I often see salespeople in various online groups asking how they should handle various objections, of which many of the time is about pricing. What I find is the five most common objections I see are pretty typical, no matter the industry or product.
Those five most common sales objections are; in first place, “I really need to think this over” then at number two, “this just isn’t the right time”, in third place”I don’t have the budget for this”, number four is “Your price is too high” and lucky last, in number five “I could get a better price from your competitor “ – ouch!
So those are the five most common sales objections and people in sales are always asking colleagues “How do I deal with these issues?”, well I am here to tell you that even though you may not like to hear it, I am here to tell you the truth. It is unquestionably the single best way to handle any of these common objections, so are you ready to hear it and learn? This may even change the way you consider handling any objections you get.
I’m going to reveal the very best way to handle and respond to these five most common sales objections. To recap, the five most common sales objections are (drumroll…) I really need to think this over, this just isn’t the right time, I don’t have the budget for this, your price is too high or I could get a better price from your competitor.
Now most sales people are asking what they should be saying when a prospect says this, however I’m going to show you something far more important. That is how to actually avoid hearing those objections to start with.
That’s right. The absolutely best method to handle these objections is to avoid your sales prospect stating them in the first place. You do this by encouraging your prospect to articulate the value of solving their challenges.
When you get them to do this, you then are guaranteed to avoid most of those objections from ever being said. I promise you, it’s true. Try it and prove me wrong. Start by getting the prospects main pain points or challenges on the table. Then you ask questions of them, in order for your prospect to then clearly articulate what is holding them back from success (in relation to whatever it is you).
This typically means if you sell things that help for operations or finance, things like marketing software or sales course, business finance or whatever challenges regarding that, be sure to help the prospect clarify those top three issues.
They need to be fully understanding exactly first what these issues are and then how they affect the organization and the individual.
Next, you then want to question them about the value in real dollars if they were able to solve those challenges.
Now, at this point you want to encourage large numbers, not little amounts. You will want to really dig into this and be sure to include things like the opportunity cost of what they’re losing right now as a result of not fixing those challenges.
Now I assume you can see at this point that this is ultimately helping the prospect articulate the value of your solution, without ever talking about your offering in any detail at all.
We don’t want to accept the first number that they state. We really want to get big numbers. You want to really push the prospect to be sure that they are fully understanding of the opportunity cost of not changing, of not switching, and of ultimately not working with you (although you would never articulate it that way).
The way for you to do this is by asking questions. Ultimately, the cost of their challenges should be at least ten times the cost of your solution. If you are unable to reach that ratio, you’re going to ultimately be in trouble when it comes to getting a sign off, regardless.
So now you’ve helped the prospect actually articulate that lost opportunity. If you did this step correctly, you’re going to dramatically avoid the vast majority of the common five objections that I stated at the start of this article. So now that you’ve created the value and you’ve gotten some dollars around it, now you have to reference back to it in all of your subsequent discussions.
Let’s just imagine the prospect still says your price is too high. Now don’t take it personally, they just haven’t thought this through properly. I suggest that you ask them in reply “Can you help me understand why you say that?”. What you want to do is you want to get a clearer sense of why they are actually pushing back. Don’t assume that you know why and then once you really understand, then reference back to the cost of the challenges that they mentioned.
You should say something like “You mentioned that the cost of this challenge was in the two million dollar range. Is that correct?” When they say yes, your response should then be something such as “So what do you feel would be a good budget to fix a two million dollar problem?”.
Yes, now I know some people are saying that could be mistaken as being a little too forward, however you will find master sales and business coaches all recommend that you often have to ask for the sale in cases like this. You can, of course, do it in a gentle way, however you have to hang in there and make that sale.
There we have it; the answer to handling the five most common sales objections in sales. Good luck!