As a sales representative isn’t it very common to hear things like , “It seems quite expensive”, “ It’s beyond my budget” or “ I will let you know after sometime” from prospective customers? Does these statements really bring down your morale while selling your products or services? Do you feel that these are the main reasons why your sales queries do not get converted to numbers?
In the entire sales process, it is assured that there will be various objections that will turn up. Indeed the challenge intensifies ones you start having conversations with your prospects. It’s therefore important to identify the type of objection that can come up from prospects and know how to respond to them.
Sales objections can typically be divided in the following categories.
- Price or Budget
- Value of the products or services
- No authority
Overcoming sales Objections related to Price
If you receive price objections like “It’s too expensive” it is always advisable to take the following steps:
- Focus on Return on Investment instead of Price
Even if your product/service comes with a high price it will be good to explain the value with the product/service comes with. If the prospect is really intrigued, they will able to realize that the money they plan to invest will provide greater return.
- Ask the prospects how much they are willing to pay
If you can ask in return how much they are willing to pay, it might put the ball in their court to decide on a price point. This might not bear immediate fruits but will allow some time to negotiate.
Overcoming sales Objections related to competitor/relationships
It may happen that the prospect might already be talking to some of your competitors. They might, in that case, raise queries which might relate to the competition.
- Focus on the flexibilities instead of contract period
The prospects may come up and say that they would not like to be locked into a contract. In this case you may offer solutions like
- Transparency about the billing
- Provisions of getting out of the contract
- Different rates for longer period of contract etc.
- Ask for details if they are already into a contract with someone
Trying to get some details about the competitors and their offering after discussion with the prospect might get your work easier. You can then work on the offers, discounts or packages that may be offered to make the prospect become your customer.
- Not endorsing false statements about your product in the market
The best way to come out of this situation where is to calmly and confidently tell the prospect that the statement is not true. If required talk about the record and prove that the statement is false. But at this point it is also advisable not to talk down the competitors.
Overcoming sales Objections related to timing/resources
Another very common objection that might arise is the objection related to timing and resources. They may come up with objections like “I have no time/resources at present”, “Call me back later” etc.
- Lack of time/resources
It is but obvious that prospects will have other engagements and priorities to deal with. It will be at your advantage not to ask them “When will it be better to talk to you?” Instead a wiser way is to learn about their priorities as this might give you and opportunity to connect your solutions/products with their priorities.
It might happen that the prospects are trying to procrastinate the matter. They might really want you to contact them back later. It would be smart to ask them whether any changes are expected in their business or situation later on. This might help the prospect to open up about their current situation and what they may be working on. This information may be critical to coordinate their needs with your solutions.
Prospects might try to avoid you by saying that they are not understanding the product or whatever you are offering is not required by them.
- Not understanding the value of the product/service
Here again we have to bring out from the prospects what they are currently doing to understand their needs. Accordingly try to convince them how the product/service might be useful for them.
- Features of the product/services
Prospects may ask whether the product or service have certain X.Y,Z features or not. In this case it’s best to be honest and not bluff about the product. Instead ask them why are the X,Y,Z features important for them. It might happen that your product have features which might serve the same purpose, so that will become a good point to convince them and close the deal.
Overcoming sales Objections related to approaching the unwilling prospect
Many time sales executives come across prospects who are unwilling to disclose their details. They may come up with excuses like “I do not have the authority to deal with it”, “Just send me some more information”, “It’s just a fad” etc.
- No authority
When the prospect says that “I do not have the authority to deal with it”, the next step should be to ask that who the right person to reach out to is. Working out on getting their contact details might result in reaching the right person.
- Additional information required
This may be the most common objection wherein the prospect wants to get rid of the sales representatives by asking for more information. Asking for more follow-up questions like what problems they are currently facing, what information may be most useful will help you to keep in touch. Constant follow up is the key to deal with these objections.
- Non acceptance of the utility of the product/service
Sometimes prospects do not accept the utility of the product/service and consider them to be just a fad. In such cases, it will be helpful if customer reviews/testimonials, case studies, examples are provided to them. These will help you to close the deal.
In the process of sales, you will hardly find any sales happening without objections. Hence, it has to be considered as a part of the sales process itself. Thus, instead of avoiding these objection we should always find out the solutions to deal with them. The aforementioned tips may be helpful. Also at times, soft sells with a sense of urgency like offering a discount, some extra features provided for high volume sales etc. might work in your favour. The more you will deal with such objection, the more likely that you gain the prospect’s confidence and soon become a star at your performance. Also, not to forget that each of such objections is a set of unique learning opportunity by itself.