Presentation on theme: "5 Strategic Prospecting and Preparing for Sales Dialogue."— Presentation transcript:
5 Strategic Prospecting and Preparing for Sales Dialogue
5 Learning Objectives Discuss why prospecting is an important and challenging task for salespeople. Explain strategic prospecting and each stage in the strategic prospecting process. Describe the major prospecting methods and give examples of each method. L 1 L 2 L 3
5 Learning Objectives Explain the important components of a strategic prospecting plan. Discuss the types of information salespeople need to prepare for sales dialogue. L 4 L 5
5 Key Thoughts Strategic prospecting is the process by which salespeople separate out those that are more likely to buy from those that are less likely to buy in order to avoid wasting resources. Leads may be generated in a variety of methods. It is important for salespeople to know which are more effective. Satisfied customers are often the best source of good leads. A strategic prospecting plan will improve a salesperson’s prospecting efficiency and effectiveness. Salespeople should spend some time learning what they can (without wasting resources) about their qualified leads in order to develop an effective sales strategy.
5 Why Buyers Won’t See Salespeople 1.They may have never heard of the salesperson’s firm. 2.They may have just bought the salesperson’s product category, and there is presently no need. 3.Buyers may have their own deadlines on other issues, and they are not in a receptive mood to see any salespeople. 4.Buyers are constantly getting calls from salespeople and do not have the time to see them all. 5.Gatekeepers in any organization screen their bosses’ calls and sometimes are curt and even rude.
5 The Importance and Challenges of Prospecting Customer-bases are not permanent, salespeople may lose customers due to: – Low satisfaction – Competition – Economic fluctuation – Other forms of attrition The prospecting process is can be long – It may take weeks to replace a lost customer with a new one – Revenue streams can fluctuate if “pipeline” isn’t managed Prospecting isn’t easy and often includes a lot of rejection
5 The Strategic Prospecting Process A process designed to identify, qualify, and prioritize sales opportunities, whether they represent potential new customers or opportunities to generate additional business from existing customers. Sales Funnel or Pipeline: A representation of the trust- based sales process and strategic sales prospecting process.
5 Strategic Prospecting Screening Procedures for Qualifying Leads Qualified Prospects The process of identifying, qualifying, and prioritizing sales opportunities, whether they represent potential new customers or opportunities to generate additional business from existing customers. Sales Leads Sales Opportunities for the Salesperson Screened Out
5 Popular Prospecting Sources & Methods External Sources –Referrals –Introductions –Community Contacts (Centers of Influence) –Organizations –Non-competing Salespeople –Visible Accounts Personal Contact –Observation –Cold Canvassing –Trade Shows –Bird Dogs (Spotters) Internal Sources –Company Records –Lists and Directories –Advertising Inquiries –Telephone Inquiries –Mail Inquiries –Internet or World Wide Web
5 Qualified Prospects... Can benefit from the sales offering Have the financial wherewithal to make the purchase Play an important role in the purchase decision process
5 Qualified Prospects... Are eligible to buy based on a fit within the selling strategy Are reasonably accessible and willing to consider the sales offering Can be added to the customer base at an acceptable level of profitability
5 Strategic Prospecting Process Sales Leads or Suspects Generated from Internal or External SourcesGenerated from Internal or External Sources Lead Generation Methods Should be ManagedLead Generation Methods Should be Managed Qualifying Process Need?Need? Financial ResourcesFinancial Resources Authority to Make Purchase DecisionAuthority to Make Purchase Decision Sales Prospect Prioritize Prospect ListPrioritize Prospect List Initiate Pre-Call PlanningInitiate Pre-Call Planning Ideal Customer Profile: The characteristics of a firm’s best customers or the perfect customer.