|
Home Page
The Company
Tom Reilly
Books & CD's
Training
Programs
Public Seminars
Articles
Articles from
Sales Bytes
Order Form
Contact Us
Bibliography
Tough
Times Report
Links
| |
Three Types Of Money Objections
By Tom Reilly author of Crush Price Objections (Motivation
Press)
”Your price is too high!”
What is the buyer really saying? There are three types of money-based objections
that look similar but are significantly different. This means there are
different ways to respond to these objections.
The first type of money objection is the price objection. This includes a lack
of money, insufficient budget, or low expectations. This is also known as
sticker shock. A lack of money or low expectations does not mean your price is
too high. It means the buyer doesn't have the money or budget or they didn't
know what to expect. Your job is to help them find the money or correct their
expectations.
The second type of money objection is the cost objection. Generally, this is the
outcome of an internal campaign to reduce costs. Purchasing agents may interpret
this as getting a cheaper price from suppliers. Your job is to identify how
customers squander money with their existing systems and demonstrate how your
solution provides a more cost-effective way to address their needs.
The third type of money objection is the value objection. The buyer may not
understand your value or the difference between you and the competition. Your
challenge is to reiterate your value added or differentiate your solution from
the competition.
Before you answer a price objection, give yourself the benefit of a
well-thought-out response strategy. Can you help the buyer find the money? Do
you need to cost-justify your solution? Does the buyer need more information,
especially why your solution is better? Never assume your price is too high just
because someone else has that opinion.
|