9.1 Types of Sales Objections and Their Root Causes

Sales objections are a natural part of the selling process. Understanding the different types of objections and their root causes is crucial for salespeople. This knowledge helps you anticipate and address concerns effectively, moving the sale forward.

Objections can stem from various sources, including price, product features, timing, or trust issues. By recognizing these underlying factors, you can tailor your approach and develop strategies to overcome resistance, ultimately increasing your chances of closing the deal.

Types of Objections

Price and Product Objections

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• Price objection occurs when the prospect feels the price is too high or not justified by the value provided
• Can be due to budget constraints, lack of understanding of value, or comparison to competitors (Salesforce vs. HubSpot CRM)
• Product objection arises when the prospect has concerns about specific features, functionality, or quality of the offering
• May stem from previous negative experiences, misconceptions, or unfavorable comparisons to alternatives (iPhone vs. Android)

Source, Time, and Need Objections

• Source objection happens when the prospect has reservations about the seller, their company, or the channel of communication
• Could be related to reputation, credibility, or a mismatch in values or culture (purchasing from a startup vs. established vendor)
• Time objection surfaces when the prospect feels the timing is not right to make a purchase or commit to a decision
• Might be due to other priorities, ongoing initiatives, or a desire to defer the decision (waiting until next quarter's budget)
• Need objection comes up when the prospect does not see a compelling reason to take action or make a change from the status quo
• Can indicate a lack of understanding of their pain points, the solution's benefits, or urgency to address the issue (continuing to use spreadsheets instead of dedicated software)

Objection Sources

Authority and Trust Objections

• Authority objection stems from the prospect's lack of decision-making power or need to consult with other stakeholders
• May require navigating complex buying processes, building consensus, or convincing higher-ups (getting buy-in from the C-suite)
• Trust objection arises when the prospect has doubts about the salesperson's intentions, honesty, or ability to deliver on promises
• Could be due to past experiences, inconsistencies in communication, or a lack of rapport and credibility (overpromising and underdelivering)

Psychological Resistance

• Psychological resistance occurs when the prospect has underlying emotional or mental barriers to making a decision
• May manifest as fear of change, loss aversion, or a general skepticism towards being sold to (hesitance to disrupt established workflows)
• Can be rooted in cognitive biases, past negative experiences, or a desire to maintain control and autonomy (reluctance to admit a need for help)
• Overcoming psychological resistance often requires building trust, empathy, and a collaborative approach to problem-solving (positioning as a trusted advisor)

Objection Visibility

Hidden Objections

• Hidden objections are concerns or reservations that the prospect does not openly express or articulate
• May be due to discomfort, fear of confrontation, or a desire to maintain a polite or positive interaction (not wanting to appear difficult)
• Identifying hidden objections requires active listening, empathy, and probing for underlying issues (asking open-ended questions)
• Addressing hidden objections involves creating a safe and non-judgmental space for the prospect to share their concerns (acknowledging and validating their perspective)

Stated Objections

• Stated objections are explicit concerns or reasons the prospect gives for not moving forward with a purchase
• Can be related to any of the types of objections (price, product, source, time, need) or a combination thereof (citing budget constraints and timing issues)
• Responding to stated objections requires active listening, acknowledging the concern, and providing a relevant and compelling response (offering a discount or flexible payment terms for price objections)
• Effectively addressing stated objections can help build trust, demonstrate expertise, and move the sales process forward (sharing case studies or testimonials to overcome product objections)