The ultimate pipeline killer in every organization I have been a part of is the inability to overcome objections. You will hear all of the excuses why this particular time the objection cannot be managed, and the lost sale bucket gets another deposit that should have been in the bank account. Average sales people cringe when the objections start flying there way, looking for quick and dirty responses to try and close a sale. Sales Champions learn that if they have done their job to this point, objections become their friends.
Friends? Have I lost my mind? How can someone telling us that they have a problem with our offering be a positive? The simple answer is that objections are buying queues. A Sales Champion knows that if they have done their discovery, built a relationship, and is working with someone who truly can benefit from their offering, then an objection is merely a cry for help. The prospect is saying, “Figure this out and you have a customer.” The only concern now is how to handle this objection.
First let me state that while I use the phrase objection handling, and also overcoming objections, I do not particularly like these phrases. As coaches we want to develop problem solvers not quick thinkers with rapid fire answers to issues. When someone states an objection, concern, or issue, it is important to them. They are explaining to you that through critical thinking some questions arose around your offering. If your reps give the impression that it is not a concern, or quickly “handle” it with a standard and practiced response, they are belittling the prospect’s intelligence. Even if it is your team’s most common objection, and the answer is oozing from every poor of their body, show the prospect, the person they have gotten to know, that they intend to treat them with respect. Dig deeper into the concern, make sure that they clearly understand what the prospect is saying, have them repeat it back to them, and then determine if it is the only objection remaining. If it is, your rep should ask them if they can resolve it, is there anything else that can prevent the sale? If it is the only objection then “handle” it and say hello to a deal. Often, you will find the first objection is the major one, and there are little followers to that objection waiting in the wings. This is GOOD! It means your rep has an opportunity worth going after.
There are three primary types of objections that come in the developing stages of the relationship. Here is the advice to give your team:
1. Cost is an issue related to budget or perception – This objection is one of two things; the brush off, or a real concern about value. Most of the time the sales rep is tempted to drop the price. This is a bad initial course of action no matter the situation. Unless it is a matter of budget, what the prospect is telling you is that they do not think your product is worth what you are asking. If you drop the price, you are agreeing with them. In the price issue, you first have to determine why they think your product is of a lesser value. Is it competition? Is it because they do not really want or need it? Is it that they see the value, and they do not have the money? This last one is really rare, because if something is the right fit, more often than not, the company will find the money for the offering.
2. The offering does not solve their problems the way they want them solved – Here you have to look at what you have discovered they are trying to accomplish, and what you have outlined as the way to accomplish these goals. If you have done a good job explaining, investigate where you have missed thoroughly and reposition your offer. If you truly do not have the right tools for the job, it is your responsibility to walk away. Not every sale is meant to be, and if you did not disqualify someone as unobtainable early, it is never too late.
3. There is a competitor feeding them objections – You can smell these from the other side of town. Suddenly your prospect has question that only a user could bring up. They are speaking in industry jargon they did not know before. The only way around these objections is to answer them honestly and stick to your unique selling points (you do have them?). Focus on the original concerns and goals from your discovery. Often the objections created by competitors have nothing to do with the core goals of the prospect. Ask questions that poke holes in the competitors attack. Do so without actually talking about their products. If you are against a better product, you will have to have a better price, if you are against a cheaper product, you will have to have a better solution. By showing them your ability to refute and not retaliate, you are building relationship where others are tearing it down.
By building problem solvers you are creating a team of dynamic individuals that will deliver customers willing to work with you in the future. Dangerous are the sales that come with no objections or concerns. These people are more likely to jump from vendor to vendor as flash and glitz catch their eye. By providing solutions to the discerning buyer you are establishing trust. The team that solves the most problems wins the most deals and takes the most trips to presidents clubs. After all Sales Champions like to enjoy the fruits of success.
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While you say you’re not too crazy about the term “objection handling,” I actually like it because it sounds very similar to something I used to engage with when I wrote computer code for a living. After I was done engineering, I wanted to market/promote the company’s products.
Computer people deal with the concept of “exception handling.” This is merely a way of asking what to do when things don’t follow normal flow of execution. Exceptions may happen for a number of reasons, from external hardware malfunctions, to running out of memory, to a user pressing a special button either for emergency or simply to get an interesting operation to happen. Or a real-life interruption occurs.
Some computer programs are extremely unfriendly with their exception handling. The Blue-Screen-of-Death exemplifies that. Others are far nicer, e.g., even if an exception happens, you’re still able to save your work. And others note, yes, the exception needs to be acknowledged, and we can give the user several choices.
I used to say if you want your computer programs to run right, your exception handling must be exceptional.
I liked the C++ model of handling exceptions. (I also like the name of that language, it’s a reminder to be a cut above.) C++ lets you write parts of a program in a “try” section. You believe things will flow nicely there, e.g., setting up appointments, making presentations, etc. Yet as you’re trying things, you know an exception may always be raised by your client, their supervisor, their on-staff consultant, etc. C++ then lets you write a special section called the “catch block” where you sort and process exceptions.
Your choices in catching an exception include a) ignoring them, b) aborting the program or c) writing a custom handler that’s graceful.
I use the same model when preparing my sales calls. I have a block of things I want to try. Then I try to anticipate as many objections as I can. I put those in the “catch” block of my script. I never use the Ignore option, that’s a sure way to lose a sale. Some I just can’t do anything about and I tell them point blank. Many others I can customize for the client, either beforehand or on the fly.
I only wish more of my engineering friends would use the try/catch model in other parts of their lives, especially the one about handling exceptions known as “rejection” by potential dates.
At least in sales and marketing, we aim for success rates and graceful recovery (if we want to continue selling.) In fact, some sales that may look lost at one point can actually come to fruition when you write exception handlers unique to that customer.
Glenn,
Well stated! You have my blessing to contradict me at any time. Thanks for the incite.
