Final answer:
Responding that you can match or exceed the quality the prospect desires is a constructive approach, building on the opportunity to showcase your product's strengths. Be mindful not to raise prices solely to signal quality in competitive markets, and focus on demonstrating value to justify your pricing.
Step-by-step explanation:
When a prospect expresses dissatisfaction with a competitor's product, it's an opportunity to highlight your own product's strengths. Instead of directly criticizing the competitor, you could respond with option (d) "We can match or exceed the quality you desire." This approach focuses on your ability to meet the customer's needs and shows confidence in your product without disparaging the competition directly.
Moreover, as noted in Chapter 8, while it may be tempting to raise prices to signal higher quality, doing so in a market with many firms offering a similar product could be risky. Customers tend to switch to competitors if they can get the same product at a lower cost, leading to a loss of sales. Instead, leveraging the perception that higher price may indicate higher quality, you could focus on providing substantial evidence of your product's excellence to justify any potential price difference.
Remember that price can often act as a signal of quality, especially when buyers are faced with imperfect information. Illustrating your product's value and providing transparent information could help in making a compelling case to the prospect.