THE DEATH OF COLD CALLING - A NEW PARADIGM FOR LEAD GENERATION

Presented by: Kevin Miller – EVP Marketing/Sales – SalesFUSION Session Audio Starts at 2PM EST

What we’ll cover today

• Cold Calling – Death versus evolution • Lead generation in 2011 – Hijacking the digital conversation • The statistical failure of cold calling • Where do leads originate from in 2011 and beyond? • Adapting sales and marketing to optimize the digital conversation • The journey to lead to sales revenue management • The changing view of telesales/inside sales

About SalesFUSION

• SaaS Marketing Application • HQ – Atlanta, GA – Sales Offices in Philadelphia, PA • Provide all b2b marketing functionality in a single app • Focus on integrating Marketing and Sales (CRM) • Only solution built on a CRM database • Extensive global partner network • 110 New clients in 2010 • Unique Client Services model • Game-changing pricing structure • 99% retention rate • 90% of all new features added in 2010 – customer requests

The best film about sales leads….ever

A few assumptions

• Death versus evolution • Telephone prospecting is still very important • How, why and when we telephone prospect has changed

radically

Telesales and Cold calling has been fired and replaced by the internet…..but your company many not know that yet…

“It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change.” Charles Darwin

The “If you don’t know this you live under a rock” statistics

Retail - The Pew Internet and American Life Project has just published the results of a study on American's e-commerce habits. Among the findings: 58% of Americans say they perform online research on the products and services they're considering buying. That's up from 49% who performed online research in 2004. B2B - 93% of business-to-business customers research companies and products online before making a purchase, according to MarketingSherpa

Lead Generation in 2011 and beyond

• Many b2b buyers are engaged in a digital conversation with your company • Most companies don’t know about this conversation • By the time telesales speaks to a prospect, opinions about you are formed • Successful companies learn ways to “Hijack the Digital Conversation” • Do you trust the internet to sell for you? • Conversation channels are fluid and changing and evolving monthly

Demands a new paradigm for telesales…

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• Cold calling is a practice of starting a b2b

relationship by Taking something from a prospect

without asking first

• Take their time

• Take their information

• Most people feel uncomfortable “taking”

something from someone.

Why is cold calling icky? It fosters a culture of “taking”

Traditional lead generation/selling models foster an environment of “Taking” •More calls – more appointments – more sales….or your fired. •Leads to employee dissatisfaction, unattainable quotas, re-training costs for new hires to replace those who have been fired or quit out of frustration

Consider the following sales people’s statistics: • 44% of sales reps quit after 1 no • 22% quit after 2 • 14% quit after 3 • 12% quit after 4 (total is 92%)

60% of customers say no at least 4 times

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RS Sales is a numbers game….right?

Calls

Appointments

Sales

100 Calls

2-3 Appointments .025 connect rate

.5 Sales

.005 close rate

B2B Sales Rep = COGS • $50,000 base salary • + Benefits • Salary plus benefits = $65,000 • 100 Calls per day

• 5 Days per week • Avg. 42 Full weeks per year • 210 calling days • 21000 calls • 525 Connects • 105 Sales

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TH

E NUMBE

RS Sales is a numbers game….right?

Calls

Appointments

Sales

100 Calls

2-3 Appointments .025 connect rate

.5 Sales

.005 close rate

B2B Sales Rep = COGS • 21000 calls = $3.10 per call • 525 Connects = $123 per connect • 105 Sales = $619 per sale

Assumptions • Consistent 100 calls per day to new

leads • Connect = telephone-based

meeting • Sale = closed revenue • Time to work deals? • Time for administrative work? • Time in meetings? • Are these numbers even realistic

for internal personnel?

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TH

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RS More sobering statistics

Calls

Appointments

Sales

• It takes 8.4 dials to reach a person, and 2% of all calls results in a meeting.

• If 30% of these first meetings convert into opportunities and a sales person closes 25% of these opportunities, they will have to make 1,000 calls to get 1 sale.

• If they are pounding the phones making 50 cold calls per day, they can get 1 winnable sale every 20 days.

• At this rate they can acquire 12.5 new customers per year.

Where do leads originate from in B2B - 2010

Base: 249 B2B marketers at companies with 50 or more employees

(multiple responses accepted, does not include “other”)

More from Forrester – what are company’s top marketing/sales challenges in 2010?

Marketing’s Role • Identify leads • Generate leads • Execute campaigns • Pre-qualify leads • Nurture leads • Re-Market stale sales leads

Sales’ Role • Complete lead qualification • Present and propose solutions • Propose pricing • Execute contracts • Close business • Cross-sell

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• Changing traditional roles • Inside sales is no longer a sales function • Skill-sets for inside sales are changing • Marketing – ½ Focus on brand & ½ Focus on Upper Funnel Development

How are leading b2b sales/marketing teams adapting?

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Beginning the journey to lead to sales revenue management…

• Marketing – focus on upper-funnel development using all available channels, techniques and communication mediums

• Telesales – triage, manage, respond and advance inbound leads

• Sales – focus on closing business

Change the way you view telesales/inside sales They are not phone jockeys anymore Think air-traffic controller • Monitor and direct lead traffic • Exchange meaningful information

with the leads • Direct leads to the right resources • Educate leads about value

proposition and competitive position

• Empowered with technology • Higher job satisfaction • Better growth potential • They become a marketing and field

sales “Farm Team”

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Inbound Leads Process for Inside Sales

Lead Capture Page

Home Page

Field Sales Duties Sign Up for Demo or self qualify 1. Email Alert to reps based on Geo 2. Rep – verifies company HQ location 3. Rep – updates CRM – creates oppt 4. Ensure contacts/account are linked

and de-duped 5. Append address, phone, vertical and

lead source

Telesales – Web visitor monitoring Daily Monitor Respond – 2-4 hours to

known visitors Enroll known visitors into 3-

step drip Accounts – research using

LinkedIn and Jigsaw– add 2 marketing contacts to Fusion – enroll in 3-step drip

Opportunity

Activity Log CRM

Telesales Duties CRM Log calls Append data Create Opportunities Pre-qualify Identify other contacts Send task to sales

What should an inside sales model look like?

Simple process maps will help focus the marketing and sales teams on execution of the plan

4 technologies inside sales needs to thrive

Website monitoring station • View, identify, receive alerts of leads on the website • Integrate with data services to research and append contacts • View page-level activity from high-score leads

Email Marketing • 1-touch enrollment in multi-step campaigns • Follow up emails using trackable html email • Bulk email capabilities to call lists

Data appending and social tools • Research and import contacts from identified companies on the site • 1-touch enroll net new contacts into first-touch campaigns Campaign activity reports • Access to daily/weekly/monthly campaign reports • 1-click access to marketing history for leads

Website monitoring station

What is it? Web visitor tracking is a newer type of web analytics that captures, alerts and routes website leads based on rules.

Access to enroll leads in campaigns

Email alert – Based on Rules Alert telesales to view/open in CRM

Automated Routing to drip/trigger based nurture marketing campaigns

Alerts Auto-enroll

Day in the life with Marketing Automation

Website monitoring Research anonymous visitors – append with

contacts – enroll in campaigns

Pop email alert when high-value activity occurs

– assign task for call

If no phone contact made – enroll in trigger

campaign

Receive on-going alerts when lead returns to

site/responds

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Access to critical information • Give telesales the tools to access info and take action • This view allows for telesales to view activity and enroll leads in campaigns

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The importance of marketing automation tools

• Provides a mechanism for real-time lead monitoring • Reduces lead response time • Allows for enrollment in pre-defined trigger campaigns • Increases touches in first 30-days following initial inquiry • Allows for research and appending of data through sources such as

Jigsaw • Alerting via email ensures leads are touched quickly

Create a lead-centric culture

Establish a dialog between marketing/sales •Regular meetings – rotate between pipeline-centric meetings to lead/demand generation-centric meetings •Understand sales-team issues with leads – volume, where they come from •Brainstorm sessions about lead profiles, verticals, targets, messaging and hot buttons •Sales is the best source for “Why a lead buys” information

Create simple process maps •Define on paper who does what, when and why •Assign people by name to stages in a process map

Considerations •Sales may be resistant to change or dis-interested in leads •Old-School sales cultures must be changed •CRM system tuning will be required •Marketing technology MUST integrate seamlessly to CRM •Reporting must be in place to track the process and hold constituents accountable

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How marketing automation supports this model

• Lead Scoring/Routing enables automated nurturing of leads • Trigger-based email campaigns – prebuilt and tied to scores • Lead scoring must be tuned, tested and agreed upon with sales • Objective is to treat every suspect the same initially • Eliminate lead leakage • Target content based on behavior and demographics

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How important is this to your upper funnel success?

According to Aberdeen, who tracks the performance of “Best Practice” organizations utilizing marketing automation tied to telesales…. • Inside sales achieves quote 11% more when marketing automation is deployed • Lead conversions (to opportunities) increased by 7% • Inside sales make an additional 7-9 connects per day • Overall sales team quota achievement is higher by nearly 3% • Company revenue is higher by over 3%

Why? • For the same Reason Henry Ford was able to produce more cars for less • Efficiency gains through automation • Connects are more meaningful when data is made easily accessible • Fewer (if any) leads fall through the cracks

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Questions?

• Participate in our DOCC Nurture Campaign • Schedule a demonstration of SalesFUSION • Learn more www.salesfusion.com

Core Features • Enterprise b2b marketing • Advanced email marketing • Lead scoring • CRM integration – Salesforce, Dynamics, Sugar, Saleslogix… • Web visitor tracking • Dialogs, forms, landing pages • Social media marketing • Event management