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~~Does your team struggle closing customers who object to payments being too high? Share the Payment Plus Closing Technique in your next sales meeting. This close is very easy to do and it is very effective in helping customers justify the value of a new vehicle.
My preferred method of applying the Payment Plus Closing Technique is to use it proactively with customers who are likely to be payment conscious. For example, if the new payment is higher than what the customer asked for, go ahead and use it. But it can also be used after a customer has voiced an objection saying, "This payment is too high."
The goal of this close is to help the customer justify the new purchase. Basically, you will show them that all they really need to do is pay the difference.
If I know my customer is payment conscious, rather than presenting the actual payment on the worksheet, I will write down the difference from their old payment to their new payment. You still have your standard information printed on the actual sheet. But before you present the numbers, just take the DIFFERENCE and write it on the back of the worksheet. Let’s say a customer is currently paying $395 a month, and the new payment is $475. The difference between $395 and $475 is $80. That $80 may not be much but that’s a huge difference psychologically to cross the threshold from the 300’s to the 400’s. However, if the first thing they see is just the difference, it’s a lot easier to process it.
So on the back of the worksheet write down the difference from their old payment to their new payment. In my example, it's $80. And then make a list of all the things they’re getting in the new car that they don’t have in the old one. Examples: a 3-year newer vehicle, losing 50,000 miles, Bluetooth and iPod integration, vehicle warranty and better fuel economy. The more things you can write down, the better. Consider adding things like the new color that they really want or even the new car smell.
When you show the back of the worksheet to the customer, here is what you might say: “Mr. Customer, I have fantastic news. I can get you into a vehicle that is 3 years newer, with 50,000 fewer miles, gets you back under warranty, has leather and Bluetooth integration, and is silver, which is the color you really want, rather than the blue one you have now but don’t like. Now, you’re getting all of that for $80 … more than what you’re paying now.” It’s important that you say $80 and then do a pregnant pause. A pregnant pause is when you pause a little bit longer than you should and then say “more than what you’re paying now.”
What you’re doing is helping the customer understand that all they have to justify in their budget is the difference. The truth is your customer already came in with a payment and will leave with a payment. They can continue to make payments on a car they no longer want, or for $80 more (or whatever the difference is), leave with a car they do want that has all the extras you listed.
The Payment Plus Closing Technique is easy to learn and implement. Share with your team and try it today. I'd love to hear your feedback!