Just imagine the stampede of buyers making an offer on this incredible deal.
A renovated cottage, all the modern amenities, just walking distance from the trendiest restaurants.
The weekend showing turned into a bidding war, like the stock market floor of the early 90's.
Buyers yelling...offer letters scattered across the floor like confetti... and curse words flying through the air like Cirque du Soliel acrobats.
The agent did not have to convince anyone of anything.
No selling required.
Simply list at a crazy low price and watch the characters show up in herds.
The final bid came in 72 hours later... 31%% above market price.
Not listing price...but market price!
It was glorious. The sellers felt like Cesar perched on a throne watching the Gladiators fight for his favor.
What's the small business lesson?
The obvious one is that discounting tactics in an auction-like market can create urgency and desperation to acquire the trophy of desire at any cost.
The rule book of logic is burned. All that's left are wild emotions focused on winning.
Many small businesses start with pricing that reflects true costs and extraordinary value.
However, they quickly stumble into discount auction mode when it comes to negotiating price.
Especially when they desperately want the sales.
Chalk it up to human nature, desperation, lack of skills, or lack of self-worth.
Whatever the case, it's like mountain biking downhill with no brakes.
Disaster is likely at some point for the business and the client.
Rarely does undervaluing your services lead to happiness and success.
Plus, most businesses don't have hundreds of buyers bidding for their services simultaneously.
Usually it's only one buyer. This situation lacks the dynamic of scarcity, winning, and price wars.
Consider the idea that discounting takes finesse, like a good hair stylist or barber.
Trim precisely enough, and the results can be stunning.
Cut too much, and you'll end up looking like a clown for weeks.
Snip. Snip.
