Calling cold
Transcript of Calling cold
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COLD CALLING IS DEAD,Thanks to LinkedIn
Steve Richard
Co-FounderVorsight
Ken KroguePresident & FounderInsideSales.com
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Introduction
Its amazing how powerful a simple ideacan be. Ken Krogue, president and founderof InsideSales.com, and Steve Richard,co-founder of Vorsight, created a webi-nar called The Science of Using LinkedIn,Technology, & Social Selling for Cold Call-ing. The two well-known sales leadersteamed up to share little-known tips thatare generating big results right now.
Before the webinar went live, it sparkedsome unexpected controversy. UK-based journalist Steve Masters published anarticle on the Business 2 Community web-site titled No, LinkedIn Is Not a Sourcefor Your Cold Calling. He got hung up onthe term cold calling and just couldntsee past it. He hadnt even seen thewebinar yet.
LinkedIns Head of Marketing for SalesSolutions, Ralf VonSosen , caught wind ofthis criticism and contacted InsideSales.com. Krogue told him that the webinarwas going to show salespeople how to
use LinkedIn the right way, so they wouldnever have to cold call again.
Then Krogue invited VonSosen to partici-pate in a Google Hangout that followed thewebinar. VonSosen jumped at the chanceto share LinkedIns perspective on thisimportant topic.
It turned out to be the most successfulwebinar InsideSales.com and Vorsight haveever done. A total of 5,648 people reg-istered to learn how to use LinkedIn andtechnology for sales.
Krogue later wrote an article about thewebinar that quickly climbed to No. 1 onForbes.com , racking up 66,749 views.
The concept created so much buzz in thesales community that we decided to turnit into this ebook. Were pleased to pres-ent these tips to help you make smartersales calls.
Ralf VonSosenHead of Marketing forSales SolutionsLinkedIn
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Table of Contents
Introduction ..................................................................................................2
About the Authors ..................................................................................... 5
Pre-Call Research ....................................................................................... 6
The Power of TeamLink .............................................................................7
Set More Appointments With LinkedIn Groups ................................... 8
The Right Call-to-Action ........................................................................... 9
Double Dial Technique ............................................................................. 10Get Direct Lines for Senior-Level Execs ..............................................10
Gain Email Visibility ................................................................................... 11
Specialist and Generalist Model............................................................. 12
Making the Most of Your Calls and Emails .......................................... 13
CLOSER Model ...........................................................................................14
Published by InsidesSales.com34 East 1700 SouthProvo, Utah 84606877-798-9633
Copyright 2013 All Rights Reserved
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Page 4Table of Contents
The 7 Keys to Achieving Better Contact Rates ..................................15
Key #1: Immediacy ....................................................................................16
Key #2: Persistency .................................................................................. 17
Key #3: Optimize Calls .............................................................................18
Key #4: Time of Day ................................................................................. 19
Key #5: Day of Week ...............................................................................20
Key #6: Direct-Dial Numbers .................................................................. 21Key #7: Leverage Dialer Technology ...................................................22
Traditional Cold Calling is Dead .........................................................24
Free Resources for Sales Pros .............................................................. 24
Summary & Credits.................................................................................. 24
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Page 5About the Authors
Steve Richard, co-founder of Vorsight, hasbeen featured in The Harvard BusinessReview, The Washington Business Journal,The Washington Post, CNN/Money and CNBC.Vorsight has been recognized as the SalesTraining Provider of the Year four years in arow by the American Association of Inside
Sales Professionals.Connect with Steve on LinkedIn, Google+ andTwitter . Find out more about his sales trainingservices at Vorsight.com .
Steve RichardCo-FounderVorsightwww.vorsight.com
Ken KroguePresident and FounderInsideSales.comwww.kenkrogue.com
Ken Krogue, president and founder ofInsideSales.com, is a results-driven salesleader and visionary for the inside salesindustry. The research and data-drivenapproach he uses has led to best prac-tices for contacting and closing leads. Hepioneered the powerful sales automationPowerDialer, a tool that increases theeffectiveness and efficiency of inside salesprofessionals. Ken is also a regular contribu-tor to Forbes.com.
Connect with Ken on LinkedIn, Google+ andTwitter . Find out more about how to wringthe most value out of your leads by visitingInsideSales.com .
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What you really have to do now is warm upthe conversation with research.
LinkedIn is the single most powerful toolon the planet for doing effective pre-callresearch and for tapping into your exist-ing relationships.
One technique Vorsight teaches is called3x3 Research*. Its based on the conceptthat you need to wake up your prospectsbrain. You do that by learning somethingabout your prospect before the call.
But theres a fine line between doing toomuch research and not doing enough.There are two types of sales reps: librar-ians and cowboys. Librarians spend allday researching and they dont makeenough calls. Cowboys are so gung hoabout dialing for dialers that they never doany research.
Pre-Call Research
Use LinkedInfor Pre-Call ResearchThe original definition of cold calling wasreaching out to somebody you dont knowanything about and trying to sell themsomething. Anybody who does that thesedays is an idiot.
But youd also be a fool to stop makingunexpected sales calls. DisoverOrg sur-veyed more than 1,000 senior executivesand found that 75 percent have taken anappointment or attended an event basedon an unexpected sales call or email.
The key difference between making unex-pected sales calls and cold calling is thatwhen youre making unexpected sales calls,you actually know something about yourprospect and can clearly demonstrate howyoure bringing value to the conversation.
Neither of these approaches is ideal.You want your sales reps to do somequick and dirty research and then diallike the wind.
Find three pieces of relevant informationabout your prospect in three minutes.Thats why its called 3x3 Research.
Here are some things to look for:
Online content that featuresyour prospect.
Previous employers. Competitors your prospect is
currently using.
Vorsight dug into the data. They discov-ered that when the sales rep has accessto 3x3 Research, the conversion ratefrom initial prospects to appointmentsincreases 16.7 percent.
* 3x3 Research is a Vorsight term
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The Power of TeamLink
Use TeamLink to Mine Second-DegreeLinkedIn ConnectionsVorsight found that if a salesperson contacts someone who is notat least a second-degree LinkedIn connection, it converts into anappointment 32 percent of the time.
If you have a second-degree connection, the conversion raterises to 50 percent.
Use TeamLink , one of LinkedIn Sales Navigators features, toidentify hidden work connections in your 3rd degree network.
TeamLink instantaneously connects users with their co-workers.Any time you do a search, you will see if that person is connectedto you or to anyone at your company.
Rather than contacting the prospect, contact your co-worker whois connected to your prospect on LinkedIn.
Your co-worker can introduce you to the prospect, eliminatingthe need for cold calling.
Sales Navigator
TeamLink Fill your pipeline with the best prospects
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With LinkedIn GroupsSet More Appointments
Leverage LinkedInGroups to Set MoreAppointmentsLinkedIn groups are a wonderful venue toengage in meaningful conversations withthose who have similar interests. Groupsallow professionals to understand what thehot topics are in their area, socialize withcolleagues, ask questions and give help-ful answers.
There are many groups for sales pros. Forexample, the Inside Sales Experts, Sales2.0 Best Practices and Salesforce Chattergroups all serve specific communities.
You are 70 percent more likely toget an appointment with someone onan unexpected sales call if you arein a common LinkedIn group than ifyou arent.
WARNING: Do NOT join groups just tospam them and share your content. Youhave to be engaged in the dialogue.
A test was conducted at a call centerin Tampa, Florida. The researchers firstused a typical cold call strategy on 1,000numbers. On the second 1,000 dials, theystarted the conversation with, I under-stand we share a common LinkedIn group.Just using that simple statement increasedthe number of appointments set by70 percent.
Inside Sales Professionals
Created: April 3, 2009
Type: Professional Group
Members: 7,969
Owner: Larry Reevers
About: Group profile
Group Statistics
8,015 members Join
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Hosted By
The Right Call-to-Action
Are You Using the RightCalls-to-Action?Salespeople can steal a page from themarketers playbook by using effectivecalls-to-action. Asking for a meeting rightoff the bat isnt always the best approach.
Point me to the right person.Email the CEO or a very senior personin the company. Use the call-to-action:
Send me to the right person. When thatemail is forwarded internally, you have amuch higher likelihood that the personwill respond because it comes from theboss. If you see something coming fromyour boss, youre much more likely to takeaction on it.
Meet our CEO at the trade show.Executives at other companies might jumpat the chance to meet your CEO at a tradeshow, especially if youre growing fast anddoing innovative things. This is a bettercall-to-action than saying, Come meetwith me, the salesperson.
Attend a webinar or a live event.If you go straight for the appointment, youmight get shot down. But that same pros-pect might bite on an educational offer.Webinars and live events work really well.
For example, more than 15,000 sales prosregistered for the Inside Sales VirtualSummit . InsideSales.com brought together62 of the top minds in sales to speak onthe same day. It was a blast.
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Double Dial Technique
Double Down on the Double DialHave you ever called a prospect and had him not pick up?
Of course you have. Thats just part of being in sales.
Heres a little trick called the double dial. Call a prospect. If she doesnt pickup, immediately call her back. The second time the phone rings, it will piqueher curiosity. This must be important. Theyre calling back .
This tactic works even better if youre using LocalPresence. LocalPresence isa feature of InsideSales.coms software that allows you to show up as a localnumber on the other persons CallerID, even when youre calling from a dif-ferent state.
If you double dial, you will reach 18 percent more of your list, according to
Vorsights research.
CAUTION: Double dialing takes longer. So, dont double dial if you mustquickly plow through a huge list. The best time to double dial is when youhave a shorter list of key targets.
Get Direct Lines forSenior-Level ExecsVorsight studied how long it takes to reach an execu-tive through a switchboard versus direct dialing. Whatthey found was fascinating.
If you dial a list of switchboard numbers, it will takeyou 22.2 minutes to get a VP level executive on thephone. However, if you dial through a similar list ofdirect lines, it will only take 5.5 minutes.
You are 46 percent more likely to reach somebodyat the director level if you call a direct line. Andyour chances are 147 percent better at the VP level.
KEY TAKEAWAY: If youre calling senior-level execu-tives, it doesnt make sense to use switchboardnumbers. Youll be far better off with direct-dial numbers.
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Gain Email Visibility
75 percent of their time looking at Page4, and that page is all about how you dif-ferentiate your technology from anothervendor, bring that up when you call themback. You dont have to say that you sawhow much time they spent on that page.But you should weave that topic into yourconversation.
Vorsight is seeing a 7.5 percent bump inappointments while using ClearSlide.
Some Quick Sales MathVorsights research reveals that 32 per-cent of its sales conversations turn intoappointments. So, for every 3.14 conversa-tions, it sets one appointment.
Vorsight offers a wonderful free resourceon its website called 5 Steps to Building aTeam of Rock Star Sales Hunters .
Gain Visibility Into YourEmails With ClearSlideClearSlide is technology that lets youemail a presentation to a prospect andsee if they open it, when they open it, howlong they spend looking at a particularpage, etc.
PRO TIP: When somebody opens yourdocument, call them immediately. Strikewhile the iron is hot. Call them whiletheyre thinking about you.
InsideSales.coms research shows that ifyou call a lead within five minutes, yourodds of contacting will be 100 times higherthan if you wait 30 minutes. So, immediateresponse is crucial. And the same principleapplies when youre using ClearSlide.
BONUS TIP: Talk about the pages theyspend the most time viewing. If they spend
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Specialist and Generalist Model
Specialist Model Outsellsthe Generalist ModelThe Kellogg Survey that was done by Dr.James Oldroyd in 2007 showed a higherclose rate for companies that break theirsales model into specialties.
The generalist sales model makes salesreps responsible for the entire end-to-endsales process: finding leads, qualifyingleads, closing sales.
The specialist sales model allows differentteams to focus on different stages of thesales process. So, for example, you mighthave a team of business development repswho qualify leads and set appointments foryour closers.
InsideSales.com has experienced incred-ible success using the specialist modeland recommends it for other salesorganizations.
If you specialize, you can do more pre-callresearch so you dont have to cold call.The specialist model also provides a 7-pointbump above a generalist model.
GENERALIST MODEL
Combined Appointment Setters,Closers, and Account Managers
Dedicated Account Managers
Dedicated Appointment Setters
Dedicated Lead Researcher
Dedicated Closers
SPECIALIST MODEL
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Your Calls and EmailsMaking the Most of
Sales leaders across the country often ask InsideSales.com three cru-cial questions:
1. How many calls should I make?2. How many voicemails should I leave?3. How many emails should I send?
Well, this is the model. It has been validated by research.
You should call each person on your list about six times. Thats aboutwhat it takes to reach a busy decision-maker.
On your 1st call, send a voicemail and an email. Dont leave voicemails or emails on calls 2 and 3. On your 4th call, send a voicemail and email. And on your last call, send a voicemail and email.
PRO TIP: Right between two and three voicemails is where its obvious thatleaving more voicemails becomes a negative -- and, at that point, yourebecoming a pest.
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Improve Your SalesProcess With theCLOSER ModelInsideSales.com has discovered six vari-ables you need to test to improve yoursales process in a scientific, systematicway. We call it the CLOSER Model.
CLOSER Model
C
LO
S
ER
Campaign = Test Strategy
List/Leads = Test SourcesOffer = Test OffersSkill = Test Approaches
Effort = Test Contact RatesReporting = Test Results
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Achieving Better Contact RatesThe 7 Keys to
InsideSales.com provides technology based on research and bestpractices to help inside sales teams dramatically improve their results.Weve developed seven strategies that are proven to boost contactrates. Its our secret sauce.
We shared it with our good friends at Marketo, and the first thing
they said was, What did you guys do? Everybodys answeringour calls.
And now were sharing these seven insanely effectivestrategies with you.
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Research shows that a lead called within5 minutes is 100 times more likely to becontacted than a lead called in 30 minutes,and 21 times more likely to become aqualified lead.
Key #1: Immediacy
CONTACTS MADE FROM FIRST DIALS
C O N T A C T E D
/ Q U A L I F I E D
L E A D S
RESPONSE TIME
5 MIN 10 MIN
Qualified
Leads That Become:
Contacted
15 MIN 20 MIN 25 MIN 30 MIN
100 X Higher chance of contacting
21 X Higher chance of qualifying
WITHIN 5 MINUTES
AFTER 5 MINUTESChance of contactingdrops significantly
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The average sales rep only makes 1.3phone calls per lead before giving up. Ifyou only call a lead once, you wring 37percent of the value from your lead. Ide-ally, sales reps should be calling each lead
six times. With six calls, you get 90 percentof the value from your leads.
Key #2: Persistency
% OF SALES BY CALL ATTEMPT
NUMBER OF CALLS
0%
20%
40%
60%
80%
100%
1ST
37%
2 ND
61%
3 RD
73%
4 TH
82%
5 TH
85%
6 TH
90%
7 TH
91%
8 TH
92%
9 TH
93%
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As a best practice, ask your leads whenis the best time to contact them. This cansave sales reps a lot of wasted time. If alead wants to be contacted, that lead willtell you when is most convenient.
Key #3: Optimize Calls
First Name:
Last Name:
Email:
Phone: Ext.
When is the best time to call you?
8:00am - 12:00pm 12:00pm - 5:00pm
Submit
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The best times to contact a lead arebetween 8 a.m. and 9 a.m. or 4 p.m. and 5p.m. The worst time of day to attempt con-tact is during the lunch hour. Make sureyour sales reps are being most productive
during these times.
Key #4: Time of Day
Best Times to Contact 8-9 AM and 4-5 PM
0
500
1,000
1,500
2,000
2,500
3,000
3,500
7-8 8-9 9-10 10-11 11-12 12-1 1 -2 2-3 3-4 4-5 5-6
CONTACTS MADE FROM FIRST DIALS
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Wednesdays and Thursdays are the bestdays of the week for contacting leads.Tuesdays are the worst. When shouldyou hold sales meetings? Tuesdaysduring lunchtime.
Key #5: Day of Week
2,500
2,000
1,500
1,000M T FW TH
CONTACTS MADE FROM FIRST DIALS
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Vorsights research that appears earlier inthis ebook confirms that reps who gatherdirect-dial numbers schedule dramaticallymore appointments. It seems obvious, butmany sales reps still arent doing this.
Key #6: Direct-Dial Numbers
REPRESENTATIVEAVERAGE MEETINGS PER
MONTH (LAST 3)% DIRECT LINES ON CON-
TACT LIST
1 11 51%
2 13 45%3 20 76%4 22 74%5 29 87%6 33 97.6%
Source Vorsight
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Technology has dramatically increased theeffectiveness of sales teams. One featureof InsideSales.coms technology is calledLocalPresence . If youre calling a lead inNew York from San Jose, LocalPresence
will display a New York area code on yourleads CallerID. InsideSales.coms researchhas shown that displaying a local numberincreases the odds of getting your callsanswered by 57.8 percent.
Leverage Dialer Technology
57.8%MORE LIKELY TOANSWER PHONEFROM ALOCAL NUMBER
BEST
WORST
TOLL
TOLL FREE
BLOCKED
Key #7:
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Sales Acceleration Technology Improve sales through science with InsideSales.com. Contact the right prospects, in the right
way, at the right time.
Work smarter by predicting which leadsyou are most likely to contact, qualify,and close.
Motivate your sales team by making thesales process visual, competitive, and fun.
Bring your sales data to the forefront bymaking it visual, meaningful,and actionable.
Data VisualizationPredictionGamicationCommunications
Demo Now
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Summary & Credits
Traditional Cold Calling is DeadTraditional cold calling is dead, thanks to tools such as LinkedIn.However, contacting people you dont already know is stillessential to sales.
Fortunately, the initial connection doesnt have to be cold anymore.Use social selling tools to make a connection before the call. Makesure your product would actually benefit your prospect. Havesomeone introduce you. Doing this changes the sales process. Ittakes the cold out of cold calling.
Free Resources for Sales ProsGrab these valuable sales resources.
Theyll help you sell more and theyre free.
27 LinkedIn Tips: LinkedIn Best Practices For Entrepreneurs31 LinkedIn Tips How to Use LinkedIn Best Practices for B2BProspecting42 LinkedIn Inside Sales Tips EbookQuick Question VoicemailPower Player Voicemail5 Steps to Building a Team of Rock Star Sales Hunters
CONTENT
Ken Krogue |kenkrogue.com
Steve Richard |vorsight.com/blog
WRITERS/COPY EDITORS
Leo Dirr |Brittany Griffin |
DESIGNER
Scott Humphries |
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