Cold calling is a sales technique where a salesperson or a representative of a business makes unsolicited phone calls to potential customers who have not expressed interest in the product or service being offered. It is a form of telemarketing and one of the oldest and most common forms of sales solicitation. Cold calling is used to introduce a product or service, generate interest, and ultimately persuade the potential customer to make a purchase.
Cold calling typically refers to solicitation by phone or telemarketing, but it can also involve in-person visits by door-to-door salespeople. Successful cold-call salespersons are persistent and immune to repeated rejection. The most successful of them research the demographics of their prospects and the market to identify consumers who are likely to respond positively to their pitches.
Cold calling is still an important technique in any salesperson’s arsenal, especially for newer companies that do not yet have the connections or financial means to avail themselves of other forms of marketing. However, the effectiveness of cold calling is often questioned, as the practice is time-consuming and negative responses typically outweigh successful ones.
An effective cold call is made by a salesperson who has researched the customer in advance and prepared a personalized approach. The success of cold calling depends on a number of factors, including the quality of the sales pitch, the relevance of the product or service to the potential customer, and the timing of the call.
Here are some tips and techniques for successful cold calling:
- Shift your focus from “how can I sell to this person?” to “how can I help this person?”
- Start by telling the potential customer, in clear language (no jargon!), which problem you’ve noticed or that you think they have.
- Role play your sales pitch with your manager or other sales reps, where you are cold calling them and working through your script.
- Record your sales pitch calls so you and your sales team can review things like your tone, pace, word choice, and call strategy, which can then be shared with other sales reps.