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5 Reasons Why Cold Calling Doesn’t Work Anymore

It absolutely baffles me that salespeople still use cold calling as their primary tool for generating leads. Why do so many salespeople still use this age-old weapon to get the leads they need to do business? The main reasons are that they don’t know any better and there are still many active dinosaur sales managers who stopped growing in the 90s and still force their salespeople to do an amount of cold calling per day.

Stop doing that! Cold calling doesn’t work (anymore) and here are 5 reasons why.

1. Everyone hates cold calls.

There are two categories of people who say they like cold calling; Liars and sales managers. There might be an exception here and there. Some rare species (I call them masochists) love to bang their heads against a wall over and over again and enjoy hearing “no” fifty times a day. But the sane salespeople among us hate it.

Having to do something you hate everyday doesn’t contribute to your success. We expect the “no” on every cold call we make and it becomes a self-fulfilling prophecy. Other refusals follow and the circle is closed.

Prospects hate it too. One group is very sensitive to cold calling. They are the ones who have guards installed; the secretary and the receptionist who have strict orders to direct every cold caller away from the decision maker. Or they have a sign on the door: ‘No solicitations’.

Another group of prospects will talk to the cold caller; those who know how to handle them and aren’t afraid to say “no” to them, either right away or after an appointment (Send us a proposal, send us information, maybe in 6 months ……sound familiar?).

In short, if you manage to get an appointment, it will most likely be with the wrong prospect.

2. It takes a disproportionate amount of time.

It’s like looking for a needle in a haystack. Let’s say that a salesperson spends an average of 2 hours a day on cold calling and let’s say that he is quite good at it and organizes 2 appointments. Setting up these 2 meetings takes about 10 minutes. That means it was busy for 1 hour and 50 minutes with no result other than annoying people who might have been a quality lead had they been approached differently.

I won’t bore you with the math but it boils down to fifty days a year of being busy without any result.

3. People buy from successful sellers.

It’s a well-known fact that people buy more easily, more, and faster from successful sellers. In a prospect’s perception, a successful salesperson has something valuable to offer. Apparently he is trustworthy. Otherwise, why would so many other people buy from him? So let’s join, we can’t go wrong there.

How does this relate to a cold caller? Successful salespeople don’t make cold calls. They don’t have time for that, they’re busy… selling. Prospects know this. In other words, in the mind of a prospect, a cold caller is a failed salesperson. Not a good start for a relationship huh?

4. We sell the most when we don’t need it.

Do you remember “Facebook Mark”? The louder he shouted “no”, the more eager companies were to buy his business. Most sellers will recognize this. We were lucky this year and already reached our goal in October. No more pressure, relaxed freewheeling until Christmas and New Years. And what happens? We sell like crazy, almost effortlessly. Why? Because we no longer “need” it. We get brave and even start playing “hard to get”. Prospects are intrigued and want to buy from you.

And the cold caller? He shouts “I need your things so much!” all over. And if he manages to get business, he always wonders why he has to give so many discounts…

5. We need to get down to our prospect’s level.

Decision makers have respect for their peers. For most companies, it is important to establish a long-term relationship with customers. Strong relationships require both parties to see each other as equals.

You can’t seriously expect a decision maker to see a sales rep who’s almost begged for a meeting, to see them as a peer, can you? And the fact that the customer doesn’t have much respect for the salesperson will affect the quality of the relationship as well as the quality of the order and repeat sales.

So what else to do if cold calling doesn’t work?

Look around you. Or better yet, don’t look around but stay focused on your screen. Plenty of answers are in front of you, just a few clicks away. Email, social media, sponsorship techniques. The list is almost endless. One thing is certain. If you really want to participate in today’s economy, stop using old-fashioned tools.

Perhaps the best comment I heard about cold calling was: Cold calling is like filling a swimming pool with a water gun. It works……finally.

Good hunt.

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