Imagine this scenario. You’re on the phone with a prospect and the conversation is going great. You’re confident that this phone call will end in a sale and the weekend can begin early. But, as you’re about to say, “Let’s sign you up,” you get the dreaded response – “Not at this time.”
There are dozens of reasons why people decide not to go through with a sale, though it usually has to do with pricing, features, or the inability to implement the product or service. Rather than being caught off guard by these objections, be prepared for them. This approach allows you to anticipate those awkward goodbyes and turn hesitations into, “Where do I sign?”
Here are five common sales objections and creative ideas for handling them.
1. Your Product or Service Costs Too Much
Pricing is always a main barrier in sales relationships. Some people believe in having wiggle room with their pricing, but this can look shady to customers. If your price was just $39.99 per month and now you drop it to $34.99, how much is it really worth? Instead, show customers the value of your services. Outline your features and the benefits you can’t put a price on, such as peace of mind.
2. The Customer Lacks Time
Some products and services require time to get up and running, and this can scare customers away. It’s helpful to give a realistic expectation of how long it takes to implement your services based on previous customers. (Don’t underestimate time just to look good.) Also, how much time is the company wasting by not using your services? The lost time on the front end could be offset by the efficiency gained in the long run.
3. The Customer Has Never Heard of You
Consumers are extremely careful about who they give their business to. To avoid being burned, many will simply choose businesses they’re familiar with. If your company is small or just starting out, be prepared to deliver valuable information. How long you’ve been in business and your unique value proposition are important, but what matters most are previous customers, testimonials, and reviews.
4. Your Product Doesn’t Have the Right Features
It’s possible that you’re not a good fit for this customer, but it’s worth your while to learn about what features your product is missing. Over time, you might be able to add these features and reconnect with the customer. It’s also possible that your product can be used in conjunction with another product to deliver all relevant features.
5. Your Service Comes with a Contract
Buyers don’t like contracts. They worry about being stuck with something they’re not happy with. However, working without a contract is usually not practical. It’s not just about price but also establishing rules within the working relationship. To warm people up to singing a contract, go over it in detail, offer a trial period, and provide an incentive, such as a discounted or guaranteed price.
In some cases, a sales objection needs to be taken as a direct “no.” In other cases, you can address the hesitations the customer has and work toward a solution. If this allows you to close on a few more sales, isn’t it worth it?