Monday 10 December 2012

Social media could be about to consign cold calling to the bin



The adoption of social media is reaching a tipping point that may have a profound impact on the way businesses generate sales leads.  The logic is compelling and firms need to get access to new competences to compete in the future.

The use of search engines and social media looks to have reached a tipping point and is set to change significant parts of the business landscape.  One key area is around the way firms find new sales prospects.  Many predict that social media will make cold calling obsolete.  There’s much to suggest this is a logical conclusion.

Whilst cold calling has proved an effective way to generate new business in the past it does have a few drawbacks:

  •       It’s a disruptive tactic (the caller interrupts the prospect) which can lead to negative perceptions
  •       It is increasingly being regulated
  •       It can be a slow and expensive process to generate quality leads.


So, is calling a list of customers and prospects to “discover” the one in “n” that has sales potential in the near future, still an efficient sales tactic?

Technology has changed the landscape. 
Prospects are increasingly using a search engine or a Social Media platform to start the search for information when they have a business need.  They want to stay in control of the buying process and undertake as much of the groundwork themselves before engaging a sales person.  Technology enables them to do that.

Consequently, in order to be in a position to engage positively with new prospects, organisations need to have search engine optimised content in blogs, articles, PR releases, newsletters, trade reviews and other web enabled formats.  Our prospect needs to be able to click on this content and the embedded links to find the information he or she is looking for.  They will typically go through a behavioural process shown in the diagram below:



When cold calling, the caller interrupts the prospect to try and discover if they have an imminent business need and then tries to control how the prospect goes about the buying process.  Today, prospects and procurement professionals are likely to be more resistant to any steering from a sales person – they want to be in control instead.

The good news is that organisations can embrace this change. 
The phone call still has a key role to play – to qualify inbound enquiries and accelerate sales opportunities in addition to the usual active customer account management function.  

Those same telephone agents are also ideally placed to monitor and engage in the social media dialogues and “chat” or “call-me” requests.  Only now, those inbound enquiries will be from from prospects who have actively decided to engage with your business, and so are more likely to have high sales potential!

The generation of new sales enquiries will increasingly move towards the Search / Social Media environments.  Firms will need to take great care in producing content that not only can be found in a search but also engages prospects, satisfies their information needs and encourages them to stay involved (perhaps clicking the “Follow” button or sign-up for newsletters, RSS feeds or alerts, etc.).

For sophisticated organisations using marketing automation systems or businesses unable yet to embrace the many new applications available, the key task will be to develop content that:

  •      Ranks highly in relevant search results
  •      Engages prospects and prompts them to click for more information
  •      Aligns content to the prospect’s specific information needs at the right moment in the buying cycle
  •      Has embedded links to foster an on-going dialogue.


This is the core task that firms will need to focus upon to generate new leads in the future.  Marketing professionals need to orient their skill sets towards effective content creation, and owners of small and medium sized businesses need to plan for all future content to be search friendly as well.

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