What do you do when you have a prospect who wants your product but is tied into a contract and can’t get budget to make the switch now? I guess you have 2 choices, wait or come up with a creative solution so you don’t lose the opportunity.
Well, this happened today and my suggested solution was to forego the normal annual subscription in exchange for getting started now. Why not? I can either wait another year with no revenue and take the risk of something changing that would kill my deal or I can offer the service gratis (no revenue again) but have a new client and eliminate the future uncertainty. This is a viable strategy and one I have used over the years. You would think everyone would jump all over this but people are still not always able to make this decision without a clean break from the current relationship, so this idea requires some convincing.
Things to consider with this strategy:
Buyer
1. Have to convince the user base to invest time in a new product while using another
2. The buyer has to carefully manage the existing relationship during a transition
Seller
1. Resources are being committed with no current revenue
2. Assume risk of Buyer for future revenue
I still think the reward is worth the risk. What do you think?
“Brick”
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