Cold calling: what it is, how to do it and why to use it
Posted: Sun Dec 22, 2024 8:44 am
Cold calling is a sales technique in which a person contacts another person or company by phone, without ever having spoken to them before. Although it is an old practice, cold calling is still widely used, especially in B2B prospecting .
Does Cold Calling Still Work?
You’ve probably heard people say “cold calling is dead.” That’s as true as the other claim that goes around that “email is dead.”
It’s very common for people to say that they hate being approached by cold callers, as a way of justifying that the technique doesn’t work. However, this only means one thing: the salespeople are calling the wrong people.
In fact, there are a million ways to go wrong when uk email address list cold calling. Fail a few times and it’s enough for someone to conclude that cold calling doesn’t work.
Because the reality is that the salesperson cannot expect marketing to deliver only warm leads. The salesperson has to know how to hunt. And, among the various techniques and tools , cold calling is like the hunting knife: the most basic tool that cannot be forgotten.
When to use a Cold Call?
This technique is generally used when:
You were unable to “warm up” the contact by asking someone in your network to introduce you
When inbound marketing fails to reach the desired lead. This is common when the target is a larger company that does not respond well to traditional marketing approaches.
The preferred channel is the telephone itself. In addition to the difficulty of obtaining the direct email of the desired contacts, emails can end up in spam or not even be read (on average only 20% to 30% of emails are opened)
When you still don't know who the ideal person to speak to within the company is
Furthermore, there are other cases and reasons in which, simply, the best alternative to get new customers may be the good old cold call.
How to make a Cold Call?
An effective cold call requires preparation and strategy. Regularly following a preparation script will not only significantly improve the performance of each cold call individually, but will also increase team productivity and sales results as a whole. Below are some tips to help you make a good cold call:
1. Motivation and mental state
Cold calling is not exactly a pleasant activity, since the number of rejections and failures can easily demotivate a salesperson, especially the most inexperienced ones.
To achieve this, it is important to be motivated, which is usually not easy with just a rationalization like “I need to make cold calls to close more sales”. Motivation always involves a deeper connection with our real purposes.
Steli Efti of Close.io suggests asking the following question before making a cold call:
“Why am I calling?”
“Because I want to close the deal,” you would answer.
"Why?"
“Because I want to reach my goals”
"Why?"
“Because I want to be successful”
"Why?"
“Because I want to achieve my dreams and make my family proud”
The idea is this: keep asking questions until you connect the cold call with what motivates you most deeply. Do this next time and you will notice how differently you will feel for the next call.
2. Environment
The environment has a big influence. Distractions and noise really hinder concentration. It’s not always possible, but whenever I can, I try to find a quiet environment. Call center rooms, for example, where operators are very close to each other, don’t help.
3. List of prospects
Your prospecting list must be ready and filtered. I can't start prospecting without already having the list of companies to contact.
This is a preliminary task that requires a survey of companies that are actually active, with updated telephone numbers and a profile of potential buyers of their products and services. Platforms such as Econodata are useful for this very purpose.
Don't wait until you're ready to make the calls. This activity should be done beforehand so that you can focus solely on making the calls.
4. Research your target
The more we know about the prospect we are going to contact, the greater the chance we will be able to establish a connection with the person on the other end of the line and have a productive conversation.
Therefore, try to find out everything you can about the company, such as information about competitors, size, sector, areas of activity, main products, positions, professional background, common connections. And, of course, telephone and email whenever possible.
This search can be done both in company databases such as Econodata and also in CRM and on networks such as LinkedIn, Twitter, Facebook, Google, blogs and news sites.
5. Plan approach
After gathering information, it is time to plan the opening of the conversation and the approach that will be used. It should be carefully thought out for the context of that prospect.
And if you find a company news story or contact profile update that could serve as a hook for your service, start using it. For example:
“ I saw that you recently led the launch of the XXY project” or “I read the news that your company acquired ABC company ”
This will get their attention. Then, direct your speech to the most likely concern or need the contact has related to my industry. For example:
“ I have served several companies with projects that exceeded the initial deadline and budget due to planning difficulties. ”
And, in this way, you will be able to generate interest. Finally, complete with some proof of your company's capabilities – a case study , business or market figures, media appearance.
“ We recently helped XYZ Company meet 90% of their projects on time and keep them all within their initial budget. ”
This is a commonly useful formula for opening calls.
Does Cold Calling Still Work?
You’ve probably heard people say “cold calling is dead.” That’s as true as the other claim that goes around that “email is dead.”
It’s very common for people to say that they hate being approached by cold callers, as a way of justifying that the technique doesn’t work. However, this only means one thing: the salespeople are calling the wrong people.
In fact, there are a million ways to go wrong when uk email address list cold calling. Fail a few times and it’s enough for someone to conclude that cold calling doesn’t work.
Because the reality is that the salesperson cannot expect marketing to deliver only warm leads. The salesperson has to know how to hunt. And, among the various techniques and tools , cold calling is like the hunting knife: the most basic tool that cannot be forgotten.
When to use a Cold Call?
This technique is generally used when:
You were unable to “warm up” the contact by asking someone in your network to introduce you
When inbound marketing fails to reach the desired lead. This is common when the target is a larger company that does not respond well to traditional marketing approaches.
The preferred channel is the telephone itself. In addition to the difficulty of obtaining the direct email of the desired contacts, emails can end up in spam or not even be read (on average only 20% to 30% of emails are opened)
When you still don't know who the ideal person to speak to within the company is
Furthermore, there are other cases and reasons in which, simply, the best alternative to get new customers may be the good old cold call.
How to make a Cold Call?
An effective cold call requires preparation and strategy. Regularly following a preparation script will not only significantly improve the performance of each cold call individually, but will also increase team productivity and sales results as a whole. Below are some tips to help you make a good cold call:
1. Motivation and mental state
Cold calling is not exactly a pleasant activity, since the number of rejections and failures can easily demotivate a salesperson, especially the most inexperienced ones.
To achieve this, it is important to be motivated, which is usually not easy with just a rationalization like “I need to make cold calls to close more sales”. Motivation always involves a deeper connection with our real purposes.
Steli Efti of Close.io suggests asking the following question before making a cold call:
“Why am I calling?”
“Because I want to close the deal,” you would answer.
"Why?"
“Because I want to reach my goals”
"Why?"
“Because I want to be successful”
"Why?"
“Because I want to achieve my dreams and make my family proud”
The idea is this: keep asking questions until you connect the cold call with what motivates you most deeply. Do this next time and you will notice how differently you will feel for the next call.
2. Environment
The environment has a big influence. Distractions and noise really hinder concentration. It’s not always possible, but whenever I can, I try to find a quiet environment. Call center rooms, for example, where operators are very close to each other, don’t help.
3. List of prospects
Your prospecting list must be ready and filtered. I can't start prospecting without already having the list of companies to contact.
This is a preliminary task that requires a survey of companies that are actually active, with updated telephone numbers and a profile of potential buyers of their products and services. Platforms such as Econodata are useful for this very purpose.
Don't wait until you're ready to make the calls. This activity should be done beforehand so that you can focus solely on making the calls.
4. Research your target
The more we know about the prospect we are going to contact, the greater the chance we will be able to establish a connection with the person on the other end of the line and have a productive conversation.
Therefore, try to find out everything you can about the company, such as information about competitors, size, sector, areas of activity, main products, positions, professional background, common connections. And, of course, telephone and email whenever possible.
This search can be done both in company databases such as Econodata and also in CRM and on networks such as LinkedIn, Twitter, Facebook, Google, blogs and news sites.
5. Plan approach
After gathering information, it is time to plan the opening of the conversation and the approach that will be used. It should be carefully thought out for the context of that prospect.
And if you find a company news story or contact profile update that could serve as a hook for your service, start using it. For example:
“ I saw that you recently led the launch of the XXY project” or “I read the news that your company acquired ABC company ”
This will get their attention. Then, direct your speech to the most likely concern or need the contact has related to my industry. For example:
“ I have served several companies with projects that exceeded the initial deadline and budget due to planning difficulties. ”
And, in this way, you will be able to generate interest. Finally, complete with some proof of your company's capabilities – a case study , business or market figures, media appearance.
“ We recently helped XYZ Company meet 90% of their projects on time and keep them all within their initial budget. ”
This is a commonly useful formula for opening calls.