Often, when selling, we think we need to compete on the things that matter to us; which is usually money. This often drives salespeople to want to offer discounts. However, as Tom Tunguz points out, we need to compete on the things that matter to the buyer, which is whether we can cure their pain or not.

However, explaining how you can address a pain point is a matter of communication. If you can get the buyer to understand a problem and then concisely explain the way to address it, you are a long way down the sales journey before you get in the room. From there, it should be a case of validating your product works as expected and talking through the pricing. 

Experienced buyers will sensibly squeeze on costs and giving salespeople the ability to give the buyer a "win" should be part of the pricing model. However, those discounts are part of pragmatic approach to sales, not a function of competitiveness. 

We often say "the client is not interested in your product, they're interested in solving their problem". However, the flip-side to that coin is they are also not interested in simply saving money (otherwise they would stop purchasing altogether), they are still just interested in solving their problem.