Managing Objections

 

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Regardless of how dazzling and complete your presentation is, the fear of making a mistake might cause your prospects to be doubtful and hesitant. You have to deal with their concerns before you can conclude the sale. Even if they respond abrasively, at least they are telling you they are emotionally involved and interested.

I. Objections often mean that prospects need more information. Asking questions and expressing concerns are how prospects gather information.
A. When prospects say, "I need to think it over," what they're saying is, "I am not yet convinced and need additional information to be certain of the decision."

B. If they say, "I need to talk this over with my banker, family, accountant (or any other third party)," they're actually saying, "I need approval and assurance."

C. Of course, the response, "I'm just looking or beginning to look" during your initial contact means they do not have enough information to make a buying decision.

II. Objections are your signposts.
This input from prospects serves as critical path markers, which you must follow. Whatever issues the prospects challenge are the most important to them and therefore to you.

III. Objections indicate interest.
If you receive no objections, then your prospects generally are not interested. They might appear unemotional, without responding to anything you say, or will comment, "Yes, it sounds great!" throughout the presentation. If prospects respond either way, you might be in trouble.

Objections Versus Conditions
There is a difference between an objection and a condition. An objection is nothing more than an unanswered question. Somewhere in your presentation, you either said something or failed to address an issue, leaving a question in the prospect's mind. It is fed back to you as an objection. The good thing is that it's something concrete that you can address and overcome.

A condition is an obstacle. Conditions are barriers or situations that prevent prospects from buying. For instance, prospects might not meet the financial criteria. Perhaps they must sell their home and cannot put adequate funds together for a year or more. Perhaps a prospect says, "I cannot make a decision without my spouse (or significant other)." In both cases, you cannot remedy these conditions, even with a brilliant presentation.

Objections Are Predictable: The Law of Six
The Law of Six states: Customers really have no more than six objections to owning a property in your community. Your job as a professional is to discover what the six common objections (that you hear consistently) are and then develop airtight responses. You cannot wait until you are involved in the presentation and then try to make up an answer. You must prepare a response in advance.

The Customer's and The Salesperson's Objections
Described above are the objections you receive from prospects. These objections are the easiest to overcome. However, there are also objections that salespeople create in their minds as to why customers will not own. These mental objections can be by far the most destructive.

Uncover the Unspoken Objection
Many times what prohibits the sale is the one final objection that is hidden by a series of small objections. When you are at the point where you sense that a prospect is hesitating and hiding behind a smoke-screen objection, say, "I sense a bit of hesitancy. Do you mind my asking what it is?"

Just Suppose …
With the "Just Suppose Close," you remove the final objection as the reason for not going ahead by offering conditional terms. Let's say you have arrived at the final objection and the prospect says, "I need to check with my banker." You reply, "That makes perfect sense. Before you speak with the banker, and to facilitate the transaction in a timely fashion, let's prepare the paperwork now, and we will make the sale subject to your banker's final approval. This way we can start the process, and if by chance the bank does not agree with your decision, then we will simply start over. That makes sense, doesn't it?"

Answer Objections in a Positive Manner
When you are offered an objection, remain calm and nonargumentative. Welcome the objection. You want the prospect to feel the freedom to object and to continue objecting until there are no more concerns. Respond, "That's a great question" or "Thanks for bringing that up." And then answer the objection.

Feel-Felt-Found
Another way of handling an objection is with the Feel-Felt-Found method. It's based on creating strong perceptions that you are understanding and empathetic. It also employs the closing technique of third-party testimonials. When the prospect says, "It's too expensive," you can respond: "I understand how you feel. I recently had a customer who was in a similar situation, and he felt the same as you. However, what he found as a result of owning one of our brand-new homes was that, although the price seemed initially higher, our service and warranties far outweighed the value our competitor could offer. Tell me, is price your only concern, or would reliable service and extended warranties also be important considerations?"

Six-Step Method to Overcoming Objections

Step 1: Hear out the objection.
Do not interrupt, but listen attentively to the entire objection. Although you might have heard the objection a thousand times before, it is the prospect's first time expressing his or her concern to you.

Step 2: Repeat the objection back to the prospect.
When the prospect says, "I want to make the developer/builder an offer," repeat it as a question, "You want to make an offer?" By repeating the objection, you are in effect asking for more information.

Step 3: Question the objection.
"Let me clarify my thinking or let me be sure I understand you correctly. If it were not for (objection), then you would proceed forward today? Is that right?" Remain silent and let the prospect answer.

Step 4: Answer the objection with your pre-planned response.
Once you're certain you have the whole story behind the prospect's concerns, you can deliver your pre-planned response with confidence.

Step 5: Confirm that the objection does not block the sale.
"That answers your question then, doesn't it?" Or, "That makes sense to you, doesn't it?" If the prospect is not satisfied with your answer, now is the time to know. You cannot move forward and close until you are certain the issues are satisfied. If the prospect is satisfied, move to step six.

Step 6: Close.
It is important to understand that handling objections and the closing occur together. You overcome the objections and then move to the close.

The Final Word
In the words of golfer Jack Nicklaus, "It's too late to practice your game on the course, during the match." Objections occur during the final minutes of the selling match, but that isn't the time for you to practice your responses. Plan ahead. Anticipate the objections, prepare your answers, and internalize and memorize your replies.

Next installment: Your Prospect Will Remain a Prospect Until You Close

Myers Barnes writes articles for many of the nation's top sales-related magazines and trade publications. Myers is also the best-selling author of Reach The Top In New Home & Neighborhood Sales [1] and Closing Strong: the Super Sales Handbook. [2] He is a nationally known motivational speaker and a consultant on new home and resort property sales. You may visit Myers' web site, www.myersbarnes.com [3] or reach him at his e-mail address sellmore@myersbarnes.com [4].