Friday, June 29, 2012

INSIGHT: QNET Product Price Vs Value

I constantly approach prospects to share my product and business opportunity and show them how I can add provide value to their lives. Usually I manage to get most of them interested to make a purchase, but they usually cringe at the mention of the price. I see them weigh their options in their heads of whether to make a purchase or not. As you can imagine, during this time I am very unsettled by the fact that I may lose out on a sale and on some occasions the prospect too.

It seems that many people equate the price of the product to be equal to it's value. 

The dictionary defines Price as “The amount of money or goods, asked for or given in exchange for something else.” Price is a very simple mathematical concept. A price can be written on a tag or published in a catalog. We all know what a dollar bill looks like and we all understand its relative worth.

Value is defined as “The desirability of something, often in terms of usefulness or exchange-ability; an amount of money considered to be a fair exchange for something; something worth the money it costs.” Clearly this definition is more complicated than the definition of price. Value can only be determined in context. A dollar is always a dollar; items that are priced at a dollar may or may not be of value. The definition of value contains words like “fair” and “worth.” Value means that the buyer gets as much or more in return from the seller as they give up.

The relationship between price and value is usually expressed as “cost.” The final cost is the value of the item less the price. Every purchase involves a value calculation. Prospects usually measure the risk of making a purchase against the potential reward. The greater the risk, i.e. the greater the required outlay of cash, the more effort they will put into the decision making process. Their perception of value is directly related to how much they know about the product they plan to purchase.

A perfect example of this is when someone who has just taken up a sport, let's say golf, may go to a discount store and buy the least expensive set of clubs available. To them a “golf club is a golf club.” A more experienced golfer understands the difference between bargain clubs and better quality equipment. They understand how a more expensive club will improve their game and the pleasure they get from playing. The knowledgeable player is much more willing to pay a higher price for quality clubs because they understand the value they provide.

This is why some companies, both traditional and modern  have worked so hard to position the quality of their products. I am sure that when a car buyer is quoted the price of a new Mercedes Benz, the salesperson seldom hears, “That’s ridiculous I could buy a KIA for way less than that!” Consumers understand the value of a Mercedes and do not make unfair comparisons to dissimilar models.

Of course it is important for every Independent Representative such as myself to minimize the risk to the prospect and maximize the potential gain. It is our duty to use every opportunity to emphasize the value of our products and services that we promote. Value is always customized to the specific needs of the prospect.

Something is only valuable if it solves a problem or answers a specific need.

A tip to all IR's reading this, never mention the cost of the product without reminding your prospect of one or more benefits your product or service has. (Oh and when your prospect becomes  a customer that is pleased with the results of their purchase, get them to document it in a testimonial letter. Include these letters in your presentation and use them to prove value to other prospects.)

Yes some QNET products are pricey, but you get far more value for what you pay for in the end. All Amezcua products like the Amescua Bio Disc 2, for example, a wellness product that you purchase only once, last for a recorded 15 year period. Its benefits are plenty and if you wish to find out, check out my blog post dedicated to this one product.

Bernhard H. Mayer watches and jewelry, unlike most other watches and jewelry in the world are created in limited quantity  This means that owning one watch from this brand puts you in a select crowd and once that particular luxury item is sold out, it's value rises due to a common concept in economics of supply and demand.

QVI Club memberships, which include Bronze, Silver, Gold, Platinum and Diamond packages, last for 5 to 30 years depending on the package you pick. That means for the next 5 to 30 years you get to travel with your family and friends to all your dream locations at today's prices. You only pick your dream vacation and pay a minimal usage fee and that's it.

I do not know about you but given the option to take my family to a vacation where I do not have to worry about hotel fees and the rates are the same for 30 years to one where I have to plan and pay for everything at fluctuating prices, I would choose the first option. Wouldn't you?

And that is just the tip of a huge iceberg, because QNET is the only direct selling company I know of that pays a whooping commission of USD 6,800 to USD 20,100 A WEEK to their Independent Representatives who engage in the business opportunity they offer. And this being a business, your QNET business, if you join, can be passed on to your family at a time of your choosing. Whoever takes over your business will not have to start over from scratch. This a business for you, your children and your grand children.

Value is relative because different people have different needs, and the QNET product catalogue offers solutions to many people's needs. One of the side effects of the recession is that everyone is putting every purchasing decision under the microscope, and even though it is understandable, they end up missing out on golden opportunities that could benefit not only them but their whole family's future.

Do not fall under this trap.

QNET has been successful for the past 14 years in this industry and the company is still growing and despite all the bad press, on and offline, they show no sign of stopping. So why not grow with them and reap the benefits too?  It is never too late to register and beat the recession to the curb.

The Choice Is In Your Hands. 

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