Source: REPLACEMENT CONTRACTOR Magazine
Publication date: February 1, 2006

By Richard Kaller

Some salespeople say that every home improvement transaction comes down to price. Do you believe that? Or is it simply a self-fulfilling prophecy of sales personnel who don't understand why the consumer buys? These are the reps who are still using price drops to manipulate homeowners into buying. Those who believe that price drives the market develop blind spots when it comes to what's really happening and why a consumer chooses one contractor over another.

Surveys of consumer buying decisions clearly indicate that price doesn't drive the process. Here's what consumers tell researchers they want from contractors, in this order:

Notice that when consumers address price, they indicate “competitive price,” not lowest price. Homeowners will often pay 30% more, even up to double the lowest price, provided the reason for the difference is clear.

What does this have to do with showroom selling? Everything.

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