Answer the Price Objection
The most common and feared objection: price.
The price objection has left its share of sales people feeling haggard and hopeless, so figure out how to overcome it, and slay this sales dragon once and for all.
Sometimes a prospect says they can’t afford the product.
Because insurance is not a glamorous purchase, individuals often rationalize that they don’t actually need it. Your job is to show them that they do and that they can afford it, if they spend responsibly in other areas.
Time to clear the cobwebs from the now defunct Insurance blog to take a look at Jeb's article where David F. Woods, president of the non-profit Life and Health Insurance Foundation for Education (LIFE), answers the price objection squarely and with a hint of acerbic wit.
"When someone says they can't afford life insurance they are saying they love things more than they love their family," Woods wrote in a post on LIFE's blog, The Insurance Word. "What would your family rather have in the event of your death - 365 empty Starbucks coffee cups or $500,000?"
Often a prospect has seen the same product elsewhere for less money.
Competing on price is a slippery slope. And although many sales people aver that all sales come down to price, the rampant consumerism in America says otherwise. People choose Starbucks over convenient store coffee. Tylenol over generic aspirin and bottled over tap water. Every day people make choices that flout this contention.
They are compelled to spend their money on things they believe in for one reason or another. Like the coffee or aspirin, your product is probably not drastically different from your competitors. So sell them on your personality and trustworthiness, their family’s safety and future and a whole slew of other intangibles.
Ultimately, if a prospect believes what they are buying is worth the price (no matter the price), they will pay it. It’s your job, as an agent, to facilitate this price discussion smoothly and most of that involves having the right replies to the dreaded price objection.
