Objection Handling

What is Objection Handling?

Objection handling is when a sales representative responds to the concerns of a prospect who has presented a reason not to buy the product or service you’re selling. Addressing and overcoming doubts and objections is a crucial skill for all salespeople. Ultimately, objection handling is a tactic salespeople use to convert prospects into customers by better understanding the challenges a prospect is facing that prevents them from buying.

Skip ahead: 

• Common Reasons Why Prospects Object to Sales
• How You Should Handle Your Objections
• Objection Handling Tips and Tricks 
• Using Surfe to Handle Sales Objections

 

Understanding the Basics of Objection Handling

Working in sales, you will inevitably have been met with your fair share of reasons why a prospect can’t buy your product or service. And you’ve had to use all the smarts in your arsenal to figure out the best way to handle these objections. It’s a natural part of the job, but let’s deep dive into how you can improve your objection handling techniques to convert more deals.

Persistence, Persistence, Persistence – Why do Sales Teams Handle Objections?

As the old saying goes, if at first you don’t succeed, try and try again. Imagine if you gave up at the first hurdle. How many sales would you be making? How much time would you spend trying to find another prospect who just might be interested in what you have to offer? 

The primary purpose of objection handling is to resolve the concerns of your prospects, so that you can move them further along the sales process. Once you’ve shown a potential customer that you understand their specific pain points, you are building trust that your offering is the solution for their business needs. More trusting prospects = more engaged customers = more sales. Simple, really.

How to Handle Objections in Sales

Ever feel like you’re riffing on the spot when a prospect presents a reason not to buy from you? Objection handling can be broken down into an easy four-step process to make it a smoother ride for you and your team.

1. Listen to the objection: Your prospect has all the information you need to know how to handle the objection. Take the time to actively listen to their concerns and ask open questions that can help you position your product or service as the solution. 
2. Understand the underlying problem: “We haven’t got the budget for this”, “Our senior team needs to sign off on all purchases”. These common pushbacks might sound like a dead-end. Think about how you can overcome them by suggesting a lower-priced alternative, or arranging a follow-up call with relevant stakeholders to help put your prospect’s mind at ease. 
3. Respond strategically: Be clear in how you can tailor the sale to the prospect. Are there alternative services you can provide or a more cost-effective package you can build to persuade your prospect to buy?
4. Confirm the resolution: Always provide your prospects with a clear plan of attack so they know exactly how you are going to provide the solution to their objections.

Common Reasons Why Prospects Object to Sales

60% of customers say no before they say yes to a sale. Sometimes, it can feel as though there is no rhyme or reason as to why someone pushes back on your sales proposition — “I need to consult my astrological chart”, “My boss’s boss’s boss needs to understand what this whole thing is about.” 

Just when you think you’ve seen all the excuses in the book, a prospect can surprise you with another rationale for why now is the wrong time to buy. But, in truth, the majority of objections often fall into one of the following categories. 

 

Price Objections

Possibly the most common reason a prospect will give for not being ready to buy will be budget. In fact, 84% of sales representatives outline that price is the most received objection from their prospects. This might sound like: 

• “We really like the product, but it’s just too expensive for what we can afford right now.”
• “Our budgets are really tight this year, we’ve only allocated £4,000 for this project.”

Suggested response: Think about how you can reduce the price by tailoring your offering to suit the prospect, can you offer them a lower-spec package? Does your business allow for loyalty discounts? Or can you suggest a trial run so that your prospect doesn’t have to commit to the entire upfront cost?

 

Value Objections

If your prospect has the budget allocation for your offering, they will want to ensure that they are utilizing their spend effectively. Often, you’ll need to clearly outline how your product or service adds value above and beyond your competitors or their existing solution. This might sound like: 

• “I don’t really see the value in this, how will it help us drive revenue?” 
• “How does this do more for our objectives than our current supplier?” 

Suggested response: Case studies and statistics are your silver bullet here. Think about evidence-based examples of how your product or service has helped existing customers solve their business challenges and prove the worth of what you’re selling. It’s also crucial to stay up-to-date with the competitor landscape so you can provide a direct comparison of your features against market leaders. 

 

Timing Objections

You’re making cold calls. The lead picks up the phone. You introduce yourself. They say, “Sorry, I’ve really not got time to talk right now.”

Oh no? Then why did they answer the phone? They do have time, but time is a trade off. They give you their time – what are you giving them? Make it clear immediately.

Timing is everything in sales. It doesn’t matter how great your offering is, how affordably you’ve priced it, or how desperately your prospect needs it. If the timing is wrong, you won’t secure a sale. A timing objection might sound something like: 

• “We love this, it feels like the perfect fit for our upcoming seminar series, but we’re not ready just yet to commit.”
• “We’re still hashing out the budget for next quarter, can you contact me again next month?” 

Suggested response: Nail down a time for a follow-up meeting that suits the timing needs of your prospect. Ensure that they have all the relevant information they need in the meantime so that you can focus on closing the deal when the follow-up comes around.

 

Authority Objections

On average, there are seven decision-makers involved in every B2B buying process. That’s a lot of stakeholders to manage and impress to secure your sale. So it’s likely that the prospects you’re talking to have other people who need visibility of the procurement process. The prospect might flag this objection to you like this: 

• “I really like this product, but I need to consult with my head of department to sign on the dotted line.”
• “I’m not the budget holder for this project. To get this across the line, we’ll need to get buy-in from senior management.”

Suggested response: Ask for a clear roadmap of who needs to be aware of the sales process, and who the ultimate decision maker is. Consider using a RACI chart to establish who sits where in the prospect’s organization and to speed up the back-and-forth.

 

Need Objections 

Perhaps the most challenging objection to handle is the need objection. How can you change your prospect’s mind to assure them that your offering will truly help them achieve their business goals? A need objection might sound like: 

• “Our current solution works just fine, why would we go to the hassle of switching?” 
• “We don’t really need this product at the moment, we’re hitting our objectives.”

Suggested response: Listen carefully to what the need objection is really telling you about the business you’re prospecting. Draw on your deep product knowledge to show the benefit of how your offering can add even more value to the prospect and their organization. Can you make their processes more efficient? Is your service proven to generate more revenue than your competitors? Case studies and statistics will also be vital here in articulating how you can better meet the needs of your prospect.

 

How You Should Handle Your Objections

Listen Carefully, Listen Actively

Focus on what your prospect wants and needs. Sometimes, a prospect won’t fully grasp why they are objecting to your sales pitch. Reference the types of objection in the section above to get a better understanding of exactly what the issue is, and ask the right questions to tease out the root cause of the issue. Often, buyers want to speak openly about the challenges they are facing, so that you can help them find a solution!

 

Show Some Empathy and Understanding

Attention all prospects, your feelings are valid. To show your prospect that you truly understand their concerns, you need to reassure them that what they are experiencing is common. You’ve heard the problem a dozen times over with various other customers, and you identify that these pain points are real. 

 

Clearly Explain Your Resolution

So, you’ve identified the root cause of the issue. Now what? How can your product or service offer the solution and how can you help your prospect justify the spend to their team? Take a solutions-led approach here, and clearly articulate what needs to happen next to alleviate the stress of your prospect. Perhaps you can offer an alternative, more affordable package, or you can put in a meeting with relevant budget-holders to bring them along the journey. Be decisive and direct in the actions you can take to move the sale along.

 

Confirm the Next Steps and Close

Much like that heart-stopping first date you had last week, never leave a prospect hanging. Check that the solution you have presented is suitable for all parties, and that you can proceed to the next step in the sales cycle.

 

Why You Need to Focus on Better Objection Handling

As a sales representative, it’s important to take on the role of trusted advisor to your prospect. By adeptly handling any objection that comes your way, you are building trust in the product or service you offer, and your status as a partner to the prospect’s business or organization. You are strengthening the relationship by showing that you have the specific expertise and experience to overcome specific hurdles and helping your prospect succeed by delivering against business objectives. 

If you can positively handle any objection from someone when they are a prospect, you are proving your trust and loyalty when they become a customer. Most crucially, effective objection handling can be the difference between a sale and a dead-end. By understanding the strategies and tactics, you can convert more sales and drive more revenue.

 

Objection Handling Tips and Tricks

Ready to up your objection handling game? We’ve outlined the best techniques to streamline your objection handling process and give you the tools you need to persuade more prospects to buy from you. 

 

The Feel, Felt, Found Method

• Feel: Employ some empathy and acknowledge how your prospect is feeling about the challenge they are facing.
• Felt: Share that other customers have felt the same way in the past. Your prospect isn’t going through this alone and it’s a common problem.
• Found: Clearly reference what existing customers found after choosing your product or service as the solution. 

 

The Boomerang Technique

Use the buyer’s objection as a reason to buy. For example, if your prospect states they cannot afford to buy your product or service, reflect this back with: “Can you afford not to buy from us, given how we’re proven to drive 30% more sales in engineering firms just like yours?”

 

The Direct Denial

Calmly but firmly refute any incorrect information about the product or service that your prospect believes to be true. Remind them of the facts of what you are selling and how it can help.

 

Using Surfe to Handle Sales Objections

Wondering how you can streamline your objection handling strategy to convert more leads and generate more revenue? Enter Surfe…

 

Data Access in Real-time

Surfe integrates LinkedIn with your CRM, so you can have real-time updates about your prospects at your fingertips. From acting as a job change tracker to ensuring you have the most up-to-date contact information, with Surfe you can effectively understand and address sales objections. No more endless hours of tab-hopping and trawling through the depths of your records.

 

Automatically Get the Inside Scoop

Get a comprehensive overview of what’s happening under the hood of your prospect’s business. Surfe enriches CRM data with relevant information so you can be sure that the records in your CRM are giving you all the firepower you need to handle any objections. With a 93% email find success rate, you know you can trust Surfe to provide you with better data. 

 

Keep Your Communications Consistent

Record and track all your communications, objections and how you have handled them with Surfe. From using personalized messaging templates to syncing them with your CRM, Surfe helps streamline your outreach so you can get smarter with your sales strategy.

 

Frequently Asked Questions (FAQs) about Objection Handling

Why is Objection Handling Important in Sales?

• Objection handling helps you build better relationships with your prospects by increasing trust and showing you understand the pain points in your market. It also helps you to convert more sales and generate more revenue.

What are the Most Common Objections in Sales?

• There are a number of reasons why a prospect might object to buying from you. The most common sales objections are: price, value, authority, timing and need objections. 

How can I Improve my Objection Handling Skills?

• Learn different objection handling techniques like the feel, felt find method, the boomerang method and direct denial. And always remember to listen to your prospect’s concerns to find the right solution.

Can Objection Handling be Learned?

• Absolutely! Like all things in life, a little practice goes a long way. Use active listening, show empathy, understand the root cause of objections, and learn different techniques to improve your objection handling skills. 

Can I Use Technology to Make Objection Handling Easier?

• Yes! There are a number of tools like Surfe which provide sales teams with real-time data and insights, making it easier to address pain points with the right data and insights.

Want to hear more about how we can help? Sign up for your free 14-day trial and see how Surfe can help you better handle sales objections for your business.