Usually negotiation is perceived as skill that enables you to make a bargain while purchasing an item. But at that time, you think are the only person negotiating to get what you want? Swap sides and you will realize that even the seller is negotiating to get his terms!

Sales Negotiation is an art of dealing with customers or clients to make a profitable deal.

And before proceeding with detail, we recommend you to understand the importance, click here to read our blog on the importance of sales negotiation skills in businesses.

Misconception about Sales Negotiation
Sales negotiation is NOT a tug of war on product price but a game of Chinese checkers where both want to achieve the best possible set of terms in the deal. Price is merely one of those numerous terms.

Ongoing Sales Exercise
The sales team has to identify and assess these objections and prepare strategies in advance to make more effective counter arguments. Moreover, as the nature of products as well as customers keep evolving, this has to be an ongoing process with continuous feedback from executives. On the contrary, approaching this as once in a while training exercise can lead to deterioration of conversion ratio rather than continual improvement.

Some Common Customer Objections, or rather Excuses

1. Budget Excuse
Perhaps the most common sales objection of budget excuses from the customers. The common phrase “the product is too expensive” is not always the price. The customer is unable to see ‘enough’ value against the price to be paid. Hence, the only way to handle this is explain the customer on how the features and benefits along with added value services will not only fulfill his need but deliver beyond his expectations.

2. Brand Excuse
When a customer wants to opt for a more established brand, it is simply because he is unable to trust your ability to deliver the product or solution. Hence, building trust is the key to avoid such objections and to do so along with brand awareness, the same competence needs to be reflected in everything that the customer sees in your team and company.

3. NO Need at the Moment
Perhaps the thickest objection wall, but this is not always true. Many times, when a customer says this, it is simply because he wants to buy time to explore some options that he has just come across. In such case, the sales team needs to develop a consultative approach to identify ‘what happened’ that changed the timeline. This will enable them uncover true reasons, handle objections and propose solutions accordingly.

Golden Rules for Sales Negotiation

• Uncover and understand the TRUE needs of customer! This allows make arguments that leverage your offerings in sync and relevance to the need or pain point of customer.
• Consultative Solution Approach! In todays world, everyone wants to buy but nobody wants to be sold. Hence, one has to make his position as a solution provider, rather than seller, in the mind of the customer.