Widget Wars: Quote Gouging and Tire Kicking
Most folks view a security system as something you can pick up at the local Jed’s Hardware Store. They get their education from an “educationologist.” A student’s (new prospect) goal is to learn, a teacher’s (your alarm company) goal is to inform and educate. An “educationologist’s” goal is to interrupt the process.
Your prospect receives the 1st half of their security education from some knucklehead who has an online webpage reselling security widgets, and they get the 2nd half of there education from www.topalarmcompanies.com ordering four FREE quotes from ADT, BRINKS, SONITROL, and APX Security, (And these big companies are giving the stuff away for free) and then they call you the local security dealer who mailed them a cool postcard, to compete against these five other sources of security information. And instead of you having the upper hand in the selling & education process, they already done got an edumucation online from five (5) other companies, they have all the answers and the new prospect is peppering ya with ridiculous questions. Are you selling a GE system…? A Honeywell system…?, Or a Brinks System… Is this a wireless or hardwired system…? Is your monitoring $32.00 or $34.95 per month, and will you through in a CO2 Detector…? Who owns the equipment…? How long is my monitoring contract for…? Shoot… these folks have all the questions, it’s kinda like trying to sell someone a whole life insurance policy, and that’s a tough sell!!
So these new prospects are asking you all sorts of rinky-dink questions about security systems and they are encouraged cuz they believe there suddenly a security expert, forget you, the local guy who’s been busting his nuts the last 20yrs installing high quality security systesms, and putting his hard earned knowledge in to every sales presentation. Security systems have become a commodity item just like “rice is rice” and the price of copper is universal based on supply and demand. Commoditization occurs when a good or service loses it’s differentiation across its marketplace, often by the diffusion of the intellectual marketing capitol. As such, security systems that formerly carried premium margins in certain markets have been commoditized. Like generic pharmaceutical prescription drugs and computer chips, they don’t have the same value now nowadays. Folks are encouraged to believe that security systems are commodities-which is exactly the reason why you should never advertise as a “installing the same old stuff as the other guy”, “Lowest Price Gu-ran-teed!!!”
Folks who believe they only need any old security company have no reason to call you for help because they can just call ADT, BRINKS, SONITROL, or Oh My God its APX Security Company. If you’re just a guy providing “a security install,” they’re going to treat you like a commodity, because to them, a security system is a commodity! When you advertise your rates as cheapest in town, as if you were running a gas station don’t be surprised when you attract “cheapskates”, ”tire kickers,” and “lookey-loo’s”…
Did you know best way to market your security business is not to market it as a security business???? Market your security biz as an “Educational Based Direct Response Security Company.” Sure, you want to market to home owners, and business who need your services, but you want to approach them about their security problems, agitations, their emotions, and the solutions that you can ONLY you can provide as a “security guru”. You want to keep the whole “price” conversation out of it. Remember, you are a solution provider, not a “door mat”!!
