We Help Service Firms GrowWellesley Hills Group ©2010 Don’t Take No for an Answer: How to Handle Common Client Objections John Doerr President Wellesley Hills Group

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|2 John Doerr’s 25-year career in professional services marketing and sales, includes experience as CEO and leader of professional service firms and consultant to some of the world’s leading organizations. John Doerr, President, Wellesley Hills Group Co-author of the book Professional Services Marketing (Wiley 2009), John facilitates numerous retreats and strategy sessions for professional service firms each year, helping them energize their business development efforts. John is also Founder of and contributing editor for RainToday.com. When not speaking or writing about professional services, John can be found on the basketball court playing with other aging professionals in OTH Basketball.

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|3 What We Will Cover Today Objections – An Overview Five Steps to Handling Objections Responding to Different Types of Objections Preparing for Your Next Conversation

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|4 Objections – A Definition An objection is an explicit expression, by a customer, that a barrier exists between the current situation and what he or she needs to engage your services.

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|5 Objections: Overview Your objective: Overcome the objection and make advances towards gaining commitment with the following caveats firmly in mind: – The close begins the relationship – Objections often have merit – Many objections take a process, not a quick verbal answer, to overcome

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|6 Poll Question What are the most common objections you encounter?

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|7 Four Types of Objections No trust – buyer has fear, uncertainty, doubt in the solution or you No need – buyer doesn’t see the value of the service No urgency – value may be appreciated, but not fully No money

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|8 Poll Question: Objections I Hear I have too many things on my plate right now – Trust? – Need? – Urgency? – Money?

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|9 Poll Question: Objections I Hear I do not have the budget – Trust? – Need? – Urgency? – Money?

We Help Service Firms GrowWellesley Hills Group ©2010 Five Steps to Handling Objections

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|11 Five Step Process for Responding to Objections Step One: Listen Step Two: Understand Step Three: Respond Step Four: Confirm Step Five: Continue

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|12 Step One: Listen Listen fully to the objection – Don’t interrupt – Don’t anticipate – Don’t become defensive – Do take a deep breath

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|13 Step Two: Understand Ask permission to completely understand the issue – Ask questions – Restate or clarify the objection – Make sure you get it right – Uncover the real objection

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|14 The Power of “What Else” What else is of concern (you are thinking “what else is standing in the way of our doing business together”) What else…. What else… When the prospect stops answering…that is the real objection.

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|15 Step Three: Respond Choose your response – Minimize – Answer immediately – Propose resolution process – Do not buy it back

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|16 Step Four: Confirm Ask whether your answer or proposed solution will satisfy the objection – Test your solution – Do not be discouraged by no – Don’t take yes for an answer immediately

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|17 Step Five: Continue to Commitment Continue towards gaining the next commitment step in your sales process – Clarifying need (aspirations and afflictions) – Uncovering impact – Advocating for your solution – Advancing the sale toward commitment

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|18 Summary: The Five Step Response to Objections Listen fully to the objection Ask permission to completely understand the issue. Choose your response. Ask whether your answer or proposed solution will satisfy the objection. Continue towards gaining the next commitment step

We Help Service Firms GrowWellesley Hills Group ©2010 Responding to Different Types of Objections

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|20 Responding to Trust and Need Objections Trust Need Strong Trust, No Need Action: Take Time to Explore Clarify Expected Results Articulate Value High Low High No Trust, No Need Action: Move on (usually) No Trust, Strong Need Action: Nurture Relationship and “Fit” Make Past Results Tangible Strong Trust, Strong Need No Objection… Move to Commitment

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|21 Responding to Money Objections Response Clarify your value proposition. – Best scenario – get client to clarify it for you Guidelines Often money is a red herring objection…“If money were no object…” Engage the money discussions at the right time Don’t lower price without altering service levels or deliverables – being arbitrary creates mistrust. You may be dealing with the wrong buyer – not high enough or not the economic decision maker

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|22 The Secret of T G B Time Goal Budget If money were no object…

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|23 Responding to Urgency Objections Response Create urgency. – Best scenario – get client to re-prioritize themselves Guidelines No negative implications of inaction are perceived by client Other issues are more important right now. – If they truly are, it’s probably bad timing to gain commitment. – If they aren’t, help the client re-prioritize.

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|24 The Big Question: What Won’t Happen? Ask yourself, “What won’t happen?” Ask the prospect, “What won’t happen?” Quantify the results Demonstrate the results

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|25 Responding to Incumbent Objections Response Express your understanding of the situation Get the prospect to speak about the current relationship Listen for the places you can add new or more value Guidelines No negative comments about the competition Recognize this may be a long-term prospect Discover the next buying cycle or buying process

We Help Service Firms GrowWellesley Hills Group ©2010 Preparing Your Next Sales Conversation

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|27 The Unspoken Objection Not all objections are expressed Anticipate and raise objections that may be “just under the surface” – But carefully balance the benefits of strengthening the relationship with the risk of complicating the discussion

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|28 The Improv of Objections Make a list – Which objections do you always hear? – Where might you be vulnerable? Prepare your responses –Practice with a colleague –Are you making excuses or proving your value?

10/8/2015 We Help Service Firms GrowWellesley Hills Group ©2010|29 Thank You – Questions John Doerr President, Wellesley Hills Group x203 The Wellesley Hills Group is a management consulting and marketing firm focused on helping business to business services firms to grow. We help: Build strategy Improve brand and reputation Generate and nurture leads Improve business development success Increase repeat business