Summary (TL;DR):
Designers, purchasing agents, full-service marketing agencies – this one is for you. If you work in hospitality, food & beverage, education, aviation or any other industry involving product procurement, this is also for you. Regardless of industry, receiving pushback is an essential part of working in the space between vendors and end-user clients. Objections are the standard in professional buying, and they simply indicate risk management, not outright rejection. This article aims to deliver the language, frameworks, and paths to ‘yes’ to help you overcome common constraints and seal the deal.
The 3 Most Common Objections
You’ve heard it all before. ‘That isn’t within our budget.’ ‘How quickly can they deliver – we need it ASAP.’ ‘Can we only order 10 pieces? The client isn’t sure about the amount, and they want to double check quality.’ The familiar headache starts rolling in. If only there was a way to quickly remedy their questions and the tension between your temples. While it may seem like just a burden to you, each objection is tied to operational risk, which needs to be as low as possible to make everyone feel good about working with a particular vendor. We will go over the various paths to a solution for each of these objections. The ultimate goal of finding a stable procurement partner that can fulfill most, if not all, of your business needs is within your reach!
Objection #1: “We don’t have budget.”
Here is what is really being said. “We are at the end of our budget cycle; funds are already allocated.” Or maybe they’re viewing products through another lens (commodity or online pricing VS custom goods and luxury products). Maybe there isn’t a lot of trust in product quality, lifespan, or potential ROI. Maybe justifying a higher-cost option to internal teams gives you the heebie-jeebies.
Best Response Framework
As with any objection, validating concerns comes first. Acknowledging where they are coming from without outright agreeing is a bit like walking a tightrope, but it is essential. Clarifying the shared goal in product procurement and aligning priorities is the next step. When you find common ground, you are able to move forward together. For example, is the product supposed to convey luxury? Does it need to be as durable as possible? Is the client going for longevity or customizability?
This leads to the next step: identifying non-negotiables and flexible elements. Being aligned on all aspects helps you come to an agreement. Finally, reframing cost as investment over time can be helpful. Other considerations include first-time customer deals, as well as the ‘price’ or value of finding stable, reliable procurement partners. These things add up!
3 Solutions
Now that vision between all concerned parties is aligned, here are some concrete solutions.
- Providing tiered options
Many vendors have options from budget-friendly to luxury, and we are no exception! We can make the same kind of product with various materials and on various timelines to suit client needs.
- Phased rollout
With many projects, products are needed for a pilot location, a VIP program, or a flagship launch before full-scale production. Ordering lower quantity for the initial project and then doing follow-on orders during a new budget cycle can help remediate costs.
- Adjusting decoration options
Similar to providing tiered options, finishes and decorations can also be customized according to client needs. For example, silk-screening can be a budget-friendly alternative to debossing. Other finishes include liner materials, stitching versus gluing, padding, and more.
Example Scenario
Industry: HR awards and recognition
Goal: Obtaining 1,000 branded certificate covers for an award ceremony
Budget concern: Ordering at the end of the fiscal year
Solution path used: Changing cover material from leatherette to paper; placing an initial order for the upcoming ceremony & planning subsequent orders for the next fiscal year
Objection #2: “We need it fast.”
When a client needs a project done fast, they’re usually signaling that there is a fixed opening or event date. There can be some anxiety about missing the deadline or a lack of understanding about the production process timeline. Finding the underlying reason can help you address those concerns.
Best Response Framework
Confirming the actual hard deadline is the first step to an agreement. Next, identifying which variables are flexible is key. Are the materials set? What about the quantity? Finally, setting realistic expectations and eliminating unknowns allows for a unified vision moving forward.
3 Solutions
- Using materials in stock
If the client is flexible on materials, consider asking your vendor what materials they already have in their warehouse. This allows for fast-tracked production.
- Staged delivery
What is the minimum quantity needed for the deadline? Many vendors can ship partials on request. If your order states a quantity of 200 but you only need 50 for the actual deadline, we can ship the first 50 that we have done.
- E-proof or physical sample approval
Almost every vendor has a proof or sample approval process before production for order fulfillment. While the physical samples are normally shipped overnight for approval, you can opt for a simple e-proof or digital rendering and approve that instead.
Finally, many vendors offer rush production and shipping at an increased cost. Depending on our production schedule at any given time, we may be able to accommodate rush orders.
Example Scenario
Industry: Restaurant
Goal: Receive 100 menu covers, 100 coasters, and 100 guest check presenters for grand opening
Timeline: Product needed in 3 weeks
Solution path used: product creation with in-stock leather and shipping partials of 75 menus and 50 guest check presenters with rush order
Objection #3: “MOQ is too high.”
When the main objection to your proposed vendor is that the ‘minimum order quantity is too high’, there are a couple potential reasons for that. This could indicate budget concerns, limited storage or inventory capacity, or uncertainty about product demand or usage frequency.
Best Response Framework
MOQs generally exist to support material efficiency, consistency, and pricing. While typically thought of as a safeguard for the vendor, these can be good for clients, too. MOQs allow for quality control and unit cost stability. Shifting client focus from quantity to usage planning can allow for a compromise to take place.
3 Solutions
This conundrum may require the most creativity out of the three.
- Universal base
Getting the clients to consider a ‘universal’ product that can be used in various work settings is a great approach for compromise. An example of this could be one menu cover, with inserts for dessert, beverage, or seasonal changes. That way, multiple different menus don’t need to be ordered.
- Shared production runs
Clients might also need to consider placing an order that covers product demands across programs, teams, or locations. For example, if a vendor has an MOQ of 500 pieces for certificate covers, but their department only needs 100, advise them to find opportunities across departments where certificate covers might be needed.
- Evergreen core items supplemented with seasonal or event-specific add-ons
Ordering in advance can also be helpful. For example, meeting the MOQ with various designs or uses throughout the year and seasons can be helpful. If you are ordering binders but need a variant on its design for the holidays, order them all together to meet the MOQ and knockout two birds with one stone.
All Book Covers generally has a 25-piece MOQ, but we will happily work with clients based on needs. Just let us know how we can help!
Example Scenario
Industry: Corporate office
Goal: Order 50 binders for estate planning clients
MOQ concern: MOQ is 100 binders
Solution path used: Order placed for 100 binders, with a design change for the financial planning department, allowing binders to be used for their clients, too
The “Yes Path” Checklist
Having a solid grasp of your client’s preferences on the following criteria helps you both move forward and find a vendor that can meet your needs without all the back and forth.
ü Is the goal/ priority clearly defined?
ü When is the confirmed deadline?
ü What is the budget?
ü Is quantity fixed?
ü What are the design must-haves?
Working with clients and vendors to clearly communicate their vision can be a hassle, but when done right it garners trust, respect, and friendly relationships. Having a stable framework with which to communicate and gather information removes much of the burden and will help you earn a reputation as a master problem solver. Interested in working with us as a vendor for your product needs? Read more about our production process here.