Small Businesses: To Cold Call or Not To Cold Call?

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By Julie Beckham


Well if someone asked me which I would rather do, I would say "Not cold call, please." In fact, I think few people would actually WANT to be associated with the dreadfully stigmatized world of telemarketing, even if it could do their company a world of good. Heck, even the telemarketers that call my house nowadays are recordings, not people. Calling people just does not pay enough money for someone to be subjected to violent tongue-lashings and repeated hang-ups.

Now that I've painted a bright and rosy picture of cold calling, let me point out its benefits:

  • Selling your services is basically a numbers game, right? If you could ask everyone in town, at least some are going to need what you are offering. Cold calling is a wide-spread marketing tactic designed to weed those people out.
  • It can be cheap. You or an employee or two can sit down with a good prospect list and make local calls for no more than an hourly wage.
  • If nothing else, it could lead to other leads. Maybe Company X doesn't need an IT Consultant - but the guy from Company X might know someone who does.

Not convinced? Let me point out a couple of other reasons you might want to give cold calling a shot.

  • Locals like local businesses. Talk to your prospects and discern your connection with them. Did your best friend graduate with someone's husband's cousin? Think "Six Steps to Kevin Bacon" (only leave him out of it.) People will immediately warm to someone they can relate to.
  • If you don't sound like a drone reading from a script, most people will at least be polite. How do I know? From experience. I have made my fair share of cold calls throughout my career, and as long as you treat your prospect like a person, they will likely return the favor.

Have I talked to you into it? Great! Now let me offer one caveat -- Do not call people on the "Do Not Call" list. Although we don't hear about it much anymore, it is still in effect, and you could be fined for a violation. To access your state's "Do Not Call" rules, visit http://www.the-dma.org/government/donotcalllists.shtml.

If checking the list is too much to bother with, or you are still too petrified to pick up the phone and call someone, consider these alternatives:

  • Hire another company to do the calling for you. You will lose your local connection and the price will dramatically go up, but HEY! - You won't have to make that phone call!
  • Go a different route. Visit people or local businesses door to door. Don't be pushy, just introduce yourself and hand them a business card in case they need your services in the future.
  • Focus on more passive marketing techniques.

If cold calling sounds like it's for you, here are nine tips for making better calls:

  • Try not to be nervous. As a representative of your company, you need to sound confident, professional, and personable.
  • Have a basic script to refer to, but DON'T READ! First of all, write your script with a conversational tone. Practice it to make sure it flows. Start your call with the script, but don't go blank when the call takes an unexpected turn. You carry on conversations with people all the time, so don't act like a robot just because you're talking to someone new.
  • I talked before about making a connection with the prospect, but if possible, have a connection already in place. That connection could be a referral. For example, "I've never spoken with you before, but you've worked with my good friend, Charles, on several occasions." Out of respect for Charles, your prospect will listen to what you have to say.

Another example - "I was looking at your company's website and noticed that you have a few dead links. Are you currently contracting web maintenance out to anyone?" The fact that you went the extra mile to anticipate the company's needs will make you seem more genuine and less cookie-cutter.

  • Prepare a good calling list. Don't just open the phone book at random and start dialing numbers. Are you calling businesses? Determine who makes the decisions (without saying "Can I please speak to the person who handles decisions?" Ugh!). You may have to call more than once to find out who you need to speak with. When you have compiled that information, have a list of numbers and contacts ready so you can make one call after another without having to shuffle papers.
  • Take no for an answer. Especially an adamant no. There are plenty of fish in the sea - Besides, you did accomplish something important, which is getting your name out there. Don't be like the desperate big business telemarketers that have six pages of rebuttals. They rarely make it past the first before they are talking to the dial tone.
  • Don't get too personal. It's great news if the conversation becomes friendly, but don't take that as a cue to start spilling your guts out about your personal life. We've all heard that the first impression is the most important - Therefore, your first phone call should be a good indication of the way you conduct business (i.e. strictly professional!)
  • Mimic the tone of the prospect. If the owner of a company is polite yet brief, then give your pitch concisely as well. If your prospect is more chatty, then acquiesce to his or her need for more conversation. It's the law of attraction - like attracts like. In this case, you need to be like the person from whom you are wanting business.
  • Keep track of your results. How embarrassing would it be to call someone with your initial spiel, only to be told that they already talked to you the day before? Make tons of notes. Did you leave a message? Notate. Is the owner on vacation and won't be back until July? Notate. Is the number disconnected? Notate. Is your subject dead? Apologize, then notate. Not only will keeping notes save you from embarrassment, but it will also prevent you from backtracking. If you feel so inclined, enter your information into a spreadsheet. Don't spend too much time on it, but you'll thank yourself for writing down things you wouldn't remember later.
  • Finally, don't get too discouraged. If you are getting no positive results whatsoever, rethink your approach. Test out your script on an employee, friend, or family member that will not laugh too hard. Be aware of your tone and your general demeanor. Work on your calling list so that you are honing in on more qualified prospects.

The reason the dreaded method of cold calling is still around is because it can be very effective. Sure, for most people it ranks up there nerve-wise with going to the dentist, getting pulled over, or speaking in public.

The beauty of cold calling is that you can try it out by spending as little as a couple of hours a week to see if it generates any business. If you have given yourself enough time to get comfortable but still can't stomach it, then scrap the idea and try something else. At least you can say you tried.

RSS for comments on this Hub

burghman2007 profile image

burghman2007  says:
3 years ago

You hit a homerun with this one Julie,

I love reading your hubs, they are some

of the best on this site.

Micky  says:
2 years ago

To cold call or not to cold call? NOT COLD CALL!

prosperable.com  says:
2 years ago

I have to comment on your last post about the subject as it was so informative. You really know what you are talking about and can explain things really well. I have only read posts by one other guy who writes as well as you do.

Julie Beckham profile image

Julie Beckham  says:
2 years ago

Thanks for the feedback everyone!

alenmajer profile image

alenmajer  says:
2 years ago

Well, you need to know something about customers, and therefore you need to learn about Trigger Events.

http://hubpages.com/hub/How-to-find-your-next-cust

law of attraction social network  says:
2 years ago

The points you make in this post are excellent. I really find this an interesting topic. . It is nice to see someone that be able to break such a tricky topic down and make it easy to understand.

Thanks!!

Harold Weatley  says:
17 months ago

Sign me up please: 818-575-4050

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