When done correctly cold calling is still an effective sales tactic. DiscoverOrg, Gartner, Vorsight and Forbes all agree- you need to find buyers and cold calls work to get you the sales your business needs. Your buyers won’t know where to find you, you have to find them, therefore for an effective marketing and sales strategy be sure to use social media and research to prepare for cold calling in modern times.
Ideally, your phone will ring all day with customers asking for your business, but the reality is that if you want the business- you have to go for it, you have to make the calls. As part of your outbound marketing strategy, a cold call can be a very effective sales tactic when done properly.
In fact, according to a recent DiscoverOrg survey, 60% of the more than 1,000 senior executives surveyed from the IT industry reported scheduling a meeting or attending an event after receiving a cold call.
If the thought of a cold call makes your stomach fall on your toes, these tips will not eliminate your fear, but they will help make the call a bearable experience.
Cold calling techniques for more successful calling
1) Focus on the goal.
Beginners tend to think that cold calling is only about sales; it’s not, it’s about getting a chance to sell, to be specific- the purpose of a cold call is to set up a meeting where you get an opportunity to talk about your product. Cold calling is about opening the doors to get you the meeting. The goal is the sale, but the short-term action goals are getting to the decision maker, securing the meeting, providing value then closing the deal- everything is about closing the deal and maintaining the relationship for more deals to come.
2) Research your markets and prospects.
You need to direct your cold invitation to the right audience. Use market research to focus on your target market, (See how to find and sell in the target market). Then find out as much as you can about the company and decision maker before you call them- this gives you a huge advantage, you can talk about their needs based on what you learned when you call them.
According to the Gartner Group, in a typical business with 100-500 employees, an average of seven people are responsible for most purchasing decisions, connecting with the right people is critical to your success. What to research: what their company does and why your product, or service is right for them, what department your decision maker works in, find out as much about their buying history as you can find. If you’re selling into a publicly traded company this is easy to find, if it’s a private company then get creative. Check LinkedIn to see what companies their buyers follow, this will help determine who they buy from. Be bold and do your homework. I’ve found that the more I know about a company, the more I’m likely to close them.
3) Improve your chances by using social media contacts.
According to Vorsight statistics, if the caller is in a joint LinkedIn group, 70% are more likely to talk to them on a cold call. Join LinkedIn groups that are relevant to your prospect’s industry. Get involved in the group and represent yourself as an advisor. When you call them tell them you are part of the group they are in, tell them that you are trying to connect with them because of the common aspects of their business and your product. Be recognizable.
4) Prepare an introductory statement
Organize your thoughts before calling, this helps you avoid common opening mistakes that would give the person you are calling a chance to end the conversation.
For example, you should never start by saying, “Is this the right time to talk?” or “How are you today?” Don’t read your introductory statement into the phone, use it as a guide to speak easily.
Don’t ask a question that will lead to a no and don’t ask a question that’s boring, “How are you today?” is boring and no one cares.
Say I hope you’re having a great day, tell them you need five minutes, respect their time and find out when they have more time to talk so that you can learn more, show them you know their business.
5) What should be in the recital?
This cold calling organization chart (from AllBusiness.com) works well:
“Include a greeting and introduction, a reference point (something about perspective), the benefits of your product or service, and moving on to a question or dialogue.”
For example,
“Hello, Miss Marshall, this is Kendra Brown with Green Works, I read in a local article that you recently demolished new office complexes, we specialize in commercial landscape services that allow you to reduce internal maintenance costs and comply with new city regulations. I want to ask a few questions to determine if one of our programs can meet your needs. “
6) Prepare a script
Without a script, it’s too easy to leave something out, or be longwinded which might lead you off topic. You won’t read the script letter by letter, but when you call, you know what to say and when to say it. State the benefits of your product or service and the reasons for buying. Write down possible remarks and respond to them one at a time in a (cold call box) you have prepared in advance.
Be prepared to answer detailed questions about your products and services. According to Forbes Insight, 58% of potential buyers claim that salespeople cannot effectively answer their questions. That’s a lot of lost sales!
7) Ask for an appointment at a specific time and give options.
Say, “Would Wednesday at 11 am, or Wednesday at 1pm be better for you?” instead of saying, “Can I meet with you to talk about it next week?”
8) Remember that gatekeepers are your allies, not your enemies.
Be kind to anyone who picks up the phone, develop strategies to win the gatekeeper to your side. In sales we call these people an advocate, receptionists and secretaries are entry level advocates, but an advocate who deserves respect none the less. Sometimes I ask:
“I wonder if you could help me?”
It will help you get the information you need, such as the name of the right person, or when the best time to contact the prospect. I always ask:
“What’s the best time to catch them?”
Learn the names of gatekeepers and be friendly, they will advocate for the decision makers to call you back, or take your call- you need them. If you don’t have a phone number, send your prospect an e mail and when you don’t get a response, give the company main number a call, ask for their secretary, or person who helps keep them organized. Let them know you sent the decision maker an e mail and need help getting it to them. People usually enjoy being helpful, it takes time, but well worth it.
9) Forward a small, unique promotional item, or letter.
This helps break the ice and makes your business stand out from the crowd. Pat Cavanaugh, Inc.com sales guru says, “It’s amazing that the crazy little thing we sent to our company helped us get the Fortune 500. When we call, they say, ‘Oh yeah …. you were the ones who they sent me … ” If you don’t have a sample of a product, or service then send a letter to them, don’t just send a little letter envelope, send an express envelope that looks important.
10) Cold call early in the morning or late in the afternoon
These are the best times to decide. According to InsideSales.com Thursday is the best day of the week to cold call, Wednesday is the second, and Tuesday is the worst.
11) Be persistent
Entrepreneur.com claims that:
“80% of sales are made after the fifth call, and second, that 92% of salespeople give up before that.”
While trying to get to the right person I have a joke, I have fun, I make it engaging to talk to gatekeepers, lower level employees and managers. When I’m with the right person it’s a process of lots of calls, lots of e mails and eventually a business relationship that lasts for decades.
When it comes to developing any skill you need to practice, practice, practice. While a cold call might never be fun for you, you can get better; the more you practice, the more effective your sales techniques will be. Take your script, your call list and your cold call box and get to the phone. People who want to do business with you are there, you have to let them know you. Overtime you might find they become people you enjoy talking to for years ahead, they did for me.
