When it Comes to Prospecting, Planning is Key

Efficient prospecting is the difference between success and failure in every B2B sales career. However, good prospecting requires much more than just prospecting skill and professionalism; it also takes good planning.

There are many aspects to an effective prospecting plan; however, if you follow this one tip, it will virtually ensure results. Simply, “Work the stats, then stat the work.” Let me explain.

You need to work by science; statistics and data; the averages. You must know for a fact, exactly how many calls, or emails, or letters you need to send or complete everyday and stick to that number—no matter what.

Here’s an example:

Let’s say in your sales model you first make cold calls to companies that fit your target demographics. Then, you reach the decision maker (DM) and qualify the person and the company, asking the prospect to opt in to receive your literature. You then call to follow up and try to set an appointment. Finally, you make an in-person sales presentation and close for the sale.

You want to know exactly how many of those initial cold calls it takes, on the average, for you to end up with one sale. Now, you should already be working with a good Customer Relationships Management (CRM) software tool like ACT!, Sage, Salesforce, GoldMine of something which records your sales activity in detail. Or you should be able to find such data on previous sales people. In either case, how many calls does it take for you to end up with one sale?

For instance, let’s say that you have a closing average of about 33%. In other words, over time you know that you close about one out of every three presentations or consummated appointments that you make and ask to the order. Now, determine how many of those follow-up calls it takes for you to set one good appointment. You obviously don’t set an appointment with every single person you call to follow up. Maybe you find that it’s 50%: for every two prospects you follow up with, you set one appointment. And you need three appointments to make one sale.

So, actually it takes you six of those follow-up calls to make one sale.

Make sense?

Now take it just one step further. How many initial cold calls does it take for you to find one prospect to opt in and allow you to send information in the post and follow up? Say that you need to make five cold calls to get set two call-backs, to get one appointment.

So your stats would be: 15 cold calls = 6 warm calls = 3 appointments = 1 sale! Now remember, these are averages over time and it may not work that way every week or month.

But this is the data; the science of your business. Figure out exactly what your prospecting stats are first. Then concentrate on one number only: the first number—in this example, the 15 cold calls.

In planning your work, focus on the 15 and make them no matter what. Plan them according to your available prospecting time and divide it evenly. Perhaps you need to make five cold calls everyday or 20 cold calls every week. Figure out your first number, hit it with consistency and then keep good records of your work; periodically checking to make sure that you are sticking to the plan. Use the facts and not your feelings.

Also, do not get caught up in what happens during this prospecting period; remember it is a plan. If you are having a bad day, so what. As long as you maintain the numbers; the proper work ethic—the sales will come. Just hit your numbers. If you your plan is to make 18 cold calls everyday and you get on the phone and make three appointments after only 5 calls—so what?

FOLLOW YOUR PLAN!

Make those 18 calls no matter what.

Consistency is the key in successful selling.

So, in planning your prospecting, work the stats, then stat the work!

Happy Selling

Sean

Sean McPheat
Managing Director
MTD Sales Training
Tel: 0800 849 6732

Sales people constantly ask me about prospecting techniques and methods. Yet the solution may not be techniques you need to employ, rather mistakes you need to avoid.

Below are five deadly prospecting mistakes that sales people routinely make.

These blunders can and have ended sales careers.

So take note of these five killers from the least deadly to the most.

And avoid them like the plague!

#5 – Poor Record Keeping

Most sales people overlook the importance of keeping good activity records. Prospects that slip through the cracks are often the difference between success and failure. Prospects you forgot to call, emails you
didn’t send or lost leads, are a fraction of what slips through your fingers.

If you are using post-it notes, an A4 pad, memory or the back of a cigarette packet for prospecting, you are losing money!

Even tools like Outlook and Access cannot handle the complexities of professional sales prospecting.

You must become an expert with a CRM, (Customer Relationship Management) program. Don’t look at it as an expense because it will pay for itself many times over.

Failing to keep good records is a major mistake you can avoid by having a system in place.

#4 – Selling the Product or Service Prematurely

The next prospecting mistake is to fall into the trap of selling the product or the service instead of the appointment.

Sometimes this is due to a poorly structured appointment setting presentation, other times it is deliberate.

Some sales people are looking for the easy sale; the person who says, “I’ve been waiting for you to call! Please let me to give you my money!” and this is a critical mistake.

When setting appointments you must remember your objective is to sell ONLY the appointment. You don’t want to be evasive, but you must help the prospect understand that the answers to their questions are the reason why a personal meeting is necessary. And again, do not look for the lay-down-sale. Find qualified prospects and then—-DO YOUR JOB!

#3 – Failing to Get and Use Referrals

With all the “tricks” out there for getting referrals, the easiest one is to simply ASK FOR THEM. It is amazing so many sales people still fall short in this area which is likely due to the sales person’s lack of personal belief in their product. If you do not deeply believe in what you sell, it is hard to ask for referrals, especially from a prospect that did not buy.

Then there is the sales person who makes the sale and wants to hurry and leave or quickly get off the telephone. Take your time after closing a sale.

Make sure paperwork and details are correct and ask for referrals from everyone including the “no-sales.”

Then, when you get referrals from the no-sale—CALL THEM.

A huge mistake sales people make is they are afraid to call referrals they received from prospects who did not buy.

Call all referrals without regard to their source.

#2 – The Smile & Dial Approach

The second deadliest prospecting mistake is to come on with the old school, smile and dial approach. On the telephone, in person or by email, many sales people still use the overly enthusiastic, insincere, pep-rally
approach.

Consumers today are educated and have heard the old sales pitch before and they are tired of it. Your approach should be relaxed, professional and sincere.

You need to lose that big phony smile and tone down your enthusiasm. There is a time when you will get enthusiastic such as when explaining benefits, but it is not during your initial approach.

#1 – Inconsistent Work Ethic

The number one deadly mistake in prospecting is to have an inconsistent work ethic. The sales profession is the most subjective business in the world. It is easier to fool yourself in sales than in any other
profession.

At the end of the day or week, you may honestly believe that you called on a ton of prospects, made a bunch of calls and sent out a gang of emails. But what you THINK and FEEL will seldom match with the facts.

You cannot judge your performance by your emotions; you must rely only factual data. This is another area a CRM will help. You have to know exactly how many prospects you called or flyers or emails you sent.

Then you must set prospecting activity goals and stick to them. If you say that you will make 30 prospecting calls a week, then don’t think you did—KNOW you did.

Also, immediately after a big sale or a good month, usually prospecting activity drops off dramatically.

Set clear prospecting activity goals and use factual data to ensure you consistently meet them. Avoid these five deadly mistakes and prospecting will become your friend not your foe.

Sean Mc