Tire Pricing Strategy: Why You Shouldn’t Play the Match Game | Modern Tire Dealer

Fallacies of price matching

We have found that when customers mention they can find a lower price elsewhere, they are indirectly telling your salespeople, “I want to do business with you, but you have to make me feel like I am getting a better value.” Many consumers understand that if the dealership has the lowest price, it may very well sacrifice in others areas, such as service.

As for value, I notice many dealers do not list on the bill the services that the customer either receives for free or at a discounted rate. To get full credit for this “value,” set up your invoices accordingly.

If the potential customers did not want to patronize your store, they would not challenge your price. They would say something like, “I will let you know soon.”

A professional salesperson knows the capabilities of all his or her competitors, and knows how to properly sow seeds of doubt against them without ever mentioning their names. They also know how to avoid negotiating tire price or worse, in my opinion, matching price.

Below are eight reasons why allowing your salespeople to negotiate and/or price match on a tire sale is a bad idea.

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Tire Pricing Strategy: Why You Shouldn’t Play the Match Game – Retail – Modern Tire Dealer.