How I found A Secret To Cold Calling

33 replies
Guys; I hope I haven't told this story before. I was just thinking about it this morning.

Around 1976 I was working for a Kirby vacuum cleaner distributor. I was his top salesperson, It was my first year in vacuum sales, and I had been doing pretty well. Maybe 8 months in.

The way we got paid was commission, and bonuses on the 16th sale of the month, and bonuses if you did (If I remember) 30 presentations.
Well, it was the last day of the month. I had 15 sales, and 29 presentations.

So I needed a sale, and I needed it now.

We had no appointments at all to run. There was a violent thunderstorm coming. I knew I had maybe an hour to get in someone's home..and make a sale. I needed that sale.

So I started running from door to door. I said something like the following...

"Hi. I sell Kirby vacuum cleaners. I need to show my machine to someone in the next hour. Not only that, but I need a sale. So I can only show it to someone who is ready to buy...if they like what they see. I'll give you this set of cutlery if you'll take a look. But remember, I need a sale too."

I must have talked to 15 or 20 people. It started to rain, and thunder was drowning out my voice. I began to panic.

Finally, one nice guy said "Well, we have been looking for a new vacuum cleaner. Sure, if we like it, we would go ahead and buy it today."

Of course they bought, or this would be a terrible story.

And at the time, I wasn't smart enough to learn from the experience. But months (maybe a couple years) later...I was thinking about that day.

It was the first time I realized that I was selecting, not trying to sell. But finding that one receptive person that day.

And speed was important. How fast could I get to that one ideal prospect?

And why didn't I canvas like this again? It worked so well when it was an emergency...why not do it all the time?

I changed my approach (I wasn't comfortable using the same story when it wasn't true), but I still went quickly from door to door. I didn't try to convince them to let me in (Like I was before). I didn't try to convince them to take a look at my product (Like I did before)....

I was just finding the one person I wanted to talk to. Not caring if this guy or that guy will talk to you..lifts a huge weight off your shoulders.

And I started only showing my product to qualified prospects. Interested prospects.

You see, I was taught to show my machine to anyone willing to listen. And a presentation may take 2 or even 3 hours. That was a huge waste of time.

But it only took a couple of minutes to disqualify someone at the door.
And the qualified prospects bought far more often.

So my sales per month skyrocketed. Distributors from other areas wanted to spend the day working with me to find out my "secret".

They thought I must know some super secret close...or I was misrepresenting somehow. I remember 3 distributors that would get angry, because I'd leave a home where they were willing to let us in, but they didn't qualify somehow....

"That was a perfectly good lead! Why did you walk away?"
And I might say "No. she just started her job, and she was arguing with her boyfriend. I'll find someone I like". And I always did.

For a three year period (I only tracked this for three years), I never went an eight hour period of working, without a sale. Three years.

After awhile I had these qualifications, before I would show my vacuum cleaner. See if you can tell me why each helped;

I would see a referral, but only if they had a full time job, lived on their own (Not with parents, friends), 21 or over, and the referrer bought from me.

I would only see a cold prospect if; They had bought from an in home salesperson before, they had a vacuum cleaner that was in need of repair, or a door to door model over 3 years old (They almost always bought),.
No people with new jobs. And they had to tell me that they could afford it before I'd show it to them.

Now, I was giving a gift for each presentation. If they let me in the door, they got the gift...whether I decided to proceed or not. So I may give 10 gifts and end up with 4 presentations, and three sales.

Had I not qualified so strictly, I would (out of 10 willing prospects) sell maybe 4 people. But I would have had to make all ten presentations. And it's the presentations that take the time, not the prospecting.

So my average sales per week hovered around four. These are personal sales where I did everything. I wouldn't even run appointments generated by the office. I would create maybe 12 appointments, show maybe 5, sell four.

Later, when I had an office and group of salespeople on my own...I tried to teach them this method of over qualifying. But it really didn't work. They couldn't tell the difference between a superstition, and a real reason not to proceed with the presentation. So their appointments all had to be run (assuming minimally qualified), but I only went on appointments I knew had a high likelihood of buying.

Eventually I trained 2 reps to do what I did. Both made more money.

It's not how much you make per appointment, or per sale..it's how much you make per week.

I hope this was helpful to someone.

Added a tad later; A Distributor friend of mine (selling a different vacuum cleaner) worked with me for a couple of weeks. We were friends, and she wanted to see how I sold. I would watch her sell, she would watch me. After a couple of weeks she told me....

"Claude, you know what the difference is between you and me? I'll make ten presentations in a week, sell two, and be happy with the two sales. You'll work half as much, make three presentations..sell two, and then spend the rest of the time figuring out why you missed that third sale"

She was right.
#calling #cold #found #secret
  • Profile picture of the author PaulintheSticks
    Great story Claude.

    This was my big takeaway:

    Originally Posted by Claude Whitacre View Post

    I was just finding the one person I wanted to talk to. Not caring if this guy or that guy will talk to you..lifts a huge weight off your shoulders.
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  • Profile picture of the author bizgrower
    It's funny about pricing. Even for a small transaction like my hotel rooms, I only want people who don't really have a problem with our prices. Sure a little friendly haggle is fine.

    The one's who really have a struggle with price usually end up being more trouble than they were worth. They do things like make too much noise, smoke in the rooms (all are non-smoking), not tell us they have a pet, or go online and say how terrible we were (when we were not and they did not bother to talk to us about any issues)...

    Dan
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  • Profile picture of the author V12
    That was a great read.

    It would make a great sales letter too.
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  • Profile picture of the author Jason Kanigan
    Yes! Qualify your prospects by being specific about who you're looking for--and telling them up front. Let them qualify themselves out immediately if they're not a fit, and quickly move on to your next prospect.

    People waste far too much time on this person, wanting this to be the sale. It's probably not going to be. And the faster you learn that and move on, the faster you're going to arrive at that sale.

    Hanging around trying to turn someone into a buyer who is not a buyer sounds like an obvious waste of time--but that's what most people do.

    On the phone, your next prospect is just a dial away.
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  • Claude Whitacre is this generation's Ben Feldman. I can see his next book now: "The Whitacre Method."

    This post should be a sticky. It seems many (most?) new offliners don't take action despite many threads on how to get going. Claude's post makes it dead-solid simple:

    It was the first time I realized that I was selecting, not trying to sell. But finding that one receptive person that day.

    And speed was important. How fast could I get to that one ideal prospect?


    I was experimenting doing this the other day with small tech companies, under $1 million in sales. It's not my normal market so I was testing the waters. "This is what I can do for you, do you need that right now?" Not the exact words, but basically the same.

    In this case, my hope was they would shut me down right away so I could get to the next call. Any resistance and I was out. I hadn't even got three words out when one guy interrupted, "No, thank you." Perfect. Another guy interrupted and said, "Nope." Beauty. Keep going. Speed. Speed. Speed. I had my headset on and a noggin' full of high-test coffee.

    Within 15 calls, I reached a new American office of a big Indian software company. You would never know from the listing because it was nondescript. Turns out I had done some work for their main competitor in Bangalore, and they knew the people I worked with in India. Long story short, I'll be helping market their new B2B software product in the U.S.

    There was no selling involved. No convincing, no getting around the gatekeeper, no voicemails, no direct mail, no email, no referrals. Nothing.

    I sounded almost disinterested. "This is what I can do for you, do you need that...right now?" Not next quarter. Right now. Are you working on a project that needs my help right now?

    If you are a newer offliner, I think you could change your life in 30 days if you just went out and asked people if they need your product right now. "No? Next!"

    It's dead-solid simple.
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    • Profile picture of the author Claude Whitacre
      Originally Posted by joe golfer View Post

      Claude Whitacre is this generation's Bob Feldman. I can see his next book now: "The Whitacre Method."
      Joe; First, you're very kind.

      Ben Feldman.


      Originally Posted by joe golfer View Post

      I sounded almost disinterested. "This is what I can do for you, do you need that...right now?" Not next quarter. Right now. Are you working on a project that needs my help right now?
      Acting as if you were almost disinterested is something I didn't do then, but I do now. Maybe not "disinterested", but not eager. It's amazing how being "Matter of fact" completely destroys the "How do I get rid of this time wasting salesperson" impulse we all have.

      Being "matter of fact" in your approach is an advanced form of selling. The same as acting, where you truly believe the actor is the character..is advanced acting.

      "I'm a business man, you're a business man...and I want to find out, as quickly as possible, if we should be talking business"

      The book (I seem to keep recommending books today) High Probability Selling outlines this process.

      It's an interesting read, but it reads as though it were written by academics, and not in field salespeople.

      I think I've mentioned this elsewhere, but the best cold call I ever got (years ago) was this. "I sell long distance for four cents a minute. Want to hear more?"..

      And I did.
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      • Profile picture of the author SteveSki
        Thanks for sharing that Claude. To bad millions of Network Marketers never learn to pre-select and qualify people who are ready to hear a presentation. They are taught the three foot rule... (give a presentation to anyone and everyone who comes within 3 feet of them and never take no for an answer) and they wonder why their friends avoid them. They should all read your story and change their approach to asking everyone they come in contact with qualifying questions and only mention their opportunity to those who qualify to hear a presentation.
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      • Originally Posted by Claude Whitacre View Post

        Ben Feldman.
        No, no, Bob Feldman, Ben's equally successful, little-known brother who resembled Gregory Peck in "Guns of Navarone."
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  • Profile picture of the author internetmarketer1
    Never underestimate the power behind reading a good book on sales and direct marketing. Great thread, learned a thing or two about this part of offline marketing. I would recommend everybody to read that book OP recommended.
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  • Profile picture of the author theultimate1
    WOW. Inspiring. Thank You for sharing this, Claude.
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  • Profile picture of the author ScottyM2
    Gem of a thread... excellent story Claude!!
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  • Profile picture of the author Jason Kanigan
    Found this thread in a search...it needs a bump again because people really need to get the point of Claude's post. Right now.
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  • Profile picture of the author xlfutur1
    Awesome post Claude. Include that as a chapter in your next book on how to sell more with less effort!
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    • Profile picture of the author savidge4
      Claude's humble beginnings... and that is how "Sales with least resistance" began! A Bright flash of light... <flash> a horrendous boom from the sky... <boom> Dang in Claude! at least let me sign the check this time!
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  • Profile picture of the author erkster
    Excellent Claude! Thank you!

    Would this speed approach work well with calling up businesses without a website and offering a website? Something short and fast like, “Hi, I build professional but affordable websites. Do you think the business owner would be interested?” What would be the best short to the point opener?

    I am currently contacting businesses with websites that have errors or issues and it has been going well but I also need to target businesses without websites. I know contacting businesses without websites are not the best targets for web design and there will be a lot of resistance so this speed approach looks useful.
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    • Profile picture of the author Claude Whitacre
      Originally Posted by erkster View Post

      Excellent Claude! Thank you!

      Would this speed approach work well with calling up businesses without a website and offering a website? Something short and fast like, "Hi, I build professional but affordable websites. Do you think the business owner would be interested?" What would be the best short to the point opener?

      I am currently contacting businesses with websites that have errors or issues and it has been going well but I also need to target businesses without websites. I know contacting businesses without websites are not the best targets for web design and there will be a lot of resistance so this speed approach looks useful.
      You could use something like "Hi, I create beautiful websites that get listed high on Google. Do you want to know more?"

      The vast majority will say "No", but you're just looking for that 1% that will ask you a question. With an auto dialer, you'll be calling fast.

      But me? I would say "Hi, I build websites that get listed high on Google, but only for businesses that have a website that isn't getting found. Do you want to know more?"

      And that may get the conversation going.

      By the way, I sell websites to businesses that already have a website.And my approach (listed in the first post) works well.
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  • Profile picture of the author Michi Kono
    A cool story, Claude!

    I used to cold call to get some seo clients years ago. It was tough and I had no training whatsoever so obviously I didnt know what i was doing... I got so many NOs that I started to get even depressed a bit at one stage. Now I don't really do that anymore as i get a good number of referrals plus some other systems in place to get leads etc..

    But I remember I came across with an article back then, which made me feel a lot better when i was still doing it. It was basically saying that you gotta expect to get NOs (or you even want to get NOs) and get excited to get NOs because that is the way to quickly eliminate time-wasters in order to find qualified leads.

    In other words the more NOs you get quickly, the more YES you will get in a short period of time.

    It is just a matter of shifting the mind-set and the way you look at it.

    Thanks for sharing your story anyway!
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    • This was a very inspirational true life lesson. Thank you for your personal insights, Claude.

      LLS
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      • Profile picture of the author goharnett
        Claude thanks for sharing.

        Your method for vacuum cleaners applies for offliners selling SEO and Mobile to businesses.

        oh so well and important to not waste time in this business with non-buyers.

        I qualify them by asking at least a couple questions before spending time with them:

        1. Are you the decision-maker? if they are, they like that question; if not then i ask who else needs to be involved? and get that person there. if it's a manager who runs things later by the owner for approval, the owner who is not going to meet with me, then it's 50-50. unless the manager really decides and basically tells the owner what's best to do. then the manager has to have tremendous buy-in, which can work, because they will be selling the owner on the merits of your service.

        2. then i'll frame my pricing to them, saying something like, "most folks start with about $X dollars... " "or my apps cost $X " ... if they are good with that, then that's two main qualifiers to make this appt worth my time to drive out there and meet them.

        this helps to cut out wasted time on non decision makers and poor cash flow business people. and increases my close ratio to similar numbers as you mention.
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        • Profile picture of the author Claude Whitacre
          Originally Posted by goharnett View Post

          Claude thanks for sharing.

          Your method for vacuum cleaners applies for offliners selling SEO and Mobile to businesses.

          oh so well and important to not waste time in this business with non-buyers.

          I qualify them by asking at least a couple questions before spending time with them:

          1. Are you the decision-maker? if they are, they like that question

          2. then i'll frame my pricing to them, saying something like, "most folks start with about dollars... " "or my apps cost " ... if they are good with that, then that's two main qualifiers to make this appt worth my time to drive out there and meet them.
          Thanks for the great additions.

          Since I only talk to owners of businesses, I ask "Are you the owner?" and then "Is there anyone else besides you that will be making this decision?"

          And you are right. I like "Are you the decision maker" better. If they are, they really do like that question. It's a point of pride. It's like asking "Are you the one that invented Velcro?" and they get to brag a little by saying "Yes".

          The reason I ask about money, is that I want to avoid the person that would say "$5,000? Are you mad!? I was thinking $300 at most!". Don't you want to find out right away, if that's going to be the reaction?

          I just want to make sure that the amount doesn't give them a heart attack. And you know what? as you talk about what they get...the amount sounds better and better. They are letting the price sink in..and feel normal.

          Good stuff. I like that..."Are you the decision maker?". I may even edit my new book, to reflect that change.
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        • Profile picture of the author misterme
          Originally Posted by goharnett View Post

          I qualify them by asking at least a couple questions before spending time with them:

          2. then i'll frame my pricing to them, saying something like, "most folks start with about dollars... " "or my apps cost " ... if they are good with that, then that's two main qualifiers to make this appt worth my time to drive out there and meet them.
          I go a little bit further by saying "most people in your situation..."
          Try it and see how it works for you.
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  • Profile picture of the author Neison
    This is a great thread.

    goharnett, is there a particular reason you "drive out to meet them" even after qualifying their interest and ability to pay?

    I'd keep them on the phone and maybe have a follow-up call to finalize billing and such.

    Are you just looking for some face-time?

    It was already touched on above, but having a "not eager attitude" (as Claude put it) has also helped me raise prices, especially when the prospect is coming from a referral.
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  • Nice story Claude! Thanks for Sharing! ^_^
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  • Profile picture of the author joecarson1
    I want to thank everyone who has contributed to this thread and special shout out to Claude for starting it. I will using the info specically shared here as I start on new career path Thursday [dialing for $].
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  • Profile picture of the author Dave992
    So basically:

    In door to door > Don't waste time prospecting every one that opens the door and lets you in, first do some 'homework' and only go to people that you know they need something because of whatever reason, or only pitch people that you 'feel' could buy. This saves time, because you don't have to deal with people that are not interested but you pitch anyway.

    Cold calling > Instead of trying to 'warm' them up when they pick up the phone, you try to hit the home run right at the start, if they say 'no', the call only last seconds, if they say something else.. you can pitch them and they will be 'warm' only because of that and you have a decent chance of winning.

    What I don't understand, in the cold calling case is that the call will last a few more seconds anyway.. you try to warm them up and then pitch them. And it could be that someone who was never interested, could end up buying anyway since you were nice and warmed him up nicely.
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    • Profile picture of the author Claude Whitacre
      Dave is in Bold. I'm not.

      So basically:

      first do some 'homework' and only go to people that you know they need something
      I'll give this a shot.

      No. I has nothing to do with need. Almost none of us sell something people "Need". You ask questions to find out if they are likely to buy.


      because of whatever reason, or only pitch people that you 'feel' could buy.

      Nope. Not even close. You want people that have shown you that they are likely to buy. They may have bought what you sell before. They may have a history of buying, that fits the way you sell. "Feeling" has nothing to do with it.


      This saves time, because you don't have to deal with people that are not interested but you pitch anyway.

      They don't have to be interested. They just need to show evidence that they are likely to buy. You should read post #1 again. The vast majority of vacuum cleaners I sold in people homes, came after they swore to me..that they had no intention of buying.


      The night I went out in the thunderstorm (my OP), I asked if they could decide that night to buy. It wasn't until much later that I realized that prospects saying they were interested, really wasn't a factor. It was a huge factor that they had bought before, from an in home salesperson.

      In business, saying you are "Interested" means they are probably going to buy. In people homes..saying they are interested, probably means they want to see what you have.
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      • Profile picture of the author thet
        Originally Posted by Claude Whitacre View Post

        Dave is in Bold. I'm not.

        So basically:

        first do some 'homework' and only go to people that you know they need something
        I'll give this a shot.

        No. I has nothing to do with need. Almost none of us sell something people "Need". You ask questions to find out if they are likely to buy.


        because of whatever reason, or only pitch people that you 'feel' could buy.

        Nope. Not even close. You want people that have shown you that they are likely to buy. They may have bought what you sell before. They may have a history of buying, that fits the way you sell. "Feeling" has nothing to do with it.


        This saves time, because you don't have to deal with people that are not interested but you pitch anyway.

        They don't have to be interested. They just need to show evidence that they are likely to buy. You should read post #1 again. The vast majority of vacuum cleaners I sold in people homes, came after they swore to me..that they had no intention of buying.


        The night I went out in the thunderstorm (my OP), I asked if they could decide that night to buy. It wasn't until much later that I realized that prospects saying they were interested, really wasn't a factor. It was a huge factor that they had bought before, from an in home salesperson.

        In business, saying you are "Interested" means they are probably going to buy. In people homes..saying they are interested, probably means they want to see what you have.
        When you call an manager from a big company they almost always have bought and will buy again, right?

        For example. He is the manager who buys the hardware for the company. He probably has bought and will buy again.

        So you do then still use this approach?

        It seems like this will work if you have like 10k names to call and you have no idea if he is a prospect or not?
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  • Profile picture of the author Electrical
    There's a great way to qualify customers in my business: charge for an estimate. Even if it's a minimal fee that doesn't cover the overhead of the estimate, something like $19, it still weeds out the tire kickers. Those tire kickers who get 5 estimates in order to save $50 on a $2,000 job waste so much time and make the unbillable hours soar thru the roof, so qualifying the customers is important.

    Unfortunately, charging for estimates is something that we can only do during busy times. When things are slower and we are looking for more work, we can't turn away potential customers, so we have to qualify them in other ways.
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  • Profile picture of the author YourSecretATM
    Hey Claude-- I just wanted to let you know that I have spent 30 years selling to Mom and Pop at their kitchen table..I am considered an extremely good in-home closer..I just wanted to let you know that I have read 2 of your books on prospecting and one call closing and both are first class sales training books and have helped me immensely! Thanks Claude!
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  • Profile picture of the author Jeff Schuman
    "Claude, you know what the difference is between you and me? I'll make ten presentations in a week, sell two, and be happy with the two sales. You'll work half as much, make three presentations..sell two, and then spend the rest of the time figuring out why you missed that third sale"

    Another great story and summary Claude.
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    • Profile picture of the author sandalwood
      Here is how you can tell a thread will be worthwhile to read on sales, sales training and marketing. The author is Claude Whitacre.

      Great story amigo...
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