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Selling a $100 product to a $1,000 customer loses $900—hold your price
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0:00There's nothing more expensive than selling a $1,000 customer a $100 product. So, hear me out. You lose $900. Probably a disproportionate amount of that is margin. Compare that to selling a $1,000 item to somebody who can only afford 100. Well, you only lose 100 of potential revenue, not even profit. And so, when you compare the two, it's like all of a sudden you're like, "Oh, I could actually sell way fewer of these $1,000 items than I could of these hundreds and still make more money." So, you're like, "Wait. So, I can make more and work less and have better customers." Well, then why wouldn't I do that? The answer is just fear. You have to hold the line when you say, "This is the price I'm willing to do it for." And you hold that line. And I would encourage you that if they ask you to do it for less, just say, "Well, I could do it for more. I could do it for 1,200."
0:42And all of a sudden they're like, "No, no, no, no. I'll do it."