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Phone Sales vs In Person Sales close rates

by Delta223
8 replies
I've always been interested in just how much higher in-person close rates can get vs over the phone, but have never seen any data on it. Have you worked at a company and seen the averages for the inside sales guys vs the field salesmen?

Thanks
#close #person #phone #rates #sales
  • Profile picture of the author Claude Whitacre
    I would think the data would be useless. What are you comparing? What industry? Is it one call closing or a series of meetings? Is it selling cheap consumables to a route? Jets to CEOs?

    My guess...is that easy to explain offers are more profitable to sell over the phone because of the savings in time and the "no cost to pitch" factor.

    Selling paintings? home improvements? Certain things sold pretty much require you to meet face to face.

    But does that mean you can't sell them on Skype? Or with a webinar? I think the question is too broad.

    I think though, for the vast majority of products-services...the phone is better.

    It's certainly is more scalable.
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    • Profile picture of the author David Miller
      Originally Posted by Claude Whitacre View Post

      I would think the data would be useless. What are you comparing? What industry? Is it one call closing or a series of meetings? Is it selling cheap consumables to a route? Jets to CEOs?
      Claude pretty well sums it up. Since your question has no frame of reference, you're asking a question that has no answer.
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  • Profile picture of the author ambrking
    For me, there is no difference between closing sales in person and over the phone. It is a matter of how you negotiate. Most of our deals here are handled through the phone and so far, there has been no problem.
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  • Profile picture of the author Delta223
    Data from United Airlines shows their face to face selling closed 250% more deals than over the phone:

    Face-to-Face Closes 2.5x Better, But Inside Sales Makes 7x More Calls | The Sales Insider

    I just got a tip from John Sutton, a friend of mine at Sendside, who read a survey on a United Airlines flight last week from the United States Travel Association that found business leaders estimate face-to-face selling converts 40% of prospects to customers, while virtual selling (Inside Sales) converts 16%.

    That means face-to-face selling closes 2.5 times better than remote selling. We found roughly the same ratio at Inside Sales about four years ago. Our current ratios place remote closing ratios around 18.5%, so the gap is narrowing.
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    • Profile picture of the author AndrewCavanagh
      It probably shouldn't be an either/or question.

      You can do both and use your judgement to decide
      which is necessary to get hired or make a sale.

      I've made very large deals just using email.

      I've also made large deals using the phone.

      It's more important to focus in on who you're dealing
      with and be aware of what THEY need to move forward.

      Kindest regards,
      Andrew Cavanagh
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    • Profile picture of the author Claude Whitacre
      Originally Posted by Delta223 View Post

      Data from United Airlines shows their face to face selling closed 250% more deals than over the phone:

      Face-to-Face Closes 2.5x Better, But Inside Sales Makes 7x More Calls | The Sales Insider
      I believe it. So the answer (for this example) would be, if your prospect list is in the tens of thousands...phone them, because you are closing a lower percentage...but you can "see" them at a much faster rate. The net sales per day would be higher on the phone.

      If you are targeting your 100 biggest prospects, in person would be my choice...plus direct mail...plus phone calls....until they surrender.

      Originally Posted by bob ross View Post

      Claude's answer was perfect of course.
      Well...Of Course!....:rolleyes:
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  • Profile picture of the author SashaLee
    Hi there,

    Separating the phone sales function from the face-face (or any other sales/marketing function) is not a good idea.

    Phone sales should work in tandem with the face to face sales as part of an overall sales plan.

    Best,

    Sasha.
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  • Profile picture of the author bob ross
    Claude's answer was perfect of course.

    For me, I really like the efficiency of using cold calls to set up appointments where I then have a significantly higher chance of closing by being in front of their face.

    If I went to 20 appointments that were set up via cold calling I'm going to close a lot more than if I was to pitch 20 cold walk-ins.

    I like the fact that by calling first I have a few minutes of their attention and for the products/services I sell, getting them to see and feel them are a big part of the closing process.
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