Buy or Lease ???

Have you ever asked a prospect whether they wanted to buy your product outright or lease it and they told you to give them both options?

Then you asked them how long they wanted the lease for and they told you to give them the different options.

When this happens, either you didn’t do your job (if you are dealing with a decision maker) or they didn’t do theirs. (if you are dealing with an influencer)

You have a problem here that is much bigger than you know. Your prospect now has a decision that they are not qualified to make. You need to treat this situation just as would if they were not sure which of your products they felt best fit their needs. Continue to ask questions and don’t be afraid to ask the hard ones. First, you need to zero in on the cash purchase option and ask them if they have cash available / money in the budget to pay for the item(s). Ask them if spending that money will still leave enough on hand to cover any unexpected expenses or downturns in their business. Ask them if there is a better use for the money that may increase their sales, such as marketing or advertising. If they convince you that they are prepared to pay cash then remove the lease option from the equation and get them to agree to pay cash for whatever product they choose.

If the are hesitant to commit and convince you that they are more than able to pay cash you need to explain to them why most people lease. Go through all the benefits of leasing including the tax benefits, preserving cash, easy budgeting, etc.

Next, establish a useful life for the product. 3 years, 4 years, 5 years. How long have they used the product you are replacing? How long do most people lease for? Get them to agree on a realistic lifespan. This is the only term of lease you should quote.