One of the most common objections you will face in your business is affordability.
This may be due to an actual lack of funds or a fear that they will not receive an equal or better value for the price.
Think for a minute. The individual had actually taken the time to visit your site or store and shown an interest in your product or service. Something drew them in.
Lack of funds.
Before spouting off all the different ways that one could possibly find funds, hear them out. Not about the money but about why they are interested in your product or service.
How much do they really want your product? Would their being able to afford the product or service change their life for the better? You need to know just how much value they perceive in the product. Find out to if they would be willing to explore other avenues to complete the purchase.
Once you feel you have a good grasp of understanding the reason for their wants then ask them why they feel they could not afford the product. Is it actual funding or is it fear based?
If you find that they are afraid that spending the money may be foolish or careless there are ways to respond to these concerns.
Reiterate the points that you just heard as to how your product or service will help them. Repeat to them why they actually want the product or service. This rapport helps feed their wants, building a starting place for you to introduce possible solutions to their financial concerns.
Now it is time to move past the fear stage and on to their financial concerns. For me, I am ill at ease asking someone to go into financial distress to purchase anything so sometimes I have to get out of my own way. You may need to as well. It is up to them to ultimately decide. If their why is big enough they will more likely be more receptive to what you have to say.
However, still maintaining the necessary integrity, be willing to discuss other options. If you have a multi-level product suggest the individual start at the level they can easily afford. If they are unable to afford the lowest level, personally suggest to them that they wait until they can. It does not benefit you or your company if they have set themselves up for failure before they even start. That being said work with them.
Suggestion 1: if they are working, ask them if they think there is a way for them to set aside a predetermined amount. Have them become responsible for their funds. In doing so they not only will be able to feel some pride but they will also recognize they really do have the ability to manage their money. Building a confidence to proceed with their decision.
There are many financial experts that expound on the idea of always putting aside funds for projects, investments and fun time. Jim Rohn liked the formula 70:10:10:10. Using 70% of your funds for essentials and setting aside 10% for investment, 10% for Charity and 10% for sundry projects. T.H. Eckert uses a 6 jar scenario of 50% essentials, 10% financial freedom, 10% longterm saving, 10% education, 10% giving, 10% play.
There are more theories, however, they all point out a necessity of splitting what comes in versus what goes out. We all have essentials, it is what we do with the funds that are outside the essentials that we need to learn to deal will.
There is a novel written by renowned author Mordecai Richler I read called “the Apprenticeship of Dudley Kravitz”. It delves into to this very idea of using funds outside of the essentials to go after one’s dreams ( amongst other things). An awesome read in the activities of someone willing to go after what he is searching for. But I digress.
Suggestion 2: the obvious one is the use of credit cards. Needless to say, the majority of transactions online are done with credit cards so they probably have one or more. The one question you need to ask – does their credit card limit have the ability to handle the cost of purchase. If their limit is enough but perhaps they do not have the room on their card, suggest that they call and see if they could get a limit increase.
However, if you encourage them to do so, please be sure that they will be able to handle the payments that they will incur when they do this. Be honest with them. Remember, if they are investing in a business proposition and not just a product, they will have other expenses. Nothing could be worse for you than if they are left at the starting gate and unable to move forward.
Suggestion 3: if indeed this is a business proposition, they may be able to seek a loan from a reputable company where their interest rates are substantially lower than the credit cards and set up a loan that will allow them to proceed both with the initial fee but also the operations expenses they will incur. As a business, this is the option that would be most suited for their business however many people are afraid to explore this avenue.
The caution here is reputable. There are many services out there, which I will touch on individually at another time. Some loan institutions will offer zero percent financing for specific time frames. Your company or the company you are associated with may already have financial institutions in place. Since they already know your business they are more apt to provide loans to your prospects with lower pre-arranged rates. Introduce them to your prospects who are serious.
Suggestion 4: not to minimize this there are other means for your prospect to find funding. The proverbial garage sales encourage one to declutter while making money. Selling baked goods at fairs is another means. Then there is selling items on to E-bay or Kijijii or offering your services on your day off or times when not working ( cutting grass, yard clean up, snow removal, dog walking, babysitting).
Suggestion 5: then there is borrowing from a family member or friend. I put this at the end not because it is not a viable means, but because it is usually the most stressful as they will not only have to convince themselves that this it right for them but they will now have to convince their family member or friend who may not share the same passion or vision as them and are more than likely to voice negative concerns.
There are many ways that your prospect could possibly gather funds. It truly is up to them. So once you have discussed these avenues then once again go over their wants. Why did the want this product to begin with? How badly do they want to get out of whatever predicament they are in? Will they put in the time needed or for that matter will they have the patience and perseverance required depending on what exactly the product or service is?
Listen to what they are saying. Understand their concerns. If necessary be prepared to give them time, let them know that can always come back when they are able. In the meantime, keep in touch. Let them know how things are going for others. Case studies work wonders in creating credibility for you and your company.
If it is not urgent for them now, perhaps in the near future. Never closes the door. If your bridge is solid they will cross in due time.
related video: Choosing Your Niche