Do you still cold call people? Look around; this isn’t the 1900s; men don’t wear derby hats and drive around in T-Fords anymore.”
In a generation where people rely on all-digital sources to buy everything, classic telemarketing strategies aren’t as relevant as they once were.
Undeniably, Instagram ads, sponsored celebrity tweets, and catchy sales funnels work like magic to increase brand awareness — but does that mean the notorious “cold calling is dead” slogan has finally come true?
Stats from a recent Novocall Co survey claims that even today, 69% of customers still respond positively to cold calls, and 82% of them agree to schedule an appointment with the sales rep afterward.
So, what is this age-old telemarketing technique that everyone’s arguing about? What are its core advantages? Let’s find out.
What Is Cold Calling?
The average person defines cold calling strategy as “dialing random numbers and annoying the users with a repetitive sales pitch, which gives it the reputation of being dead, out of fashion.
From a business standpoint, cold calling refers to a salesperson’s phone calls to the potential customers they shortlist through previous analysis. The main twist here is that the prospect hasn’t shown any prior interest in their product or services.
However, cold calls aren’t made to sell products at the first attempt, as it’s very unprofessional, irritating, and amateurish. Most B2B organizations, including banking and insurance firms, use this strategy to create intent and persuade the customer first to recognize the need for their product.
What Are The Benefits Of Cold Calling?
Why are companies so heavily invested in cold calling? Research suggests that businesses that actively cold call their potential leads reflect a whopping 42% rise in annual sales.
That said, here are the three main advantages of cold calling:
1. It Helps To Understand Your Prospect Deeply
Learning about the inefficiencies your prospects are facing to offer the best product and services is essential. However, you can never understand your customer’s needs from an online survey form as much as you’d from a one-on-one phone call.
Cold calls allow you to show genuine interest in hearing about their problems and develop a strong human connection. And what’s better than acknowledging your prospect’s pain points to the T when it comes to boosting sales?
2. You Become Good At Sales Pitching
It’s not easy to convince people always to buy what you bring to the table; employees undergo strict sales training to master this craft.
It takes months to develop the confidence and conversational qualities to make a prospect sign up for your deal without feeling annoyed. And what’s the best on-the-job training a sales representative could get in this scenario?
It’s cold calling. By making hundreds of calls, you slowly master your sales pitch and make necessary improvements based on the feedback you receive.
3. Cut Down Costs And Work Remotely
As per a Small Business Co study, the average company spends about 25-45% of its annual revenue on sales processes. Imagine all the costs an organization could save if it operated cold-calling software and automated the process!
Also, you don’t necessarily have to work in-office to make phone calls. You could be vacationing in a sea-faced bungalow and still call prospective customers living on another continent. How convenient is that?’
Summing It Up
To summarize, cold calling isn’t a spammy, inconsistent sales technique — it’s pretty sophisticated and has always been in vogue.
Despite the advent of new technologies, it remains a solid technique for understanding customer needs. And if done right, it could skyrocket your product sales figures to heights you’ve never imagined.
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