VISHWANATH SAGAR S

18CBCOM105

Personal Selling & Salesmanship

ASSIGNMENT- 2

Q) Explain the common objection faced by the Salesman? Discuss the different objection
techniques.

Ans: The most common objection faced by the Salesman is as follows:

1. Product Objection: Sometimes prospects voice an objection as it relates to the product,

called a product objection.
• Comments such as “This isn’t as good as your competitor’s product” or “I don’t
want to take that kind of risk” are a reflection of a concern about the performance
of the product.
• For complex purchases, prospects may not fully understand all the functions of
the product due to lack of familiarity.
• Listening is an important skill to use, especially when a prospect voices a product
objection.
• It’s a good idea to handle product objections by describing warranties, using
testimonials, getting the prospect engaged in a product demonstration, or
presenting industry or third-party research to support your claims.

2. Source Objection: Some prospects voice objections about the company or about doing
business with you as a salesperson. This is called a source objection.
• While this type of objection doesn’t happen often, it does happen so it’s important
to know how to handle it.
• Source objections as they relate to the company may be voiced with comments
about the stability or financial health of the company or about how the company
does business.
• But this is an opportunity for you to help your prospect understand your
company’s strengths.

3. Price Objection: One of the most common objections is the price objection. It is
important to ask probing questions to really understand the nature of this objection.
 • Many prospects use the price objection as a negotiating ploy to determine how
much flexibility there is in the pricing, while others use it as a way to object due
to budget constraints. It’s best to always be prepared for the price objection. The
bottom line on the price objection is that people buy when they see the value
• . Cost (or price) is what the customer actually pays for the product or service.
• Value is the benefit that the customer receives from the product or service. It is
value that customers assign to a product or service that determines the price.
• Many salespeople believe that price is the barrier standing in the way of making a
sale. That is, they think that cutting the price will help them get the sale.
• Many times salespeople are willing to cut the price or a product or service when a
prospect objects because they feel that if the product or service is priced lower,
they will get the sale.

4. Money Objection: An objection that is related to the price objection is the money
objection, sometimes called the budget objection, which relates to the prospect’s financial
ability to make the purchase.
• While some budget objections are true, when the prospect really doesn’t have the
means to purchase the product or service, it’s important to avoid these types of
objections with proper qualifying.
• Like the price objection, this objection is also related to value. When prospects
can’t see the value for the price, they object by saying either the price is too high
or they can’t afford it.

5. “I’m Already Satisfied” Objection: Many times prospects will object with what is
called the “I’m already satisfied” objection (also called the need objection).
• This can be a more challenging objection than price because it might include a hidden
objection, an objection that is not openly stated by the prospect but is an obstacle in the
way of making the sale. In this situation, a prospect doesn’t state his concern about
making the purchase.
• Anticipation is best to avoid the “I’m already satisfied” objection. According to sales
maven Jeffrey Gitomer, engaging the prospect is key. He preaches that there is a huge
difference between customers being satisfied and being ecstatic and profitable. The secret
is in engaging the prospect and talking about the value that other customers have
received. According to him, when a prospect is satisfied with their current supplier, it’s
the perfect time to make a sale.
6. “I Have to Think about It” Objection: While the “I have to think about it”
objection might sound like an objection, it is actually a stall. This “objection” usually
occurs when a prospect isn’t completely comfortable with you and your product or
service.

• This is the classic stall tactic and is a signal for you to build your relationship.
Prospects usually use this objection when they are trying to mask some fear or risk
that they have about committing to the sale.

The different objection handling techniques are as follows:

1) Gratitude: Say “Thank You!” Always thank your customer when they put an
objection in front of you because this is an opportunity to address it and move on with
your deal.
• In fact, ask them about all of their concerns and objections right up front and you’ll
receive even more opportunities to turn the table to your advantage. Don’t forget, an
objection is better than a “no” because it gives you some place to begin the
conversation.
• I can’t tell you the number of times a simple thank you has helped to diffuse a
situation with an angry or upset customer and get me on my way to solving their
problem or getting them back on the happy train.

2) Empathize: Empathy is a way to connect with your customer on a personal level,

show you care and that you’re listening.

• All of us have had to say “no” at one time or another, and in business, you’re not always
speaking to the decision maker. Often times, they’re just the messenger so don’t shoot
yourself in the foot by getting defensive.
• After thanking the customer for bringing the objection to your attention, empathize in a
way that will help further diffuse the situation.
• For example: I hear this a lot, I’m sorry you feel that way, it sounds like this has been
very frustrating, I hear what you’re saying and I think I can help.
• By empathizing with the customer, they’re more likely to open up and share more.

3) Let the Discovery Begin: Now that you’ve begun to diffuse the situation, take your
time to uncover what’s really going on. Good customer discovery always focuses on
 asking open-ended questions. If the customer can respond with a “yes” or “no,” then
you’ve got to rephrase your question.

• This is a lot harder than it sounds and it takes practice to develop this ability. You can test
yourself at home or with a friend – have a conversation with someone and only ask them
open-ended questions.
• If you get stuck, just do what every 4 year old does and ask “why?” — you’ll be amazed
at how powerful that little question can be! Building rapport is equally important during
the discovery phase.

4) Ask, Probe, Confirm: Now that you’ve got the questions flowing, it’s important to
keep the conversation moving further and deeper. As the customer responds to your
open-ended questions, you should probe further by asking more questions about what
they’ve just said.

• If at any time you don’t understand something, ask them to clarify. A great example of
this tactic is when the customer mentions an acronym or other words specific to their
company or business process.
• Experts say that it takes at least 4-5 layers of questions to really uncover the pain or
nature of the objection.
• Take your time and keep asking questions until you truly understand the reason for the
objection and they’ve satisfied you’re curiosity. Finally, restate what you heard in your
own words and ask them to confirm that you’ve understood them correctly.

5) Show Them The Value: To keep your customer around for the long haul, they must
see value in your product or service. The purpose of good discovery is to understand
what’s important to them, why it matters, and what their business would be like
without your product or service.

• When you uncover a pain, your next step should be to quantify what that pain is costing
the business. If the customer continues to object or restate the same objection then you’re
not asking the right questions to align your value to their pain.
• Pain can cost a company in a different ways; lost revenue, wasted time, customer
satisfaction, employee turnover and more.
• By taking the pain point and expanding on it, the rep can then encourage the customer or
prospect to quantify the problem in business and personal terms thereby convincing them
that purchasing a product/service to resolve the issue is worth the investment.

6) Back It Up With Proof & Customer References: Now that you’ve gone through
steps 1-5, it’s time to back up your statements with industry research, customer
references or customer success stories to prove the value of your product or solution.

• For research, find out what analyst firms say about your industry or product and
incorporate this data into your conversations.
• Customer references are another great tool because those stories often represent a pain or
objection that was overcome with success