1. Strategic Prospecting and Preparing for Sales Dialogue
Module Five
Strategic Prospecting and Preparing for Sales Dialogue

2. Learning Objectives
Discuss why prospecting can be a challenging task for a salesperson.
Explain strategic prospecting.
Explain where salespeople find prospects.
Understand the importance of gathering and studying precall information to prepare for a sales dialogue.

3. Key Thoughts
Strategic prospecting is the process by which salespeople separate out those that are more likely to buy from those that are less likely to buy in order to avoid wasting resources.
Leads may be generated in a variety of methods. It is important for salespeople to know which are more effective.
Satisfied customers are often the best source of good leads.
A strategic prospecting plan will improve a salesperson’s prospecting efficiency and effectiveness.
Salespeople should spend some time learning what they can (without wasting resources) about their qualified leads in order to develop an effective sales strategy.

4. Why Buyers Won’t See Salespeople
They may have never heard of the salesperson’s firm.
They may have no need; they just bought the product category.
The buyer may have their own deadlines on other issues.
Buyers are constantly getting calls from salespeople and do not have the time to see them all.
Gatekeepers in any organization screen their bosses’ calls and are often curt and even rude.

5. Strategic Prospecting
The process of identifying, qualifying, and prioritizing sales opportunities, whether they represent potential new customers or opportunities to generate additional business from existing customers.
Sales Leads
Screening Procedures for Qualifying Leads
Screened Out
Screened Out
Qualified Prospects
Sales Opportunities for the Salesperson

6. Popular Prospecting Sources & Methods
Personal Contact
Observation
Cold Canvassing
Trade Shows
Bird Dogs (Spotters)
External Sources
Referrals
Introductions
Community Contacts (Centers of Influence)
Organizations
Non-competing Salespeople
Visible Accounts
Internal Sources
Company Records
Lists and Directories
Advertising Inquiries
Telephone Inquiries
Mail Inquiries
Internet or World Wide Web

7. Qualified Prospects . . . Can benefit from the sales offering
Have the financial wherewithal to make the purchase
Play an important role in the purchase decision process

8. Qualified Prospects . . .
Are eligible to buy based on a fit within the selling strategy
Are reasonably accessible and willing to consider the sales offering
Can be added to the customer base at an acceptable level of profitability

9. Importance of Effective Prospecting
One Customer
100 Leads
Suppose it takes 10 leads to generate one qualified prospect
And suppose it takes 10 qualified prospects to generate one customer
You would need 100 leads to generate one customer.

10. Importance of Effective Prospecting
One Customer
50 Leads
The better the lead generation method, the higher the proportion of qualified leads.
The more accurate the qualifying process, the higher the proportion of customers per qualified lead.
Improving the lead generation method so that 10 leads generates two qualified customers means you will need only 50 leads to generate one customer.

11. Gathering Precall Information: The Prospect
Info Needed
The prospect’s name and title
Correct spelling and pronunciation can be gathered by asking the receptionist or secretary or gatekeeper to verify information.
Source

12. Gathering Precall Information: The Prospect
Is this prospect willing to take risks? Are they confident with their decision making?
Info Needed
Source
May have to ask the prospect

13. Gathering Precall Information: The Prospect
Is the buyer involved in their community? Do they belong to clubs or professional organizations?
Info Needed
Observe club or organizational honors displayed in the office.
Source

14. Gathering Precall Information: The Prospect
Does the prospect have hobbies or interests they are proud of?
Info Needed
Source
Observation of office.

15. Gathering Precall Information: The Prospect
What is the prospect’s personality type? Easy going? All business?
Info Needed
Observation and experience with buyer.
Source

16. Gathering Precall Information: The Prospect
Where did this prospect grow up? Where were they educated?
Info Needed
Source
Look for diplomas. Ask.

17. Gathering Precall Information: The Prospect’s Organization
What type of business are we dealing with?
Info Needed
Can be gathered from a directory and company web site.
Source

18. Gathering Precall Information: The Prospect’s Organization
To what market does the company sell?
Who are its primary competitors?
What does the company make & sell?
Info Needed
Annual reports and company web site.
Source

19. Gathering Precall Information: The Prospect’s Organization
Who and how many vendors does the prospect presently buy from?
How much and how long have they been purchasing from their supplier(s)? What challenges is the organization facing?
Info Needed
Source
Salesperson may have to ask for this information.