Sales objections typically arise in several key areas during the sales process. The first is when you’re trying to secure someone’s time during prospecting, attempting to schedule a meeting on their calendar and obtain a few minutes of their attention. The second occurs when you are delivering a presentation and seeking a commitment or decision.
It’s important to recognize that there’s no magic silver bullet that universally overcomes objections. Instead, objections are rooted in emotions, and when emotions take over, rational thinking often takes a back seat. The best approach when faced with objections is not to try to overcome them but instead, effectively deal with them.
Attempting to outright overcome objections is generally ineffective. Consider how challenging it is to convince a loved one, friend, or colleague that they’re viewing something incorrectly. Similarly, when prospecting for time, it’s crucial to assess whether you come across as someone worth listening to. Are your calls focused on your products, your services, or are you addressing the prospect’s needs and challenges?
Handling Sales Objections about Pricing
Objections related to fees, pricing, or comparisons with competitors are common. It’s essential to understand that objections don’t necessarily signal a refusal to buy. Prospects may present objections to test whether you are willing to adapt or make adjustments, especially in terms of pricing.
To effectively handle objections, we advocate the PAC method. The “P” stands for pause, providing a moment to collect thoughts and calm emotions. A well-timed pause may also encourage the prospect to share more information. The “A” is for acknowledge, expressing gratitude for the objection and validating the prospect’s perspective. People often feel upset when they believe they are not being heard. Finally, the “C” is for get curious. Understand the underlying motivations behind the objection and inquire about what the prospect is truly looking to achieve.
It’s crucial to avoid slipping into sales mode when confronted with objections. Whether seeking an appointment or responding to pricing concerns, maintaining a non-salesy approach is key. Resist the temptation to push back aggressively or launch into a sales pitch.
Dealing with Sales Objections about the Other Bank
Another frequent challenge relationship managers encounter is when prospects express loyalty to their current financial provider, citing years of satisfaction with their services. So, utilizing the PAC method; when a prospect declares, “I’ve been doing business with ABC Bank for X years, and I’m satisfied,” apply the PAC method. Pause, then acknowledge with a positive response like, “Thanks for sharing. I am grateful for our happy clients as well.” Next, get curious by asking questions. For example, inquire about the top two or three aspects that have kept them “satisfied” and loyal to the competitor. Is there a state beyond satisfied that they would be open to? If they could fix or change one thing, what would it be?
Use an approach like, “Mary, it seems you’re not ready to shift your relationship, and I understand. Could you elaborate on the key factors that have kept you with ABC Bank and contributed to your satisfaction?” Alternatively, express optimism for the competitor’s success but gently prompt with, “Mary, in a perfect world, what could they do or another bank do to take you from satisfied to ecstatic?”
Your goal is to position yourself strategically for future opportunities. Inquire, “Mary, what can I do to be your first choice if you encounter a problem that needs fixing that your current bank cannot address?” Once you gather insights, collaborate with Mary to create an action plan to stay in touch without appearing desperate. And remember, maintaining a robust pipeline ensures you can confidently address objections.
Addressing Sales Objections about Timing
What about an objection related to time – when prospects express the need to delay a project or a decision on a project? Timing is crucial, and learning about potential delays should happen early in the conversation. However, let’s focus on what to do when faced with the objection of needing to postpone a decision. It’s not an ideal situation, especially during a presentation meant to secure a decision.
Consider this perspective: aim to close 100% of your qualified opportunities. Closing doesn’t necessarily mean a positive decision; it means obtaining a clear outcome. Whether they accept your proposal or choose to stick with their current financial provider, closure is key.
In reality, many opportunities linger without a resolution. Deals seem like planes circling the airport without landing. When a prospect expresses interest but wants to delay, don’t settle for uncertainty. First, acknowledge their concerns. Then, inquire about the cost of inaction (COI). Ask them what will happen to their problems while they wait. Problems don’t usually vanish on their own; sometimes, they worsen. What could waiting cost them? Make sure and stay silent and let them answer those questions fully.
Dealing with this objection involves addressing the fear and hesitation that salespeople often carry – that inner voice urging caution. To quote Plato, “The first and most important victory is to conquer oneself.” Challenge the belief system that tells you to play it safe. Be a bit disruptive, respectfully questioning the consequences of delaying. Don’t be too quick to comply; rattle the windows a bit, get them thinking. When faced with a prospect wanting to postpone, ask why and explore the implications of waiting.
Remember, objections don’t necessarily mean a lack of interest. They might indicate it’s not the right time or a potential willingness to buy with certain adjustments. By employing the PAC method—pause, acknowledge, get curious - you can increase your chances of navigating objections successfully.
Company:
For 30 years, Anthony Cole Training Group has been helping community banks and other financial service organizations close their sales opportunity gap by helping them sell better, coach better and hire better. Utilizing science-based, data-driven research and working hand-in-hand with clients, ACTG evaluates the organization, the market, and current individual and company strengths. Our skilled and sales-experienced Sales Development Experts then help to align company strategies and implement customized Sales Managed Environment® framework that fosters sales growth and production. Our financial focus, customized programming, sales-experienced personnel, and owner’s perspective have made us the Community Banking source for revenue growth. Our Mission: Grow People, Grow Organizations.
