The Ultimate Guide to Sales Objections
Growth Marketing Firm, Jan 18, 2021 2:00:00 PM
You dial the phone only to be met with “I need some time to think about it,” “I like your solution, but I don’t think it’ll work for us,” or the stale closing “Just send me some information.” You’re facing a sales objection. Nearly every prospect has a hesitation or drawback that keeps them from signing on the “dotted line.” It’s called winning a sale for a reason, and buyer objections are a natural part of the sales process. How you approach the objection is can be the difference between gaining a new customer and losing an opportunity.
Where to Start
Let’s get into what a “sales objection” is:
“Sales objections are issues that prospects communicate to sales professionals as reasons why they can't buy a product or service from them. Objections aren't always hard "no"s, and they can sometimes represent opportunities for sales reps to clarify any misconceptions about the product or service to try to qualify the prospect and close the sale.” - HubSpot
These objections don’t mean that a deal is dead in the water, so let me provide you with some of the types objections that plenty of us in sales roles will face or have faced and some tips on how to best respond.
- Prehistoric Objection
- Price Objection
- Urgency Objection
- Authority Objection
- Trust Objection
A prehistoric objection is one that I encounter quite a bit as we look to work with established companies that may have not “modernized” their approach or are just gung-ho set in their ways. Prehistoric objections sound like “We’ve been doing it this way, and it seems to work” or…..” We don’t understand why we need to do that.” This may seem ok to them as they may have some success in the past, but as their competitors begin to embrace modern software and strategies, this will cause them to begin to lose that market share. Some tips on how to overcome these common prehistoric objections:
- Speak their language before you speak yours (construction industry vs hospitality industry vs SaaS industry are completely different)
- Provide some real-world examples regarding your evolution (I personally worked for an old-school advertising company with no modern tools, and now I work with an agency at the forefront of modern solution and software, and my production has grown exponentially)
- Clearly explain “why” and “how” they should change using a simple yet logical approach.
This is one that we’ve all heard quite a few times, I’m sure. Your prospect or lead is often weighing the “financial risk” rather than the “business growth reward”. The tips mentioned below are critical in keeping a deal alive or potential closing it:
- Lead with value, not pricing. Anytime someone leads with pricing before value, it’s going to raise red flags. Explain how and what you can do to help with their issues or goals before putting concrete numbers in front of them
- Do your math! What are their goals? i.e., leads generation, new customer generation. What will it take to take them from where they are to where they want to be? Find the gap!
- Bring up a broad price range earlier in the process. If they object early in the process, lean in on your value proposition. If they’re still stuck on price, move on and save yourself some time.
Yet another common objection I encounter quite a bit. Many businesses acknowledge that they have problems and big goals, but don’t understand the time and research required to properly structure a plan to solve the problems and reach their goals. Push back on their urgency objection with a few what/why questions:
- What happens if they don’t improve this part of your business within the next six months? Within a year?
- How does this affect your role?
- How does this affect you personally?
- What exactly are the cost and risk of that?
- What if the market changes?
Conversations are progressing, you’ve reached the proposal stage, and you’re hit with the dreaded ”Once I get approval from my Boss” or “I have to run this past my partners”. What do you mean your Boss? How does this tend to happen to quite a few people? The answer lies in mistakes made in the initial call and/or discovery call where the buying process and decision makers are absolutely 120% crucial to uncover. I’ve been guilty of it and I’m sure that plenty of you are as well! Don’t fret, there’s a few tips to embrace this mistake, ensure it doesn’t happen again, and keep the process moving:
- Schedule a next call where all decision makers will be attendance
- Turn your contact into a “champion” and provide him/her with the resources needed to be your best salesperson. Make sure they’re bought in and understand the different parts of the deal in order to influence the “real” buyer into a potential sale
“People do business with those they like, know, and trust.”
Trust objections are typical in cold prospecting situations where a prospect isn’t familiar with a company or in situations where companies haven’t spent enough time getting to know their prospect or lead. I’m not saying that you need to know every aspect of their business, but it’s good to be personable, empathetic and show them that you care.
A few quick tips to build trust from your prospect/lead:
- Do your research! Research the company, research their role, research recent accomplishments and business news.
- Be a resource and offer advice. Sales cycles with larger B2B companies are NOT quick so take your time and nurture your relationship with who you’re talking to.
Knowledge is the Power of SalesBook a Meeting
We’re all going to encounter various objections in our respective sales processes. The key to it all is how we respond to these objections and that will dictate if a deal crashes or closes! And once you know what is stopping the sales process, you can arm yourself with the right arguments that will tip the scale in your favor. Just remember that the key concept behind all these methods is knowledge. If you have done your research and homework and studied the competition, you will be able to overcome all of a prospect's objections.
Growth rule of thumb: Take a deep breath, react in a methodical way, and you will be well on your way to closing more deals. If you’re looking for more insights, you’re just a click away from booking a meeting with me!
Have other sales inquiries or are looking for more information or resources? Visit our website and that should do the trick!
Business Development Lead