Check out highlights from a Study Conducted By Baylor University.
6,264 Calls made and that yielded 30 appointments. There's a lot more information out there if you search Google; "cold calling success rates" "cold all conversion rates" etc. The numbers are staggering (in a bad way).
As for this Baylor Study, granted the list was generic (not targeted), and the 50 "seasoned sales people" could have been college interns... But still. Most Warriors are inexperienced sellers starting out...
Does this mean cold calling does not work? No. Zero effectiveness means it won't work. If you call all day every day all year, you're guaranteed to get at least one sale just function of math... Is it the best method to generate a lead if you're scraping the bucket? I'm not so sure...
Consider what other Warriors are doing to generate leads cheaply:
- Linked In - Pretty basic stuff that clearly just works. If you're flat broke, go there!
- Bob Ross M3 - Brilliance.
- Voice Mail Message Marketing - Simple, effective, cheap. Expect .004 response rate / 40 calls per 10,000 msgs.
- Direct Mail - If you hand write 100 letters per day, the data suggests you will have created 2 leads for yourself that day. 10 leads per week with a 10% close ratio = a sale a week.
I've been using cold calling lately. I haven't been using it to generate leads, rather, as a way to understand potential prospects and smoke test marketing strategies for clients.
Cold calling while either pretending to be a salesman, AND also to conduct surveys give you tons of info to inform your more scaleable marketing initiatives... The key is really listening...
You have to learn to listen to what they are not saying as well as what they are saying. Sometimes what they are not saying, is said more loudly than what they are saying but our ears are tuned out.