Change is nothing new for long-standing PV professionals. And looking into 2024, many solar businesses may find a challenging sales climate ahead. So how can you answer those tough homeowner questions and keep on track to the sale?
In this article, we’ll look at five solar objections you’re likely to hear right now, before showcasing how to adjust your pitch and proposal to hurdle customer concerns at every stage of the sales funnel.
How to prepare for the top 5 solar objections in 2024
For as long as solar has been sold, effectively handling objections has required empathy, building trust, addressing rebuttals, and coming prepared with everything necessary to close deals on the spot. Using this methodology, we’ll look at the objection, topics you have to address, and ways to modify your proposal to close the deal.
The objection: Uncertain economy ahead
The 2020s have been anything but normal in the eyes of most economists — to say the least. This has left many people around the country (and the world) a bit uncertain about their financial future. According to a 2023 study from the Pew Research Center, Americans believe that inflation is the number one issue in the US, with 65% of the adults surveyed indicating that it was a “very big problem.”
🛑 To address: Let your prospects know that the rate of inflation has slowed from 9% down to just 3% in the past year.
🚀 In your proposal: Visually, you can display lifetime solar savings next to future energy bills side-by-side, including expected escalation rates from local utilities.
🛑 To address: In addition to addressing general inflation rates, focusing on the costs of electricity alone can also help isolate the issue that solar may solve. 62% of homeowners expect that energy prices will continue to rise and fixed solar rates can help mitigate this.
🚀 In your proposal: With an uncertain economy ahead, it may also be helpful to focus more of your presentation on removing grid dependence, which can include incorporating battery storage options directly into your proposal.
The objection: Financing rates are too high
To specifically address how economic trends affect solar decision-making, high financing rates are causing many homeowners to question whether a renewable energy loan is even fathomable at the moment. Although this can certainly be a difficult objection to overcome, there may still be several ways that you can effectively show that solar is the best option for long-term energy savings.
🛑 To address: It should be no surprise if a customer is concerned about financing, as high interest rates have been a common solar objection in the last few years.
🚀 In your proposal: In Aurora’s Sales Mode, you can compare multiple financing options head-to-head in live web proposals.
🛑 To address: As a result of high rates, solar buyers now want to evaluate multiple financing options to guarantee that they are choosing the best plan for short and long-term cash flow.
🚀 In your proposal: Adjusting your proposal in real-time, you can quickly calculate your customer’s perfect financing option based on variable down payments, alternative loan terms, and comparisons with lease or PPA contracts.
The objection: We need another quote
Homeowners claiming, “We need to explore our options and seek out another quote” is one of the oldest solar objections in the book. However, this doesn’t mean it’s any less important today, as this objection is sure to be heard all over the country in 2024.
While some solar experts say that pivoting to a two-touch close here is best to let your products, services, and prices stand up fairly against the competition, being ready to address this objection in your sales meeting is one of the easiest ways to facilitate an honest conversation and uncover other hidden hesitations.
🛑 To address: When a homeowner needs to “see more options,” it may be evidence of other sources of reluctance. 27% of homeowners believe that the solar installation process is lengthy and difficult, and some property owners can fear long-term commitment or are unconvinced by projected savings.
🚀 In your proposal: In your design and sales funnel, every proposal feature is an opportunity to build trust within the eyes of your prospects — for both your company and solar as a whole.
🛑 To address: In these scenarios, it’s important to clear up misconceptions and be seen as an objective source of truth and expertise.
🚀 In your proposal: By demonstrating calculations for solar production and savings within your proposal, you can walk customers through every aspect of their system in Aurora’s Sales Mode and make any necessary adjustments in real-time, without sacrificing accuracy.
The objection: NEM 3.0 (net billing) concerns
With the new Net Billing utility rate structure in California, many Golden State residents are now uncertain whether solar is worth it under NEM 3.0. Including a ripple effect that can be felt nationwide, California’s new solar rate structure is a hot topic in 2024 that PV professionals should be prepared to address.
🛑 To address: Whenever NEM 3.0 comes up in conversation, your role as a solar expert is to disprove any false claims and clearly explain how the new rate structure works.
🚀 In your proposal: If you sell solar in sunny California, coming prepared to customer meetings with graphs, timelines, and other visual representations of how NEM 3.0 works is now essential. Be prepared to answer questions about time-of-use rates.
🛑 To address: While many export rates have decreased significantly for new solar customers in CA, it is still possible to reduce energy expenses with NEM 3.0, and the program also incentivizes energy storage integration.
🚀 In your proposal: Tools like Aurora’s battery storage modeling can be used to showcase how to navigate net billing in California.
To see how Aurora can help solve the challenges of selling storage — including our new hourly visualizations — click through this quick tour.
The objection: Concerns about solar from bad experiences
After over a decade of growth, installed solar capacity in the US is greater than ever. Although positive experiences are generally more common, some people have also sworn off solar altogether after having a bad encounter or hearing a horror story from a friend, neighbor, or family member.
🛑 To address: Today, “keeping it real” while selling solar is essential if you want to separate your services from the businesses that have soiled solar energy’s reputation with a particular customer.
🚀 In your proposal: Focusing on facts and accuracy can help your presentation seem less “sales-ey,” help truly educate the customer, and keep expectations in line with results.
🛑 To address: 27% of people believe that solar sales outreach can be “spammy,” so distinguishing yourself among the pack and building trust is essential.
🚀 In your proposal: In addition to mentioning your accreditations and five-star reviews, you may also be able to build trust visually in your proposal with a map of local installations that you’ve done in the area.
Everything you need to handle solar sales objections in 2024
We hope that you have enjoyed this solar sales objection deep dive, and feel ready to dismantle hesitations, overcome customer rebuttals, build more trust, and sell more systems in 2024. Before you head into your next sales meeting, here’s a quick reminder of three key things your customers will need before they say “yes” to your sales proposal:
- A permit-ready solar design customized to their property and energy demand
- Trust that the financial benefits of their proposed system will be realized
- A detailed and binding solar sales contract that accurately describes project plans.
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