The document discusses various aspects of handling objections and closing sales, including: 1) Types of objections prospects may have like price, product features, and timing. Real objections can be addressed while hidden objections require more probing. 2) Techniques for handling objections like listening, repeating the objection, providing new information, and answering the objection directly. 3) When and how to close the sale, including looking for signs the prospect is ready and using techniques like direct closes, assumptive closes, and demonstration closes. 4) Potential problems with closing like fear of rejection or an inadequate presentation.

1. The Selling Process Objections and Closing the Sale L8 Prepared by: Brian Rutherford

2. Objectives Objections Why objections Types of objections Handling objections Closing the Sale When to close the sale How to close the sale Problems with closing the sale

3. The Sales Process Prospecting/ Qualifying Preapproach/ Planning Presentation Handling Objections Closing the Sale Approach Follow up Identifying Needs Identifying Needs

4. Introduction Many objections should be anticipated, raised, and answered by the salesperson The closing of the sale starts from the moment the salesperson greets the prospect (Source: Hite and Johnston)

5. Introduction When closing or answering objections, the chance of losing the sale is the greatest. Conflict can create a situation where no one wins When the salesperson loses the sales the prospect loses the potential benefits from owning the product or service (Source: Hite and Johnston)

6. Definition Objection- opposition or resistance to information or a request Closing- step in the selling process in which the salesperson helps the prospect make a decision about the product to conclude the sale (Source: Futrell)

7. Introduction What is an objection and how do you handle the objection?

8. Objections Why objections Types of objections Handling objections

9. Why objections? Why objections? Prospect may be afraid of purchasing the wrong type of product The salesperson should welcome objections The most difficult prospect to handle is one who says “no” and gives no reason Objections should not be taken personally (Source: Hite and Johnston)

10. Why objections? Anticipating Objections The salesperson should anticipating objections Objections should never be ignored Most of the time they should be answered immediately, but occasionally they should be put off If the objections is not answered immediately, the prospect may hear little of what else is said (Source: Hite and Johnston)

11. Types of Objections What do objections pertain to Real vs. hidden The stall The specific objection The price objection

12. Types of Objections Real objection- tangible With a real objection, the salesperson can show that the product provides the benefits necessary and is worth the price Hidden objections- when the object is not clearly state due to the prospect not wanting to clearly state it Usually the prospect will not purchase the product until the hidden objections have been handled (Source: Futrell)

13. Types of Objections The Stall 1) I’ll be back 2) I need to think it over 3) I need to bring my spouse Care needs to be taken because a stall could be a specific objection (Source: Huisken 173-174)

14. Types of Objections The Specific objection- Prospect telling you certain information that they are concerned with I am not sure about the color I need to measure The computer doesn’t have enough memory (Source: Huisken174)

15. Types of Objections What do objections pertain to 1) Price (discussed below) 2) Product 3) Timing 4) Source 5) Service 6) Need (Source: Hite and Johnston)

16. Types of Objections The Price Objection An objection to price is one of two issues 1) Value 2) Budget Many sales and profits are lost to the assumption that the objection is due to value as opposed to budget (Source: Huisken)

17. Types of Objections The Price Objection The price objection is often used in place of the real objection The prospect may be saying, “You haven’t sold me” If a salesperson reduces the price, this may or may not solve the problem The salesperson should show the true economic value of the product (show that the benefits outweigh the costs) (Source: Hite and Johnston)

18. Handling Objections Handling Objections Step One- Listen carefully, sincerely, with undivided attention Step Two- Repeat the objection back, in a slightly different form Step Three- Provide new evidence or information without offending the prospect Step Four- Answer the objection 1) convert the objection into a question 2) Use testimonials or third-party experiences 3) Use boomerang or positive conversion techniques 4) Use comparisons (Source: Hite and Johnston)

19. Handling Objections Convert the Objection Prospect: “Your price is too high” Covert the statement to a question Salesperson: “You have brought up a good question” or “Many people have the same question” Covert the initial statement or objection to a question Salesperson: “The question here is whether or not our product’s benefits are worth the additional costs, isn’t that correct?” If the prospect agrees, then the question can be answered If the prospect do not agree, then have the prospect restate the question (Source: Hite and Johnston)

20. Handling Objections Use Third-Party Stories Show that other people in a similar position have felt the same way Allow how they felt their solution (your product or service) was the best Use testimonial (Source: Hite and Johnston)

21. The Boomerang/Positive Conversion Convert the prospect’s objection into a reason why the prospect should buy (Source: Hite and Johnston) Handling Objections

22. Use Comparisons Best used when the prospect brings other products up Let the prospect draw conclusions (Source: Hite and Johnston) Handling Objections

23. What type of objection is this and how would you handle the objection? 1) I don’t think it is worth what you are asking 2) I don’t like the color 3)I am not ready to make a decision 4) You did not deliver our last order when you promised 5) I don’t need to take on another brand of breakfast cereal-we have plenty now 6) I thought the price of this was too high 7) It is really more than we wanted to spend Handling Objections

24. Closing the Sale When do you try to close the sale?

25. Closing the Sale (Introduction) Viewed as part of the total selling process that will naturally occur if the salesperson meets the desires of the prospect Close- a question or action by the salesperson intended to evoke a favorable decision from the prospect (Source: Hite and Johnston)

26. Closing the Sale (Introduction) When to close the sale How to close the sale Problems with closing the sale

27. When to close the Sale When to close the Sale Salespeople need to learn to recognize the clues when they occur 1) Facial Expression 2) Physical Actions 3) Verbal Comments (Source: Hite and Johnston)

28. How to Close the Sale How to Close the Sale Direct close Assumptive close Summative close Demonstration close Negative close Special concession close (Source: Hite and Johnston)

29. How to Close the Sale Direct Close- Asks for the sale Should not be used with insecure prospects Timid prospects Indecisive prospects (Source: Hite and Johnston)

30. How to Close the Sale Assumptive Close-three types 1) Fatal alternative-series of relatively minor choices that ultimately lead to the decision to buy 2) Open-ended question- assumes the prospect is ready to buy “ Would you like me to deliver this unit?” 3) Action close-the salesperson may simply write up the order (Source: Hite and Johnston)

31. How to Close the Sale Summative Close- summing up the benefits and recapitulating the points of agreement-thereby encouraging the prospect to make the decision (Source: Hite and Johnston)

32. How to Close the Sale Demonstration Close- demonstrating the product or equipment in actual use can be very effective Most effective with the cautious, deliberate type of prospect (Source: Hite and Johnston)

33. How to Close the Sale Negative Close- Normally used as a last resort Product shortage Price increases will follow Used on procrastinators or people who want to think it over indefinitely (Source: Hite and Johnston)

34. How to Close the Sale Special Concession Close- offering a price concession some additional piece of merchandise either free or at X off the price Additional case free for every x amount bought Can cause problems with repeat buyers Prospects may feel undue pressure Best used on procrastinators (Source: Hite and Johnston)

35. Problems with closing the sale Problems with Closing the Sale 1) Problems with the Prospect 2) Problems with the Salesperson

36. Problems with closing the sale Problems with the Prospect Prospects may be afraid to buy Industrial buyers often face greater risks that than the seller Industrial buyer must consider: 1) Judge the supplier in terms of reliability, capability, and value 2) Companies budget 3) Goals of the firm 4) Capabilities of the equipment being considered 5) Complying with regulations 6) The buyer’s personal reputation as an effective purchaser (Source: Hite and Johnston)

37. Problems with closing the sale Problems with the Salesperson 1) Fear of rejection 2) Wrong attitude 3) Talking too much 4) Inadequate presentation 5) Improper prospecting (Source: Hite and Johnston)

38. Closing the Sale Which type of closing technique is this and when is it most appropriate? 1) Shall I drop off a case tomorrow? 2) When would you like me to deliver this unit? 3)This is the last one we have in stock 4) This is a limited time offer 5)So what do you think, would you like to go ahead with the purchase? 6) “This home has a two-car garage, fenced yard, three bedrooms, is in the school district you wanted, and in the price range you are looking for. Should we make an offer? (Huisken)” 7) If you take it today I will give a surge proctor at no charge, but that is only for today

39. Advance Topics in Personal Selling After the sale Adding-on Saving the Sale (The Turnover) Other forms of closing the sale