How can you negotiate with a customer for a product that is not yet available?

Its challenging to negotiate especially when your live product is not available, but a well defined strategy could help to generate better leads here- a) make your MVP ready atleast b) perform a comprehensive analysis of customer pain points and see if your product adresseses more than 80% of the needs c) create POV and showcase customer a tangible outcome d) demonestrate how fast ROI can be achieved e) should try with existing customers where you have a strong relatipnship and mutual trust f) ensure you have some penality clauses binded in contract g) provide pioneer group benifits h) overall an agreement designed and strategised in such a way that cusomer should not have more than 20% risk associated upon purchase.

In a startup setup, what you do is build an MVP, show the clients the MVP and if they are interested, you can proceed. For bargaining power, suppose it is a platform connecting two sides (like in Flipkart, the buyer and seller), pitch it to small players of seller side,after integrating a large number of small sellers, sell it to the buyer side. Now you have a leverage of disruption over the large sellers. I am talking only about innovative platforms. I have found this strategy applicable over a number of innovations.

Negotiating with a customer for a product that is not yet available requires a strategic and transparent approach. The master keywords are co-development, active listening and trust. 1) Be upfront about the current status , including development stage and estimated availability. - Better underpromizing than overpromising to maintain trust and credibility. 2) Focus on the unique features and benefits of the product, and how it addresses the customer's needs or solves their problems. 3) Offer Incentives for Early Commitment (pricing, exclusive features, additional services...) 4) Provide Assurances and Guarantees such as a money-back guarantee, warranty, or service support to build confidence. 5) Keep Communication Open with regular updates

The first step in negotiating for a product that’s not yet available is to deeply understand the customer's needs. This involves engaging in detailed discussions to explore not just their immediate requirements but also their long-term goals. In my approach, I focus on asking open-ended questions to uncover broader challenges they face and how our upcoming product can address these. Understanding their timeline, budget constraints, and key objectives is crucial in shaping the negotiation strategy.

Listening and considering the needs of the customer and giving them the exact software solution, which happens to be the upcoming Software Solution convince him.

It’ll be good to let the customer know the value and benefit of the product and stay open to them on the release date. Highlight the discount available to customers who preorder. Take note of the customer’s questions and preferences, which could server as feedback to the production team. Stay in touch with the customer and provide periodic update on the status of the product.

When the product is in the pre-launch phase, it's vital to communicate its potential benefits and advantages effectively. This includes discussing how the product will solve their specific problems, improve efficiency, or provide a competitive edge. I emphasize the unique features and innovations of the upcoming product and use prototypes, demos, or detailed roadmaps to make it more tangible for the customer. It's about creating a vision of the value the product will bring once available.

Dealing with objections and concerns is challenging, but if handling it in the right way, we can still overcome. As in my Saas experience, I often : + Share any available information about the product's development, expected release date, and improvements made based on customer feedback. Transparency can build trust and confidence. + If possible, provide alternative products or solutions that can meet the customer's needs in the interim. (Solution mind set is a must ) + Be realistic about the product's timeline and potential challenges. Clearly communicate any potential delays or changes in the release schedule. + Assure customers that training and support will be available when the product/ new function is launched.

Customers may have reservations about investing in a product that’s not yet in the market. Common concerns include uncertainties about the launch timeline, product performance, and support services. Addressing these concerns transparently is key. I provide as much information as possible about the development progress, offer guarantees or contingency plans, and demonstrate commitment to post-launch support. It’s about building trust and confidence in the product and the company.

+ Provide insights into the measures our company is taking to ensure a smooth launch. Share details about testing processes, beta programs, and any preparations made to address potential issues. + Emphasize the advantages of being an early adopter. This could include exclusive features, discounted pricing, or personalized support. Highlighting these benefits can offset concerns about potential risks. + Assure the prospect that our company is committed to providing extensive support and training resources. Knowing that there's a plan in place for onboarding and assistance can mitigate concerns.

Negotiating terms for a pre-launch product can be challenging but also offers room for creativity. I focus on crafting terms that offer value to both parties, such as flexible pricing models, early adopter discounts, or exclusive access to future updates. It's important to be flexible yet firm, ensuring that the terms align with both the customer's needs and your business objectives. Clear communication about delivery timelines, payment schedules, and any contingencies is essential.

Once the terms are negotiated, confirming the agreement with a formal contract is crucial. This should detail all aspects of the agreement, including timelines, deliverables, payment terms, and any special conditions. After the agreement, regular follow-ups are important to keep the customer informed about the progress and to maintain engagement. This helps in managing expectations and reinforces their decision to invest in the product.

This question will always exist and is always misleading. The question should be what can, and needs to be done now, and how can that experience be enhanced in the future. Jam tomorrow will always look better than something less today. Experience shows you waiting for jam tomorrow is a fools erand. Make the best of what you have, be transparent and plan for the future.

Establish a feedback loop. Developing a Customer Advisory Board (CAB) program and ensuring that both you and your clients are invested is critical to success. Gaining your clients' trust by listening to and collaborating with them creates the critical relationship required to negotiate for a product that is not yet accessible.