Module Five
Prospecting and Pre-approach
Improving Productivity
Through Prospecting
An Expert’s Viewpoint:
“. . . BMC Software developed a comprehensive
prospecting process that treats the generation of sales
leads and qualification of prospects as an ongoing
sales strategy. . . .”
Action
Improving Productivity
Through Prospecting
An Expert’s Viewpoint:
Result
“. . . . This comprehensive screening system not only
improves the closing ratio of BMC’s salespeople and
account managers, but also has a positive influence on
customer satisfaction and retention by better assuring
the right match between customer needs an company
solutions.”
Why Buyers Won’t See Salespeople
1.
They may have never heard of the salesperson’s
firm.
2.
They may have no need; they just bought the
product category.
3.
The buyer may have their own deadlines on other
issues.
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 are often curt and even rude.
Prospecting
The process of identifying, qualifying, and
prioritizing organizations and individuals that
have the need for and potential to purchase
the salesperson’s market offering of products
and services.
Sales
Leads
Screening
Procedures
for Qualifying
Leads
Qualified
Prospects
Prospecting Plans are the Foundation
for Effective Prospecting
Set Goals
Establish daily,
weekly and
monthly quotas for
acquiring new
prospects
Prospecting Plans are the Foundation
for Effective Prospecting
Set Goals
Allocate Time
Establish a regular
daily schedule for
conducting
prospecting
activities.
Prospecting Plans are the Foundation
for Effective Prospecting
Set Goals
Allocate Time
Keep Records
Track your results
from using the
different prospecting
methods.
Prospecting Plans are the Foundation
for Effective Prospecting
Set Goals
Allocate Time
Keep Records
Evaluate
What is working for
you? Compare
results and use the
methods that work
best for you.
Prospecting Plans are the Foundation
for Effective Prospecting
Set Goals
Allocate Time
Keep Records
Evaluate
Stay Positive
Develop confidence
by knowing your
products and
believing that you
offer the best
solutions.
Popular Prospecting Sources & Methods
External Sources
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Referrals
Introductions
Community Contacts
(Centers of Influence)
Organizations
Non-competing
Salespeople
Visible Accounts
Popular Prospecting Sources & Methods
Internal Sources
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Company Records
Lists and Directories
Advertising Inquiries
Telephone Inquiries
Mail Inquiries
Internet or World
Wide Web
Popular Prospecting Sources & Methods
Personal Contact
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Observation
Cold Canvassing
Trade Shows
Bird Dogs (Spotters)
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
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
Importance of Effective Prospecting
Many Leads
Suppose it takes 10
leads to generate
one qualified
prospect
And suppose it
takes 10 qualified
prospects to
generate one
customer
100
Leads
Few Qualified
It will take
Prospects
100 leads
to generate
Many
Qualified
one
customer
Prospects
One
Customer
Few Customers
Importance of Effective Prospecting
The better the lead generation method, the
higher the proportion of qualified leads.
50
Leads
The more accurate the qualifying process, the
higher the proportion of customers per
qualified lead.
One
Customer
Gathering Precall Information:
The Prospect
The prospect’s name and title
Correct spelling and pronunciation
can be gathered by asking the
receptionist or secretary or
gatekeeper to verify information.
Gathering Precall Information:
The Prospect
Is this prospect willing to take
risks? Are they confident with their
decision making?
May have to ask the prospect
Gathering Precall Information:
The Prospect
Is the buyer involved in their
community? Do they belong to
clubs or professional organizations?
Observe club or organizational
honors displayed in the office.
Gathering Precall Information:
The Prospect
Does the prospect have hobbies
or interests they are proud of?
Observation of office.
Gathering Precall Information:
The Prospect
What is the prospect’s personality
type? Easy going? All business?
Observation and experience with buyer.
Gathering Precall Information:
The Prospect
Where did this prospect grow up?
Where were they educated?
Look for diplomas. Ask.
Gathering Precall Information:
The Prospect’s Organization
What type of business are we
dealing with?
Can be gathered from a directory
and company web site.
Gathering Precall Information:
The Prospect’s Organization
To what market does the company sell?
Who are its primary competitors?
What does the company make and sell?
Annual reports and company web site.
Gathering Precall Information:
The Prospect’s Organization
Who and how many vendors does the
prospect presently buy from?
How much and how long have they been
purchasing from their supplier(s)?
What challenges is the organization
facing?
Salesperson may have to ask for this
information.