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How high performers handle objections

Chicago Booth Review

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[1] 00:00- It turns out that there's a distinct difference

[2] 00:02in how high performers handle objections

[3] 00:04versus low to moderate performers.

[4] 00:08What I always say is objections are absolutely

[5] 00:10natural to the sales process.

[6] 00:11We should welcome them, but there's a

[7] 00:13distinct difference in how you should handle them.

[8] 00:16What high performers do is they

[9] 00:17start very counter-intuitively.

[10] 00:19They start with an encouragement and a question.

[11] 00:22Step one, encourage.

[12] 00:23Step two, question.

[13] 00:25Someone says, "Craig, your price is too high."

[14] 00:28A high performer will lead into that objection

[15] 00:30and say, "I totally understand, tell me more about that.

[16] 00:33"Is it a question of, is it just the expense level,

[17] 00:36"or is it versus the other priorities,

[18] 00:38"or versus the other possible solutions

[19] 00:40"that you might have available?"

[20] 00:43You're noticing these two things that go together.

[21] 00:44I'm encouraging to tell me more,

[22] 00:46and I'm asking you a question, I'm asking

[23] 00:48that person a question.

[24] 00:49Credibility and confidence is gained up here

[25] 00:52in these first couple of steps of the process,

[26] 00:54which is why high performers do this.

[27] 00:56We now can have a conversation, a bit of a dialog,

[28] 00:59I can get a little bit behind that prospect's eyes

[29] 01:01to understand, what is she seeing

[30] 01:04that is expensive or a problem,

[31] 01:06and start to get a little bit more context around it.

[32] 01:09The third step that high performers do

[33] 01:11is what great listeners do, and that's called the confirm.

[34] 01:14After we've had this back and forth

[35] 01:16and I've asked some questions, and I've encouraged

[36] 01:18and drawn that customer out, then I might say,

[37] 01:20"So, Susan, here's what I'm hearing.

[38] 01:23"There's a bunch of priorities.

[39] 01:25"The bucket of budget is spoken for

[40] 01:27"based on all those other priorities,

[41] 01:29"and what I'm suggesting just doesn't fit.

[42] 01:31"Is that what you're saying?"

[43] 01:32This is what good listeners do,

[44] 01:33it's called active listening, it's called the confirm.

[45] 01:36It's playing back what I've just heard.

[46] 01:37Tremendous credibility is earned in that moment,

[47] 01:41in that step of the process.

[48] 01:44Then, and only then, do high performers

[49] 01:46get to step four, which is what we

[50] 01:48call the provide, or the answer.

[51] 01:50This is where low to moderate performers often jump.

[52] 01:53When they get a pricing objection, for instance,

[53] 01:56which is the most common objection in sales,

[54] 01:58is why I use this objection.

[55] 02:00"Craig, you're too expensive."

[56] 02:01My immediate reaction as a low to moderate performer

[57] 02:04is, "Okay I totally hear you.

[58] 02:06"Let's talk about the ROI, because now Bill, Susan,

[59] 02:09"if you jump up to the ROI and you think about this,

[60] 02:12"the price in that context is actually

[61] 02:14"not as expensive as it appears.

[62] 02:15"Let's talk about that."

[63] 02:17That's fine as far it goes, but it doesn't earn

[64] 02:19me credibility, and it doesn't gain confidence

[65] 02:22in the prospect or customers' eyes.

[66] 02:24One, two, and three do.

[67] 02:25Encourage, question, and confirm.

[68] 02:27Then and only then do we go to provide.

[69] 02:29Then finally, just for thoroughness,

[70] 02:31the last step is, we call the check,

[71] 02:33which is after I provide the answer,

[72] 02:34we've had a little dialog about that, I might say,

[73] 02:37"Bill, Susan, does this all make sense?

[74] 02:39"Do you have more concerns about this,

[75] 02:41"or should we move on?"

[76] 02:42What in essence I'm asking is,

[77] 02:44are we still hung up on this?

[78] 02:47And if we are, I go right back to the top

[79] 02:48and start questioning and encouraging again,

[80] 02:51or if there's less concern about it,

[81] 02:53then we move on with our sales process.

[82] 02:55High performers handle objections much, much

[83] 02:57differently than low to moderate performers.

[84] 02:59They spend time above the answer

[85] 03:01really understanding what is behind the objection,

[86] 03:04what are the animating issues that

[87] 03:07may help them resolve that objection,

[88] 03:09and only then do they go to

[89] 03:10the provide, which is the answer.