This is How You Turn Inbound Leads Into Sales
September 22, 2017
So let’s get something straight. Inbound marketing is a great way to earn new leads without having to cold call. Inbound means that they express their interest to you first and give you permission to provide more info or reach out to them personally.
But for most service businesses, inbound marketing doesn’t mean you don’t do phone sales at all. In fact, for many inbound marketing campaigns, the goal is to create the opportunity for that first call. The best conversion is to get the lead’s phone number.
From there, phone persistence is the name of the game. In fact, unless we outline them specifically, you won’t believe some of the stats about how phone persistence pays off, and how many people waste their hard earned leads by not following up consistently.
So here we go!
#1. 48% of salespeople don’t follow up with the prospect with a second call.
This group is made up of people who shouldn’t be working a sales job. If you give up on an inbound lead after one call, you’re just not doing your job.
In fact, the “one call close” is exceedingly rare and you shouldn’t even be planning on it.
The lead may shut you down or act disinterested, but if you think they are a fit, plan to follow-up. Remember that nearly half of other sales people they may have spoken with are now out of the picture, so your odds are already on the increase.
#2. 75% of salespeople don’t follow up with a third call.
Just two calls in and attrition is in full force. 3 out of 4 sales people are ready to give up after two calls.
Yep, they’ve had two calls, didn’t seem to go that well, the lead is pretty much blowing them off.
Low performing salespeople are getting discouraged, ready to move on to a new, hot lead.
High performing salespeople have been asking questions and listening. The deal isn’t closing yet, but they have a better understanding of what that lead’s real pain points are. They’re ready to gather more info and set the plate for another call that’s getting closer to what will motivate the lead to buy.
#3. 10% of salespeople don’t follow up after the third call.
At this point, you may no longer have any competition reaching out to the lead. If a fourth call is needed, 90% of sales people have given up.
But high performers are just getting started. This is pay dirt.
By now, people with strong phone skills have developed rapport with the lead. On each call, they’ve listened, gained an understanding of the lead’s problems, and provided real value to help them find a solution. This call is not a nuisance, it’s an expected follow-up.
In fact, by this point, poor performers are frustrated because they now feel like a cold caller, interrupting and annoying the lead. Top performers have this call scheduled on their calendar because they’re progressing in their relationship.
The difference at this point is night and day.
#4. Only 2% of sales are made on the first contact.
As we said, the “first call close” is a rarity. Statistically, it happens 2% of the time. You can hope for this to happen, but hope is not a strategy. You can ask for the business on the first call, but realistically, structure your calls with a plan for follow ups in place.
#5. Only 3% of sales close on the second contact.
See above. It takes more than a couple of touches to close most deals.
#6. Only 5% of sales close after the third contact.
Are you seeing the pattern yet?
#7. 10% of sales are made after the fourth contact.
We get it. This kind of sucks. You’re on your fourth contact and still working these leads. This sales stuff is a lot of work. Keep at it.
#8. 80% of sales are made between the fifth and twelfth contact.
Now you know where your target is. Most sales happen after you’ve offered some upfront value, established rapport, and built trust. If you’ve hit 10 contacts, the lead will know your name. You’ll have had several scheduled calls. Your emails will have been read and appreciated.
Wrap Up
Apply the above stats in consideration of the fact that only 50% of the leads you’ll get will be viable to begin with. About half the leads you get initially are likely to be duds. Some of those you’ll identify at the beginning and phase out of your follow up strategy.
As JB notes in the video, a good overall target is to close 20% of the total leads you get, accounting for the poor leads and leads that are unprepared to commit. At the end of the day, if you’re closing 20% of the total leads you’re getting, you’re doing a good job with your touches and follow ups.
Another major consideration is first contact. 50% of sales go to the salesperson who gets the jump and contacts the lead first. This is particularly important if the lead has an immediate nead and you’re working on a shorter sales cycle.
When you get those inbound leads online, jump on them fast. Right away if you can. If you put it off for a day or two, chances are another salesperson already has a jump on you, putting you at a disadvantage.
You don’t have to memorize these stats or necessarily count your contacts with the idea that deal will drop after a certain number of calls. Close the deal when the opportunity presents itself. If you can get more closes on the second call than 3%, more power to you. Defy the stats – just win.
What’s important here is the mindset. If you want to be successful in sales, you need to be persistent. This does not mean pestering leads who plainly state they’re not interested, but rather it means developing a relationship and providing value over the time period necessary to educate the lead on how you can make their life better.
In the end, sales is about helping people understand how they’ll benefit from – and be delighted by – your solution. When that benefit is real, take as much time and as many contacts as you need to make that point clear – and close the deal.
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