One of the most common types of sales objections you’ll encounter as a sales professional is a pricing objection. So if you’re in sales for the long haul, it’s essential that you hone your craft and master the price objection. Price objections come in many different forms and here we will discuss sales tips for overcoming five of the more common ones.

1. The value objection.

In cases like these, the prospect doesn’t understand or appreciate the value of the product or service you are offering them. This is usually due to a miscommunication of the benefits you are offering them. The best way to handle this objection is to review how your product or service will benefit them by saving them time and money. Illustrate specifically how they can expect to see a return on their investment.

2. The comparison price objection.

Prospects are keen to compare your offerings to the competition. However, make sure that they are comparing apples to apples. The key to overcoming this type of objection is to know your competition. Once you know your competition, you’ll be able to better illustrate the differences between your offerings and build further value in your solution.

3. The competition is offering a lower price.

Like the comparison price objection, you’ll need to know your competition to overcome this objection. Knowing your competition doesn’t just mean understanding their offerings, it also means keeping abreast of any developments that might affect your business. Once you know what they are offering your prospect, you’ll be better equipped to illustrate how your offerings are a better value.

4. The budget price objection.

Businesses have budgets and so decision makers have an idea of what they can spend in their respective departments. The quickest way to overcome objections like these is to know your prospects’ businesses. Once you understand when they make their purchasing decisions, you’ll be able to hone your sales strategy to fit their business and perhaps industry. Then you can also take that knowledge, to the next prospect.

5. The bargain based price objection.

Everyone wants to know that they are getting a good deal. For buyers, their jobs depend on it. The discount policy from company to company varies widely. However, whatever the policy is, make sure that this is the only objection to closing the deal before a discount is given. You’re cutting into your company profits and your own commission every time you discount.