Why Smart Businesses Never Compromise on Their Price
Discounts today can damage your positioning tomorrow
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Introduction
When business is slow, it's tempting to do whatever it takes to generate revenue.
But there’s one mistake you should never make — even during tough times, ie. lowering your price just to close a deal.
Why This Is Dangerous
At first, it might feel like a quick win. You get the client. You make some money. You keep the lights on.
But here's the problem…
Once you offer a discount to one customer, the word spreads fast, and suddenly, your brand sends out the worst signal possible:
“Our pricing is flexible. Everything is negotiable.”
The Snowball Effect
This leads to:
- More customers asking for discounts
- Endless price haggling
- Lower margins
- Loss of authority and positioning
- Constant stress around pricing conversations
Stick to Your Value, Not Just Your Price
Instead of dropping your price to match someone’s budget:
- Understand their pain points deeply
- Repackage your offering to create more value
- Offer a slightly smaller scope if needed — but never slash your rates
Make your product or service so relevant and well-positioned that the right customers instantly see the value — and don't feel the need to negotiate.
Consistency Builds Trust
Customers notice how you behave, especially under pressure.
If they see you:
- Stick to your pricing
- Maintain your standards
- Respect your own value
- They will start trusting your brand even more.
And that kind of trust leads to:
- Long-term relationships
- Stronger referrals
- Better positioning in the market
- Higher profitability in the long run
In Summary
Never change your pricing just to get more business during tough times. Price based on value. Stick to it. And trust that the right clients will come.
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Prompt used to create the image for the note
P.S.: Image made on Meta AI using the prompt, “Imagine a business owner whose completely confused and irritated because every prospect and customer that they are talking to on sales calls is asking for discounts, and they don't know how to become assertive about the same”