Companion Selling: The Documentation Package, Part 2
Editor’s Note: In August 2007, Ira kicked off his series of educational columns. This month, he elaborates on selling a documentation package. Part 1 appeared in the November 2008 issue.
Your Documentation Package includes a line listing—with pricing—of every component you need to complete the system. Let your client know that when the Documentation Package is delivered, in 10 days, you should schedule a meeting to then review the items and their pricing.
This gives your client the opportunity to make product changes on a micro level. But not before then. When pricing questions arise, you can revisit the Performance List and upgrade or reduce elements.
Earlier we discussed the opportunity for your client to engage in pricing discussions. The time to do that is after the Documentation Package has been presented. Talking about individual product prices and labor charges before the Documentation Package is a grave error.
Syncing Documentation Package
Pricing with Your Ballpark
If you’ve done your Backbone spreadsheets carefully, and your Ballparking is accurate, there’s a good chance your engineering department will establish a Documentation Package within 10 percent of your Ballpark.
If the Documentation Package is less than your Ballpark:
Lucky you. Take this information and let your client know how your engineering department found creative ways to reduce the overall project cost.
If the Documentation Package is within 10 percent over your Ballpark:
Tell your client at the documentation review meeting that your engineering department found some issues. Offer the client an opportunity to revisit the Performance List, and trim the budget, should they choose. Chances are, your client will accept the cost difference—and move forward with no changes.
If the Documentation Package is more than 10 percent greater than your Ballpark:
Tell your engineering department to alert you immediately if your Ballpark is short by more than 10 percent. As soon as you know this information, call your client and let him know what you found. Schedule a meeting to review the Performance List, and see where the errors lie in your Ballparking.