Do You Make This Signage Sales Mistake?

Your customer has just asked you: “Why should I pay that much for this channel letter sign? I have another proposal that is 15% less.”

If you can’t answer that objection/question quickly, you have made a critical signage sales mistake.

Does your prospect really have that other proposal? Maybe, maybe not. Regardless, if you want to make a decent gross margin in this slow economy you need to answer quickly. Otherwise, you know the next step: your prospect will expect you to cut your price by 15%. Not good.

So how do you handle this situation? Here are a few good replies, using a channel letter sign as an example: “I’ll install this signage on time. My competitor may not.” This is particularly important when the channel letters will be installed in a new business location. That new location may have an upcoming grand opening event. You know your lower priced competitors do not have the same track record of on-time delivery and installation that you do – and this fact alone can be worth the 15% price difference. “This sign will last longer than theirs.”

The old “penny wise and pound foolish” argument comes into play here. For example, if your customer’s lower priced channel letters use a low quality acrylic, the letter faces will fade and need replacement. In the meantime, faded letter faces look awful. “You’ll have more location equity if you install our high quality sign.”

What does that mean? It means the overall value of a physical business site is increased by high quality signage with strong visual appeal. A poorly constructed or illuminated sign can actually decrease a business location’s equity.

“With our sign, you’ll avoid the ‘not sure about that place’ perception among new potential customers.” Every day, potential new customers drive by your prospect’s business location. They evaluate a potential business by the visible indicators they can observe as they pass by. When the day comes that they need one of the products your prospect sells, what might keep them away? Bad signage.

“You have peace of mind that your sign is working today and tomorrow. You may not have that with my competitor’s sign.” Nothing is worse than a “delicate” piece of electrical signage that develops an issue during the first period of hard use (like extended hot or cold weather.)

“Using the sign I’ll install, you will be the area vendor that is chosen most often.” Another benefit of professional signage is the competitive advantage it provides to your customer in a central business district. Some such areas have several retailers selling the same merchandise. What can give your customer an advantage? A superior signage appearance. All other factors being equal, signage with a notably better appearance can make the difference between your customer’s business being the “destination of choice” instead of their competitor.

“My company will be here tomorrow. I’m not so sure about theirs.” As in any line of business, the lower priced competitors may or may not be around in the future. And when your customer is ready to add more signs, it is much easier and quicker to turn to their original vendor and get that additional signage.

“This sign has bright and long lasting illumination. Theirs may not.” That lower quotation may include poor quality illumination elements – and you know how badly that can impact an electrical sign’s appearance over time. Bad sign illumination projects a negative, neglected business image.

“You’ll have more time for activity that makes money for you.” How so? Because repairing a low quality sign takes work time. Your customer will spend time contacting the original vendor, scheduling a work site appointment, having the problem diagnosed, scheduling and performing the repair, etc. This is a time consuming hassle. Your customer makes money when they spend time selling their product or service – not when they are fussing over a sign problem.

Those are a few good responses to the “this other quotation is 15% less” situation. Don’t kid yourself – lower priced products can have a high price. The price is the amount of time and energy your customer would spend hassling over their lack of performance, and spending time trying to get them corrected. Poorly constructed channel letter signs will always have some kind of issue – letters dimming or flickering, acrylic fading, paint peeling, letter illumination out, etc.