Chris Vitale

Company: Phone Ninjas | Talk Options

Chris Vitale Blog
Total Posts: 75    

Chris Vitale

Phone Ninjas | Talk Options

Aug 8, 2020

The Conversation Shouldn't End At “What’s the Price?”

Handling customer objections isn't always easy. Especially when the customer is calling you on the telephone; knowing what to say and how to approach the customer's objections can make or break whether or not you sell the vehicle. To handle customer objections with confidence takes training and experience. Part of training your team is regularly conducting one on one role-playing sessions. The goal and purpose of having one on one training sessions are so that your managers can create relevant scenarios that are relatable to your sales consultant or BD Agent. Especially given that everyone has their own unique challenges and hurdles to overcome. 

It's more than just listening to a call.  Use an objection that gets your team stuck! 

Here’s an example of a common objection and how you can help coach your team with a One on One: 

Don't get me wrong, recorded calls are a critical resource and tool to use for training. But before you get to tackling the recorded calls, you need to assist your sales consultant or BD Agent on what gets them stuck (topics before situations). Not only will this empower your team to handle objections confidently, but they'll start to pick up on why the call could've been better, and more importantly, how they'll handle the call differently the next time! Think about it, when the customer calls into the dealership, they're most likely doing their homework. That’s checking availability, price shopping, etc. If your team isn’t equipped with the right word tracking, they can quickly derail the conversation and not get the results they're working so hard for! 

In this one on one example, let's say one of your sales consultants gets stuck on the pricing objection. The customer calls in, and before you can confirm availability, inquire about flexibility, etc. the customer goes right to "what's the best price you can do on x vehicle?" This can go one of two ways. The first way (where your team can get stuck) is offering the "price" without confirming any of the above information. This can derail the conversation and opportunity for reasons we (those who have the experience) often don't think about. The biggest thing to note is that the vehicle the customer initially inquired on is often not what s/he ends up purchasing. Not to mention, they might not be comparing the exact same car with the various dealerships, nor may each dealership be using the correct rebates, incentives, etc. Lastly, as you know, pricing - despite being the go-to objection - might not even be the customer's hang-up! 

One of the best methods and ways to equip your team to change the conversation's path is to offer the following instead: 

"Mr. Customer, here at [dealership], we make pricing easy. I can certainly provide that information to you. Before I get ahead of myself, was this the only make and model you were inquiring about? I want to make sure I provide you with the most accurate information possible. This vehicle ranges in price depending on the trim level and package options."

Using a statement like this is not defensive, and it inquires about the customer's flexibility – to which the customer might instead reply with: 

"I’m looking for 'x' vehicle, but it needs to have the premium package, and I want it in black. I’m also considering the next model up with third-row seating. The other one I’m looking at doesn’t have the third row." 

As you can see, in this one on one scenario, the customer just offered that they have not even seen the third-row vehicle! Yet, that's what they want pricing on, a car they have not seen, and might not be their final choice depending on their thoughts on the third-row seating. At this point, in the coaching session, you can offer your sales consultant or BD Agent that by simply changing the word tracking, and inquiring about the flexibility you now have a better understanding of how to quickly and effectively handle the objection! 

Here's a way you can reply: 

"Great News. I do have that vehicle in black with the premium package, and third-row seating available. Are you available this afternoon or evening to test drive and take a look at the third row?" 

Notice how in the reply you confirm that you have the vehicle they are looking for, but instead of just offering the price you're now inquiring about flexibility, and encouraging the customer to come into the store to take a look! 

Response: "no, just price shopping - what's the price on this vehicle." 

BD Agent/Sales Consultant Response: "The price for this vehicle, depending on the third row, and other options starts at 'x,' we have excellent deals this month! I also have other options that could save you money, are you available this afternoon or evening to come in for a test drive". 

Notice in this response, instead of giving a "number" that is not comparable to their current contender, you provide a range. This allows you to be transparent to the customer and informs them that depending on the options s/he chooses, and ultimately decides on will obviously change the price. 

Response: Not available this week

At this point, in this example, you've asked the customer twice about an appointment. At this time, they are not committed to coming in. That does not mean that we give up! Instead, it is crucial to confirm the next steps. That is getting their contact information and securing a time to follow-up with the customer. This is also the hard part where a little more confidence can go a long way in making sure you get to the next steps! 

BD Agent/Sales Consultant Response: I understand, what I would like to do [customer first name] is to send you more information about this vehicle. In addition to other money-saving options. What is the best email to send this information to? 

Response: Sure, send it to [email], and my cell is the number I called on. 

Now that you've properly received the customer's email address, the last step is to secure a time to follow-up and inquire whether they have a trade-in. Something as simple as nonchalantly bringing up the trade-in could be what's deterring them from wanting to come for an appointment! You don't know what you don't ask! Sometimes the objections are not the obvious! 

BD Agent/Sales Consultant Response: Great! One last thing, did you, by chance, have a trade-in? I ask this because we're looking for quality pre-owned vehicles right now, and are offering incredible trade-in values! (always the what and the why)

Response: Yes. I have a 2014 [vehicle] with 58k miles on it. But the offer I got online was nowhere close to what I will accept for it. It is in mint condition. 

Bingo! Of course, this is an example, and not all scenarios will play out this way, (of course). But for this example, you hit the jackpot in dealing with customer's real objection by inquiring about flexibility and a trade-in. Now, you can work with the customer to complete a trade-in appraisal giving you a means of offering the next steps!

BD Agent/Sales Consultant Response: That's great! We just had a customer inquire on that [vehicle] the other day, but it sold! I'd like to send you a link for the trade-in, it only takes five minutes. Are you available tomorrow morning or afternoon to come in so we can appraise your vehicle? 

Response: I can do tomorrow afternoon 

As you can see, in this one on one role-playing session - it could have easily ended in the beginning when the customer asked for "the best price," and you gave it to them without getting any of their information. But instead, because your BD Agent/Sales Consultant effectively handled the objection - with proper word tracking - they could inquire about flexibility, trade-in, and secure the next steps. It's these sorts of scenarios in your one on one training sessions that can help you increase your sales. Not to mention, it gives your team more confidence to effectively handle these objections, which will only make your sales team and BD Agent that much better! 

 

*Disclosure: these are scenario examples and are situational in nature. Obviously, never lie to a customer! And never lie to your manager!

 

 

Chris Vitale

Phone Ninjas | Talk Options

COO | Partner

I'm a high-performing and dedicated executive with over 25 years of experience spanning the retail, automotive, software, technology and customer service sectors. I oversee the deployment of coaching, training and software solutions for retail businesses in the US and Canada. I excel at leading teams in execution of sales and marketing initiatives that deliver on aggressive business objectives.

1306

2 Comments

Derrick Woolfson

Beltway Companies

Aug 8, 2020  

I have used the "trade-in" technique before, and it worked! You hit the nail on the head with the customer not always comparing apples to apples. One other objection I often dealt with (when I was in that role) was a customer comparing "pricing" from another dealership that included *literally* every single incentive, regardless of the customer qualifying or not. That also worked as a means of "debunking" the price, and busting through that objection. But as you said, it is more important to ask the customer if they are considering other options, which helps move the conversation along! Great stuff! 

Morgan Hardy

Phone Ninjas

Aug 8, 2020  

Customers definitely do not compare apples to apples. They try to play aggressiveness in most cases when they're price shopping. However, a lot of them are privy to these things now. 

Chris Vitale

Phone Ninjas | Talk Options

Jul 7, 2020

That's okay, I'm just price shopping....

Part of handling inbound phone calls is dealing with the customer's objections. The more equipped your sales consultants and BD agents are, the better your chances are of securing the appointment/meeting. There are many ways to handle objections, but here's an example of one of the top objections you'll come across and how to respond.

“That's Okay. I'm Just Price Shopping.”

Most of us have heard this objection before, right? The customer calls into the dealership on a specific new car, and after asking for the appointment, the customer says:

 "that's okay. I'm just price shopping…."

At this point, the conversation can go one of two ways. This is the customer’s way of ending the discussion with you. In which case, the sales consultant or BD agent might not have received their contact information to secure a time to follow-up.

When this happens, here are two ways your sales consultants or BD agents can handle the objection.

Response One: That's great! Here at [dealership], we make it easy offering the best price available. Now let me ask you, is this the only make and model you were considering? If so, I have [vehicle options] that could potentially save you money! What time works best for you to come in and meet with my manager? I have this afternoon or evening available. *

As you can see, the response is tackling the customer's objection head-on. And by doing so, it gives you the chance to inquire about the customer's flexibility. But to get to this point, you have to tackle the objections with confidence!

*for those of you who are offering "at home test drives," be sure to mention that option!

Response Two: I understand and respect that. But here at [dealership] we are fully transparent with our pricing. By the way, are you trading in a vehicle? We need pre-owned vehicles like yours, and are always offering top dollar! The appraisal process takes less than twenty minutes! What time works best for you to come in and meet with my manager? I have this afternoon or evening available.

In this response, you're not only tackling the objection head-on, but you're asking the customer more questions, which can (and in most cases) lead to more answers with the goal of getting to the appointment.

Both responses are tackling the objection. More importantly, despite the answers being different, the approach remains the same. That is getting the appointment. The point is that the more comfortable you're at handling customer objections, the easier it will be to maintain control of the conversation. And remember, remain positive on the phone! The customer can easily pick-up your tone and possibly feel that you are disinterested.

Lastly, remember the customer picked up their phone and chose to call your dealership! They called you!

Chris Vitale

Phone Ninjas | Talk Options

COO | Partner

Vice President at Phone Ninjas | Talk Options 25 years of experience spanning the retail, automotive, software, technology and customer service sectors. I oversee the deployment of coaching, training and software solutions for retail businesses in the US and Canada.

2096

9 Comments

Tim Triplett

TradePending

Jul 7, 2020  

Great topic, thanks Chris.  Another approach is to focus on the value of the vehicle and take the conversation away from price.  For example, you might tell them that this is the only vehicle within 300 miles with this popular trim package, it has the lowest mileage of any vehicle of it's kind within 100 miles, still has a remaining warranty and there is only one of these vehicles within a 200 mile radius.  This particular vehicle sits on the lot for an average of 14 days, it's been here for 8 days already and we have 3 people looking at it so if this is a vehicle you're interested in it won't be here long so you might want to get down here to look at it before it's gone.  Answer the question and create a sense of urgency without ever talking about price.   

Ernie Rizzolo

Bell and Howard Chevrolet

Jul 7, 2020  

All good discussion.  Spent 30 years as a sales manager.  You must give the customer a price, you must give them good reason to buy at your store.  But, I taught my salespeople to add a little tag line before they hang up.  "I always quote the best I can to a customer on the phone but ultimately, your presence is your leverage.  A customer here on the showroom floor and ready to purchase has a lot of negotiating power with management."  

Tim Triplett

TradePending

Jul 7, 2020  

Great tag line, Ernie.  With your permission I'm going to steal that from you and give you credit for it (unless you're not there). I would just add that if all we give a shopper to focus on is price, that's all they'll focus on and now it's a race to the bottom.  You've already given them a price on your site, so sell them on the USP of the vehicle by merchandising them correctly on your site before you ever talk to them.  When you do talk to them, focus on the value of the vehicle(s) and their trade instead of how they can negotiate the price down, get the appointment, get them to the dealership and then justify the price.  And sell them a vehicle. 

Chris Vitale

Phone Ninjas | Talk Options

Jul 7, 2020  

@tim Couldn't agree more! I hate to say this but the reality is we all know what attracted someone to a car online. It happens to all of us when we're searching for cars ourselves. There's that one unique "thing," whether it be a feature, a quality (low miles/low price), or something emotional. We also know where our cars stack up as it relates to price against others and let's face it, if everyone is trying to be the lowest, we'd be paying customers to take them for free :) That won't work. So they're all "around" the same price and it's usually pretty in line with what's market. There are always outliers, i.e. tainted Car Fax, never titled 3 year old "story cars," you name it. But if a vehicle is priced accurately to market and fairly for what it's representative of then all should be fine. 

Chris Vitale

Phone Ninjas | Talk Options

Jul 7, 2020  

@ernie I agree, however am constantly amazed at the ones I see that say "call for price" or the ones that have a $50,000 car listed for $1,000,000 for whatever reason. The majority of cars are priced online today and I think that's outstanding. I love the tagline and you're right. I just had this conversation with someone this morning as a matter of fact, no matter how "transparent" or what software or how many emails are exchanged, at the end of the day it is truly easier for large purchases to just sit down together. Plus, what I NEVER see mentioned are the lease and financing options and their wrinkles. Add a trade or two and all of a sudden you have a real nightmare. One dealer is quoting without tax, another is quoting with. One dealer is mistaken on the trade and another flip/flopped the miles. The lease miles are being calculated at 15K at dealer A but at dealer B they're 10k. One is a true "sign and drive" and the other is first and fees but "no money down." Nobody is "lying" yet the customer thinks everyone is lying. The poor salesmen are running back and forth at both stores, taking mortar fire from the customer, the desk and probably the F&I guy. I'd guess the Used Car Manager too. Come on in and get it done right the first time with proper values in less time and probably save yourself a ton of time. But I'm way off topic! Bottom line is I agree with both and thank you for the outstanding feedback! 

Derrick Woolfson

Beltway Companies

Jul 7, 2020  

@Chris, I think you hit the nail on the head with it being easier for large purchases to be done in person. After all, purchasing a vehicle is often the second most expensive purchase a customer will make. And while I am a true advocate for outlining your process online (digital retailing), a human connection is a must. With regards to the "perception" of lying, we know that "perception" is often perceived as reality. Much of that can be avoided if you have an in-person interaction with the customer making sure they get the right vehicle. Good stuff!! 

Terry Coates

10/10ths Development Corp

Oct 10, 2020  

As a customer, I am instantly put off when I am calling for information and someone asks, "What time is good for you to come in?". I think it's manipulative. The question assumes I want to come in and I should just respond with a time. It's awkward to say "no". It's obvious why you would want to structure the question that way ... and that's exactly the problem.

Chris Vitale

Phone Ninjas | Talk Options

Oct 10, 2020  

@terry I don't disagree, especially when the person that answers (or responds via email) makes no effort to even address the customer's questions. However, I believe this is entirely industry driven. In automotive specifically, and in this example where the customer says "I'm just price shopping," they're opening up with something that isn't necessarily accurate. Not always, but a lot of the time.

Today the prices are everywhere, online, on the manufacturer sites, in print, on TV, on hangtags, etc. Not just prices but payments as well, leases and loan options. Payment calculators are also available everywhere and a fair number of dealers offer them right on their own site, same with most manufacturer sites. So, considering they have the price, the payment and the ability to customize themselves, what's the real reason for the call? The "question behind the question?" "I'm price shopping" is oftentimes code for something else and it's the sales agent's job to politely and efficiently figure out what that is. After all, 70% of inbound calls aren't about price, they're about availability. 

Trade-in perhaps? I don't think I've seen a dealer site that doesn't have a "value your trade" tool on it recently, so that's covered as well. Anyone that's serious about a major purchase and isn't an "insider" will eventually want to see what they're purchasing, in most instances. Traveling down the road to the sale starts with progressing down the road to the appointment. 

The goal of the call has shifted slightly and that's to provide information, a fantastic customer experience and to sell the appointment. Before it was to tell the customer as little as possible which was horrible. Considering the average duration of an inbound call remains at 3 minutes, it's a lot to pack in while still obtaining contact information, directions and offering your information as well. 

But I do disagree with that being manipulative, it's a straightforward question and being honest and responding "I'm not ready to come in yet" is easy if you're truly not at that point in your decision making process. I've not encountered many calling the dealership asking questions unless they were close to making a purchase, whether it was from my store or another store. If they called it's because they were in the purchase timeframe and offering them a time to stop by and have the vehicle ready, your manager ready, your appraiser ready is more professional than anything.

Time is the new currency and having a scheduled appointment vs. dropping in will definitely save a ton of time. Not to mention the fact if they're truly "price shopping" then coordinating when the used car buyer is there will fetch top dollar for the trade and thus is a means of strategically working on behalf of the client as a sales professional. 

Thanks for the feedback! I appreciate it!!

 

Derrick Woolfson

Beltway Companies

Oct 10, 2020  

@Chris, I agree with you regarding it not being manipulative. Especially if you've addressed the customers questions. @Terry, think of it from this perspective. When I was purchasing my own vehicle one of the dealers never asked me for an appointment or my business. Whereas, the dealer I purchased from - after answering my questions - asked for the appt and my business. I went with them because the sales consultant answered my questions, was direct, and valued my time. Whereas, had I gone with the sales consultant who didn't ask for the appt, and I just "showed" up (which many customers do in these scenarios) he might not have been available, or worse, actively tried to work him/herself into to the deal as they "spoke" with me on the phone. As Chris said, and I agree on that point too - time is the new currency. So while I agree that you need to be honest and answer the customers questions, there is nothing wrong with asking for the appointment, and their business. Most customers are not calling into the dealership to just chat. There are objections that we have to overcome when they're just "price shopping." Everything from concerns regarding their trade-in value, availability, or - yes - there are times where the customer is legit trying to get another quote to compare to their local dealer. But even in those instances, you can still earn their business, and I have done so. At the end of the day, if you can tackle the facade, by asking for the "appt" to get at the real hold-backs –  getting to the real questions/objections you can close those deals. But make no mistake, there is a way to do this without being dishonest, or obnoxious, which I presume was the point of this article. 

Chris Vitale

Phone Ninjas | Talk Options

Jun 6, 2020

Phone Scripts Still Work. Stop Excusing Poor Phone Skills.

There’s more to a quality phone script than just words written down for your dealership to follow. A quality phone script aims to help coach your dealership's Sales Managers, Sales Consultants, and BDC Agents on how to handle the phones effectively. If your dealership’s phone skills improve, it can turn those inbound phone calls, and Internet leads into sales. But before that can happen, you have to outline the expectations and the role your Sales Managers and GM will play in the overall process. Otherwise, you’ll continue to have the same inconsistent results. 

Consistency is Key in Sustaining Results. Phone Training is Not a One Time Thing. 

If your Sales Consultants or BDC Agents are handling the inbound phone calls and the Internet leads inconsistently (and most are), the lack of results will show. Do you ever wonder why some months - perhaps after a training session - their set-rate, show-rate, and sold-rates are higher? It’s no secret that the phone scripts and quality training make all the difference, which has a direct impact on your sales. 

The idea that the more familiar your Sales Consultants and BDC Agents are with the script, the more second-nature it becomes in how they handle the phones and Internet leads, it becomes muscle memory. Think about it for a minute. If you’re unsure of yourself when answering an Internet Lead or an Inbound call, the customer can easily wind up leading the conversation but they’re the one calling with questions. However, if your team is well trained, and the script is second nature, they’re handling the inbound calls and leads with confidence. Having confidence on the phones is what can set your dealership apart from the competition. In which case, you’ll see an increase in your set, show, and more importantly, your sold rate. And, your customers will hang up feeling satisfied with the outcome, refreshed with the experience and looking forward to doing business with you.

So How Do I Get My Sales Consultants & BDC Agents to Follow A Script If I Cannot Get My Sales Managers to Do the Same? 

This is easier said than done. Training your Sales Consultants, BDC Agents and Sales Managers should be a top priority. After all, your dealership is likely spending hundreds of thousands of dollars annually to drive traffic to your dealer's website. If those leads are not handled properly, you could be losing more sales than you realize. Not to mention, if there isn’t a clear-cut policy on how the phones and internet leads are to be handled, you’ll wind up having inconsistent results. Another issue many dealers face is a lack of accountability from their management teams. Namely, sales managers do not believe they need help or a refresher on their phone skills. If your dealership's sales managers have this feeling, it will be difficult to change the culture. One of the best ways to combat this issue is having your Sales Managers go through the phone training process first. After all, how can they coach or mentor their Sales Consultants or BDC Agents if they do not have a refined process in managing inbound calls and internet leads? Once you’ve outlined the expectations for your Sales Managers (how they will be involved), and they have completed the training, it's now time to train your sales consultants and BDC Agents. 

Keep in mind, training your Sales Consultants and BDC Agents is by no means a one-time event. In fact, to keep their results on par with your expectations, it should be an ongoing occurrence. The idea that once your Sales Consultant and BDC Agents are better equipped in handling inbound calls and Internet leads, you can work towards refining their objection handling techniques. To get this process started (as mentioned above), you have to outline your employees' expectations, giving them a purpose for why they are to complete the phone training. And more importantly, making sure that you - the dealer owner - have your Sales Managers on the same page. If your Sales Consultants and BDC Agents see the buy-in from the Sales Managers, they are more likely to partake in the efforts to refine their skills. 

One of the other critical components to making this a success is not using this training process to beat up your Sales Managers, Sales Consultants, and BDC Agents. If you use this training to negatively say "they are terrible" or "they should just not handle the phones," that will not change anything. In fact, that will easily disenfranchise them from the entire process, which is not the goal. Instead, remember to offer them encouragement and set individual goals that can and will have an impact on their results. All of which can increase their individual income depending on their pay plan! 

Once your Sales Managers, Sales Consultants, and BDC Agents have completed the training, it is also essential to have role-playing sessions or one-on-one coaching sessions to assist them with their own struggles. Remembering that each of your Sales Managers, Sales Consultants, and BDC Agents, has their own unique challenges to address. And by outlining those challenges - for them to overcome - you are providing a clear, defined road map for future training. 

When is the last time you approached phone training with your Dealer Teams? If not, today is the day to get this started! After all, who doesn't want to increase their dealership's sales while offering exceptional customer service? 

 

 

Chris Vitale

Phone Ninjas | Talk Options

COO | Partner

1499

3 Comments

Morgan Hardy

Phone Ninjas

Jul 7, 2020  

Do you think that it's ok for BDC agents and salespeople to change a script to tailor they're personality as long as it still follows the general idea?

Derrick Woolfson

Beltway Companies

Jul 7, 2020  

@Morgan, I think if a script is used right (like Phone Ninja's) the goal is to memorize the "flow" of a conversation, and have the "objection" handing techniques become innate. Once you master the core concepts of what makes a good call, agree - put your own spin/voice inflections in it! Not sure about you, but out of all the phone training companies I have been apart of/used, theirs was the least "preachy" (well, not preachy) and focused on mastering the core basics :) I still have the "what time works best for you to meet with my manager? I have both 4:15 and 4:45PM available?" in-grained in my memory lol. Still use this when speaking with vendors!  

 

Chris Vitale

Phone Ninjas | Talk Options

Jul 7, 2020  

@morgan I think what Derrick said is right on. The initial "following of a script" does come off as robotic in some cases, even with practice. It's why real world deployment is so critical. I believe making it one's own is hugely beneficial but not necessarily "changing" it. For example, I speak conversationally. I use contractions, not "we are happy to help" but "we're happy to help."  Things like that are fine. But there are important components in every great script that are, by design, written in such a manner that cannot be changed or it will lose its effectiveness. They may seem like no big deal but in fact they are. There's a ton of data and psychology behind certain words, order of words, phrases etc. Those shouldn't be changed. But, every script is different so it pays to ask. 

  Per Page: