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Why “Flexible Pricing” Sounds Good But Loses Trust in the Outdoor Living Industry

⏱️ 10:38 🎤 Joshua Gillow
AUDIO EPISODE
Why “Flexible Pricing” Sounds Good But Loses Trust in the Outdoor Living Industry
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Chapters

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  • 0:00
    Budget Expectations & Trust
    The importance of setting clear budget expectations early to build client trust and increase closing rates.
  • 1:16
    Client's Core Questions
    Clients are primarily concerned with cost, appearance, and who will build their outdoor living project.
  • 2:19
    Client Hears Low End
    When given a budget range, clients consistently hear and expect the lower number, not the higher one.
  • 3:24
    Targeting the Low End
    Contractors should aim to deliver projects at the lower end of the quoted budget range to foster trust and secure the project.
  • 4:37
    Trust and Closing Rates
    Consistently meeting or beating budget expectations builds trust and significantly increases the likelihood of closing a deal, contrasting with the industry's low average closing rate.
  • 5:20
    Historical Data for Accuracy
    Utilize historical project data to accurately estimate costs and confidently provide budget ranges that can be met.
  • 6:01
    Serve, Don't Sell
    Focus on serving clients by being honest and having open conversations about budget to ensure a good fit.

Speakers

J
Joshua Gillow
Host

Key Takeaways

Develop strong skills in setting budget expectations early in your sales process to significantly improve project closing rates.

When providing a budget range (e.g., $100k-$125k), always assume the client will anchor on the lowest number and design your project to meet that expectation.

Utilize historical project data and averages for common outdoor living features (patios, decks, retaining walls) to build confidence and accuracy in your budget estimations.

Aim to deliver projects on the lower side of your quoted budget range; this builds immense trust with clients and increases their likelihood of moving forward.

Avoid going over budget or exceeding the higher end of your initial range, as this erodes trust and drastically reduces the chances of closing the project.

Implement a sales process that allows you to gracefully disengage from clients if their expectations cannot be realistically met within your business model, rather than forcing a project that breaks trust.

Focus on serving clients through honest, upfront budget conversations, which positions you as a trustworthy expert and helps you win more work.

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