My Pact to Stop Selling on Price. Will You Join Me?

Price is important.  Price is often the point of comparison.  Price is what most salespeople use to sell their product or service.

Selling on price makes you less valuable.  Selling on price undermines your knowledge.  Selling on price eliminates your biggest strength………..YOU!

Although I have been aware of this information for many years and do my best to promote my own value proposition, I often get sucked back into talking mainly about price.  Why? Price is an easier point of comparison. Quite honestly, you can be lazy when discussing price.  You don’t have to bring anything else to the table.

Anyone can sell on price, it takes a true professional to sell on value.  We think that our customer always just want the best price.  Guess what, they don’t. There will be some people who only care about price.  They are not the customers I want.  That’s ok, there are many other places to make those customers happy.

Yes, price is important, but how much is an inferior product or service worth even if it costs less?

Would you pay a little more for a hotel if you know that the level of service and quality was exceptional?

Would you pay more for a car that last longer and performs better even if it cost a little bit more?

Would you pay more for a good meal even if it isn’t on the dollar menu?

Most of us would say yes to those questions.  Why?  Because price is only one part of  the buying experience.

We often say price, but really mean value.  The insurance industry is one of the most guilty industries on selling price.

So why does the insurance industry push price so hard on TV commercials? Because they want you to think that all insurance products are the same.  This couldn’t be further from the truth.

Without sounding  egotistical, when you buy from me, you get ME.  That includes experience, knowledge, a great team, and  a wide variety of insurance product choices.  Most importantly, you get a real person who truly cares about your well-being and making sure you are getting the best value possible.

Does that include a good price?  Probably.  I am sure it is not the lowest, but the lowest price probably means you are getting exactly what you pay for.

Insurance is not a commodity and never will be a commodity.  If you have ever had a large claim, you are already well aware of this fact.

My pact moving forward is to stop selling on price.  This doesn’t mean price won’t be an issue.  I am aware of that, but price is not who I am or what I am about.  My goal is to provide the best insurance experience possible for my customers and that is what I intend to do.

Will you join me?

Please note: I reserve the right to delete comments that are offensive or off-topic.

  • Evans D. Pope,Jr.

    Brent, as a commercial insurance trainer I emphasize the thoughts as you have expressed them. If you are a price seller (order taker) I always question my audience as to what they do in the sale when they don’t have the price. The best salespeople that I have met over the years simply want a competitive price and then they go to work developing a program centered around value for the customer. There is no one size fits all customer and value won’t win them all but a sales strategy based on providing value does the job in a higher percentage of cases. Price does not equal value. If you provide real value and develop relationships you will be sucessful in any sales endeavor over the long term.

    • Brent Kelly

      Evans, Right on. I have been guilty of only price selling many times even though it does nothing to solidify my product or service. Price will always be a factor, but many customers want and desire value. It’s time we give them what they want and do our jobs professionally. Thanks for your comment.

  • Brent,

    I’m right with you but I’d like to add a thought and see where you come in on this…

    I think Price should be a big part of the discussion… And the reason for that is it’s important to the client. I’m not saying Sell on price… I’m saying it should be a big part of the discussion because whether we like it or not Price is going to play a huge role in the decision your future client makes.

    So I’m all about Value selling and Relationship selling and not just taking orders… But price needs to be addressed and considered and taken seriously.


    Ryan H.

    • Brent Kelly


      Great points. While I agree that price will always be a big part of the selling process, my issue is that most agents (including myself at times) always begin on price.

      You will never be able to avoid price and that is not my point. Think about most high level professionals (doctors, attorneys, high performing sales professionals, etc.) and how they position themselves. When you want an high level expert, most people don’t ask how much. They ask are they good, are they recommended, and are they worth it? Price is definitely part of the equation, but I don’t think it should be our defining characteristic.

      As I have learned, if you win on price, you will also lose on price. Whereas, if you build a reputation of knowledge and a high end value proposition, price will only part of the big picture.

      I know there are customers that only care about price when it comes to insurance no matter how I position myself. In those cases, it’s time to just move so I can help someone else.

  • Jamie Gustafson

    It is so true yet one of the hardest for me to stick with. I find myself slipping when I talk to someone and say, “Let me save you some money!” I will join you. Anytime I feel the urge to say something like that I will stop and say, “Do not devalue yourself.” Thanks for the reminder!

    • brentmkelly

      Jamie, we are all guilty of price selling from time to time. As soon as a prospect seems to pull away, the first inclination is to say, “look at my great price.” Unfortunately, this devalues you and your product. Good luck!!

  • Dave Broz

    Brent – I like the article and the idea. Can you help with some role-playing?
    For example, when cold-calling a prospect, its easy to say that you can save them money. Many people can visualize themselves paying less for insurance.
    What would be a brief, yet tantalizing sentence to indicate that you can bring them more value? How do they visualize that?
    Thanks, coach!

    • brentmkelly

      Dave, great question.

      You need to know what your prospects find valuable. That is hard to do on a cold call, but if you are calling on similar industries, you may notice some patterns. You must do your homework before calling.

      Everyone wants to save money, I don’t know of any prospect who wants to pay more……..unless they can picture they positive outcome in working with you.

      As an independent agent, I would treat having a competitive premium cost as a given. You have access to great markets so finding a competitive products isn’t where you can shine. Many other agents have competitive markets.

      What you need to do is find their emotional trigger beyond simply price. What do you bring to the table that unique? Why do your current customers love doing business with you? Don’t think or talk like every other agent. Be unique, be memorable, be THE point of comparison.

      Focus on your strengths. Competitive price, great service, long history, etc. are fillers that every agents uses and doesn’t mean anything to the prospect. You must think outside the box.

      Read this post and it may help you more.

      Give me a call or email of you need more help. I have a few ideas. Good luck!