Hate Cold Calling? You May Not Have a Choice.

I wrote last week about the alternatives to cold calling: Email, Online Events, Social Media.  But guess what:  you may not have a choice.

The Only Game in Town

Mike Schultz, publisher of Rain Today, and an expert on professional services marketing, argues in an article Cold Calling Works: You Just Do It Wrong that cold calling is one of the most effective lead generation tactics available.

In some cases it may be the only tactic available. He quotes Steve Martin, who asks “What’s the secret way to making $10 million. Start with $9 million.” If you have the proverbial “$9 million”: great visibility in your market, a stellar reputation, and a strong referral network, you probably don’t need to cold call.

At the same time, Mike points out, many service professionals are not good closers (or not as good as they think) and are inconsistent in their marketing and networking. Again, cold calling can fill in here.

I can personally attest to the impact of cold calling. In 2004, when I launched my business, I had no network and no brand. I had some experience, an idea, and a bit of chutzpah. Over four months, I repeatedly contacted more than 100 firms pitching my services.

The good news was that I landed two clients. The bad news is that it was an excruciating experience, very labor intensive and very frustrating. I hope never to repeat it.

Perhaps, I was doing it wrong.

Do It Right

Mike emphasizes the WIIFM principle – What’s in it for me. Why would a prospect sit through a sales pitch (a) when she’s never heard of you and (b) when it’s not clear that she needs your services – or even understands them?

A better approach is to offer the prospect something of value. Mike suggests sharing the results of a research study of the prospect’s industry and competitors. If you’ve targeted your prospects correctly, the study could be a door opener.

This creates an opportunity to offer useful information, showcase your expertise, and develop a relationship with the prospect. You’re selling by educating.

In retrospect, I was just selling (or trying to sell).

 You Still Need a Niche

Even if you follow Mike’s advice, you need a well defined target market (industry, company size) and a well defined set of services. In other words, you need a niche.

 You don’t want to be cold calling CPG marketing executives to talk about your breakthrough study of consolidation in the IT industry. You might want to call CIO’s, instead.

In a perfect world, you’ll be so well known and so well regarded that prospects will call you. Until that magic moment, you may have to make some cold calls. But you’ll never get there without a consistent marketing effort (speaking, writing, networking, blogging).