What do you do when your job is to get sales over the phone, and the consumer has a problem with the price? Learning various strategies for responding to sales price objections and answers will help you save money on calls in the long run. Here are ideas for sales agents on how to respond to price objections on the phone.
When Price Becomes Relevant to Discuss
Successful sales agents often mention pricing at both the beginning and the end of sales calls. By saying price at the beginning, it sets expectations for prospects. Restating the price near the end of the conversation affirms the price.
Be aware that sales price objections are common during sales calls, and "no" doesn't necessarily mean "never." But at the same time, you'll need to handle sales price objections and answers in a diplomatic rather than aggressive way. It's an opportunity to learn what the prospect considers a deal-breaker, which is information that might be useful later when the product is improved.
Consider asking up to three questions about pricing to determine how much cost is the main issue. Be prepared to respond to any answer positively. If pricing turns out to be the primary objection, say something that lets them know you care about their feelings, such as "I understand, others have told me similar things."
There are ways to overcome price objections while maintaining a calm demeanor. But you don't want to spend too much time with the same prospect if they keep giving you negative signals.
It's more valuable to log sales price objections and answers to identify the prospect's interest level. You may learn from the conversation that the candidate has complaints that have nothing to do with price. The more you know about the prospect, the more you can accurately categorize them as a "hot," "warm," or cold lead.
Importance of Handling Objections Appropriately
One of the reasons many people don't answer their phones right away anymore is because they're tired of telemarketing calls. Most consumers know what it's like to get call after call from strangers trying to sell products and services. Perhaps the most annoying part is when the caller fails to listen to the prospect's reasons for rejecting the product.
Many consumers want their opinions heard because constructive feedback helps companies craft better products. It's important as a sales rep to customize solutions to sales price objections for each individual. The concept of one-size-fits-all marketing simply doesn't work in an age when consumers can easily do their product research online.
Dealing with sales price objections professionally is crucial in B2B relationships. In any type of strategy for getting prospects to respond to your messages, you must put yourself in the shoes of the recipient. People like to be treated like people instead of statistics, which is why prospecting is moving toward more personalized messages.
Ideally, the objection handling technique leads the consumer to arrive at a different conclusion and new understanding of the product. An effective bonding process for objection handling is listening, acknowledging, exploring, and responding (LAER). Some sales require qualifying the individual, which involves responding to the information they give.
Why Prospects Object to Prices
Be aware that people have different reasons for saying "not interested" in a product pitched to them over the phone. Here are some of the most common hidden reasons people object to unsolicited sales calls:
- They don't have the funds to make a purchase
- They might want the product but want a discount
- They simply don't like the product
- They've had a bad experience with the company or brand
- They don't like your voice or presentation
Developing Rebuttals to Objections
The key to getting past sales price objections is to provide customized responses for specific reasons prospects object to the price. You can write a script for yourself or other sales agents based on rebuttals designed to downplay objections. Using appropriate rebuttals can steer the prospect toward at least considering the product.
Letting a prospect know good reasons behind specific pricing is a core fundamental in overcoming price objections. Be prepared to share a case study that explains how the product helped people who initially thought they didn't need it.
Make sure your rebuttals altogether avoid condescending remarks that imply the prospect is out of touch with trends. That's a tactic that may have worked in last century's hard-sell era, but it's considered outdated now.
Steps to Overcoming Price Objections
Instead of responding emotionally to an objection, take a calculated approach that maintains a calm and friendly discussion. Never take rejection as personal. Follow these steps without resorting to aggressive sales pressure:
- Allow the prospect to complete their thought
- Pause for a few seconds
- Ask the prospect a simple question
- When the prospect is done speaking, ask a follow-up question
- Let the prospect know you understand by summarizing their position
- Ask for clarification if necessary
- Provide information about product value and ROI that diffuses their concern
By letting the prospect know you are listening to their concerns, you have a better opportunity for an extensive conversation. Instead of closing a cold lead, focus more on developing a relationship that can lead to future discussions. When you get to the heart of sales price objections, you may learn that the person simply isn't ready to buy "now" but might be open to purchasing in the future.
Useful Responses to Price Objections
You may not reach solutions to sales price objections in one conversation, especially if it's a B2B relationship. Know when to shift in and out of the sales process so that it doesn't appear all you care about is selling. Consider the following responses to handling sales objections:
- What are you comparing the price with?
- Explain why you think the product is too expensive
- Is it simply a product that doesn't fit your budget?
- Let's look at ways that might make the product fit your budget
- Is price the only issue you have with this product?
- Let's look at the value you can get from the product daily
- Have you ever bought this type of product before?
- When was the last time you bought something entirely based on price?
- I don't want you to miss out on this deal
Sales reps often succeed in handling sales objections when they focus on listening rather than talking. Whether you are cold calling or prospecting, you should consider each lead as long term. If you can't close them today, you might have better luck at a later date once the prospect becomes more familiar with the product.
Sometimes the best response to a price objection is silence. Let the prospect think about what they've said and give them a chance to explain why they object.
Finding the right solutions to sales price objections is part of a learning process for each prospect. Remember that many consumers already have shopping lists planned based on their research of online product reviews. That’s why you must listen to feedback from past customers with reputation monitoring software.
Maintaining a positive online reputation is now one of the keys to overcoming sales objections. Ideally, every call adds up to engagement that informs the consumer and plants ideas in their mind for future consideration.