Cold calling and cold emailing have been widely used by salespeople for decades. But with time, the efficacy of these methods have been questioned and rightly so. Unless you are the Bryan Millis of cold calling or cold emailing, getting successful outcomes from these methods are indeed challenging. We thought we will deep dive into these methods and explore the effectiveness of these strategies and provide insights into how to use them effectively.
The Current State of Cold Calling and Cold Emailing
According to a survey by Crunchbase, 69% of buyers have accepted cold calls from new providers, and 82% of buyers accept meetings from sellers who reach out to them. However, a Keller Center Research Report reveals that less than 1% of cold calls result in a meeting, and the average response rate for cold emails is 1.7%. These statistics suggest that while cold calling and emailing can still be effective, blind brute force approach to it does not work.
Why Cold Calling and Cold Emailing are Still Relevant
Despite the low response rates, cold calling and cold emailing still have their place in modern sales strategies. Here are some reasons why:
- Personalization: With cold calling and emailing, salespeople have the opportunity to tailor their message to the prospect's specific needs. By researching the prospect's company and industry, the salesperson can provide personalized solutions that are more likely to resonate with the prospect.
- Cost-effective: Compared to other marketing strategies, cold calling and emailing are relatively low-cost. There are no upfront costs for purchasing ad space, and the only costs are the time and effort required to research prospects and craft a message.
- Direct communication: Unlike other marketing strategies, cold calling and emailing allow for direct communication with the prospect. This can lead to more immediate feedback and a better understanding of the prospect's needs.
- Scalability: Cold calling and emailing can be scaled up or down depending on the needs of the business. For example, a sales team can increase the number of calls or emails sent during a slow period to generate more leads.
- Relationship building: Cold calling and emailing can be an opportunity to start building a relationship with the prospect. Even if the initial call or email doesn't result in a sale, it can lead to a follow-up conversation or meeting where the salesperson can continue to build rapport with the prospect.
Tips for Effective Cold Calling and Cold Emailing
While cold calling and emailing can still be effective, it's important to use them in the right way. Here are some tips to help you get the most out of these strategies:
- Research the prospect: Before making a call or sending an email, research the prospect's company and industry. This will help you tailor your message and provide personalized solutions.
- Keep it brief: Keep your message short and to the point. The prospect is likely busy, so you want to make sure you grab their attention quickly.
- Focus on benefits: Instead of focusing on the features of your product or service, focus on the benefits it can provide to the prospect. For example, if you're selling a software solution, focus on how it can save the prospect time and money.
- Use a script: While you don't want to sound robotic, having a script can help you stay on track and ensure you cover all the important points.
- Follow up: If you don't get a response to your initial call or email, don't give up. Followup with a second call or email a few days later. Persistence can pay off, but make sure you're not being too pushy or aggressive. Studies reveal that 80% of sales require an average of five follow-ups in order to close the deal
- Be respectful: Remember that the prospect's time is valuable, so be respectful of their schedule. If they're not interested, don't try to force the issue.
- Personalize your message: Use the prospect's name and reference any previous interactions or common interests. This can help build a connection and make your message more memorable. Personalization has shown to double success rates of your outreach
In conclusion, cold calling and cold emailing can still be effective ways to generate leads and make sales. However, they require careful planning and execution to be successful. By following the tips outlined in this article and focusing on personalization and relationship building, you can increase your chances of success with these strategies.
While cold calling and emailing may not be the most efficient way to generate leads, they are still a valuable tool in a salesperson's arsenal. By using them in conjunction with other marketing strategies, such as social media and content marketing, you can create a well-rounded approach that maximizes your chances of success.