Tips for SaaS Sales Objections uses our signature fusion of behavioral economics and positive psychology to better handle objections and win business, regardless of the funnel stage. Handling objections is one of the most challenging parts of any sale. Most seasoned sales reps have a signature way to handle an objection that always works for them. But it is 2021, and what you may have learned along the way, be it a metaphor or joke or a certain tactic, might not be as effective as some of these tips.
Yes, this implies that you would be changing your sales techniques, but when we are dealing with hybrid sales processes, new ways of communicating messaging and handling objections are critical. We recommend a process called AVR and will apply it to all objections. See what we did there, we handled your objection. Read on for our 2021 Pro Tips for SaaS Sales Objections.
Objection 1: Cost
It is too expensive. Usually objections relate to price, product, or trust. When it comes to cost, we have a standard formula for addressing all objections that is based on Motivational Interviewing and a concept called AVR. (If you want to learn more about this, please see our discussion here.) AVR stands for Acknowledge, Validate, and Respond.
AVR Cost Objection
Acknowledge and listen to what they are saying. You can repeat the concern back to them. Next, validate their concern and explain your pricing vs competitors. Lastly, respond. Your response can include why you have certain pricing, how the value works, and some case studies.
Objection 2: Competition
We are already using a competitor platform or software. We are used to a certain software. We have a process, and we are sticking to it!
AVR Competition Objection
Acknowledge the client process, and acknowledge the value of the competition. Disparaging your competition is a bad look. At Demo Solutions we are really against making anyone feel less than and that includes fellow coaches and training that we compete with. Everyone deserves a turn in the ring. Just listen, and gather the information they are giving. Validate the competition and the client process. Here you can rephrase what you heard and state reasons why for X number of years the competition was the leading solution, and compliment what they have done for the market. Lastly, respond with how you are different, how you solve problems in a way that is beneficial, address any objections related to changing such as onboarding. Include new information about how you can make a difference.
Objection 3: Gatekeeper/Decision Maker
Depending on where your sale is at, if you are outbound, inbound, or managing enterprise accounts. You will likely, at least once, in your career need to go through to the next person and pitch a few times. The objection that you are not pitching to the correct person or that you have to make it through to another person, but now is not the time, is a tricky one. Here is how we handle with AVR.
Acknowledge and listen to what the person before you is saying. Get onto their level and validate what they are saying, sure they may not be the decision-maker, but you want them on your side anyway and maybe just want to learn more about what THEY DO. Then respond and ask in their estimation, would it not make sense to use your solution? Guess what, they are not the decision-maker but why not have someone else who will be on your side of the deal. You are looking to win every conversation as you are looking to win a friendship. Get on the same page and in agreement on something. If you already can feel something is not a fit, then agree it is not a fit! This person could always move companies and someday you pitch them again, and this time it is a big deal.
Objection 5: Timing and Roadmap
Time is wrong, this solution and issue is not on our roadmap. Do not panic, but do not be overly optimistic. Even with handling this objection by the book, you might not get a sale, and we don’t recommend pushing. Why? Even if you think someone needs your product even though they don’t know it, you have to earn the trust to sell and permission. If they are not receptive, then try a connection on another level and then become a vendor who is not X out of the running for trying to push a solution no one wants.
Acknowledge and listen to what the prospect is telling you their reasons for not wanting to pursue a solution like this right now. Validate their explanation, whether or not you agree. Respond and gather more information for future reference. Always be discovering, even if you are not going to make a sale. Make a connection.
Final Thoughts: Tips for SaaS Sales Objections
Tips for SaaS Sales Objections is all about always be discovering and making connections if you can’t make sales. There is no shortage of sales objection handling that will tell you to try manipulative tactics, to disparage the competition, to go ahead and pitch anyway, but in 2021, what can it hurt to lead with empathy and connection? Consider how much change all of us have been through in the past year, personally, professionally, and globally, we are willing to bet that your prospects do not want to be manipulated for a sale.