Strategic Prospecting and Preparing for Sales Dialogue Module Five.

Strategic Prospecting and Strategic Prospecting and Preparing for Sales DialoguePreparing for Sales DialogueStrategic Prospecting and Strategic Prospecting and

Preparing for Sales DialoguePreparing for Sales Dialogue

Module FiveModule Five

Learning ObjectivesLearning Objectives

1.1. Discuss why prospecting can be a Discuss why prospecting can be a challenging task for a salesperson.challenging task for a salesperson.

2.2. Explain strategic prospecting.Explain strategic prospecting.3.3. Explain where salespeople find prospects.Explain where salespeople find prospects.4.4. Understand the importance of gathering Understand the importance of gathering

and studying precall information to prepare and studying precall information to prepare for a sales dialogue.for a sales dialogue.

Key ThoughtsKey Thoughts

• Strategic prospecting is the process by which salespeople Strategic prospecting is the process by which salespeople separate out those that are more likely to buy from those that are separate out those that are more likely to buy from those that are less likely to buy in order to avoid wasting resources.less likely to buy in order to avoid wasting resources.

• Leads may be generated in a variety of methods. It is important Leads may be generated in a variety of methods. It is important for salespeople to know which are more effective.for salespeople to know which are more effective.

• SatisfiedSatisfied customers are often the best source of good leads. customers are often the best source of good leads. • A strategic prospecting plan will improve a salesperson’s A strategic prospecting plan will improve a salesperson’s

prospecting efficiency and effectiveness.prospecting efficiency and effectiveness.• Salespeople should spend some time learningSalespeople should spend some time learning

what they can (without wasting resources)what they can (without wasting resources)about their qualified leads in order to about their qualified leads in order to develop an effective sales strategy.develop an effective sales strategy.

Why Buyers Won’t See SalespeopleWhy Buyers Won’t See Salespeople

1.1. They may have never heard of the salesperson’s firm.They may have never heard of the salesperson’s firm.

2.2. They may have no need; they just bought the product They may have no need; they just bought the product category.category.

3.3. The buyer may have their own deadlines on other The buyer may have their own deadlines on other issues.issues.

4.4. Buyers are constantly getting calls from salespeople Buyers are constantly getting calls from salespeople and do not have the time to see them all.and do not have the time to see them all.

5.5. Gatekeepers in any organization screen their bosses’ Gatekeepers in any organization screen their bosses’ calls and are often curt and even rude.calls and are often curt and even rude.

Strategic ProspectingStrategic Prospecting

Screening Screening Procedures for Procedures for

Qualifying LeadsQualifying Leads

Qualified Qualified ProspectsProspects

The process of The process of identifying, qualifying, identifying, qualifying, and prioritizing sales and prioritizing sales opportunities, whether they opportunities, whether they represent potential new represent potential new customers or opportunities customers or opportunities

to generate additional business to generate additional business from existing customers.from existing customers.

Sales LeadsSales Leads

Sales OpportunitiesSales Opportunitiesfor the Salespersonfor the Salesperson

Screened Out

Screened Screened OutOut

Popular Prospecting Sources & MethodsPopular Prospecting Sources & Methods

External SourcesExternal Sources– ReferralsReferrals– IntroductionsIntroductions– Community Contacts Community Contacts

(Centers of Influence)(Centers of Influence)– OrganizationsOrganizations– Non-competing Non-competing

SalespeopleSalespeople– Visible AccountsVisible Accounts

Personal ContactPersonal Contact– ObservationObservation

– Cold CanvassingCold Canvassing

– Trade ShowsTrade Shows

– Bird Dogs (Spotters)Bird Dogs (Spotters)

Internal SourcesInternal Sources– Company RecordsCompany Records– Lists and DirectoriesLists and Directories– Advertising InquiriesAdvertising Inquiries– Telephone InquiriesTelephone Inquiries– Mail InquiriesMail Inquiries– Internet or World Wide Internet or World Wide

WebWeb

Qualified Prospects . . .Qualified Prospects . . .

Can benefit from the sales offeringCan benefit from the sales offering

Have the financial wherewithal to Have the financial wherewithal to make the purchasemake the purchase

Play an important role in the purchase Play an important role in the purchase decision processdecision process

Qualified Prospects . . .Qualified Prospects . . .

Are eligible to buy based on a fit within the Are eligible to buy based on a fit within the selling strategyselling strategy

Are reasonably accessible and willing to Are reasonably accessible and willing to consider the sales offeringconsider the sales offering

Can be added to the customer base at an Can be added to the customer base at an acceptable level of profitabilityacceptable level of profitability

Importance of Effective ProspectingImportance of Effective Prospecting

OneOneCustomerCustomer

100 100 LeadsLeads

Suppose it takes 10 leads to generate one Suppose it takes 10 leads to generate one qualified prospectqualified prospect

And suppose it takes 10 qualified prospects to And suppose it takes 10 qualified prospects to generate one customergenerate one customer

You would need 100 leads to generate one You would need 100 leads to generate one customer.customer.

Importance of Effective ProspectingImportance of Effective Prospecting

OneOneCustomerCustomer

50 50 LeadsLeads

The better the lead generation method, the The better the lead generation method, the higher the proportion of qualified leads.higher the proportion of qualified leads.

The more accurate the qualifying process, the The more accurate the qualifying process, the higher the proportion of customers per qualified higher the proportion of customers per qualified lead.lead.

Improving the lead generation method so that 10 Improving the lead generation method so that 10 leads generates two qualified customers means leads generates two qualified customers means you will need only 50 leads to generate one you will need only 50 leads to generate one customer.customer.

Gathering Precall Information:Gathering Precall Information:The ProspectThe Prospect

The prospect’s name and titleThe prospect’s name and title

Correct spelling and Correct spelling and pronunciation can be gathered pronunciation can be gathered by asking the receptionist or by asking the receptionist or secretary or gatekeeper to verify secretary or gatekeeper to verify information.information.


Is this prospect willing to take Is this prospect willing to take risks? Are they confident with risks? Are they confident with their decision making?their decision making?

May have to ask the prospectMay have to ask the prospect


Observe club or organizational Observe club or organizational honors displayed in the office.honors displayed in the office.

Is the buyer involved in their Is the buyer involved in their community? Do they belong to community? Do they belong to clubs or professional clubs or professional organizations?organizations?


Does the prospect have Does the prospect have hobbies or interests they are hobbies or interests they are proud of?proud of?

Observation of office.Observation of office.


What is the prospect’s What is the prospect’s personality type? Easy going? personality type? Easy going? All business?All business?

Observation and experience Observation and experience with buyer.with buyer.


Where did this prospect grow Where did this prospect grow up? Where were they up? Where were they educated?educated?

Look for diplomas. Ask.Look for diplomas. Ask.

Gathering Precall Information:Gathering Precall Information:The Prospect’s OrganizationThe Prospect’s Organization

What type of business are What type of business are we dealing with?we dealing with?

Can be gathered from a Can be gathered from a directory and company web directory and company web site.site.


To what market does the To what market does the company sell?company sell?Who are its primary competitors?Who are its primary competitors?What does the company make & sell?What does the company make & sell?

Annual reports and company Annual reports and company web site.web site.


Salesperson may have to ask for Salesperson may have to ask for this information.this information.

Who and how many vendors does the Who and how many vendors does the prospect presently buy from?prospect presently buy from?How much and how long have they How much and how long have they been purchasing from their been purchasing from their supplier(s)? What challenges is the supplier(s)? What challenges is the organization facing?organization facing?

Strategic Prospecting and Preparing for Sales Dialogue Module Five.

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Transcript of Strategic Prospecting and Preparing for Sales Dialogue Module Five.