Module 5 Prospecting and Preapproach Prospecting The process

Module 5 Prospecting and Pre-approach

Prospecting The process of identifying, qualifying, and prioritizing organizations and individuals that have the need for and potential to purchase the salesperson’s market offering of products and services. Sales Leads Screening Procedures for Qualifying Leads Qualified Prospects

Importance of Effective Prospecting Suppose it takes 10 leads to generate one qualified prospect And suppose it takes 10 qualified prospects to generate one customer Many Leads 100 Leads Few Qualified It will take Prospects 100 leads to generate Many Qualified one customer Prospects Few Customers One Customer

Importance of Effective Prospecting The better the lead generation method, the higher the proportion of qualified leads. 50 Leads The more accurate the qualifying process, the higher the proportion of customers per qualified lead. One Customer

In-Class Exercise – Prospecting

Popular Prospecting Sources & Methods Personal Contact n Observation n Cold Canvassing n Trade Shows n Spotters n Sales Seminars/Educational Forums

Popular Prospecting Sources & Methods Internal Sources n Company Records n Lists and Directories n Advertising Inquiries n Telephone Inquiries n Mail Inquiries n Internet or World Wide Web

Popular Prospecting Sources & Methods External Sources n Referrals n Introductions n Community Contacts (Centers of Influence) n Organizations n Non-competing Salespeople n Visible Accounts

Turning Suspects/Leads Into Bona Fide Prospects n Identify MAD Customers n. Money to Buy n. Authority to Buy n. Desire to Buy

Qualified Prospects. . . ü ü Can benefit from the sales offering Have the financial wherewithal to make the purchase Play an important role in the purchase decision process Are eligible to buy based on a fit within the selling strategy ü Are reasonably accessible and willing to consider the sales offering ü Can be added to the customer base at an acceptable level of profitability

Nature and Importance of Qualification n The nature of the qualifying task is different for various types of personal selling n Salespeople must be resourceful and should devote time and effort to the search and qualification phase

Prospecting Plans are the Foundation for Effective Prospecting Set Goals Establish daily, weekly and monthly quotas for acquiring new prospects

Prospecting Plans are the Foundation for Effective Prospecting Set Goals Allocate Time Establish a regular daily schedule for conducting prospecting activities.

Prospecting Plans are the Foundation for Effective Prospecting Set Goals Allocate Time Keep Records Track your results from using the different prospecting methods.

Prospecting Plans are the Foundation for Effective Prospecting Set Goals Allocate Time Keep Records Evaluate What is working for you? Compare results and use the methods that work best for you.

Prospecting Plans are the Foundation for Effective Prospecting Set Goals Allocate Time Keep Records Evaluate Stay Positive Develop confidence by knowing your products and believing that you offer the best solutions.

Important Pre-Approach Information Examples include: n Client name and pronunciation n Risk/type of buying situation n Communication style/profile of the buyer (may not be able to assess till several visits) n What is the market position of the company n Major competitor(s) of the company n Industry condition/intelligence n Challenges the organization may be facing n Company characteristics – size, division, decision makers, etc.