A recent study showed that cold calling is still a very legitimate way of generating leads and new clients. In this study 10 agents were provided with a list of 1,000 names and numbers to call in an area they had not previously worked. The agents were provided a script and they made calls for 4 hours per day over the course of one week. This cold calling study revealed that out of the 10,000 numbers that were provided to the agents 8,212 of the numbers were actually dialed by the predictive dialer system, of these numbers dialed 5,418 were connected to an agent, the others were either no answers or answering machines. Out of the 5,418 talk to’s reported by the agents, 519 of the people were interested in receiving a quote, 68 of them wanted a call back at a later time, 4 of them provided a referral to call a friend or relative that would be interested, 214 stated they were not interested because they had already purchased a similar plan within the last 24 months and the remaining 4,613 stated they just were not interested.
In this study 400 hours of call time was used. In these 400 hours 519 people were interested in receiving a quote over the telephone. This shows that for every hour an agent puts into cold calling on average will generate 1.3 leads. The average lead cost generally is about $25 for a lead of this quality. If a lead costs $25 but could be generated in about 45 minutes of cold calling time, this shows that cold calling is still a valid source for lead generating and it does work.
If cold calling isn’t working for you….
If Cold Calling is not working for you, you must be doing something wrong. You may simply just do not like it, if that is the case find someone to do it for you. If you are doing something wrong study the practice of cold calling we offer a great course on our site “90 Telemarketing Skills“. Record yourself and listen to what you are saying, do you sound friendly, positive, knowledgeable and polite? Check your script, does it make sense, does it sound appealing, do you catch the prospects attention? Is the list you are using the right list for your product offering?
Here are a few quick tips for cold calling success
1. Create a Well Written script, but do not read it, know it by heart and stick to the basics of it, it is OK to go off script a little bit while talking.
2. Do Not Be Afraid of Rejection, get used to it, it is going to happen, you will be rejected more times than you are not.
3. Follow Up, yes this seems silly but if you create a lead make sure to keep track of it and follow-up with them, have a system in place.
4. Smile and Dial, if you smile while you are talking to the prospects they will hear that you are and be more responsive.
5. Use a predictive dialer, never-never cold call by manual dialing, this will tremendously increase your productivity and success ratios.
I hope this has helped at least one of you reading it to help you understand that cold calling is still a very viable method for generating new business.