Investment Management

The Psychology of Objections

Why is your client stalling? Here are the most common reasons:

  • Need for a rationale to make a decision
  • Not emotionally involved in the decision
  • Hidden objection or concern
  • No sense of urgency
  • Legitimate conflict

What should you do?

  • Show understanding by active listening and looking beyond the words used for hidden meaning
  • Build on the benefits of your suggestion, or the loss of such advantages if not utilized
  • Ask open-ended questions to uncover the cause of the client's hesitation, such as "how do you feel about this plan?"
  • Address negative issues directly; studies show that repeating even negative concerns can put clients at ease
  • Rebuild the emotion, by focusing on the logical reasons why they came to you to ask for your advice
  • Finally, pay attention to your own body language; customers look for it as a barometer of trust
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