate the value you are able to offer. It’s
advisable to nip these kinds of requests in the bud quickly before you feel yourself committed to a deal that won’t be
worth it for your company, since you don’t want to sell below your product’s minimum selling price. 

“We’re happy to inform you that we can offer a 10% discount.” 

If a customer is an important prospect or a potentially valuable account, it can be the right move to offer them a better
price to trial your products or services. A decent discount can be a good incentive to get them to take a risk on your
business. 

“Is cost your only obstacle to moving ahead?”

It’s crucial to find out whether pricing is the only hurdle in the way of the customer closing the deal. If pricing is the only
reason, then you’ll confirm that offering the discount is the way to winning your customer’s business. 

“I’m very open to discussing pricing but let’s discuss how we can benefit your business first.” 

Customers need to understand how your product or service will benefit them first before entering into price negotiations.
If a prospect brings up the subject of price straight away, then you’ll need to dial it back to make sure they understand
whether your business can meet their needs. 

“We don’t usually offer discounts but would you be interested in a week’s free trial instead?”

If your company is in a position to offer a free trial, this can be a great way to introduce potential customers to the value
that your business can bring them. Free trials are good for customers at the beginning of the sales funnel, and smooths
the path for making the deal at a full price later on. 

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2/17/23, 1:23 PM How to Respond to Price Negotiation - The Keeping Blog

“Sorry, we can’t provide you with a discount.” 

This is a last-resort response when you have already explored all other avenues. It’s a hard conversation to have but
many prospects may proceed with the deal anyway. It’s important to emphasize to the customer that the price truly
reflects the value your product will bring to them if they buy. 

Template response to a customer’s request to reduce the price


Accepting a request for a discount

Hi [Customer/Prospect],

Thanks for being so patient with me while I followed up on your request. Following on from discussions with my
supervisor, we’re pleased to be able to offer you a [15%] discount [if you buy the comprehensive suite/choose to opt for
the annual subscription].

If you accept this limited-time offer you will have full access to our complete range of features and our product’s
capabilities for helping you to market your business. 24/7 customer support is available for our platform as well as a full
onboarding service. 

It would be great to hear your thoughts and find out if you have any further questions. Feel free to schedule a call with
me if that’s more convenient. [Schedule call link]

Thanks,

[Your name]

Refusing a request for a discount

Hi [Customer/Prospect],
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2/17/23, 1:23 PM How to Respond to Price Negotiation - The Keeping Blog

I’m following up with you about the discount you asked for during our last phone call. I had a conversation with my
supervisor and I’m sorry to report back that we can’t offer any discount right now. [The reason for this is that the pricing
structure I shared with you already reflects the value of our service and we can’t reduce the price any further without
underselling our product.]

Sorry that this isn’t the answer you wanted. Please get in touch if I can help you with anything else, and let me know if
you would be happy to proceed with the deal anyway.

Thanks,

[Your name]

Wrapping up
Negotiating with customers over pricing is an important part of the sales process. If you prepare yourself ahead of time,
you can set yourself up for productive conversations with prospects that ultimately lead to more closed deals. Make sure
you’re clear on your company’s policy on offering discounts so you are in a good position to haggle with customers. 

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