STRATEGIC PROSPECTING AND PREPARING FOR SALES DIALOGUE

Most sales people have to spend time prospecting to generate business from new customers
and to increase business with existing customers all those people are responsible for identifying
their prospects many films are integrating the marketing and sales function with the latest
technology to generate leads qualify and prioritize prospects and set appointments for sales
dialogue

 THE IMPORTANCE AND CHALLENGES OF PROSPECTING

 prospecting is an extremely important to most sales people. people who do not regularly
prospect are operating under the assumption that the current business with existing customers
will be sufficient to generate desired level of future revenue this is a shaky assumption in good
times but it is especially questionable in the tough business environment of recent years a
market conditions change existing customers might be less or customers might go out of
business some customers might be acquired by another firm with the buying decisions now
being made outside the sales persons territory also. the salespersons could also simply lose
customers due to competitive activity or dissatisfaction with the product the salesperson or the
selling firm. because there is typically a considerable time lag between the commencement of
prospecting and the conversion of prospects to customer status sales people should spend time
prospecting on a regular basis otherwise lost sales volume cannot be your game quickly enough
to satisfy the large majority of sales organizations -  those that are growth oriented

 despite its importance sales people often find it difficult to allocate enough time prospecting.
many sales people do not like to prospect
Salespeople often find it difficult to allocate enough time to prospecting, many salespeople don't
like the prospect because of their fear of rejection, today's buyers RBC. And many are reluctant
to see salespeople, an emerging trend faced by recall and other sellers is that more b2b buyers
are not relying on salespeople to provide information early in their buying process.

This buyers are completing most of their

pre purchase
research online before they want to enter with a salesperson. Studies indicate that the buying
process may be over 50% complete before a buyer contacts a salesperson, and more people
are involved in the buying process than in the past.
Therefore, sales people must be proactive in identifying prospects, earlier in their buying
process and in identifying all members of the buying center sooner. So they can have more of
an impact on the final buying decision. This trend, increases the difficulty of prospecting for
many salespeople salespeople can overcome the challenges of prospecting and become more
effective in determining the best sales opportunities by following a strategic Kiehl's prospecting
process, utilizing a variety of prospecting methods, developing a strategic prospecting plan, and
preparing for sales dialogue with prospects.
The strategic prospecting process.

The first step in the trust-based sales process is strategic prospecting

strategic prospecting is a process designed to identify qualify and prioritize sales
opportunities, whether they represent potential new customers or opportunities to generate
additional business from existing customers. The basic purpose of strategic prospecting is to
help salespeople, determine the best sales opportunities in the most efficient way, effective
strategic prospecting how salespeople spend their valuable selling time in the most productive
manner.

sales funnel

generating sales leads going to determining sales prospects. I think sales prospects vary for
sales dialogue and remaining stages in the trust basis process. Sales Funnel represents the top

The sales funnel presents the trust based sales process and highlights the major steps of the
strategic prospecting process.

 The strategic prospecting process illustrated in figure 3.1 is often viewed as a sales funnel, or
sales pipeline because it presents a third class B's CEOs courses and the strategic prospecting
process in the form of a funnel.
The funnel is very wide at the top, salespeople typically have a large number of potential sales.

The most productive salespeople, pursue the best sales opportunities and translate a larger
percentage of this opportunities into sales than less productive salespeople do.

portunities are salespeople will do the strategic prospecting process, and the other stages in the
trustees sales process, the funnel narrows, because only the sales opportunities are pursued
and not all sales opportunities result in sales, or new customer relationship. For the most part of
themselves people their sales funnel is normally, much wider at the bottom than the bottom of
the funnel for less productive salespeople, the most productive salespeople, pursue the best
sales opportunities and translate a larger percentage of those opportunities into actual sales
than less productive salespeople do. We will now discuss each step in the strategic prospecting
process

GENERATING SALES LEADS.

The first step in the strategic prospecting process is to identify sales leads, sales leads or
suspects or organization organizations or individuals who might possibly purchase the product
or service or salesperson offers. This represents the real or sales opportunities for a
salesperson and their regal example. All organizations that might need, office equipment would
be sales leads you as a financial sells financial and marketing products to independent financial
advisors. So, sales leads will include all independent financial advisors. Although more sales
leads are usually better than fewer sales leads. There are normally large differences in sales
opportunities among all the sales leads generated by salespeople. For example, larger
organizations might purchase more opposite men, and larger independent financial visor firms
might buy more financial and marketing products. Thus, the larger organization and firms
typically represent better sales opportunities than the smaller ones. Salespeople merely
generate as many leads as possible and personal most of them, they are likely to be spending a
great deal of their time with sales leads that are not good sales opportunities for them.

Determining sales prospects

  the most productive salespeople evaluate sales leads to determine which ones are true
prospects for their product or service this evaluation process is usually called qualifying sales
leads.  salespeople search for collect analyze and use various types of screening procedures to
determine if the sales lead is really good  sales prospect although specific companies define
sales prospects in different ways a sales prospect is typically an individual or organization that:
-Has a need for the product or service
-has the budget or financial resources to purchase the product or service
-has the authority to make the purchase decision

 PRIORITIZING SALES PROSPECTS

 the most productive sales people prioritize their sales prospects to ensure that they spend most
of their time on the best opportunities. one approach is to create an ideal customer profile and
analyze sales prospects by comparing them with this ideal customer profile.
 those who most closely fit the profile are deemed to be the best sales prospects
 another approach is to identify one or more criteria, evaluate sales prospects against these
criteria, and either rank all of the sales prospects based on this evaluation or place the sales
prospects into a b and c categories, with a Sales prospects representing the best sales
opportunities

sales prospect
an individual or organization that has a need for the product or service has the budget or
financial resources to purchase the product or service and have the authority to make the
purchase decision

 ideal customer profile

 the characteristics of a firm's best customers or the perfect customer 

Preparing for sales dialogue

 the final step in the strategic prospecting process is to prepare the initial contact with a sales
prospect why planning is a dialog information accumulated to this point in a process is helpful
but additional information is usually required to increase the chances of successful and initial
sales dialogue the types of additional information required are discussed later in this chapter. an
example of a strategic prospecting pulses is presented and from the classroom to the field
effective strategic prospecting.

prospecting methods
 many different sources and methods for effective strategic prospecting have been developed
for use in different selling situation. a good selling organization and successful sales people will
have an upper off on a coin prospecting methods in place at any given time. the salesperson
must continually evaluate prospecting methods to determine which methods are being in the
best results. you methods must also be evaluated and tested for their effectiveness. Many
popular prospecting methods are presented and exhibit 3.1
 PROSPECTING METHODS

cold canvassing
cold calling
Referrals
Introductions

 Networking
 centers of influence
 noncompeting salespeople
 social media

 Company resources
 company records
  advertising inquiries
 telephone inquiries
 trade shows
 Seminars

 Commercial sources
 Directories
 lead management sources

Cold calling
Contacting a sales lead unannounced and with little or no information about the lead

Referral a name of a company or person given to the salesperson as a lead by a customer or

even a prospect who did not buy at this time

Introduction a variation of a referral where, in addition to requesting the names of prospects, the
salesperson asks the prospect or customer to prepare a note or letter of introduction that can be sent to
potential customer.

COLD CANVASSING
Cold canvassing occurs when salespeople contact a saleslead unannounced with little of any information
about the lead.
Cold calling is the most extreme form of cold canvassing because salespeople merely “knock on doors”
or make telephone calls to organizations or individuals.
This is a very inefficient prospecting method. Typically, a very small percentage of cold calls produce, or
lead to future sales dialogue with, qualified prospects. Because there is so much rejection, many
salespeople do not like to cold call sales leads.

Using referrals or Introductions can improve the success of cold calling.

A Referral is sales lead a customer or some other influential person provides. Sales people are often
trained to ask customer and others for the names and contact information of potential prospects.
Sometimes salespeople can also obtain sufficient information to qualify the lead as a good sales prospect.
Additionally, salespeople can get permission to use the person’s name when contacting the prospect. In
some cases, the person might agree to provide an Introduction by writing a letter or making a phone call
to introduce the salesperson to the prospect.
This referral approach can work well, but ethical issues might arise, as depicted in “An Ethical Dilemma”.

NETWORKING
Salespeople can use various types of networking as effective methods for prospecting. Many salespeople
join civic and professional organizations, country clubs, or fraternal organizations, and these
memberships provide the opportunity for them to build relationships yield prospects. Some members
might be influential people in the community or other organizations, making them center of influence for
the salesperson and potentially providing help in locating prospects.
Networking with salespeople from noncompeting firms can also be a good source of prospects. Business
Networking International (BNI) is a formal organization with each local group consisting of
noncompeting salespeople – The basic purpose of this organization is for the members to generate
prospects for each other.
Noncompeting salespeople can be found everywhere and can help in getting valuable information about
prospects – see the Hershey and Hormel example.
Social media are increasingly being used by salespeople to engage in electronic networking by
identifying, gathering information about, and communicating with prospects. Studies indicate that
salespeople using social media actively are more productive and perform better than salespeople not
involved with social media.
Centers of Influence – well known and influential people who can help a salesperson prospect and gain
leads.
Noncompeting salespeople – A salesperson selling noncompeting products
Electronic networking – Using social media to help salespeople identify, gather information about, and
communicate with prospects.
COMPANY SOURCES
Many companies have resources or are engaged in activities that can help their own salespeople with
strategic prospecting.
Company records can be a useful source of prospects. Salespeople can review company records to
identify previous customers who have not placed an order recently.
Advertising inquiries are potentially a good source of prospects.

Company records
Information about customers in a database

Advertising inquiries
Sales leads generated from company advertising efforts

Inbound telemarketing
A source of locating prospects whereby the prospect calls the company to get information

Outbound telemarketing
A source of locating prospects whereby the salesperson contacts the prospect by telephone.

Trade shows
Events where companies purchase space and set up booths that clearly identify each company and its
offerings and that are staffed with salespeople who demonstrate the products and answer questions.

Seminars
A presentation salespeople give to generate leads and provide information to prospective customers who
are invited to the seminar by direct mail, word of mouth, or advertising on local television or radio.
Inbound telemarketing
Involves a telephone number (usually a toll-free number) that prospects or customers can call for
information. Companies distribute toll-free numbers by direct mail pieces (brochures), advertising
campaigns, and their outbound telemarketing program.
Attending conventions and trade shows presents salespeople with excellent opportunities to collect leads.
Firms can use seminars to generate leads and provide information to prospective customers.

COMMERCIAL SOURCES
A variety of sources in print and electronic form can be very useful in prospecting.
Directories offer an inexpensive, convenient means of identifying leads. Telephone books today contain
a business section that lists all the community’s businesses.
There are growing number of companies providing a variety of lead management services, such as lists
of targeted businesses or individuals with detailed contact and other information, as well as email, direct
mail, telephone, and Web-based marketing services to connect with the targeted leads.
DEVELOPING A STRATEGIC PROSPECTING PLAN
The most productive salespeople use a variety of prospecting methods and follow the strategic
prospecting process by generating leads, qualifying them to identify true prospects, and then prioritizing
these prospects so that they pursue the best sales opportunities. The use of a strategic prospecting plan can
help salespeople continuously improve their prospecting effectiveness. An example of increasing
prospective effectiveness is presented in “TECHNOLOGY IN SALES” Improving the Strategic
Prospecting Plan.
A Strategic Prospecting Plan should fit the individual needs of the salesperson.
A good tracking system should also be a part of the prospecting plan. A tracking system can be as low
tech as a set of 3X5 inch note cards or employ one of the many computerized and online contact
management or customer relationship management software applications.
Directories
Electronic or print sources that provide contact and other information about many different companies or
individuals.
Lead management services
Lists of targeted businesses or individuals with detailed contact and other information, as well as email,
direct mail, telephone, and Web-based marketing services to connect with targeted leads.
Strategic prospecting plan
A salesperson’s plan for gathering qualified prospects.
Tracking system
Part of the strategic prospecting plan that records comprehensive information about the prospect, traces
the prospecting methods used, and chronologically archives outcomes from any contacts with the
prospect.

GATHERING PROSPECT INFORMATION TO PREPARE FOR SALES DIALOGUE

The basic objective of the strategic prospecting process is to provide salespeople with a list of prioritized
sales prospects.

BASIC INFORMATION ABOUT THE PROSPECT

About the Buyer

-Buyer’s name, title, and contact information
-Educational and work background
-Community and Organizational involvement
-Hobbies and interests
-Communication style

About the Company

-Type of business
-History of business
-Number of employees
-Target market served
-Products and services offered
-Key competitors
-Current strategy and performance

BASIC INFORMATION ABOUT THE PROSPECT

There is usually a great deal of basic information about the prospective buyer and company that can be
obtained and evaluated prior to the initial sales dialogue with a prospect.
INFORMATION ABOUT THE SELLING SITUATION
Specific information about the selling situation is extremely valuable to salespeople. Although much of
the basic information about the prospect can normally be gathered prior to meeting with a prospect, much
of the information about the selling situation will be obtained from the prospect during sales dialogues.
However, salespeople should try to obtain this information as soon as possible, because it is useful during
each stage of the trust-based sales process.
The salesperson knows about a prospect, the better chance a salesperson has to make a sale.

INFORMATION ABOUT THE SELLIING SITUATION

-Type of purchase
-Motivation for buying
-Current supplier
-Buying center members and roles
-Buying process
-Available budget
-Competitors involved
SOURCES OF INFORMATION
Salespeople have a variety of sources for the needed information. The use of social media as a valuable
information source for salespeople has been increasing in recent years. Facebook, LinkedIn, and blogs are
especially useful information sources.

SOURCES OF INFORMATION
-Online searches
-Online and print directories
-Prospect Web site
-Social media
-Annual reports
-Trade and business press
-Professional organizations
-Company database
-Contact with prospect