Demo Units

I'm currently working on a potential million dollar contract. 800k on the low end. They have requested a demo unit to make sure it will work with their applications. My boss says "sell them a demo unit". Is this a typical practice? Selling demo units to potentially very large clients. I'm still very much a novice and have only been in sales 1 year. This is by far the largest contract I've worked on closing. Of course, I want the sell, so I'm ready to hand over whatever they ask for (eagerly). A little background: They are in the beginning stages of this project and are most certainly looking at competitors, we're a smaller company that would flourish with this sell, it is not government related, and my boss is the founder and an engineer and doesn't have an incredible amount of sales experience either. Also, the value of the demo unit is approx $2500. Any thoughts? - by lrweeks1120
If the value of the contract is that much, they shouldn't quibble over a $2500 charge for a demo unit. Make sure you explain that you're only covering your business costs, not marking it up for profit. If they object, they're not really serious about the project anyway. - by PMItech
I guess my question is when they use the demo unit is it used up or worthless or unsaleable.

If it isn't I would let them use it after they signed an agreement that they are responsible for it or any damage.

If it is a one time use or not saleable after use then I would sell it to them.

I demo a $9295 that uses a $10 disposable. I make the account purchase the disposable piece and pick up the capital piece when the trial is over.

Good Selling!!!

Sell4alivn - by Sell4alivn
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