BizSugar.com › Sales › When Should You Cut Your Price?

Last week, she and I sat down for coffee, and I did something unorthodox. After a more detailed discussion, I cut my hourly rate by 50% and won the project.

I know you’re shocked. I was shocked. I went against the standard advice we get from AWAI.

With good reason, they warn that price-cutting is a short path to the poorhouse; it diminishes your value in the eyes of the prospect, it will wreck your satisfaction, and gets in the way of your long-term success.

All that advice is sound and true IF you use price-cutting as a knee-jerk tactic with every prospect. You’ll undermine your business by always cutting your price. But in this case, cutting my price was the right thing to do. Why?