Doing an "autopsy on the other guy's deal."
by Hal Slater

Do not assume that your buyers can tell the difference!

In a coaching session today, I was reminded that buyers are generally much less aware of the different features and options between various offers than we salespeople think they are; and, most especially, the effect those differences have on the price.

Sometimes you have to do an "autopsy" of your competitor's offer to show why your price is higher. It is actually an honor if your buyer is willing to disclose your competitor's offer so that you may demonstrate how you are adding value.
The situation is fraught with danger, however, so you should know your buyer well before you undertake your "autopsy of the other guy's deal." Here are some of the things you must consider, before you undertake this somewhat messy surgery.

An autopsy of the other guy's deal consists of looking closely at the competitor's offer to determine what is and is not included to compare it with your offer. This can be done as either a side-by-side comparison or you could simply price out the other offer to show what you would charge for what the other company is offering. This process is easiest if the price difference is the result of many additional feature you are including. If the difference is mostly in the quality of your product without additional features, you must know your competitors and their products to show the customer the difference.

I believe that you should only undertake a side-by-side comparison of the offers if you are certain that the buyer knows what he or she wants. If the design or selection is still flexible, a side-by-side comparison will stall the sales process as they try to use price to determine which features they want to keep or discard. A stall like this could kill the sale through lost momentum and indecision.

If you think that your buyer is not necessarily set on any particular set of features, you should simply calculate the price you would charge for the other guy's offering. Assume the worst about the other proposal as you calculate your price, meaning the competition will probably meet only minimum specifications. If you are in the habit of overbuilding or adding extras, do not include that in your comparative price. When it is time to present your comparative price, simply present it as a number with little explanation. Focus the buyer's attention on what is not included and the ways in which the comparative offer does not fit their needs.

Keep in mind that, as a general rule, I have found it best to ignore the competition. I do not ask who the competitors are because the level of suspicion the question creates is not usually worth the information it reveals. If they are waving the competition's deal in your face, however, you will have to deal with it and that is when you may find this autopsy process worthwhile.