Cold Calling - Explained
What is Cold Calling?
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What is Cold-Calling?
Cold-calling is a sales technique that entails approaching a potential client or customer who had no previous discussion or engagement with a salesperson. There is no prior notice or appointment.
What is Warm Calling?
Cold-calling differs from warm-calling which is a sales strategy that is applicable to prospects that have engaged in prior discussions with a salesperson on the product of a company.
Is Cold Calling Still Used?
Cold-calling is an old sales technique, it has gradually lost its appeal among salespersons given that individuals do not appreciate being called by strange salespersons without any previous contact. Despite that cold-calling is an old strategy, it is still an effective sales tactic used by salespersons.
Back to: MARKETING, SALES, ADVERTISING, & PR
What are some Cold-Calling Tactics?
There are different cold-calling techniques used for marketing purpose.
Telephone Call - A salesperson can call a prospect (who does not know the identity of the salesperson). This type of cold-calling is otherwise called telemarketing
Door-to-Door - Another technique is paying a door-to-door visit to prospects to market goods to them.
Is Cold Calling Legal?
Generally, yes. Some countries have strict regulations against some types of cold-calling. For example, the United States regulates the use of robotic or electronic dialers as part of telemarketing.
Is Cold-Calling Difficult?
Cold-calling is a quite difficult strategy. It requires persistence and, sometimes, the capacity to endure insults or harsh treatment from prospects.
How Do People React to Cold Calls?
Prospects give different responses to cold-calls, depending on their perception of the caller, their mood and sometimes their mindset. Some customers dislike been called by strangers. For people like this, there is a tendency that they shout down on the salesperson, or even hang up.
Examples of Cold Calling
Cold-calling can be used in diverse industries, regardless of the nature of the product a salesperson is marketing, cold-call can be used.
In the brokage industry, for instance, cold-calls are often put to new clients to convince them about a product. Brokers willing to sell varieties of products often use cold-call to attract new clients.
Salespersons who market insurance policies can also use cold-calls to tell prospects about the products they have and convince them to purchase.
Cold-calling can also be used by real estate agents, booksellers, and publishers, among others. Individuals who offer specialized services can also use cold-calling to tell people about the services they offer.
Lastly, a mechanic, cleaner, plumber or babysitter can do a cold-calling to attract customers.