OBJECTIONS

• Concern or a question raised by the buyer

• Proper attitude can be shown by:
• Answering sincerely
• Refraining from arguing or contradicting
• Welcoming objections

10-1
 OBJECTIONS

• Salespeople must assume the attitude of:

• Helper
• Counselor
• Advisor
• Help identify:
• Sales opportunities
• Feedback about what is really on the prospect’s mind

10-2
 WHEN DO BUYERS RAISE OBJECTIONS?

• Setting up an initial appointment:

• Common when products, services, or concepts are
unfamiliar to the buyer
• The presentation: Objections show the prospect’s
interest
• Attempting to obtain commitment
• After the sale:Require careful response

10-3
 COMMON OBJECTIONS

Related to needs
• I do not need the product or service
• I’ve never done it that way before

Related to the product

• I don’t like the product or service features
• I don’t understand
• I need more information

Related to the source

• I don’t like your company
• I don’t like you

Related to the price

• I have no money
• The value does not exceed the cost
10-4
 COMMON 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

10-5
 EXHIBIT 10.2 - VALUE: THE RELATIONSHIP
BETWEEN COSTS AND BENEFITS

Note: If costs outweigh benefits, the decision will be not to buy. If benefits outweigh costs, the decision will be to buy.

10-6
 BEHAVIORS OF SUCCESSFUL SALESPEOPLE-
LAARC METHOD
• LAARC method: Responding to objections by:
• Listening
• Acknowledging
• Assessing - Validity of the objection
• Responding
• Confirming - That the objection has been answered
• Anticipate objections

10-7
 BEHAVIORS OF SUCCESSFUL SALESPEOPLE-FORESTALL KNOWN
CONCERNS

• Forestall known concerns

• Forestall: Prevent by doing something ahead of time
Behaviors Of Successful Salespeople
• Relax and listen, do not interrupt
• Evaluate objections or excuses
• Excuses: Concerns expressed by the buyer that mask the
buyer’s true objections
• Tell the truth

10-8
EFFECTIVE OBJECTION RESPONSE METHODS: 9

1. Probing method: Clarify prospect’s concerns and

ensures that sales people understand the objection
Effective response methods Blunder-
• Blunders occur when the salesperson:
• Does not understand the question
• Answers the wrong question
• Fails to fully answer the objection
2.Friendly silent questioning stare: Encourage buyers to
elaborate or explain fully what their concerns are
10-9
EXHIBIT 10.4 - COMMON METHODS FOR
RESPONDING TO OBJECTIONS

10-10
 EFFECTIVE RESPONSE METHODS

3-Direct denial: Salesperson makes a relatively strong

statement to indicate the error the prospect has made
• Appropriate only when the objection is:
• Blatantly inaccurate
• Potentially devastating to the presentation
• Should never be used if the prospect is merely stating an
opinion

10-11
 EFFECTIVE RESPONSE METHODS

4-Indirect denial: Salesperson denies the objection but

attempts to soften the response
• Salesperson must recognize the position of the customer
who makes the objection
• Then continue by introducing substantial evidence
• Beginning statement should always be true
• Assure prospect that the question is a good one

10-12
 EFFECTIVE RESPONSE METHODS

5-Compensation method: Acknowledging objections'

validity and then showing any compensating advantages
• Superior benefit method: Benefit of one attribute overcomes
concern about a less important attribute
6- Referral method: Relating how others found initial
opinions to be unfounded after they tried the product
• Known as feel-felt-found method
• Third-party testimony method: Proof of the
salesperson’s assertion in the form of a testimonial letter

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 EFFECTIVE RESPONSE METHODS

7-Revisit method: Salesperson turns the objection into a reason for buying

• Knows as boomerang method

• Saves the buyer substantial amounts of time or money
• Works with most personality types

8-Acknowledge method: Salesperson lets the buyer talk, acknowledges it and

moves on to another topic after a pause

• Known as the pass-up method

• Should not be used if the objection is factually false
• To be used sparingly

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 EFFECTIVE RESPONSE METHODS

• 9-Postpone method: Buyer raises an objection which

salesperson would prefer to answer later
• Seek permission to answer the question after the
presentation
• Useful when a price objection occurs early in the
presentation
• Salespeople lose more by making the buyer wait
• Better to answer questions when buyer strongly requests it

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 RESPONDING TO OBJECTIONS: USING EACH
METHOD
Direct denial That simply is not true. Our product has been rated as the highest
in the industry for the last three years

Indirect denial I can certainly see why you would be concerned about quality.
Actually, though, our product quality has been rated as the highest
in the industry for the last three years

Compensation I agree that our quality is not as high as that of 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

10-16
 RESPONDING TO OBJECTIONS: USING EACH
METHOD

Referral 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 equal to that of other
products

Revisit 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

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 RESPONDING TO OBJECTIONS: USING EACH
METHOD

Acknowledge 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 . . .

Postpone 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.
OK?

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 OBJECTIONS WHEN SELLING TO A
GROUP
• Get an idea of whether other buyers share this 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

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 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

10-20
 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

10-21
END