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The Secret to Overcoming the Price Objection

When you’re in sales, not a day goes by without hearing the dreaded price objection. Or is it really an objection at all?

OK. This is false advertising. There is no secret to overcoming the price objection. The truth is that the price objection cannot be overcome. That is because it isn’t intended to be overcome. It is meant to be resolved through thought facilitation by a salesperson. The salesperson’s role is to help the prospect work through the price concern as opposed to attempting to overcome it.

First, can we agree that it isn’t really an objection? It is a concern. I know that many sales books call it an objection, but it is not. It is an attempt by prospects to resolve financial questions in their mind. People want to feel good about decisions they make and that is why concerns are brought up.

The mistake many sales people make is that they think they understand the prospect’s concern when the price issue is initially raised. A fatal flaw, indeed! The truth is that the cause for this concern isn’t initially known. A myriad of possibilities could be causing this to come up now such as:

— Is it whether or not they can afford it?
— Is it that they saw a similar vehicle at a cheaper price?
— Or is it a salesperson being hyper-sensitive to the mere mention of price?

There are others, but you get the point. The bottom line is that without knowing what is causing the price concern, you can’t possibly help the prospect work through it.

Some other price concerns center on whether or not prospects can financially afford your vehicle. A good salesperson helps prospects recognize the alternatives available to them for financing the purchase.

In other scenarios, the prospect has seen the same vehicle, or a similar one, at a lower price. The customer’s mind tries to make everything into an easy to understand commodity. When I worked in vehicle sales, prospects would compare a fully loaded vehicle in black with a stripped down version of the same color. The comparison of the two was apples and oranges. A strong salesperson is able to explain the difference in a way that would lead the prospects to see the value in his.

The worst case is when the salesperson does not believe that his vehicle is worth its price tag. If this hits home for you, I highly encourage you to look to be somewhere else. If you don’t believe in your price, I guarantee you that no one else will either. If you believe that all sales ultimately come down to price, help me to understand this:

— Why doesn’t everyone buy generic drugs?
— Why do people buy bottled water when they can get it for free from the tap?
— Why doesn’t everyone drive a Yugo?
— Why are people buying satellite radio when there are plenty of good stations available for free?
— How come most people have cable or satellite television when they can get a dozen stations for free?
— Why isn’t everyone shaving with a single-blade disposable razor?
— Why isn’t everyone drinking generic coffee?
— Why isn’t everyone fighting to sit in the last row at the ballgame?
— Why do people even go to a ballgame when they can watch it comfortably for free in their living room?
— How did your dealership get any customers at all?

I think you get my point. Thus, you really do believe that people will pay more if they feel the purchase is worth the price. Maybe you can’t afford the product you are selling. That is a completely different issue. There is a great expression that goes along with that. “Don’t spend the prospect’s money.” You don’t belong in their shoes, so don’t put yourself there. You never truly know a person’s financial situation.

Look, no one wants to get ripped off. And everyone wants to brag that they got a good deal. So, if you can master the facilitation of the discussion around the pricing concern, you will inherently have more sales.

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