Cold Calling: An Art or a Test in Tenacity? (Part 2)

          
Cold calling is the arch-enemy of every sales person. It can be a very rewarding challenge that reaps big rewards.  What separates the winners from the losers is a bit of art (creative preparation) and a bit of tenacity (not giving up).

In part 1, the focus was on the art of setting up the database and preparation. How do you focus on the tenacity of following through with clients and how the two work together?

 

Brush Strokes on the Canvas

No artist ever quit a masterpiece after they got the broad sketches of what they wanted. That holds true with cold calling.

You must organize your sales effort diligently. This will help you to quickly access the history of an account. What happens if you get a last minute sales call or a meeting called by your boss?

 The key is a well-organized database.  This is the canvas of your art. The history in the database makes the salesperson look professional to the customer. The ability to quickly reference data while on the phone can trigger a detail to close the order. A fact can disarm an irate customer and allow the salesperson to separate oneself from the competition.

 

Details Matter

Van Gogh didn’t finish Starry Night by dabbing some blue and yellow on the canvas.  The same thing goes for sales. A data base that triggers follow up alarms, birthdays, anniversaries, significant events, etc allow the sales person to appear they care (because you do!).

 It shows you are building relationships with prospects and customers.  If you have not already noticed, as you build the data base, the number of cold calls you are making is going down and the number of warm calls you are making is going up.  It is all about the due diligence you have demonstrated building the data base.

In sales, your time is your money. Cold calling is about efficiency.  Your database will help you achieve efficiency. Make your goal to organize your week so you can be out of the office on Friday before your peers even have their cup of coffee. 

 

The Personal Touch

Every artist has their own style, but they follow some basic steps. For the next step in generating leads and building the pipeline, the sales person has to build relationships. This is where your personal touch comes in.

 As you grow your business better than anyone else, you have earned the right to ask for referrals. Do not think of this as a chore. On the contrary, imitation is the sincerest form of flattery. Ask someone how you can imitate with other people (people they know), the success you have grown with your sales contacts.

            Remember the Centers of Influence (COI) in Part 1? The customer now becomes a COI. The sales person has created his own COI.  What you ask the COI is key to building the relationship.  \

Ask them their opinion.  For example, ask them to introduce you to your competition. At first, it may seem like an odd request.  The reason you want to know your competition, is because you want to know whom you are competing against.   The old saying “keep your friends close but your enemies closer” is why.

At first, your competition will be stand offish, but as you compete against them, you will learn to anticipate them, their moves, their style. You might some day go to work for them!

Think of it as you asking them their opinion. Everyone has one! Phrase it in a way that does not require them to give up something. You can say “what do you think of my competition” or “do you see any value in me meeting them to learn more about the products we could offer.”

Selling through introductions, referrals and third party endorsements will enhance the salesperson’s position within the company. A day will come when the salesperson will look back and wonder why they do not have to cold call any more.

Remember: all of this comes from the art and tenacity that goes into the cold call. You must prepare and maintain your database. Then your network will grow and your masterpiece will slowly begin to take shape. It is an awesome experience to behold!

 

-Windward Group NA

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Cold Calling: An Art or a Test in Tenacity? (Part 1)

           Every salesperson loves to hate the cold call.  What many people need is a new way to approach the cold call.  Is it an art or a test of our tenacity?  By preparing diligently (the art), we can lessen the tenacity and fear of rejection that comes with the cold call. 

 Part of the love/hate affair is the way we are forced to approach sales.  The bottom line though is that most businesses cannot live without the cold call, and it can prove very rewarding.  Many of us have heard the saying “For every 100 ‘no” responses, you are bound to get 1 ‘yes”.  Let’s get to that “yes”.

Let’s take a look at the issue from a new salesperson point of view.  For starters, the typical Sales Manager probably does take not the time to train new people properly.  Usually goals are simply set and recruits are left out on their own.  Here is the normal process:

·        The Sales Manager’s “boss” gives the Sales Manager a goal- sometimes designed from the bottom up but usually from the top down.

·        The Sales force, including the new recruit, is charged with execution.

·        The new recruit is given a number and hopefully a plan.  This is where the foundation for the art is laid.

As a new salesperson, where do you go from there?  Let’s break it down into easy-to-follow steps.

Step 1: Embrace the Goal.

• If you do not embrace the goal, you are stacking the deck against yourself.  This is the make or break moment for your attitude of success or failure.

Step 2: Develop a Plan.

• Developing the plan is where you put your artistic style into how you will accomplish the goal.
•  Know what your boss wants you to sell.
•  Determine the most profitable product or package.
•  Identify the key customers, key prospects, and competitors.
• You are now ready to implement a simple plan that is the art of cold calling. 

Step 3: Prepare a Database.

• Think of the database as the canvas for your masterpiece. This is where the art begins.  
•      First you need to pick a good one.  Make sure you are familiar with the program, and it can be manipulated and easily updated.  An example of a user friendly product we have used before is Outlook.
• Next you must build your database depending on your specific needs.  Each industry requires something different, but basic info includes name, address, phone number, e-mail, Facebook, LinkedIN, and Twitter account.  You must be rigorous in building the database.
• Those basics are the key, but the most important thing to keep track of is 1) the last time contacted; 2) points discussed; and 3) follow up item.  Remember: it often takes 8 contacts to get the first meeting.

Step 4: Building the Database.

•        If the database is your canvas, the data is your paint.  In our case, that will be the contacts and related info.
•          First, you must identify the competition.  This is what you will enter first. A good salesperson knows the competition, their weakness and strengths. Play their weaknesses to your company’s strengths. 
•             Next, you must identify the key decision makers or Centers of Influence (COI) at every chance.  This will minimize your time and effort.  As an example, assume you are selling a technical product.  A young sales person calls the Engineering Department, hoping they will introduce them to the Purchasing Department.  In reality, the decision maker is the Engineering Department. This could happen vice-versa.  
•      A technique we use to get to the COI, is to ask permission to present our capabilities to the Purchasing Department.  COI identification comes with experience or asking experienced sales people.  Do background research, this will come in handy later.
•        Before we leave the subject of the database, it is important to set up a follow-up by date, and what you are following up on.  Then be tenacious to about following up.  Do not be over bearing, alternate contact, polite contact, phone call, e-mail, hand written note.

Step 5: Engage the Contacts.

•   When you get a chance to speak with the decision maker,  ask three questions: 1) Who are my competition? 2) What can we do to improve on what your competition does for you?  3) What features in a relationship do you value most and will make you consider doing business with us. 
• Gather the information, take it back to your office and digest what you have been told.  Categorize it and then do it over and over until you get a clear picture of the market.  That develops the pillars of your sales plan.  You must continue to refine this data and be tenacious about creating your master artwork.  
•  Do not wait until the plan is done, or you will not make your goal.  Start from the first day building the plan to reach out to your potential customers.
• Continue to keep up the database and follow up, follow up, follow up.  The value of having the database updated is you can quickly prepare reports for your management, report on progress, advise on opportunities, and provide key market intelligence.  You will be prepared for anything that comes up in your daily pursuit of chances to quote, present the sales pitch, and close the sale.

Summary

    To recap, you must remember that the plan is constantly developing, but having a framework and plan to begin with is key. This is the art of the cold call and will reduce the amount of energy you spend on tenacity.  Following up and continuing to fill in the blanks is where your tenacity gets put to the test.  The cold call is a combination of both.  In our next part of this series, we will get into the details of how to make a sales pitch, ask for feedback, and respond to valuable RFPs and quotes, and get to that crucial “yes” in making the cold call.

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Bio on the author ; Hale D. Cooper, Senior Consultant Windward Group International, LLC.

·        Education – MBA Finance, BS Engineering Technology, CFP Designate

·        Work – 12 years Mechanical Engineer, 12 years Commercial Lending Officer, 14 years Business owner, 4 years Consultant

·        Accomplishments - Holds a Patent in Torsional Vibration Control, Grew Lending Portfolio’s at leading Financial Institutions, Grew several companies as employee and as owner. 

The Week in Review: Lessons Learned and New Opportunities/Experiences Gained

 By Hale D. Cooper and Jack Dugan

     Overall it was a very productive time last week. We took our key aerospace customer Aircraft Precision Products Inc (APPI Inc) to present machining capabilities to a multinational, prime contractor "Prime, Inc". Previously, we had not done business with this new company. However, we were very happy to finally get in the door. Two years ago, we had tried to get an appointment. Persistence and following trade periodical research is how we found the key contact. This is by far one of our biggest strengths- getting in the door and to the right people. We both have learned this over the years because we were both in key decision maker role for so long. We also understand that time is precious for those people. The result of the meeting is going to the next step and sending a non-disclosure agreement over to Prime, Inc. More importantly, we have a happy client in APPI Inc.

     The project we plan to submit a quote on for Prime Inc.is fascinating. It involves 37 different parts for the Apache Heliocopter! We will be processing the quote shortly. You would be surprised at how much goes into a helicopter. The machined parts are part of a package being quoted for dual sourcing. Our client was able to get the opportunity to quote on the product as a result of  doing consistent high quality work, delivering parts on time, and on quoted price. Windward Group International, NA (WGINA) put in a lot of hard work to get them to be able to market that correctly.  As result of the meeting, we also discussed other Original Equipment Manufacturers our client is approved on to do work for. They will investigate allowing us to quote on other work.  This is one of two New England facilities. They have indicated that they will advise the other facility to meet with us and allow us to look at machining needs! 

     Additionally, we were successful in arranging meetings with target customers for our key transformer manufacturing client, EEM Inc. One target customer is also in the Defense Industry.  The others are in the assurance industry and print media. WGINA had never met with these companies in the past and through research and persistence we were able to schedule meetings which we hope will lead to new quotation opportunities.

     Finally, a new client based in the Southeastern US, Congruent Concepts and Solutions Inc asked us to begin doing market research on expanding their business geographically. We have done this before for EEM, Inc and saw a 30 percent increase in their territorial sales. We have researched key trade shows, assembled a list of key prospects and sent information on rigging services. This is a long term project which when we are successful will expand Congruent's business and make it more predictable by expanding their customer base. 

Hale D. Cooper and Jack Dugan are two principles of Windward Group International, NA, a group with more than 100 years in strategic planning and sales experience that helps business to business clients achieve their goals by changing the bottom line.

Learning to Stand on Two Feet: The Perils of a Small Customer Base

Learning to Stand on Two Feet: The Perils of a Small Customer Base

Prevent Catastrophe by Constant Outreach

By Hale D. Cooper and Jack Dugan

    Many companies become stagnant for fear of losing their key customers. They spend too much time focusing on them and forget to expand. This leads to a loss of entrepreneurial focus, places too many eggs in one basket, and severely depletes morale. The company was on its last leg. There are ways you can avoid this. Our experience with one company in the aerospace industry taught us this valuable lesson- constant outreach is key.

    Our client, Acme Aerospace, Inc, was founded in 1953 and had been dedicated to one customer since then. Sales were stagnant. The founder was the real driver of business, and he was comfortable. Suddenly, he passed away. The staff was holding on for dear life. Acme Aerospace, Inc had a bleak future. We approached the issue the same way anyone can. Here’s how:

• Reignite existing relationships. By attending industry seminars and trade events where the usual players are, we let potential customers know Acme was still in the game. The company wasn’t dying with its owner. This not only created new momentum but allowed us to gather intelligence and refresh our contacts. It also reassured the few key customers that kept acme in business for half-a-decade.

• Identify new opportunities in the current market. After igniting the old relationships, we learned of new opportunities from simple word of mouth based on Acme’s existing reputation. For example, we brought the manufacturing line to life by taking advantage of existing OEM opportunities. You could literally see the change in attitude on the employees’ faces. The faces screamed “We’re not going to lose our jobs!”. This was by far the greatest reward.

• Take advantage of opportunities in new markets. With a new vigor and lots of chatter going on in Acme’s traditional market, we opened up new opportunities for new products from some of the new OEM clients we had picked up. The results were a game changer.

    Within 18 months we increased sales at Acme Aerospace, Inc by 30 percent! That was an increase of $2 million in revenue. All we did was provide new and, most importantly, constant outreach to existing and potential customers. You never know what your customers need until you provide it for them. Today the company remains not only viable, but it is a leader in its sector.

    If a company that is barely standing on one leg following the death of its owner can turn around and not only survive but grow, imagine what you can do with the same strategy. Sometimes achieving these results can come from within or outside of a company. It really depends on the situation. No company should ever be slack in its outreach efforts. This is the bread and butter of learning to stand on two legs when it comes to your customers.

Hale D. Cooper and Jack Dugan are two principles of Windward Group International, NA, a group with more than 100 years in strategic planning and sales experience that helps business to business clients achieve their goals by changing the bottom line. “Acme Aerospace, Inc.” is a fictional name used to replace the name of the actual company.

Add Value and Profit with a New Perspective

Taking a second look can reap big results.  

By Hale D. Cooper and Jack Dugan

   Many companies, and their bottom lines, become stagnant as business drones on. Companies must grow to remain viable by constantly changing. The key to change is new perspective, internal or external, focused on sales combined with a step-by-step approach to action.  In our case, 100 years of engineering and business management experience improved a multi-million dollar, East Coast Electrical Equipment Manufacturing Company (EEM, Inc.).  Any company can benefit from this approach.

    First, you must identify the problem from a sales perspective. Is the problem in the product, business process, or both?  What will increase sales? As outside advisors with a perspective for change, we tested the market with new and existing customers.  We found the unique circular design of the transformer created reliability issues in the manufacturing process and spilled over to sales results. Then, with EEM Inc., we redesigned the electrical component, transformer, and installation in the equipment.

    Second, you solve any technical issues or improvements.  You cannot sell a bad product or have unreliable production.  One hour of downtime cost EEM Inc. $1500/hour in warranty cost.  We saw the transformer was creating too much heat because of placement near electronics, vibratory noise, and frequency interference. These problems are common for electronics manufacturers. We solved these problems with various forms of shielding, insulation, and placement.

    Finally, you integrate solutions into the business process.  Solving problems is pointless unless you capitalize on them.  After analyzing EEM Inc. from a sales perspective and solving technical issues, we had a new wind at the company.  In cooperation with EEM Inc., we communicated the new changes to new and existing customers.

     The result of the project was a 25 percent increase in territorial sales and no more $1500/hour downtimes for EEM Inc.

    This step by step approach centers around one thing- new perspective focused on sales.  In our case, it was a collaborative, outside sales perspective that created unified change at a compartmentalized company. We were able to reduce costs, identify new opportunities, and increase sales. New perspective, whether from inside or outside an organization, adds value by creating collaboration, new opportunities to connect with customers, and increases profit through reduced savings.  Why not take a second look at your company?

Hale D. Cooper and Jack Dugan are two principles of Windward Group International, NA, a group with more than 100 years in strategic planning and sales experience that helps business to business clients achieve their goals by changing the bottom line. “EEM Inc.” is a fictional name used to replace the name of the actual company.