Finance

Can Cold Calling Ever Be Effective?

If you’ve ever received a cold sales call you didn’t want, you’ve likely wondered how this strategy could be effective. After all, cold calling necessarily reaches out to people who haven’t engaged with the brand or haven’t shown interest in a specific service. It also alienates people, who might not want to be bothered with a conversation during a busy workday or at home, during hours when they’re trying to relax.

But with 55 percent of companies using cold calling in some way, there must be some reason why this strategy is still alive. So, can cold calling ever truly be effective?

An Integrated Approach

Finance

In one interview with Jeff Winters, CEO of Sapper Consulting, Winters explains that cold calling is most effective when it’s part of an integrated approach. He says, “Cold calling can work, but it’s not the most effective means to get the best meetings. The best strategy to get meetings is to use an integrated approach: phone calls, emails, LinkedIn, and Twitter. An integrated approach gets the most meetings.”

This integrated approach naturally compensates for some of the cold calling’s inherent weaknesses. Some people prefer other communication methods to phone calls; this approach allows you to reach them. In some cases, a cold call could work, but the timing is off; a follow-up via email or social media can bridge this gap. Most importantly, the integrated approach allows you to get the benefits of the small percentage of people who respond well to this marketing tactic—without sacrificing your other demographics.

When “Cold” Isn’t Cold

You can modify your strategy slightly to make your “cold” calls a little warmer. Warm, qualified leads are prospects who have expressed some interest in your brand, products, or services or are people you’ve successfully contacted.

It doesn’t take much to take a cold lead and warm them up. You could start by using a more thorough process to obtain your prospects’ information, collecting it with a targeted landing page rather than buying a semi-random list. You could also do a screener round of cold calling, gathering more information on people before you make a full pitch.

The Power of Persistence

In a HubSpot article gathering research from other independent sources, writer Steven Macdonald says, “30% of leads never receive a follow-up call after initial contact. However, the same survey found salespeople have a 90% success rate in contacting their lead on the sixth call. That means by making a few more call attempts, sales reps can achieve a 70% growth in contact rates. Sound like something you’re interested in? Don’t give up too soon.”

The takeaway is clear: cold calling is much more effective when you make several calls. You’ll increase the chances that your prospect will be available, and you may be able to raise brand awareness, increasing your prospects’ likelihood of buying.

Cold Calling vs. Cold Emailing

Instead of cold calling, or in addition to it, you can try “cold emailing.” These two strategies are highly similar and may even be feasibly used with the same list of prospects. However, cold email gives you a handful of distinct advantages. Your options will have more timing flexibility; you won’t have to worry about catching a chance at the perfect moment, nor is there any pressure to respond immediately. You’ll also get much more detailed information, such as open rates, which you can then use to analyze your performance and make better campaigns in the future.

The power of cold calling and cold emailing tends to increase when these strategies are used in conjunction with one another; reaching out through two complementary channels can increase your total brand visibility and awareness and ensure you get the best cross-section of people who might be interested in your brand.

The Bottom Line

Cold calling isn’t the sexiest strategy, but it doesn’t deserve to be written off. More than half of companies still use cold calling in their sales and marketing processes, and if they implement it properly, they can see a positive return on investment (ROI) from it.

These days, cold calling is best used when it’s modified (to “warm-up” its intended leads) or when paired with a complementary strategy (like email or social media). As long as you’re paying attention to your close ratios and are actively improving your implementation, you can greatly increase your chances of success.

About author

I work for WideInfo and I love writing on my blog every day with huge new information to help my readers. Fashion is my hobby and eating food is my life. Social Media is my blood to connect my family and friends.
    Related posts
    Finance

    Govt assessed smuggling size while elevating gold import obligation

    Finance

    Budget 2019: Here is what corporate India wants from the Finance Minister

    Finance

    5 Ways to Grow Your Small Business

    Finance

    A New Way to Sell: 3 Strategies Small Business Owners Can Use to Score More Sales

    Sign up for our newsletter and stay informed !