There’s no doubt that inflation is a hot topic in today’s market. You see it everywhere you go—at the grocery store, gas pumps, restaurants, manufacturers—the cost of goods everywhere has gone up, including your own. In March 2022, the annual inflation rate in Canada jumped to 6.7%, the highest it’s been since January 1991 and higher than predicted. The good news is that with consumer financing options in your back pocket, you’re already armed to combat the impact of inflation.
While the cost of goods continues to rise, most people’s incomes are the same. The result is that many consumers are keeping a closer eye on their budget, which can lead to a few different outcomes:
Despite the impact of inflation, we are still seeing increasingly high demand in the home improvement space, which means the interest is still there. Also, keep in mind that with the Bank of Canada recently increasing its rates, mortgage rates are also going up, and the housing market is cooling down. As a result, people are staying in their existing homes longer, which means they’re more likely to spend on upgrades and renovations.
What does all this mean for you? The truth is you’ll likely encounter more hesitation. But we’ve got you covered with tips and techniques you can use to handle objections.
Here are a few tips to keep in mind when talking to consumers who have objections about cost.
Objection #1: The project is too expensive, and I can’t afford it.
Objection #2: The cost of borrowing is too high.
Objection #3: If I put this off for a while, maybe the cost will come down once things go back to normal.
Objection #4: I have too many monthly payments to manage and don’t want to worry about another one.
This all boils down to one of the most fundamental sales tips: listen to your customers. Understand their concerns, figure out where their objections are coming from, and then try to come up with practical solutions that help them get the job done (with you).
Remember, your Dealer Relationship Manager is always ready to help with more tips and tricks to take your sales game to the next level!
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