#94: A Simple Framework To Handle Objections

Read Time: 2 min

Today, I will share how to address and overcome objections correctly.

I’ve listened to many calls in which the prospect literally tells the founder what needs to be done to move forward. The deal falls through because the founder has limited experience addressing their concerns correctly.

Once you can read between the lines of what the prospects are trying to convey and address those concerns, close rates will go way up.

Absorb what is useful, discard what is not, add what is uniquely your own.

~ Bruce Lee

Here’s a good way to think about it. Let’s use the sport of boxing to frame the exercise of rebutting objections.

A boxer can throw four punches at you: a jab, cross, hook, and an uppercut. There are various combinations they can throw, but there are only four punches.

A boxer's job is to understand the different combinations that can be thrown at him, how to slip each, and how to counter with his own to lower the chances of getting caught and potentially knocked out.

As a founder, you need to understand the punches (objections) a prospect can throw at you and how to address them so you do not lose closeable deals and increase your chances of closing. A prospect will throw only a few different punches (objections) at you. You have to know how to rebut those with complete conviction.

Here are the 5 most common objections.

1. Too expensive / cheaper solutions

2. How are you guys different than competitors?

3. Timing is off / Not the right time.

4. Don’t think the problem is big enough.

5. Build in-house vs. outsource

There are 4 steps you need to understand to handle objections.

Step 1:  Acknowledge

Step 2: Isolating

Step 3: Pain / Solution

Step 4: Commitment / Close

Here’s what addressing the “Too Expensive” objection would look like.

1. Acknowledge

   • I understand your concern.
     
     

2. Isolating

   • Is budget the only thing that is preventing you from moving forward? Are there any other concerns?

If No: There are no other concerns, proceed to Step 3: Pain / Solution.

If Yes: You need to identify other concerns, each one, and use this cadence.

3. Pain / Solution

• Ok, on our previous call, you mentioned you were using three different pieces of technology and that your team needed a lot of bandwidth and resources to manage this workflow. Is that correct? (Pointing to the problem)
  

• With us, we are literally removing that bottleneck because our solution automates the entire process for your team. Not only do you no longer have to duct tape different pieces of technology together, but we are giving you and your team back all that time to focus on higher priorities and ship faster. And the effort required to manage this is pretty much nonexistent. We do all the heavy lifting for you. That’s why the investment might be slightly higher with our product because our execution is significantly better than any other competitors. (Directing to the solution)

4. Commitment / Close

• Now, let me ask you: If we could make this more economically feasible for you, would you consider proceeding?

If Yes: They would move forward, then offer them a better deal.

If No: They would not move forward, ask why.

Key Takeaways

1. Write down the most common objections you hear from your ICP.

2. Write out the rebuttals using the cadence mentioned above.

3. Master the delivery of the rebuttal.

That’s it for today!

See you all next week.

Darren

P.S. If you’re a Venture-Backed company interested in coaching, book a call here.

💡 How We Can Help