Price & Cost ain’t the same
We tend to use the words price and cost synonymously. “What’s the price?” “How much does it cost?”
It sounds the same, but it ain’t the same.
Where you are and where you’re heading in life is dependent on if you’re lured by the price or factor in the cost(s).
you have price or cost mindset and if you’re not happy with where you are right now, it’s probably because you’ve only been looking at the price and not factoring the cost.
Price has burned you…but it’s also handicapped you too.
Price is the point of entry. Cost is the expenditure after the point of entry.
So you win a million dollars and the first thing you decide to do is buy a million dollar home. The price is the decision to buy the million dollar home, but the cost is not only the 30 year mortgage, but also the $15,000/ month it takes to maintain that million dollar property-& that’s if nothing breaks!
When the price seems pretty, the cost is ugly.
When the price seems ugly, the cost is pretty.
You see the $80 million contract the athlete signs, but what you don’t see is the costs associated to that $80 million contract. (i.e. forfeiting a childhood for decades of training, injuries, the risk of being cut, etc)
The price you pay to go to college is low, but the costs are high. With a tax return and a few signatures, you get the loan and voila you’re now a student. But 6 months after you drop out or graduate, they’re gonna want their money back with interest. The costs to get that 4 year degree may take you 7 or 8 years to complete, coupled with hundreds of late night hours, mixed with fear and uncertainty all with the understanding that you can’t ignore nor declare bankruptcy on the money that you borrowed. This is why many students call a timeout on the repayment by re-enrolling in more classes, notching additional minors because they didn’t factor in the costs after making the initial decision to go to college and they end up accepting a job just to pay the bills.
Now that you got a .50/hour pay raise you decide to treat yourself to that 80,000 mile big body BMW. The bank said yes so you did too, but what you didn’t factor in was the insurance and all of the luxury car maintenance that’s associated to that style of car. After a few maintenance declines, your happiness turned into a hooptie and now you’re left paying a note on a car that looks good in the driveway but now needs a motor.
Be wary of something that has a low entry point. When you’re lured by the price, you must factor in the cost. What you can pay vs what you can afford are two totally separate issues.
Sales has a low price, but carries a high cost. You literally go to work to fail. With more rejections than sales, mixed with the cynicism, long hours, few days off, and no guarantee of money will make even the strongest of men bail out.
The price of a business license is cheap, but the costs associated to run your business is huge.
The price of starting The Sales Life podcast was cheap, but the costs associated to it are large. Waking up at 4 AM and working on it every day before strapping into a 10 hour tension-filled day in sales is hard, but the costs are worth it to me.
Price is a decision.
Cost is the fuel that powers that decision.
Price has burned you, but it’s also handicapped you too because when you look at your life as of now and want to change…
You don’t….because the price seems too high.
“It’ll take me years to lose 100 lbs plus I don’t have time nor the money for a personal trainer.”
“I’ve been with this company 10 years, to start a new job is scary. What if I’m not good at it?”
“Yea, he drinks too much and is physically abusive, but he works hard, we have 2 kids, and a nice home so it’s too late to start over. ”
Keep this in mind when it comes to your life.
When the price (the point of entry) is low, the costs are usually high.
When the price is high, the costs associated to the high price will carry a maximum benefit.