How to Handle Objections in Sales

How to handle objections in sales might be the most critical skill separating top performers from average ones. When a prospect raises an objection during your sales conversation, it signals engagement, not rejection. That prospect saying "That's too expensive" is actually asking "Can you help me understand the value that justifies this price?"

Understanding sales objections gives you insight into your prospect's thinking. Most objections stem from three psychological drivers:

• Fear: Prospects worry about making the wrong decision

• Uncertainty: They lack complete information to feel confident

• Previous experiences: Past disappointments create hesitation

Sales professionals who master objection handling increase their close rates by 64%. Every sale has five basic obstacles: no need, no money, no hurry, no desire, no trust.

The LAVA method provides a structured approach to transform these psychological obstacles into opportunities.

Four Types of Sales Objections and How to Handle Them

Recognizing which type of objection you're facing is the first step toward addressing concerns effectively. Stated objections often function as "smokescreen objections," surface-level concerns masking deeper issues.

Price and Budget Objections

"It's too expensive" or "We don't have the budget for this" are common objections.35% of salespeople report that price is the most common objection they face. Understanding different sales compensation scenarios can help you present flexible pricing options.

Price objections rarely exist in isolation. They typically mean: "I don't see enough value to justify this price" or "I'm not convinced this will solve my problem." The LAVA method addresses this by listening for clues about value concerns, acknowledging budget constraints, validating the need for ROI, and addressing the underlying value proposition.

Need and Urgency Objections

When prospects say "We're doing fine with our current solution" or "This isn't a priority right now," they're expressing objections related to need or urgency. These objections signal that you haven't sufficiently demonstrated the cost of inaction or unique benefits of your solution, such as enhancing teamwork or integrating new hires.

These objections often mask fear of change or lack of awareness about problem severity. Securing executive support becomes crucial. You need to acknowledge that maintaining the status quo feels safe before demonstrating why change is necessary now.

Trust and Credibility Objections

"I've never heard of your company" or "How do I know your product will deliver as promised?" signal trust concerns.

These objections reveal the prospect's fear of making a wrong decision, highlighting the importance of developing a strong team culture and fostering inclusivity. When using LAVA, extra time spent listening to specific trust concerns allows you to acknowledge their legitimate caution, validate their need for confidence, and address with relevant social proof, testimonials, and by effectively managing workplace relationships and implementing conflict resolution strategies. Strengthening leadership skills can also help address trust concerns effectively.

Timing and Implementation Objections

"We're not ready to implement this right now" or "We're in the middle of another project" express timing or implementation concerns. These objections often mask organizational inertia, fear of disruption, or concerns about internal resources.

The LAVA approach works well here because it acknowledges the legitimate complexity of organizational change, validates concerns about resource constraints, and addresses with flexible implementation options such as AI-driven roleplays and providing access to essential remote work tools.

The LAVA Method for Handling Objections

The right framework can transform objections into opportunities to build trust, ultimately transforming performance. The LAVA method stands for:

L - Listen - Give your prospect complete attention as they voice their concern, without interrupting.

A - Acknowledge - Show understanding through verbal confirmation and appropriate body language.

V - Validate - Legitimize their concern by confirming it's reasonable.

A - Address - Only after completing the first three steps should you provide your solution.

The most important and most difficult part of handling an objection is listening. Most salespeople are so anxious to overcome the objection that they don't take time to understand what the stakeholder is really saying.

Companies that implement LAVA training typically see significant improvements in sales performance and customer satisfaction.

L - Listen: The Art of Active Objection Reception

Effective objection handling begins with listening, truly understanding what your prospect is communicating. When your prospect raises a concern, resist the urge to immediately formulate a response. That moment of mental preparation takes you away from being fully present.

The Power of the Pause

Top-performing salespeople pause five times more than average reps after hearing objections.

This strategic pause:

• Signals thoughtful consideration of their concern

• Gives you time to process what was said

• Prevents interruption

• Creates space for the prospect to elaborate

Practice comfortable silence. That short pause might feel eternal to you but demonstrates respect to your prospect.

Reading Between the Lines

Active listening means understanding underlying concerns. When a prospect says, "It's too expensive," they might really mean, "I don't see enough value" or "I don't have budget authority."

To listen actively:

• Maintain eye contact

• Take brief notes

• Watch for non-verbal cues

• Resist interrupting

• Use affirmative nodding

• Ask clarifying questions

Remember, listening isn't just gathering information. Listening makes your prospect feel truly heard and understood.

A - Acknowledge: Validating Customer Concerns

Before effectively addressing any concern, you need to acknowledge it properly. Acknowledgment creates a psychological foundation for the rest of your objection handling process.

Acknowledging an objection doesn't mean you agree with it. You're simply letting the prospect know you heard what was said.

Acknowledgment builds rapport and demonstrates empathy, essential for moving a conversation forward productively.

Effective acknowledgment statements:

• Express understanding without judgment

• Use neutral, non-defensive language

• Demonstrate empathy

• Transition naturally to the next phase

Examples for different objection types:

For price objections: "I understand your concern about the investment. Budget considerations are certainly important for any business decision."

For lack of need/urgency: "I appreciate you sharing this isn't a top priority now. It makes sense you're focused on addressing more immediate challenges."

For trust concerns: "I completely understand your hesitation about working with an unfamiliar company. That's a reasonable concern."

Common acknowledgment pitfalls to avoid:

• Rushing through acknowledgment

• Using dismissive language like "I hear what you're saying, but..."

• Becoming defensive

• Skipping to problem-solving too quickly

• Over-acknowledging with excessive apologies

V - Validate: Asking Strategic Questions

After acknowledging your customer's objection, validation goes deeper.Asking strategic questions helps you understand their concerns and steer the conversation toward solutions that fit their needs.

The "3-Deep" Questioning Technique

To reach genuine concerns beneath surface-level objections, use the "3-deep" questioning technique:

• First-level question: "What about the pricing concerns you?"

• Second-level question: "How does that pricing structure affect your department's budget?"

• Third-level question: "What would need to change for this investment to make sense for your team?"

Each question takes you one layer deeper, revealing the true issue.

Open vs. Closed Questions

Strategic questioning requires knowing when to use each type:

Open questions invite detailed responses:

• "How would this solution fit into your current workflow?"

• "What concerns do you have about implementation?"

Closed questions verify specific information:

• "Is budget your primary concern right now?"

• "Would a phased implementation address your timeline concerns?"

Start with open questions to explore broadly, then use closed questions to confirm details.

Building Trust Through Validation

Validation demonstrates you understand why they feel concerned: "I completely understand why pricing concerns you. With recent budget cuts, any new investment receives intense scrutiny. Many customers initially shared similar concerns."

Effective validation approaches:

• Normalize their concern: "Many customers in your industry expressed similar concerns initially."

• Affirm its importance: "That's absolutely a critical factor for any business in your position."

• Position yourself in their shoes: "If I faced those constraints, I'd ask the same questions."

Validating transforms a potentially confrontational moment into a collaborative discussion.

A - Address: Tailored Response Strategies

After listening, acknowledging, and validating, you're ready for the final step: addressing the concern effectively. The goal isn't to 'overcome' objections, but to resolve them collaboratively with the prospect.

Different objection types require distinct response strategies:

For Price Objections:

• Focus on value over cost

• Break down ROI with concrete numbers

• Compare your solution's cost to alternatives

• Offer flexible payment terms when appropriate

Don't immediately offer discounts. Instead, say: "I understand budget constraints are real. Let's look at the ROI timeline. Most clients see a complete return within six months through efficiency gains alone."

For Need/Urgency Objections:

• Quantify the cost of inaction

• Share relevant industry trends

• Ask questions that help the prospect self-discover urgency

Demonstrating the benefits of integrating new hires effectively can help highlight the urgency. Help prospects quantify delay costs: "Companies in your industry typically lose $10,000 per month in unrealized efficiencies by delaying implementation. What would those resources allow you to do if captured?"

For Trust Objections:

• Leverage case studies from similar organizations

• Provide third-party validation

• Offer reference customers

• Share specific metrics from similar implementations

Trust objections require evidence, not assertions. Offer to introduce them to clients who faced similar challenges and achieved measurable improvements.

Story-Based Responses

Logic builds cases, while stories drive decisions. Develop customer success stories that address specific objections following this structure:

• Initial situation (similar to your prospect's)

• Hesitations the customer had

• How they overcame concerns

• Specific outcomes achieved

These stories help prospects envision positive outcomes: "One retail client worried about implementation disrupting their busy season. We developed a phased approach that actually increased their holiday sales by 18%."

Advanced Objection-Handling Techniques

Beyond LAVA, advanced techniques and effective learning and development strategies can help transform challenging objections into opportunities and enhance communication skills.

Proactive Objection Management

Address common concerns before prospects mention them:

• Research industry-specific concerns before meetings

• Incorporate answers to common objections in your presentation

• Use phrases like "You might wonder about..."

• Share how similar clients overcame initial concerns

This positions you as knowledgeable and trustworthy.

Handling Multiple Objections

When faced with several objections:

• Note all objections to show attentiveness

• Ask which concern is most important

• Address the primary objection first

• Create an objection response library

• Check in frequently to ensure satisfaction

The Power of Strategic Pauses

Top-performing salespeople pause 5-7 seconds after hearing an objection before responding, compared to 2 seconds for average performers.

This pause:

• Shows thoughtful consideration

• Allows for a more effective response

• Creates space for elaboration

• Demonstrates confidence

Sales training experts consistently report that even a brief pause after hearing an objection can dramatically improve resolution rates across various industries.

Transforming Objections into Opportunities

When you hear an objection, remember it's not a roadblock but an invitation for more information. Objections are not rejections. They are requests for more information.

The LAVA method transforms potential friction into opportunities for deeper trust:

• Listen actively without interrupting

• Acknowledge to demonstrate understanding

• Validate to build rapport

• Address with relevant information and solutions

When you master this approach, common objections become predictable stepping stones rather than barriers.

The next time you hear an objection, remember it's an opportunity in disguise. Each objection offers a chance to address concerns, provide value, and build trust that leads to mutually beneficial relationships.

Are you a sales rep or sales leader looking for some practice? Try out our objection handler below to sharpen your skills and turn objections into opportunities.