Some questions answered in Chapter 11 When do buyers object? What objections can be expected? How should salespeople prepare to respond to objections? What methods and techniques are effective when responding to objections? How do you deal with tough customers?

How do you feel when… someone interrupts you? someone causes you to start talking about a different topic before you’re ready?

Some kinds of objections are hidden Think back to the last time you raised an objection during a sale. Why did you do it? For the challenge – to make the salesperson work hard for the order. Because of a lack of interest – the salesperson did not qualify you or failed to help you identify a need. Procrastination – to avoid making a decision. Due to a drawback – the product did not meet your needs sufficiently. Due to misunderstanding – you may not have understood what the salesperson meant. Some kinds of objections are hidden

Think back to the last time you raised an objection during a sale Think back to the last time you raised an objection during a sale. Why did you do it? For the challenge – to make the salesperson work hard for the order. Because of a lack of interest – the salesperson did not qualify you or failed to help you identify a need. Procrastination – to avoid making a decision. Due to a drawback – the product did not meet your needs sufficiently. Due to misunderstanding – you may not have understood what the salesperson meant. Personal risk – making a bad decision could have damaged your reputation.

When do buyers raise objections? As the salesperson is trying to set up the initial appointment. During the salesperson’s approach. When the salesperson tries to use small talk. As the product is being explained. When the salesperson attempts to gain commitment. After the sale.

A salesperson is trying to sell you a brand new luxury car! List all of the objections you can think of.

Objections to buying a new luxury car The objections probably fell in five categories: You didn’t need a new car. You didn’t like the car. You didn’t like the company or the salesperson. You thought the price was too high. You needed time to think about it.

This would cost too much! You’ve been explaining a new service that would change the way your prospect’s company would handle a frequent problem. The prospect has been receptive, but suddenly says, “This would cost too much.” What should you do?

“The value does not exceed the cost! I’m not going to buy.” Exhibit 11.2 Improve co. image Benefits Hassle to switch $20,000 price Costs

“The value exceeds the costs. When can you deliver it?” Exhibit 11.2 Hassle to switch $20,000 price Improve co. image Costs Increase morale Reduce absenteeism; save $15,000 Reduce errors save $15,000 Reduce training costs; save $10,000 Benefits

Are police our friends?

Are police our friends? What if you’ve just been speeding?

Objections are our friends They help us know what is going on in the buyer’s mind. But they often come at the wrong time – just as we’re covering an important point. Even so, we should have a positive attitude about them.

Traits and behaviors of successful salespeople in responding to objections Exhibit 11.3 Develop and maintain a positive attitude about objections. Commit to always tell the truth. Anticipate objections and prepare helpful responses. Relax and listen and never interrupt the buyer. Address known problems before the buyer does. Make sure the objection is not just an excuse. Are sincerely empathetic to the buyer’s objections.

What is the difference between postponing and forestalling objections?

What is the difference between postponing and forestalling objections? Postponing an objection In an early part of a sales call, the buyer may raise objections the salesperson would prefer to answer later. The salesperson asks permission to answer the objection at a later time.

What is the difference between postponing and forestalling objections? Forestalling an objection The salesperson raises an objection before the buyer has a chance to raise it. Buyers are more willing to change their thinking when they do not feel they need to defend a position they’ve already stated.

Common methods for responding to objections Exhibit 11.4 If the buyer makes a statement that is factually not true, use: Direct denial Indirect denial Compensation Feel-felt-found Boomerang Pass-up Postpone If the buyer raises a valid concern or offers an opinion, use:

Responding to objections: direct denial From Exhibit 11.5 Buyer: “Your product’s quality is too low.” Response: “That simply is not true. Our product has been rated as the highest in the industry for the last three years.”

Using direct denial Direct denial should only be used when the objection refers to something that is of trivial importance to the buyer. True False

Responding to objections: indirect denial From Exhibit 11.5 Buyer: “Your product’s quality is too low.” Response: “I can certainly see why you would be concerned about quality. Actually, though, our product has been rated as the highest in the industry for the last three years.”

Responding to objections: compensation method From Exhibit 11.5 Buyer: “Your product’s quality is too low.” Response: “I agree that our quality is not as high as some of our competitors. However, it was designed that way for consumers who are looking for a lower-priced alternative, perhaps just to use in a weekend cottage. So you see, our somewhat lower quality is actually offset by our much lower price.”

Responding to objections: feel-felt-found method From Exhibit 11.5 Buyer: “Your product’s quality is too low.” Response: “I can certainly understand how you feel. Mortimer Jiggs felt the same way before he bought the product. But after using it, he found that the quality was actually superior to that of other products.”

Responding to objections: boomerang method From Exhibit 11.5 Buyer: “Your product’s quality is too low.” Response: “The fact that the quality is lower than in other products is probably the very reason you should buy it. You said that some of your customers are looking for a low-priced product to buy for their grandchildren. This product fills that need.”

Responding to objections: pass-up method From Exhibit 11.5 Buyer: “Your product’s quality is too low.” Response: “I understand your concern. You know one of the things I always look for is how a product’s quality stacks up against its cost. [Pause] Now, we were talking about…”

Responding to objections: postpone method From Exhibit 11.5 Buyer: “Your product’s quality is too low.” Response: “That’s an interesting point. Before discussing it fully, I would like to cover just two things that I think will help you better understand the product from a different perspective. Okay?”

How would you respond? You are interviewing for a job when the recruiter tells you, “I can’t hire you! You’re too young.” Provide an example of your response using each of these techniques: Direct denial Indirect denial Compensation method Feel-felt-found Boomerang Pass-up Postpone

What is your advice? You are helping a friend rehearse for a job interview. After responding to an objection, your friend moves on, without asking if you agree that the objection has been resolved. What advice would you give your friend?

Adjusting for social style How would you attempt to answer the objection, “Your new product will have more service problems than your competitor’s product” in each of the following situations? You are calling on an amiable that you have been doing business with for four years. You are calling on an expressive for the first time. You are calling on an analytical that bought one of your products three years ago but has bought nothing since then. You are calling on a driver who currently uses your competitor’s product.

Responding to objections: dealing with angry customers Think of the last time you confronted a salesperson or store employee because you were angry about something that had happened. How did the employee handle it? Were you satisfied? What could you have done differently?

Responding to objections: suggested steps Listen carefully – don’t interrupt. Evaluate the objection. Decide on the method(s) to use in answering the objection. See if their objection has been answered. 11-31

Price objections To help a prospect overcome his or her objection to price, the salesperson should carefully explain the seller’s costs and show that the price is fair in comparison to the costs. True False

Any questions about the terminology? Boomerang method Compensation method Direct denial Excuses Feel-felt-found method Forestall Indirect denial Objection Pass-up method Pioneer selling Postpone method Probing method Superior benefit method Third-party-testimony method Turnover (TO)