The Emotional Side of Pricing: Insights from a Sales Call with a Restaurant Owner
In the fast-paced world of entrepreneurship, the fine line between emotion and Economics can often become blurred. A recent sales call with a restaurant owner highlighted just how crucial it is to get pricing right while also understanding the emotional weight behind it.
Last year, I received a frantic call from a restaurant owner I had worked with previously. Her business was in a tailspin—sales were plummeting, her financial records were disorganized, and she was contemplating selling her establishment. To make matters worse, she was attempting to secure a line of credit but didn’t have clean financials to present to the bank. As we spoke, I took a step back and allowed her to express her concerns; sometimes, being an attentive listener is just as valuable as being a professional consultant. In such moments, you realize that you are not just a number cruncher but also a confidant.
In her situation, tidying up her financial records was more than just a logistical measure; it held significant emotional stakes. The outcome of this project could determine whether she continued her journey as a business owner or shifted gears entirely. It’s easy to forget that behind every set of financial statements is a person whose life’s work is on the line. Small businesses, in particular, carry a profound sense of personal investment.
Upon reviewing her transaction history, I was struck by the complexity of her records. It was evident that fixing this wouldn’t be a quick task. I faced the challenge of presenting a fair price that reflected the depth of the work involved without overwhelming her, especially given our positive history together. I didn’t want to underprice and end up overwhelmed or to alienate her with a shocking quote.
Using a pricing worksheet I’ve developed over the years, I formulated a proposal for $4,200 and sent it off. I anticipated some back-and-forth negotiation, but to my surprise, she signed right away and even paid the deposit immediately. She later conveyed that it was the first time in months she felt at ease discussing her business situation.
This experience reaffirmed a crucial lesson I’ve learned repeatedly: when clients sense that you genuinely comprehend their challenges, the price takes a backseat. They are primarily looking for trust and reassurance that someone will advocate for and solve their problems—especially established clients who are in a position to pay.
In the past, I have sometimes undervalued projects, thinking they would require a set number
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