Offerings & markets

Before you discount, find the decision you are trying to change

Practical thinking for owners and leaders of professional-services firms.

A concession needs a purpose

A buyer asking for a lower price does not tell you why the purchase is stalled. The issue may be budget, perceived value, scope, timing, procurement policy, or a competing priority. Each situation calls for a different conversation.

Diagnose before responding

Ask what would change if the price changed. Would the buyer be able to approve the purchase, or would another issue remain? Clarify the decision process and the alternatives under consideration. A lower price cannot solve a missing business case.

Make the trade explicit

When a concession is appropriate, identify what the business receives in return. A different scope, term, or payment arrangement may change the economics. The trade should be understandable to the customer and consistent with the company's approval rules.

Look beyond the headline win

Compare realized price and delivery requirements across similar deals. A higher win rate may not create a better business if margins or delivery capacity deteriorate. Finance and commercial leadership should agree on the measures that matter for the offer.

Use the next deal review

For one proposed discount, document the customer's stated reason, the decision it is intended to change, the commercial trade, and the approval owner. After the outcome, revisit whether the original reasoning was supported. That record is more useful than a discount percentage without context.