Every sale begins and ends with a prospect. Unless you're face to face with a prospect, you're out of work and unemployed. If there's no prospect, there's no chance for a sale.
If you're sick and tired of making cold calls on even colder "suspect," then let me share a technique that will keep you supplied with more hot prospects than you'll have time to see. All you have to do is call on referred leads. Of course, first you have to ask for referred leads
Do you routinely ask for leads? Can you show your sales manager a list of referred leads or a list of people from whom you have requested leads? If the answer is no, I can share with you a procedure for requesting leads that gets qualified names every time.
FIRST THE DONT'S
Don't ask for leads by starting your question with the word "do." "Do you know anyone who would be interested in my company's underwater long underwear?" That's a yes or no question. Guess what answer you'll probably get? And even if the answer is yes, that's still not a name.
Don't ask your customer to recommend you or your company to his friends. If you stayed with him 24 hours a day, you might be able to trace those people he will tell about you and your product. Short of this, you have no way to follow up on that kind of lead.
Don't ask your source to think about specific names of people who might need your product. That's asking the customer to do your work and he or she is not likely to spend a lot of energy working for your leads.
Don't bait your customer for leads with your sales contest needs. You may find a few soap opera souls, but most will be impatient with your need to go to Hawaii all expenses paid.
NOW THE DOS
Begin your quest for leads with the word "who". "Who do you know that..." is a good way to begin. It leaves the field wide open for your source to choose. Focus your question around a benefit you can provide to the lead, or a solution that you can offer to a problem. Phrase your question in a way that it positions the source as a hero helping his friend get what he wants or needs to solve this problem. Finally, let your source know exactly what you will do with the name he gives you. Tell him what problem you will help his friend solve or what product you will introduce that will suit his friend's need.
Here's what to say to ban cold calls and sell only to reliable referred leads:
"Mr. Source, who do you know that..."
Focus your question on a benefit the lead will receive or focus it around a problem he has that you can help him solve.
"...that you can recommend..." Describe what you'll do with the name he gives you. Explain that you will not pitch him or sell him. Instead, say that you'll send him a brochure or phone for an appointment or even visit to talk over his problem.
"...that wants..." Describe the benefit the new lead will get by your customer's referral.
In conclusion, and in case you're still unconvinced about referred leads, here are some eye-opening statistics:
1. Less than 40 percent of cold-call "suspects" buy.
2. Sixty percent to 80 percent of referred leads buy.
3. It takes an average of five calls to a cold call "suspect" before you close a sale.
4. Referred leads buy, on average, in three calls or less.
5. Referred leads spend an average 23 percent more than cold "suspects."
6. Referred leads are four times more likely to refer you to other leads than cold-call "suspects" are.
And what about my own experience with this referred lead getting system? Fifty-six percent of my income in 1985 came from referred leads. So far this year, eighty-seven percent of my sales have come from referred leads. My question for you is, "What are you waiting for?"
Bill Bishop is a sales trainer and seminar leader specializing in the art of prospecting. For more information about Bill's seminars call
(305) 275-SELL