Price objections in B2B: "too expensive" and "no budget".

Price objections come in two kinds, and they need different answers. "No budget" and "too expensive" sound alike, but the sources handle them differently. "No budget" can be timing or priority. "Too expensive" is often about value, or what they're comparing you with.

How common they are

In Gong's analysis of more than 300 million cold calls, "no budget" was the third most common objection, at 16% of the total. "Too expensive" sits in Gong's "situational" category, which made up 42.6% of all objections, but Gong doesn't give it a separate figure. Vendor platform data.

I couldn't find any UK-specific data on B2B price objections.

When to talk price

On timing, there's at least some data.

Gong analysed 11,331 opportunities, each with at least three calls, and looked at when price and budget first came up. Vendor platform data, from 2020, on deals with at least three calls, not cold calls.

Budget: 49% when it came up on the first call, 31% on the second, 40% from the third on, and 7% when it never came up. Gong also found win rates were the same whichever side raised price first. Gong's line: "Win rates are highest when pricing is discussed on the first call". And a nod to Sandler: "Sandler Training folks: You got it right."

Timing within the call matters too. An earlier Gong study found that "During a one-hour call, star reps raise pricing at the 38-46-minute window." Gong's 2020 post puts the two together: discuss price on the first call, but about three quarters of the way through it.

"No budget"

30 Minutes to President's Club puts it simply: "Budget exists for things that are a priority."

So the first job is to find out which kind of "no budget" you've got. Gong's cold call talk track does it with one question: "is it that there's no budget for this cycle or that any spend requires you to do a triple backflip?" Gong's note on why: it "Tells us if it's a timing or value issue". On a cold call, Gong then lowers the stakes rather than debating money: "Open to taking a look, so you at least know what's out there?"

The Black Swan Group suggests a paraphrase that shows you've understood without conceding: "You would like to make this happen, but the budget is standing in the way."

Sandler's view is that a budget objection usually means something was missed earlier. On its podcast: "They didn't find enough pain to create value in the prospect's mind."

"Too expensive"

Find out what they're comparing against

Carew's LAER method uses the Explore step here: "When you reference budget concerns, are you comparing against other options or working within allocated funds?" The answer tells you whether you're dealing with a competitor, a fixed allocation, or a value gap.

Carew lists "We can offer a 10% discount to help with budget concerns." under "What most reps do", as the move its method is designed to avoid.

Don't justify the price

The Black Swan Group is blunt about it: "Explaining or justifying sounds desperate and never really works the way that we think it's going to work." Its suggested label instead: "It sounds like the value just isn't there for you." That invites them to tell you what's missing.

On discounts: "no deal is always better than a bad deal."

Where the sources disagree

Questions or labels. Carew's Explore step and Sandler's reversing ask questions. The Black Swan Group prefers labels, and criticises the common reply "What are you comparing us to?" as not going to the core issue.

Holding price. Black Swan suggests holding price and using silence. Carew allows alternatives such as payment changes once the real issue is clear. Gong, on a cold call, avoids the price debate and sells a no-commitment look.

Prevent or handle. Sandler and Gong's timing data both point to raising budget early so it isn't a late surprise. Gong's cold call tracks and Black Swan focus on handling it when it comes.

What to do

1. Work out whether it's "not a priority", "not worth it" or "fixed budget" before you answer.
2. Don't defend the number. Find out what's missing.
3. Bring up money on the first call, about three quarters of the way through.
4. Treat a discount as the last option, not the first.

For the frameworks behind all of this, see objection handling frameworks compared.