Hi, my name is Sam Taggart and in this video, I’m going to teach you how to sell a higher contract value in pest control.
Give Your Service A Higher Value
Now, I’ve been in this door-to-door sales game for a long time and I remember, when I first got in 2008, I watched some of these guys be selling 300 contract values per year. Well, in today’s world, you’ll see guys selling it at $1,200- $1,100 in contract value for the same service. They’re just going out and killing bugs. Yeah, I’ve seen a little bit of inflation. But no, reps have just figured out how to build more value and believe more in their service. So, check this out, those that are outselling pest control, are usually around a culture. Meaning, that whatever your team is selling it at, you tend to be selling it at that. So, if your company is just calling for hey we’re going to sell it at $400 a contract for the year, that’s probably where you’re going to land. Maybe you’ll push the envelope and you’re like oh I’m gonna risk it and sell it for $450. But, what’s going to naturally happen is those that are selling at $400, they’re going to naturally be like well, you’re just scamming people. Why are you trying to charge more for the same thing? Like, why are you hurting? And they’re going to suck you back into selling it for $400.
Well, down the street let’s just say pest control this company they’re selling pretty much the same service you know they go six feet up and six feet out and they do the outside and the inside, or whatever and they’re gonna sell it for $600 a contract. And you’re like well, we’ll sell more because we’re selling them at $400. Wrong. The guys that are selling the most are doing a thousand accounts in a year and are averaging a $700-$800 contract value. So, they’re making a lot more profit. A lot better margins and they’re not devaluing the service. So many people race to the bottom, but what the reality is, is it’s about creating value and holding your value instead of saying, “How do I be the cheapest?” So, here’s a couple of tips.
Be The Pacesetter
The first one is, to check in with your environment and how do you be the pacesetter or the front runner of this new contract value. Learn how to become the pacesetter. Look at the value of your product, decide what to price it as, and become the trendsetter in the company. You choose and determine your price point. Why not make a higher income? See the value in yourself and charge for your worth. This brings us to the second tip.
Value Your Service
The second tip is to make sure that you value your service. Meaning, when you don’t value what you do you’re going to say, whatever the company had set the lowest price at, I’ll give it at that. So, when you say no, I know my techs. I know they do a good job. I know I have a good product. I know that my company has an overhead to take care of and they have you know incentives and competitions and things that they’re trying to build this culture to be a long-lasting business. So, therefore I want to charge more to create more profit and I want to go make more commission and I don’t feel bad so that’s number three.
Don’t Feel Bad
Don’t feel bad for charging, because if you subconsciously are like, well, I could charge you $600 instead of $700, then all of a sudden you’re going to think in your mind- I feel bad for charging you an extra hundred. No, the only way you can serve the client at the highest level is to provide great value and to transact no more, no less, you shouldn’t feel bad. Apple doesn’t feel bad when they make an iPhone for probably a hundred dollars and they sell it to you for $1,200 knowing that they probably could sell it to you for $600. They just sell it to you for $1,200 because they know you’re willing to pay it because believe it or not homeowners are willing to pay $1,200 a year, $800 a year for a pest control service. Why? Because if you can create the value in the need they’re willing to pay it.
Become A Better Salesperson
So then, the last tip is just to become a better salesperson. Somebody that’s in sales that’s looking for somebody that’s just interested, meaning I knock on the door and I’m like hey, I wonder who might be interested in Pest Control. I’m going to then sell that low-hanging fruit and I won’t be surprised if I sell a low volume at that point. If I’m out there creating a need and creating and hustling and being the salesperson that takes them from zero to a hundred, that’s the kind of person that is also going to be able to charge from $600 to go up to $700. Because those kinds of people understand the value of salesmanship they know that if they can build rapport, build trust, create value, overcome objections, and close price. It isn’t a big deal and when you start to put yourself in my shoes, where I’ve consulted over 250 companies. I’ve been to different industries, and I’ve worked with so many different pest control companies, you start to wonder like, what culturally did these guys do that average of $700 contract value? What cultural system are these guys doing that on average a $400 contract value? It just came down to having a few people buy into this new version and then sing that song and make that the cool thing to do and all of a sudden they’re charging almost double and making double the money they’re doing the same thing.
So, hopefully, this video is a little good insight into the sub-psychology that it takes to kind of take your contract value to the next level. Because, I know a lot of you guys are out there doing the same amount of work, but just making a third of the amount of money or half the amount of money because you’re not willing to value what service and product you’re doing. Hopefully, you got some value out of this hopefully you can share this with some of your other pest control homies. We’re here to help you out. Click the subscribe button, I got tons of other videos coming out, and we’ll see you guys on the next one.