The Guide To

HANDLING OBJECTION

S

The Art of Powerful Pushbacks

Carl Rogers Criteria for Success Sales Advisor & sales

Manager

A Publication of Carl Rogers

Table of Contents

Introduction 3

Chapter 1: 5 Types of Objections 4

Chapter 2: Distinguishing Objections from Refusals 13

Chapter 3: When Do Objections Usually Arise? 16

Chapter 4: Identifying Your Biggest Objections 21

Chapter 5: Powerful Pushbacks 24

Chapter 6: How to Push Back Without Being Pushy 31

Chapter 7: I’ve resolved the Objection. Now What? 36

Conclusion 38

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Introduction

Dead in the water.

That’s how a sales objection can make you feel, especially when you don’t see it coming. Fear of objections can make things even worse—it can cripple your confidence going into a sales meeting, setting you up for failure before you begin.

The ability to overcome objections is a powerful skill that sets top performers apart from the pack. Top salespeople actually like being faced with objections—they understand that objections can help keep prospect conversations going, and can even reveal prospect needs that perfectly match the solutions the salespeople have to offer. A solid response toa challenging objection can establish credibility and authority on behalf of your company, increasing your chance of a successful close.

But how can we know in advance which objections our prospects will bring up? Though the potential varieties of objections might seem endless, they actually fit into a few standard categories. Once you master handling one pushback in a category, you’ll be able to respond easily and effectively to any number of variations on that theme.

This guide will help you identify the most common objections and develop strategies to overcome them. You’ll step into your next sales meeting knowing you’re prepared for anything.

If you’re done feeling dead in the water, let’s dive in.

Chapter

15 Types of Objections

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5 Types of ObjectionsAnd What They Really Mean

If you remember one thing from this guide, remember this: Things are not always what they seem.

What a buyer says is not always what they mean. It’s part of our job as salespeople—one of the most exciting parts, we think—to dig for what’s under the surface, and use what wefind to motivate our buyers. By asking open-ended questions and getting personal, we can uncover hopes, dreams, and fears our buyers might not even be aware that they have.

With this in mind, we’ve identified five main categories of objections that salespeople typically encounter. Nearly every objection you hear will fall into one of these categories, and learning what they are will help you prepare to respond effectively.

In this section, we’ll introduce you to the types of objections you’re likely to encounter and the underlying beliefs that come with them. How to respond—Powerful Pushbacks—is covered in a later chapter.

Here are the five categories:

1. Value/ROI

2. Urgency

3. Credibility

4. Lack of Pain

5. Lack of Authority

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“That Sounds Expensive.”UNDERLYING BELIEF:

“I’m skeptical about the value/ROI.”

When a prospect brings up budget as an objection, the underlying story is about the value or return on investment (ROI) they expect to receive from your product/service. Almost anyone will be able to find the budget for something they truly value—it’s your job to position your product or service in the “can’t do without” category.

The same underlying belief can also be framed in terms of an existing partner—if a prospect already has a vendor or partner in your space, they may have a hard time seeing the value of switching to someone new. Use this opportunity to learn about their current supplier and point out differences or advantages to working with you.

This Might Sound Like:

“I just don’t have the budget right now.” “We’re already working with

someone else.” “We have a partner we value.”

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You can do anything if you have enthusiasm. Enthusiasm is the yeast that makes your hopes rise to the stars. With it, there is accomplishment. Without it there are only alibis. – Henry Ford

If you are not taking care of your customer, your competitor will. – Bob Hooey

Build one-to-one relationships with your customers. Let your biggest fans spend lots on things they value.

- Nicholas Lovell

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“It’s Not a Priority.”UNDERLYING BELIEF:

“Your solution isn’t urgent.”

If a buyer hesitates or asks you to call back later, he or she likely doesn’t feel the urgency to move toward your solution. Since a solution like yours

might never have crossed hermind, it makes sense she doesn’t want to discuss it. Reroute this objection by asking about current priorities and using case studies to illustrate the value of your offering.

This Might Sound Like:

“I just don’t have time right now.” “We have a lot on our plate this quarter.”

“We’re really focusing on other parts of the business right now.” “Call me back next month”

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UNDERLYING BELIEF:

“Can You Handle It?”

“I’m not sure I trust your credibility.”

Small businesses and startups often face one particular objection: The question of credibility. When you’re just starting out, or are a small fish in a big pond, your prospects may react negatively to the fact that they haven’t heard of you. Big brand names spend millions on generating brand awareness for a good reason—people tend to trust companies they’ve heard of, and that often results in sales.

This Might Sound Like:

“I prefer to work with someone in our industry.” “I’ve never heard of you.”

“Why would I choose you over [larger competitor]?”

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“I Don’t Think We Really Need It.”

UNDERLYING BELIEF:“We’re not in pain.”

If a buyer suggests they don’t need your solution, the underlying belief is that they aren’t in pain— that is, they think the status quo is good enough. It’s your job to askprobing questions to uncover a pain point that needs immediate attention. It may sound daunting, but prospects are often more readily motivated by pain than pleasure— that is, prospects will often dedicate more resources to consequences than to opportunities.

This Might Sound Like:

“Sounds nice, not for us right now.”

“Well, what we have isn’t perfect, but we’re muddling through.” “We’re happy with the solution we already

have.”

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5“I’m Not Authorized.”UNDERLYING BELIEF:

“I’m not the decision-maker, and I’m not sure I’m comfortable referring you up.”

If your prospect pushes back by saying they’re not authorized to make purchasing decisions, you might be hearing a statement of fact, rather than an objection. Your goal in this case is not to dispel an underlying belief, but rather to instill confidence in your prospect to introduce you up into the organization.

This Might Sound Like:

“Let me run this by my business partner and get back to you.” “Those decisions are made at the corporate

level.”

“My budget is set higher up the food chain.”

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Chapter

2Objection or Refusal?

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Objection or Refusal?How to Tell the Difference

Sometimes, a prospect just won’t fit with your solution. Don’t stress! It’s better to figure that out early than waste time chasing an unproductive lead.

An outright refusal can actually be a gift – it lets you clean out your pipeline and focus on remaining deals with higher potential. Before you start pulling out your list of Powerful Pushbacks, use the three techniques below to determine whether you’re dealing with a true objection or a flat refusal.

Technique #1: Ask for feedback.

One of the best ways to weed out bad fits from your pipeline is to be up front about fit right from the start. Get in the habit of asking your prospects, “Would you do me a favor and let me know if it sounds like I’mpresenting a solution that doesn’t meet your needs? I want to make sure we’re making thebest use of both of our time.” This serves the dual purpose of communicating respect toyour buyer and giving them an opportunity to say “no” before you get too far down the rabbit hole.

If your solution isn’t a fit, it’s best not to force it. Know how to recognize an outright refusal so both you and your prospect can move on with your

“Would you let me know if it sounds like I’m presenting a solution that doesn’t meet your needs?”

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day.

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Technique #2: Do your homework.

The easiest way to tell an objection from a refusal is to really know your prospect. You should do enough research to know with reasonable certainty whether this prospect is a good fit for your business—or know the right questions to ask to determine fit. Analyze your best customers and list out their attributes. Make a baseline for a good fit—not meeting these criteria puts your prospect on the “bad fit” list.

Technique #3: Ask the right questions.

In a consultative sale, a selling conversation is as much an interview of the buyer as it is of the seller. If you’re not certain of fit, ask tough, pointed questions aimed at disqualifying your buyer. Remember, a disqualification is not the same as a lost opportunity—it’s cleaning out your pipeline to make room for more viable opportunities. Use your “good fit” list to determine the right questions to ask. At Criteria for Success, we’re interested in developing long-term partnerships with our clients. If a prospect indicates they’re looking for a one-and-done solution, it tips the scales for us in favor of disqualification.

You’ll also want to make sure you ask the right open-ended questions. Expressing a genuine curiosity in your prospect’s needs (rather than forcing your solution) will help you identify a good fit.

Chapter

3When Do Objections Usually Arise?

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When Do Objections Usually Arise?

Think Like a Boy Scout: Be Prepared

People don’t like to be sold, and your prospects are no different. It makes sense, then, that prospects often object at times when they feel as though they are being “pitched.” It’s these moments when a prospect can become wary of a salesperson’s intentions and focus his or her efforts on maintaining control of the situation.

Keep in mind that different objections usually arise during different stages of the buying cycle. Here are the four most common times a salesperson will field objections, as well as the best ways to combat them.

Cold-CallingCold-calls are tricky because they require pitching to a prospect out of the blue. As a result, most prospects will regard you as an interruptive salesperson and try to maintain distance in an effort not to be “bought.”

OBJECTION: During a cold-call, your first hurdle is usually related to credibility. By definition, the target of a cold-call likely won’t have heard of you and will be skeptical right off the bat.SOLUTION: Be prepared to quickly demonstrate your value and put your call in a context the prospect understands—for example, relate to their business or one of their competitors.

OBJECTION: A prospect may brush off your cold-call by saying they don’t have time to talk. SOLUTION: Acknowledge their objection and suggest you could call them back another time—or set up an in-person meeting. One approach is to frame an in-person meeting as the more efficient option, since it’s easier to

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discuss your solution (and address their objections) face-to-face.

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Human beings are natural mimickers. The more you’re conscious of the other side’s posture, mannerisms, and word choices—and the more you subtly reflect those back—the more accurate you’ll be at taking their perspective. – Dan pink

Don’t wish it were easier, wish you were better. – Jim Rohn

The questions you ask are more important than the things you could ever say.

- Tom Freese

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QualificationQualifying an opportunity is a chance for you and the prospect both to offer objections. You’ll want to make sure this prospect is a good fit for your offering, and be prepared to move on if signs point otherwise.

OBJECTION: For a prospect, a qualifying meeting or phone call is often the first real opportunity to learn more about your company and your solution. She may have particular concerns about value/ROI, credibility, and urgency.SOLUTION: You should be prepared to answer a lot of questions, as well as ask your own. By making a qualifying meeting a dialogue, you can tailor your presentation to suit your prospect’s needs.

OBJECTION: You may encounter prospects who have a say in purchasing decisions, but don’t make the final call.SOLUTION: You’ll want to make sure you set up a time to meet with the decision-maker before the end of the meeting. Never get off the phone without a next step in the calendar!

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Sales MeetingsDepending on whom you’ve already met, sales meetings can either be very smooth, or very unpredictable.

OBJECTION: If you’ve been dealing with the final decision-maker the whole time, your final sales meeting might focus on laying out how your solution could be implemented and discussing budget rather than overcoming objections. You’ll likely have addressed most objections already, but may have some pushback on timeline or budget.SOLUTION: While you might not face many new objections (especially not many in the “credibility” category), you should be able to discuss implementation and budget with the same levels of expertise. Have case studies, examples, and previous success stories lined up to draw from, and ask questions to demonstrate you have the prospect’s best interests at heart.

OBJECTION: Your original contact may have been a mid-level employee, which means that when you go in for the sales meeting, you may hear their manager’s objections for the first time.SOLUTION: You can probably expect objections from the manager to be similar to those you already fielded from her direct report, but don’t let your guard down—you should still be prepared to field objections in any of the five categories during a sales meeting with new faces.

Chapter

4Identifying Your Biggest Objections

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Identifying Your Biggest Objections

Experience is the Best Tutor

Most salespeople get the same objections over and over. If we don’t learn to properly respond to our most common objections, getting rejected can start to get demoralizing.

The first step to overcoming objections is to identify the ones you hear most often. This varies from salesperson to salesperson, so in order to understand your own, you’ll need to do a bit of self-reflection.

To do this, write down the objections you’ve encountered, then list out your responses and the outcome of the conversation. This simple exercise will give you a better handleon what is and isn’t working in your sales calls, and will help you know what to look out for going forward.

Another method is to get together with colleagues and brainstorm the 10-20 objections you hear most often, then come up with the best practice pushbacks for thoseobjections. Learning from and sharing with your colleagues is one of the most effective ways to improve your own performance, as well as the performance of your team

Write down your most common objections on the following page and learn from your colleagues’ experiences.

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as a whole. Keep your internal best practices in a shared space, like a Google doc or collaborative wiki, so the document can evolve over time.

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ExerciseTake some time right now to list a few of the objections you’ve heard recently. Group them by the categories presented in Chapter 1, and remember to phrase them as if you’re the prospect.

Category Objection

Don’t see the value/ROIEx: “That sounds expensive.”

Don’t feel the urgencyEx: “It’s not a priority.”

Skeptical of our credibilityEx: “I’ve never heard of you.”

Don’t feel the painEx: “We don’t need it right now.”

Lack of authorityEx: “I don’t make those decisions.”

Chapter

5Powerful Pushbacks

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Powerful PushbacksWhat to Say and When to Say It

Now that we’ve defined the categories of most common objections and identified a few of the objections we see in our day-to-day work, it’s time to focus on pushbacks.

A great pushback should guide the prospect toward discovering the value of your product or service. Just as the most common objections fall into five categories, Powerful Pushbacks map to those objections and fit five main themes.

1. Communicate Value/ROI

2. Establish Urgency

3. Demonstrate Credibility (using examples/success stories)

4. Probe for Pain

5. Set up Next Steps/Develop Champions

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Theme #1: Communicate Value/ROI.

If you’re faced with one of the first category of objections, your pushbacks should demonstrate the value of your offering, as well as emphasize the ROI your buyer will see. Many salespeople resort to discounting, rationalizing, or haggling in the face of a budget- related objection. Instead, take a step back and recognize this objection isn’t actually about how much your solution costs. Spend time asking probing questions to determine your prospect’s priorities, then frame your solution in terms of what your prospect does value.

When the objection has to do with the prospect’s existing supplier relationship, you should take a slightly different approach. Acknowledge the relationship positively, then probe—subtly introducing a distinction between the existing partner and your company.For example, “I’m happy to hear that! Could you tell me what you like about working with them?” or “What do you typically discuss in your monthly progress meetings with your provider?” That can lead to, “Oh, you don’t have monthly progress meetings? Wemake those a priority…” which can lead to, “Here are a few of the topics we cover with our clients…”

Salespeople are not needed to quote prices. They are the bridge between the selling price and the perception of value provided to earn the sale.

- Jeffrey Gitomer

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Theme #2: Establish Urgency.

Reluctant buyers need a little push to recognize the urgency of your solution. Using the strategies above to demonstrate the value of your solution can help, particularly if you can pinpoint where your prospect is allocating priority resources. Don’t expect to change your prospect’s mind right away, but do plant seeds about how your solution fits into or complements your buyer’s current strategy.

Keep in mind that some buyers simply won’t feel a need to buy right away. If your product typically has a long sales cycle, establishing a need may take longer, and that’s perfectly okay. Don’t pressure your buyer—set up a meeting to discuss it again a few weeks later.

“What would it mean to your company if you reduced waste by 15%?

What would it mean for you personally?”

Theme #3: Demonstrate Credibility.

One of the most powerful ways for new or small players to establish credibility is to bring prominent case studies that illustrate their added value and abilities. If you can’t name past clients directly, find an indirect way to suggest the size or importance of that client— for example, “A past client of ours, one of the largest accounting firms in the country, found our solution helpful for x, y, and z.” Make sure your examples include a statement of the problem your client faced, the solution you provided, and

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the concrete resultsof your work. The more specific, the better—“reduced waste by 70%” is stronger than “dramatically reduced waste.”

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Theme #4: Probe for Pain.

Pain is very personal, and a powerful way to move your buyer to action is to help them feel their specific pains. Using open-ended questions, uncover how a change in approach, a new product, or a new service might affect your buyer on a personal level. Questions like, “How would a failure to reduce waste impact your job?” followed by “How wouldthis affect you on a personal level?” may reveal—to both you and your buyer—hidden emotional pains that can prompt greater interest in your solution.

Theme #5: Set up Next Steps/Champion.

Your contact may not be the decision maker, but that doesn’t mean you should think of a conversation with him or her as a waste of your time. Be respectful, and acknowledge the value of your contact’s input. Develop a personal connection and nudge them to introduce you up to decision makers. And above all, don’t leave the conversation with your contact saying, “I’ll look into it and get back to you.”

Always set up a Next-Step meeting while you’re still on the phone, ideally to meet someone higher up the food chain. Treat your contact as your internal champion, and give them any information they might need to feel comfortable recommending you.

“I understand you’re not the final decision-maker. Is there someone else in the organization you would be comfortable referring me to?”

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ExerciseLook at the objections you listed in Chapter 4, and take some time to think of pushbacks you and your colleagues have used to respond. What reaction did you get from the prospect?

Objection Pushback Reaction

Chapter

6How to Push Back Without Being Pushy

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How to Push Back Without Being Pushy

Tips To Keep The Conversation Going

Fear of coming across as rude or pushy can often derail great salespeople from deploying powerful pushbacks to their buyers’ objections.

Here are some tips for how to stay calm and collected when handling an objection.

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Be Respectful.This might seem obvious—it’s something you should keep in mind in all parts of sales(and life!)—but it bears repeating. Be respectful to your prospect, as well as her objection. Acknowledge the objection as a valid concern, then present a soft pushback.

• “I can certainly understand that. Can you tell me more about…”

• “Absolutely, that makes sense. Have you ever thought about…”

• “That’s a great point, and actually a very common question people have about our solution. Let me tell you how …”

Keep the tone light and conversational, and be prepared to move on if the prospect stays firm. Come prepared with smooth transitions between questions so you don’t seem flustered. For example:

• “Sure thing, that makes sense. I’m also curious about…”

• “Absolutely, I don’t want to press you on it. What about…?”

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2Accept and Probe.Remember, every objection is founded on an underlying belief—don’t take what a prospect says at face value. Instead, ask follow-up questions to help you continue the conversation and identify areas where your prospect might have unmet needs.

Here’s an example of a weak pushback:

Prospect: “I don’t have the budget right now…”

Salesperson: “Oh! Well you’ll be happy to hear our solution is cheaper than the competitor.”

Prospect: “Okay, but I still don’t have anything allocated for this.”

This pushback was weak because the salesperson ignored the real problem behind this objection. As we noted earlier, when a prospect says she has “no budget,” she is not actually bringing up a budget issue—she’s saying she doesn’t see the value of what you offer. If this objection came up early in the call, you may have been trying to close too soon. Let the conversation run and identify a few pain points before bringing up budget.

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Now, here’s an example of a strong pushback:

Prospect: “I don’t have the budget right now…”

Salesperson: “I can understand that, a lot of us are budget-constrained right now. Can I ask where you’re allocating priority budget this quarter?”

Prospect: “Let’s see, right now our priority is getting more leads, so we’ve invested in an off-site lead generation service.”

Salesperson: “That’s great, those kinds of investments can really help you push revenue forward. How’s it working so far?

This pushback was strong because it kept the conversation open and positioned the salesperson as a curious partner. If a prospect indicates a priority budget area that aligns with your product/service, this gives you a good window to present a success story that aligns with their goals. If not, go back to your needs assessment and try to find a fit.

Successful people ask better questions, and as a result, they get better answers.

- Tony Robbins

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3Use a Success Story.One of the most powerful ways to present a pushback is by framing it in terms of a success story. Acknowledge that this is an objection you’ve heard before and explain how you helped a previous client overcome it. This strategy is particularly effective if you have an example up your sleeve from the prospect’s same industry—ideally, an example of improvements for their top competitor.

Prospect: “I’m not sure…I usually prefer to work with larger companies.”

Salesperson: “It’s funny you should say that, because that’s exactly what [recognized name of former client] said when we were discussing this solution.They actually found that, though we’re a smaller company, we were able to provide a level of service they’d never received from [big name competitor].”

Keep in mind that a strong pushback should be a statement responding to the prospect’s concerns, and should always be followed up by a probing question—a question that guides the prospect toward your solution or reveals more needs/pain. The word “guides” is particularly important here—you want prospects to discover your value, not have it shoved down their throats.

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The best salespeople know that their expertise can become their enemy in selling. At the moment they are tempted to tell the buyer what “he needs to do,” they instead offer a story about a peer of the buyer. - Mike Boswoth

The difference between a successful person and others is not a lack of strength, not a lack of knowledge, but rather a lack of will. – Vince Lombardi

Most people think "selling" is the same as "talking". But the most effective salespeople know that listening is the most important part of their job. – Roy Bartell

Chapter

7I’ve Resolved the Objection... Now What?

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I’ve Resolved the Objection...Now What?

Moving past an objection is important, but it doesn’t guarantee success. Often, recovering from an objection is like opening a window, but you may still have a long way to go before the door opens.

The easiest way to keep the flow of the conversation going is to have a plan going in. We recommend bringing a printed agenda with you to every in-person meeting—maybe even emailing a copy of your agenda to your prospect beforehand.

This will show your prospect you’re responsible, prepared, and professional, and will give you guideposts to help move through the meeting. You don’t have to say, “Alright, now we’re moving to Bullet Point Four in the Serious Meeting Agenda”— just keep the points in mind and let the conversation progress naturally.

If you find yourself or the prospect veering off course, it’s okay to gently guide the conversation back to the agenda. Frame itin terms of keeping the meeting “efficient and productive”—this shows the buyer that youboth respect their time and like to keep things organized.

Remember that overcoming objections doesn’t mean the sale is a sure thing. It’s possible that the stars won’t align and your solution won’t be a fit, but responding appropriately and persuasively to objections is a

“An objection is not a rejection; it is simply a request for more information.”

- Bo Bennet

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huge step in the right direction. Just keep in mind that the goal isn’t to close on every sale—it’s to close on every one of the right sales.

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Conclusion

Objections can be scary, but we hope this guide makes them less intimidating. The key to success in many fields is practice and preparation, and sales is no different—once youKnow your strategy, you can perform like a chess player, planning a few moves ahead and being ready for tough questions.