Selling Building Partnerships Chapter 10

Objection

is a concern or a question raised by the buyer.

The Goal is to Build Relationships and Sell Value

Proper attitude is shown by:

• Answering sincerely and honestly

• Refraining from arguing or contradicting

• Welcoming objections because they present sales opportunities

• Listen listen listen, understand and then HELP

• Salespeople must assume the attitude of helper, counselor, and adviser and act accordingly

The purpose of objections

Can be good because shows the buyer is interested or bad because it can hinder the completion of a sale.

Salespeople must assume the attitude of:

Helper

Counselor

Advisor

Help identify

sales opportunities

feedback about what is really on the prospects mind

When do buyers raise objections?

Sales can expect to hear objections at any time during the buyer-seller relationship.

setting up an initial appointment(When do buyers raise objections?)

common when products, services, or concepts are unfamiliar to the buyer

The presentation (When do buyers raise objections?)

Objections show the prospect's interest

Objections related to needs

I do not need the product or service

I've never done it that way before

Objections related to the product

-I don't like the product or service features

-I don't understand

-I need more information

Objections related to the source

I don't like your company

I don't like you

Objections related to the price

-I have no money

-The value does not exceed the cost

Objections related to time

- I'm just not interested today

- I need time to think about it

Other objections

- We have no room for your line

- There is no demand for your product

- I've heard from my friends that your insurance company isn't the best one to use

- I need a kickback to make it worth my time

- We can do business if I can see you socially

- It's a lot of hassle in paperwork and time to switch suppliers

LAARC method

Responding to objections by:

Listening

Acknowledging

Assessing - Validity of the objection

Responding

Confirming - That the objection has been answered

Anticipate objections

Forestall

Prevent by doing something ahead time

-means sale people raise objections before buyers have a chance to raise them

Excuses

Concerns expressed by the buyer that mask the buyer's true objection

Probing method

Clarify prospect's concerns and ensures that sales people understand the objection

Blunders occur when the sale person

Does not understand the question

Answers the wrong question

Fails to fully answer the objection

Friendly silent questioning stare

Encourage buyers to elaborate or explain fully what their concerns are

If the buyer makes a statement that is factually not true, use

Direct denial

Indirect denial

If the buyer raises a valid concern or offer an opinion, use

Compensation

referral

revisit

acknowledge

postpone

Direct denial

salesperson makes a relatively strong statement to indicate the error the prospect has made

Example of direct denial responds

“I am not sure where you could have heard that. We have not had a recall on any of our products for over 10 years. If you like, I can provide the data for you. Your source was mistaken.”

Indirect denial

salesperson denies the objection but attempts to soften the response

Example of indirect denial responds

“You are correct. My company has enjoyed tremendous success and we are thankful our customers have adopted our product. However, we pride ourselves on not missing order deadlines, and our customers will verify that. I will be working with my manufacturing and logistics department to ensure on time delivery of your order.”

compensation (counterbalance) method

Acknowledging objections' validity and then showing any compensating advantages

Example of compensation (counterbalance) responds

“I agree with you. My product is two-tenths of a second slower. However, please note that it also costs 25% less per unit than the product you are currently using… and has 10% fewer returns.”

Superior benefit method

Benefit of one attribute overcomes concern about a less important attribute

referral method (feel-felt-found method)

Relating how others found initial opinions to be unfounded after they tried the product

Example of referral method (feel-felt-found method) responds

“Our products are slightly more than the competition’s and I can certainly see why you feel that way. Other customers have felt that way at first. However, when  they take the time to examine my company’s higher product quality and improved customer service they have found  greater value….”

Third-party testimony method

Proof of the salesperson's assertion in the form of a testimonial letter

revisit method (boomerang or bounce-back method)

Salesperson turns the objection into a reason for buying

Example revisit method (boomerang or bounce-back method) responds

“The fact that the price is high is a reason you should buy because the price suggest that we are offering a quality product made of durable parts (be sure to discuss the specific aspects of this).”

Acknowledge method

Salesperson lets the buyer talk, acknowledges it and moves on to another topic after a pause

postpone (defer) method

Buyer raises an objection which salesperson would prefer to answer later

Example postpone (defer) responds

“I can appreciate your interest in knowing the price of the product, but I would ask you to hold off just a minute until I know a little more about your products requirements and determine which of our products best suits your needs….”

Objections when selling to a group

-Get an idea of whether other buyers share the concern

-Throw the concern back to the group

-Any response should be directed to all buyers, not just the one who asked the question

-Make sure that all buyers are satisfied with the answer

price objection

Most frequently mentioned obstacle

Don't lower the price as a first response

Use up-to-date information

Establish the value - Two step approach

Look at the objection from the customer's viewpoint

Sell value and quality rather than price

Dealing with tough customers

- Maintain a positive attitude

- If appropriate, point out the prospect's rudeness

- Buyer's culture dictates their response to a seller