So, let me put this out there right out of the gate...

 

What I'm about to share with you is pretty underhanded. No, I'm NOT suggesting you do it. What I discuss in the latter part of the newsletter is a much better compromise.

 

It's a technique I call...

 

"5 On the Floor"

 

Here's what it's all about.

 

Years ago, door to door salespeople came to the realization that one of the biggest impediments to the sale was that the customer couldn't trust them.

 

The homeowner always had the same nagging questions in the back of his mind:

 

Was the salesperson being honest?

 

Was the salesperson giving me the best price?

 

Would the salesperson be there to service my product after the sale, like they claimed?

 

Was the salesperson giving me a truly new product or was it used or a demo?

 

Is the company here today gone tomorrow?

 

And on and on...

 

It all related to a lack of trust.

 

So, one sneaky salesman came up with the idea that if there was a way to demonstrate how "honest" he was, he'd make more sales.

 

And what did he do? He concocted a plan that would take place some time during his presentation. It goes something like this:

 

Once he was in the house sitting on the couch or kitchen table, he would shuffle through some of his papers, stand up, and then "accidentally" drop a $5 bill on the floor and walk away. He'd go looking for his briefcase, grab another sample or what have you. Of course, while doing this, the salesman wouldn't notice that anything was amiss.

 

A few minutes later, the salesman would walk by the same place, surprisingly "find" the money on the floor, and ask...

 

"Is This Your $5 Bill?

It Was Laying Here On the Floor."

 

In the salesman's estimation, whether the customer claimed ownership of the cash didn't matter. He would automatically become a superstar in the owner's eyes.

 

But it's also the sort of thing that gave (and continues to give) salespeople a bad reputation. 

 

Now, I want you to forget this story (almost) entirely. There's a better way to demonstrate your trustworthiness to your customers.

A more ethical way. It's this:

 

Find a legitimate reason -- any good reason you can think of -- to return money to your customer...

 

After You've Agreed On Price!

 

What do I mean by that?

 

I mean that after the two of you have settled on a price or fee or percentage or what have you, think of a sound reason for you to slice a little bit off the amount.

 

Put a little extra cash in the customer's pocket at the end.

 

When I was more active practicing law, I had built an incredibly large referral base of clients. They were more loyal than the most fiercely loyal German Shepherds. Plus, they were referral machines, often acting as my marketing department and seeking out new clients for me. Why?

Because I was honest and they felt they could trust me. Both in reality and in perception.

 

Let me give you an example:

 

Often when I'd settle a contingency case (like a personal injury case), I'd sit with the client and explain how important their business is to me and how appreciative I am that they selected me over the legions of lawyers around me.

Then I'd tell them I know a lawyer's standard fee is 33% of the settlement -- in fact, that's what we both agreed to -- but I'm going to reduce my fee to only 29% (or sometimes 30 or 25, etc., depending on the situation.)

 

I always gave a "reason why" I'm doing that which typically was something like the case didn't require as many hours as I initially thought.

Then I'd ask them Is that ok with you?

Beaming, smiling, they reply, "Of course it's ok. Thank you!"

 

I can't tell you how impactful this tactic was but it created raving fans of my clients.

 

It works best when people are naturally skeptical about the type of person they're dealing with:

 

Mechanics

Dentists

Chiropractors

Lawyers

Roofers

HVAC

Contractors

Jewelers

and so on...

 

If you're able to use this tactic strategically and with discretion, you'll be amazed at how quickly word gets around. While you don't have to return money to everyone, each case will be different depending on the customer and circumstances. You might even build the discount into your price.

 

There are lots of ways you can make this tactic work for you. I just hope I never see you drop a $5 bill, ok?