What Is Cold Calling? The Cold, Hard Truth About Cold Calls

Cold calling conjures up images of salespeople trapped in stuffy call centers, endlessly dialing phone numbers in the hopes of reaching a human on the other end. If it’s an essential part of selling, then why does it have to be so… soul-sucking and cringe?

Here’s the cold, hard truth: cold calling isn’t easy, but it’s not as bad as it seems on the surface. Think of it in its simplest form: meeting strangers and letting them know your product or service exists. Not interrupting meals or relentlessly pushing people to buy. Put that way, it doesn’t sound so bad, does it?

But with technologies like CRMs and techniques like social selling, is picking up the phone and dialing a prospect really necessary anymore? And if so, where is its place in a modern tech sales team?

What Is Cold Calling?

Cold calling is the process of making calls or directly meeting people who have never heard of you, your product or your company before. It’s called cold” calling because you’re making unsolicited contact with people who haven’t expressed interest, in hopes of turning them into a lead.

Cold calls date back to the late 1800s, believe it or not, though they’ve changed a bit over the years – especially as we started carrying pocket-sized mobile phones around with us. And for a long part of that history, calling someone up on the phone was the primary method to get in touch.

Today, with email, DMs, and social media, that's changed. Nowadays, there are myriad ways to reach new customers without having to pick up the phone and cold call them. So why do salespeople still do it?

Is Cold Calling Dead?

In a word: no! Even if it’s not a fan favorite of many sales reps, it's still a powerful option for sales teams looking to reach new customers.

The reason why is twofold:

• First, because people still answer the call. 82% of buyers say they accept cold calls, and 57% of C-suite decision-makers say they actually prefer phone contact.
• Second, because companies who cold call grow. Crunchbase reports that organizations that don’t cold call experienced 42% less growth than those that do.

It’s even more powerful when used as part of a larger sales strategy that includes social selling, email campaigns and advertising. The best sales teams use a combination of methods - including cold calling - to connect with prospects and make sales.

How To Cold Call Like a Pro

1) Do Your Research

Before you pick up the phone, do your homework. If you start randomly calling people and hope that something sticks, well… that’s not exactly an effective use of your time or effort. You need to identify your ideal target customer and research them inside and out.

What pain points are they experiencing? What solutions are they looking for? Once you've answered these questions, you'll be able to craft a custom message for each call that will resonate with your target customer.

2) Have a Script (But Don't Sound Scripted)

It's important to have a script when making cold calls—you don't want to freeze up or forget what you wanted to say when you're on the phone. But at the same time, you don't want to sound like you're a robot.

The key is to strike a balance between preparedness and spontaneity. Write down a few key points that you want to make, but don't memorize them verbatim. That way, you'll sound natural on the call without having to rely on a word-for-word monologue from a piece of paper.

3) Be Prepared for Rejection

Rejection is inevitable when cold calling. People are going to hang up on you. People are going to tell you they're not interested. Some may even be rude or get angry. In fact, Salesforce.com reports that only about 2% of calls result in a next step.

It's important not to take it personally—it's just part of the process. Reflect on what happened, evaluate what you can learn from it, and push forward to your next call with a positive attitude.

4) Listen, But Don’t Forget to Talk

Many salespeople assume that since they're the ones making the call, they need to do all of the talking in order to sell their product or service. But in reality, people are much more likely to buy from someone who listens, too—it makes them feel valued and appreciated.

The sweet spot is right around 55% talking and 45% listening. Introduce yourself and why you’re calling, ask questions, then take the time to listen to what your prospect has to say. Only then should you start talking about your product or service and how it can help them solve their specific problem.

5) End with a Call-to-Action

Once you've made your pitch and answered any questions that your prospect has, it's time for the close—establishing your next step.

But effective closing techniques go beyond just agreeing to set up a time in the calendar. The ask needs to be specific and confident: for example, "Can we schedule a meeting for next Tuesday afternoon?"

If your prospect says no or tries to stall, don't give up—just politely ask if there's another opening in the near future when they would be available for a quick chat.

If all else fails and you still can't nail down a meeting time, don’t let them go just yet! Get their contact information so you can follow up with an email or message.

There’s More to Cold Calling Than Meets the Eye (Or Ear)

So there you have it: cold calling is far from being dead. Rather, it’s an essential selling tool that complements the other ingredients in your secret sales sauce.

And when you do it well – when you research prospects, prepare a script, accept rejection, balance listening and talking, and finish with a strong call to action – you set yourself up for Career Success in tech sales!

That’s why we make cold calling (and other state-of-the-art sales techniques that complement it) an essential part of our Uvaro Course curriculum.

Whether you’re just starting out in tech sales or looking to expand your cold-calling skills, you’ll benefit from the knowledge and experience our seasoned instructors bring to the table!

Check out our Career Success Catalog today and join us to take your sales career to the next level!