In our last blog, we discussed the importance of establishing trust and creating value before ever mentioning the “price.” Personally, I dislike the term “price.” It sounds transactional, like something you’d expect at a grocery or clothing store. Instead, let’s talk about making an “investment.” Improving one’s home is an investment in oneself, one of the best investments one can make. So why would we refer to it as “price”?

Once you’ve built trust and value, the topic of “investment” will inevitably arise. Unfortunately, many installers reveal their price too early—on their website, in marketing materials, or early in conversations with prospects. This approach bypasses the crucial steps of building trust and value, reducing the negotiation to a mere discussion of price. Consequently, the proposed price often ends up lower than it could or should be.

So, when and how do you begin discussing investment and negotiating? This process begins the moment you start building trust and value through great questions and attentive listening. Establishing trust isn’t about boasting about your experience or past projects; it’s about showing your prospect that you truly understand them. You need to connect with them, not just about their renovation plan, but also their motivations and concerns. Your empathy and understanding must be evident.

As your prospect sees that you “get them,” the information you share about yourself, your company, and your work enhances the value you’re building. Building value goes beyond what you offer; it’s about addressing the needs, wants, and desires of your prospect. This circles back to asking good questions and listening intently.

Even if you do everything right, your prospect might still negotiate your proposed investment. It’s human nature, especially with big-ticket items. Be prepared for this. Know your costs for materials and time and understand the scope of work before discussing the investment. One effective approach is to review and check off what your prospect wants. While listening and asking questions, you take notes, which you then review with your prospect, checking off each element of the scope of work. This not only helps you understand the costs and required investment but also reinforces trust and value. Your prospect will see that you truly understand their needs.

The “canvas” for the art of negotiation is prepared while establishing trust and building value. Your prospects need to feel that you “get them” before you can hope to win the job. Asking insightful questions, discerning listening, note-taking, and seeking affirmation through head nods will pave the way for successful negotiation.

Next time, we’ll delve into “Creating Urgency While Negotiating” and the “Power of Silence.”