It’s very challenging (and frustrating actually) when I get a bride who has been dreaming about her wedding her whole life and starts describing a million dollar event without the least awareness of how much things actually cost. Then, there is another group of clients who actually know what things cost, but in their minds somehow expect that you will either lower your prices or do some kind of magic to give them what they want for a very small budget.
Here is an example of an event that ended up being bigger than the client’s original budget. However, they did receive a great value. For example, the flowers in this centerpiece also ended up working as the giveaways for the event–two for one.
I have received countless calls from vendors and friends describing jobs from one of my books clients wanted them to duplicate for very little cost. I have also seen pictures of some of these reproductions vendors and friends have created from my books and they’ve done incredible work for much less than I was able to (you know who you are–congratulations!).
After making the mistake of indulging my clients with the fantasy that they can get more for less, this is what I have learned to bring them back to reality:
- In that initial meeting you do want to hear all their dreams and wants. However, you need to establish a very clear explanation of your services and cost in a way that any client can understand easily.
- It helps a great deal when you have varying levels for your cost choices (from less expensive to the more costly). It’s important that you have visuals to describe what a client will get at each level. For example: this table is $200 with an explanation in great detail why. This other table is $300 also with an explanation, etc.
- This level of detail in explaining is important for your services as well. I find that once a client learns how your pricing works, it’s easier to make a sale.
- Explain to clients that you are willing and excited to give them their dream event, however they might have to decide what is more important to them because they simply cannot have it all. (Most clients understand this. The ones that insist in getting it all for less are NOT for you.)
- It’s all about romancing the clients, treating them with great care, and being very firm on your costs. I find that even very wealthy clients became wealthy because they learned how to spend their money effectively by getting the best value possible. So, it’s up to you to convince them what they are getting is valuable.
Regardless of how much money a client has, they all have a cost they are comfortable spending. You always need to find out what that price is. I have also learned that if there is something they really love and want (and can afford), they might be willing to spend a bit more. It is up to you to create an environment of upselling. (Next week I’d love to talk about how you upsell–the art of getting a client to spend more than they originally intended.)
Question: Can you actually say NO to a client who wants you to lower your prices? If not, how do you deal with them?
PREVIOUS
George Bernard Shaw once said: “You see things and say, ‘Why?’ But I dream things that never were and say, ‘Why not?’” That quote embodies how Preston Bailey approaches every event.
Rosalba Fasan-Buffat
May 20, 2010
I have had this problem all year this year-they LOVE my work! The best out of all the designers they’ve seen! But it’s more than I can spend and don’t want to cut back-after they have picked my brain and I’ve lost hours of time. Do you think it’s best if we show costs of some things? whether in magazines, tv or seminars, that give ideas and explain why qualified and creative people cost what they do? It’s become very frustrating and time consuming thank you for sharing that it is something that happens at your level as well.
Eve
May 20, 2010
GREAT topic! The budget is the biggest starting point. It is all about managing expectations, without crushing the dream (where possible of course).
I find it fascinating when people cannot believe the cost of flowers/decor or a general cost of a wedding. One of the things I find I need to do with almost every client is to educate them about how wedding design works – starting from conceptualization to the end product. I take them through the entire process and show them images of a truck being loaded with flowers and florist materials, the assembling/arranging and the actual set up too. I explain to them the amount of work that goes into conditioning the flowers to insuring optimal results. Decor doesn’t just happen, it needs to be created (from scratch), sometimes months before the event. I make them imagine (ever so briefly before they get too overwhelmed) the logistics of setting up an event. (and when a potential client really does not get it, I simply ask him/her if they know the price of flowers at the local store then hand them a calculator and ask to do a simple sum – works like a charm)
As you said, if the client knows the exact cost of putting together a phenomenal table, they get a lot less apprehensive. I always present 2 options, one option is the reflection of the dream and a more realistic proposal. I find that if the client feels in control of what they can add or take away, it empowers the client to make a decision. I will never negotiate or reduce my fee – it is simply not worth it. I do not mark up the flowers or materials, but I do charge a specific fee for my services.I see no point in pouring my heart and soul (never mind dealing with broken nails, bruises and cuts) into a project at a reduced rate.
Wealthy clients are more concerned about the value and the quality of the product than the actual price. Of course they will try to negotiate, but usually back down once the understand the product/service. They will also respect you more if they can sense that you know your own worth.
Gayle O'Donnell
May 20, 2010
Such a great post, Preston. It fits right in with the conversation we were having yesterday about the average “upscale” bride and what survey results say she thinks (naively) she would expect to spend – in the case of our talk it was about invitations. It’s our job as the experts to gently guide them to a better understanding of what things cost and why. Looking forward to your next post about upselling. It’s something my staff and I need to become much better experts at.
Brian
May 20, 2010
As if you actually do a $200 table
Martine Chery
May 20, 2010
Great post! it’s specially frustrating to stand in the middle of a bride who wants the big picture and the parents who want it all to be cheap or simply a client who just want it all and cheaper! Sasha Souza post the same subject on May 17 named ”You can always get it cheaper”and even mentionned and compared your work Mr. Bailey: http://www.sparkliatti.com, it seems we all have that problem and like you said, ”it’s up to you to convince them what they are getting is valuable” Thanks for sharing!
Christopher Burson
May 21, 2010
Hello Preston and fellow friends… This post was well needed. Thank you. I sometimes have the problem were my expectations are far greater than my client. Im learning to give them what they pay for, no matter how simple it is.
Im Looking forward to the client that says “Here is my American Express have your way with it.”
Claire
May 22, 2010
Great advice. I think finding out what their budget is and trying to show them choices within the budget is a great way to start. And always expain why the differing costs.
Michelle P
May 22, 2010
Thanks for the post Mr Preston, it definitely helps a lot! I believe many of us has encountered such problems and I seriously think many of our customers need to be educated on the amount of brainstorming and hardwork that we put in for their wedding.
Vitra Imambaksh
May 23, 2010
You are an inspiration to me way down here in Trinidad and Tobago! How I dream of becoming a decorator of your calibre!!!
meliana ~ blubells flower
September 6, 2010
How if the client only need a simple party? but there’s still a ‘budget’ to create a nice wedding?.. or it’s just a mistake to pick a client?..
eastlandgrl
October 18, 2010
interesting, thanks