"The price is too high!"—this is the battleground foreign traders face every day. Don't panic; lowering the price isn't a rejection; it's a sign of a deal! Experienced foreign trade professionals will teach you how to use "soft tactics" to defuse hard bargaining and turn price wars into value wars.
Customers don't want a bargain, they want the feeling of getting a bargain . Once you understand this, your strategy becomes clear:
20% of customers: We are really stuck in the budget
80% of customers: testing the bottom line/not perceiving value
Case 1 : Mike, an American customer, complained that our hardware tools were 15% more expensive than in India. I responded, "The third compartment of the sample toolbox you received has a magnetic screw storage slot, a patented design (see diagram). Repair workers report saving 47 minutes per day searching for parts—the 15% premium is earned back in just two weeks." The customer remained silent for three minutes before placing an order.
Customer Talk : "Your price is too high, give me the best price"
The truth : The conditioned reflex to lower the price is like bargaining when buying vegetables
response :
1️⃣Value questioning method
“Could you share which specific part seems higher? Is it compared to certain suppliers?”
(Lock comparison object)
2️⃣Conditional replacement method
“If you can confirm the 40HQ order today, I'll apply for 3% loyalty discount”
(Exchange order volume for discounts)
Case 2 : Saeed, a Dubai-based customer, always cut his price by 15%. I suggested, "If you accept 100% prepayment, I'll give you a spare parts package worth 2% of the original price, in addition to the discount." He immediately accepted. It turned out he had sufficient funds but was concerned about after-sales service.
Customer Talk : "XX company offers 20% lower"
Steps to break the move :
Ask for details : “Appreciate your info! Could you share their offer details?”
Find differences : Compare materials/payment/warranty terms (e.g., “They use Grade A steel? We use aircraft-grade titanium”)
Evidence : Posted a test video: "Please see the hydraulic test: the competitor's product deformed under a load of 1.2 tons, while our product showed no abnormalities under a load of 2.5 tons."
High emotional intelligence speech :
"Their price for the basic model is attractive! But for your marine environment (customer pain point), our salt spray test for 2000 hours (data speaks) ensures 5 years of rust-free. Which one saves more?"
Customer Talk : "We'll order 10 containers if you match $8.5"
Special move :
✅Tiered quotation :
“Qty 1-5: $10.2, 6-10: $9.8, 11+: $9.3”
(Let the customer do the accounting themselves)
✅Cost transparency :
Here's our material cost breakdown (see chart):
Case 3 : A German customer threatened a 30% price reduction by ordering 5,000 units. I recorded a video of the factory production line : "The right side is the standard line ($9.5), and the left side is the food-grade cleanroom you requested ($12.3)." The customer ultimately agreed to $11.7—paying for compliance.
Customer Talk : "Our market price dropped 15%, you must adjust"
response :
🔥Cost reconstruction method :
“Let’s redesign packaging:
🔥Solution upgrade method :
"We recommend switching to new composite materials, which can increase the terminal selling price by 20%! We provide a marketing material package to help you promote it."
Customer Talk : "Accept 120 days L/C or give discount"
Steps to break the move :
1️⃣Calculate capital cost :
“Our financing cost for 120 days is 4.5% (bank interest rate attached)”
2️⃣Propose alternatives :
"If you change to TT prepayment of 30%, you can enjoy a 3.2% discount, which is 1.3% lower than your loan cost."
Case : A Turkish customer requested an extension of their payment terms. I replied, "If you accept LC at sight, a 5% reduction in the total price would save your company $2,800 in monthly finance costs." The customer's financial director approved the request immediately.
Customer Talk : "As an old partner, you should offer a better price"
Steps to break the move :
1️⃣ Gratitude + Data :
“Thanks for 8-year cooperation! Our defect rate for you is 0.2% vs. industry 3% (quality report attached)”
2️⃣Exclusive plan :
"Apply for the 'Old Customer Fund': 15% increase in annual purchases, 2% rebate + 1 month of free storage"
High emotional intelligence speech :
“You're on our VIP list! Just got CEO approval: Orders over $500,000 this year will receive a free replacement service (48-hour response).”
Customer Talk : "Raw material increased? That's your problem!"
Steps to break the move :
1️⃣Visual evidence :
Steel price trend chart: "2023-2025 increase of 37% (customer order timings highlighted in red)"
2️⃣ Shared responsibility :
"We bear the 7% increase, you bear the 3% and subsequent price drops will be prioritized."
3️⃣ Value substitution :
"Switching to a newly developed composite material, the performance remains the same but the cost is 8% lower"
Case : When shipping costs skyrocketed, the customer refused to pay the difference. I sent you a comparison chart:
- Left: Competitors cut corners and suffered 23% loss of goods
- Right: Our standard packaging + insurance for intact goods
The caption reads: "Do you want potato chip packaging or military-grade protection?" The customer remained silent and then paid the balance.
Never lower the price right away : First ask, "What's your target price?" (50% of customers will reveal their target price)
Discounts must be exchanged for conditions : prepayment/annual bill/waived quality inspection, making customers pay the price
Each concession decreases : 5% → 3% → 1.5%, and finally says: "I need to write a request to the CEO for this price..."
Customers press for price → Judge type → Request evidence → Reiterate value →
↙️ Really low budget → Promote simplified version/installment payment
↘️ False price pressure → Giving a “struggle discount” (e.g. “2% special approval, but a deposit must be paid today to lock in the price”)
The final truth : An industry expert revealed that a 60% price cut is simply a way for customers to test suppliers' limits. By insisting on using value propositions (certifications/patents/exclusive processes), customers often yield after three rounds of negotiation.
There are no winners in a price war, but there are no rivals in a value war. When customers pay for your solutions rather than unit prices, you are at the top of the food chain.