Cold Calling

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What is Cold Calling?

We’ve all been there. The phone lights up with an unknown number, and we ask ourselves… do we pick up or pass the poor salesperson to voicemail? Today, we’re unpacking what cold calling really is, and what it involves for the people on the other end of the phone. 

Cold calling is a well-known sales technique where sales teams pick up the phone to contact customers who have not previously expressed an interest in the business’ products or services. First impressions matter. For many prospects, a cold call will be their first touch point with a sales representative in your business. So it’s vital to get it right and set your sales cycle up for success.

The Basics of Cold Calling

Why do sales teams run cold calling campaigns? 

On average, it takes 18 calls to connect to a buyer in today’s business landscape. And with 85% of customers and prospects being dissatisfied with their on-the-phone sales experience, it begs the question whether cold calling campaigns are worth the investment and resources of sales teams. 

 

But cold calling still presents a useful opportunity for businesses to introduce their product or service. And if your team has the tools at their disposal, a talented sales representative can use a cold call to successfully generate interest and ultimately set up a meeting or call to close a sale.

 

What does cold calling actually involve?

Contacting someone and asking them to spend their money on your product and service can sound like a daunting task. A good sales team, however, will have a comprehensive sales pipeline in place, involving thorough research into call lists to ensure that the prospect on the other end of the phone is relevant and interested in what you have to sell. 

 

Once a sales representative has successfully identified the target list, and got someone on the phone, the real work begins – converting the target from a prospect to a customer. A typical cold calling process has a minimum of three parts: research, execution, and the all-important follow-up.

Improving Your Cold Calling Process – Best Practice Tips

Preparation

As the old adage goes, failure to prepare is preparing to fail. This is especially true for cold calling campaigns. Currently, 42% of sales representatives feel they don’t have enough information before making a call, But what tactics can your team use to better prepare for these calls and avoid endless hang-ups? 

  1. Research: Perform a horizon scan of your target market, gathering key information of which job roles and sectors are currently looking to buy your product or service. At this stage, you should be identifying who you actually want to call and who will be most likely to commit to a sale. Consider adopting a social prospecting tool like Surfe to gather as much information about your targets as possible and to ensure your CRM is up-to-date with the right customer information. So your team can focus on having the right conversations, armed with accurate customer profiles.
  2. Script development: Consistency is king when it comes to making sales. Devise and test a robust script to see at which point in the conversation prospects are most interested in a sale or most likely to drop off the call. Roll this out to all sales representatives and make sure to keep it evergreen, updating as your team learns new insights into what is resonating with prospects.
  3. Training: Equip your team with the right training and tools to handle difficult or avoidant callers. Lean on the wealth of experience of your more senior colleagues or invest in external specialist training for cold calling strategies.

 

Execution (not in the lethal sense…)

While it might be tempting after 16 rejections in a row, we’re not talking about that kind of execution. A cold call can be broken down into four easy steps to give your sales team the best chance of converting a prospect. 

  1. Initial contact: Make your call, and succinctly introduce yourself and your company. Confirm you are speaking to the intended prospect. The best cold calls have a killer opening. (again, ideally not in the lethal sense)
  2. Pitch: Here, you will dig into the challenges your prospect is facing (you’ll know this from all of your stellar horizon scanning). Once you’ve outlined this, you’ll position the product or service you’re selling as the solution, employing compelling storytelling devices to really hit the nail on the head.
  3. Handling objections: Undoubtedly, your prospect will have concerns or objections – they always do! Address these concerns using evidence-based metrics on how your product or service delivers a difference.
  4. The close: Finally, you’ll be looking to secure a follow-up meeting, demonstration or sale. Take a moment here not to feel too smug with your achievement in nailing your cold call.

 

Follow-up

You might think that once you’ve completed a cold call and successfully booked a close, the hard work is done, right? If only it were that simple. 80% of sales require 5 follow-up calls after the meeting. And 44% of sales reps give up after 1 follow-up. The key to converting a follow-up to a sale is persistence. Consistently show up in your prospect’s inbox, and determine the right blend of channels to stay front of mind. This might look like an email a couple of days later to confirm the meeting attendees, a LinkedIn connection request or even another call to share further information.

How Good Cold Calling Can Generate Leads

Open a direct channel of communication

If you have done your research and honed your script, a successful cold call can be an immediate way to connect with a prospect. Once you have opened that channel of communication, you can gain in-the-moment feedback on what potential buyers want and need, and how you need to position your product or service. 

 

Expand your sales pipeline

Cold calling gives you the opportunity to reach a whole segment of customers you might not otherwise have targeted via other channels such as in-person networking events or via social media. A successful sales team will have a diverse range of sources for their pipeline to reach as wide an audience as possible.

 

Gather valuable market insights

Of course the focus of your call will be on the customer you are speaking to, and how your product and service can solve their specific business challenge. But cold calls also offer the chance for sales teams to gain a clearer picture of the market their prospects operate in. Has a major player gone out of business or is there a competitor offering a similar product to yours? When you have established a trusting relationship with a prospect, you’d be surprised what they might reveal about the current state of play.

The Challenges of Cold Calling and How to Avoid Them

Rejection

It’s no secret that rejection is part of the course for sales teams. But cold calling can feel particularly demotivating for junior sales representatives with limited industry experience. Provide thorough training for all new sales representatives and reassure your team that rejection is normal. Additionally, set your team up for success by keeping your CRM evergreen with the right customer data; and be realistic in your cold calling targets and allow for flexibility when new starters are first facing rejection.

 

The time drain

Funnelling resources into cold calling campaigns with measly ROI can feel like banging your head against a brick wall. The time investment of calling and scheduling follow-ups is significant when compared to other methods of prospecting. Optimise the process and set your team up for a more successful campaign by ensuring all contact data is up-to-date and in place in your CRM.

 

Regulatory restrictions

All cold calling campaigns must comply with data protection regulations and laws like the Do Not Call Registry. Ensure that there is the right expertise in your team to know how your campaigns are remaining compliant.

 

Optimizing Your Cold Calling Process with Surfe

Ready to run a better cold calling campaign? Surfe can help your team reach the right people so they can drive better results and sell more. Here’s how…

 

Integration with CRM

As a Chrome extension, Surfe integrates LinkedIn with your CRM system. Minimise tab-hopping so your sales representatives have the entire profile of their prospect at their fingertips during a cold call. No more awkward name mix-ups! 

 

Call directly from LinkedIn with Aircall

Cut right to the chase and call a prospect directly from LinkedIn when you use Surfe with Aircall. Fully integrated with your CRM, Surfe also tracks all these interactions into your own database so you know how best to follow-up.

 

Data enrichment

How confident are you in the quality of the data in your CRM? Is it up-to-date? Surfe enriches CRM data with accurate contact details, so you’ll know that you have the right person on the other end of the line. 

 

Efficiency

Avoid the dreaded time drain by automating data entry and updating contact information with Surfe. Empower your sales representatives to spend more time making calls, building relationships and closing deals.

 

Frequently Asked Questions about Cold Calling

 

Is cold calling still effective?

Absolutely! While social selling is no doubt here to stay, cold calling remains a valuable tool for generating leads and building relationships when done correctly.

 

How can I improve my cold calling success rate?

Preparation, preparation, preparation. Research your prospects thoroughly, develop a strong script, practice handling objections, and follow-up consistently.

 

What tools can help with cold calling?

CRM systems, sales automation tools, and integrations like Surfe can all streamline the cold calling process by providing accurate data, tracking interactions and automating data entry. 

 

What are some common cold calling mistakes?

Common mistakes include not researching the prospect, using a generic script, failing to listen actively, and not following up. See our section above on how to avoid these pitfalls and land that sale.

 

How do I handle objections during a cold call?

Listen carefully to the objection, empathise with the prospect, and provide a well-reasoned response that addresses their concerns.

 

Cold calling is still an essential component in the sales cycle mix. Give your team the best chance at cutting through the noise, and getting that prospect to pick up, with Surfe. 

Want to see firsthand how Surfe can change your cold calling campaigns for the better? Book a demo and find out more.