There’s no silver bullet in sales prospecting

Prospecting for new business should be easy. With more than 1,250,000 Google entries on the subject, there should certainly be more than enough advice available to make anyone selling anything a great success.

Yet if that’s true, then why is prospecting the most daunting task every salesperson faces? Why do they fight over leads and plead with their employers to get them more?

There are more than 1,250,000 Google entries for just one reason: prospecting is incredibly difficult – as every salesperson can attest. The Google list grows longer by the day because none of those sure-fire “you can’t miss if you use our system” solutions work, and salespeople keep hunting for the silver bullet.

The prospecting nonsense is endless. Here are a few examples:

* “Prospecting is the easiest path to new sales,” says the president of a market research firm, adding that sales reps “should focus their efforts,” determine “which SIC codes match a distributor’s product mix,” and “pre-qualify the best prospects.” How do you do all that? Easy. Hire his company.

* Since prospecting can be so daunting, “magic wand” solutions are appealing. Where humans fail, software is the answer.
One company claims its product “delivers an on-demand sales prospecting and lead generation service for sales and marketing professionals looking to quickly identify prospects and gain access to buyers.” Another software company claims agents who use its programs for several years and develop some experience “can improve their closing rate by 300 percent.”

* A sales training professional points out the importance of prospecting and indicates that “appointment scheduling, database management, territory management and prospect rating” are the keys to success. That’s right, but why can’t most salespeople make it happen?

* Another consultant offers 10 tips: Make an appointment with yourself to prospect one hour a day, make as many calls as possible, make the calls brief, be prepared with a list of names before you start, work without interruption, consider prospecting during off-peak hours, vary your phone times, be organized, see the end before you begin, and don’t stop.

Every salesperson wants more sales, and there’s no absence of advice on how to prospect.

But if it’s so easy, why do only about 18 percent of salespeople meet their goals? Is the problem obstinate salespeople or ineffective sales management? The answer is neither.

The truth is that what passes for prospecting is nothing more than dialing for dollars. No matter what else they may recommend, the consultants’ advice focuses on the telephone. In other words, make enough calls, and you’ll get lucky.

Here are several basic principles that apply to successful prospecting:

Prospecting is not a quick fix for making the next sale. Ignoring or attempting to circumvent this first principle leads to failure. It’s essential to understand that the buyer is in charge, not the salesperson. The harder the salesperson pushes for the sale, the more the buyer pushes back. In this process, even quality prospects run for cover.

Prospects will not tolerate being told; they want to learn. Companies have figured out that one of the primary objectives of marketing is to drive prospects to their Web sites. Prospects look for venues where they can be informed. The corollary is equally pertinent: If your Web site is all about your company, prospects will ignore it.

Focus on finding the right prospects. It seems so obvious, but most salespeople spend their time chasing would-be prospects who don’t know them and have no interest in what they’re selling. The key is spending time determining exactly who fits the profile of what you want to sell and then building the prospect database.

Create ways for prospects to approach you. Reaching out to prospects is only half the prospecting task.
New York-based License Monitor, a technology company, had spent a couple of years attempting to penetrate the property and casualty agents in New York state. In the end, its success was extremely limited. Then its marketing counsel suggested a different approach, starting with identifying a group of “most likely” agents. An ongoing direct-mail campaign was initiated, along with a special Web site for insurance agents and an ad campaign in two insurance publications. Each direct-mail package included a fax-back form offering a series of response options; recipients could also visit the special Web site or call a toll-free number. It worked. Each response was treated as a lead, followed up with care.

True prospects are those who respond to your invitation.

Cultivate continuously. The major weakness in most all prospecting is the ill-conceived belief that prospecting is an event, rather than a process. The purpose of continuous cultivation is to build that relationship, something that salespeople have difficulty doing when they’re faced with being blocked from direct contact.

John R. Graham is president of Graham Communications, a marketing services and sales consulting firm. He can be reached at j_graham@grahamcomm.com.