The Benefits of Added Value to Your Products and Business Opportunity
Why is added value important for a business and its products? Because the benefits of added value give the prospect the real reason for buying or joining.
Let me illustrate the benefits of added value.
Jim’s newest distributor, Jerry, is excited. He tells Jim, “You won’t believe this Jim, but today I received my first bonus check. Guess how much it is?”
Well, Jerry has just started with the XYZ Network Marketing company. His check couldn’t be that much. “What should I say?” thought Jim. “I don’t want to embarrass him by guessing to low.”
“Aw, come on Jim, take a guess,” pleaded Jerry.
“Okay, I’d guess about $100.”
“Pretty close. My check is $90!” said Jerry. “This is the best thing that ever happened to me.”
Jim couldn’t understand why Jerry was so excited. Certainly $90 wasn’t going to change the world.”
Jerry continued, ‘My take home pay is only $900 a month. Do you know what this $90 represents?”
“About a 10% increase, right?” guessed Jim.
“No, no, no. You don’t understand at all” chided Jerry. “Each month after rent, car payment, food, bills, etc., I’m left with about $9 spending money that I can call my own. This $90 check increases my spending by TEN TIMES.”
That is the benefits of added value to something as simple as a $90 bonus check. Not everyone needs the big checks to get excited. Sometimes as leaders we forget how important the small bonus checks can be.
Why not incorporate the SPENDABLE INCOME concept into our recruiting presentations? Most people can relate to a small increase in spendable income.
Adding Value to a Company Opportunity
Where else is the benefits of added value good for Network Marketing? During the presentation.
How many times have you given a pitch perfect presentation only to have the prospect turn you down? Probably more times than you wanted.
We can correct that problem with the added value formula for presentations.
The added value formula for a presentation is simple. Add a dollar amount to all the benefits of your opportunity.
Anyone who knows me will tell you that I add a dollar amount to all the benefits of my opportunity. From the products to the services to the training to the all the things a prospect will get upon joining my business, I add a value added dollar amount and list them in the presentation.
For example, I put a dollar amount to the top selling 17 products of my business. I add another dollar amount to the replicating website the prospects get on joining. Value added services with an entirely different dollar amount is thrown into the mix.
When all the dollar amounts are added, the amount is several thousand dollars more than what the prospect will pay.
What happens when the benefits of added value for my products, services and training is added up for the prospects? My percentages of YES commitments to join my business or buy my products increases by 60%.
The Benefits of Added Value to Customers and Prospects
Want to know how to add value to your customers and prospects?
Set a cost for your opportunity and products that maximizes benefits where they will be willing to pay more.
Prospects and customers want to know if the money they are paying is worth it. If you build a dollar amount into all the benefits of the product and opportunity, your customers will be willing to pay your price.
Build in value pricing into manufacture of the products, price costs to grow the plants to make the products (f they are consumable products), costs to set up distribution centers, costs to build warehouses, price costs for the leaders to train the prospects.
This is known as COST-PLUS pricing… adding additional cost to the final products and opportunity.
Hope this helps you with how to increase added value. The benefits of added value to your products and opportunity will increase your YES commitments six-times more than your NO commitments.