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1 COLD CALLING Presentation illustrates cold calling techniques to maximize impact among potential investors. It presents an overview of the methodology and content of a cold call (opening, funnel, questioning methodology and follow up topics.) Source: Multilateral Investment Guarantee Agency Copyright 2004 Multilateral Investment Guarantee Agency. All rights reserved. No part of this work may be reproduced in any form without written permission from the copyright holder. Requests for permission to reproduce should be sent to the Director, Investment Marketing Services Department, the Multilateral Investment Guarantee Agency (MIGA), World Bank Group at fdicenter@worldbank.org
2 Telemarketing Calling and the promotion campaign Preparation Execution Follow-up
3 Warning This module cannot be substituted for formal training in cold calling It will cover the key elements and techniques and how they apply to investment promotion Anyone who participates in a cold calling program should undertake professional training!
4 Stages 1. Investigation 2. Preparation 3. Development of an Objection Bank 4. Transition from the mail campaign. The Call 6. Report and Follow-up
5 Investigation 1 You must have clear and relatively deep knowledge of the industry, sector and business of the investor. The economic situation inside the sector Recent by the target company investments in the region and beyond Investments and/or the general state of its competition Opportunities and threats for its sector and business Prepare a one page cheat sheet of key information Look for expatriates (from you country) employed by the company
6 Preparation 2 Personnel training Hands free telephone system never use a speaker phone Action plan for the campaign Begin with manageable pilot projects and evaluate results Prepare (within easy access) promotional materials and information (ie.): Costs: labor, utilities, industrial space, transportation etc. Permits and installation: investment, exports, registration Testimonials and information on other investors in the country
7 Preparation (cont d) 2 Place an initial/informal call to the main number of the company for: Verify the proper name of the contact, his/ her assistant, and possibly the names of key members of his team Ask for a copy of the annual report (if it is not on the web) and other important materials and documents Prepare a script Practice, practice, practice
8 Preparation Personal 2 Attitude Cold calling is all about probabilities: more calls = more meetings Always remember to maintain a positive and enthusiastic attitude Control your voice and use a deep tone it conveys authority Prepare to listen Work in a team framework = competition and cooperation
9 Development of an Objection Bank 3 Have a good understanding of the weaknesses of your country Investigate recent articles on your country in the local and international press Gather information from interviews with established investors Develop a database of: General objections Sectoral objections Organize meetings with investment officers to discuss and train personnel on how to answer difficult questions
10 Transition from the mail campaign 4 Maintain files of all the letters that were sent Estimate the time it will take for the letters to arrive Establish a timeframe/schedule for calls and stick to it STRICKLY A delay of more than two weeks is a total loss Think of the calls you have received from telemarketers
11 Preparation List: Original letter One page cheat sheet with the company details One page cheat sheet with the sector details Access to the Objection Bank Access to the contact management system Access to the internet Access to a teammate or assistant Database onthe country Pen and paper Clean and clear desk
12 Techniques The Opening The Funnel Questioning methods: Open Comparative Mirror Reflection Closed y leading Follow-up on topics
13 The Opening You must have a reason to call The first three sentences are key Prepare a standard introduction that has impact: Good day Mr. Smith. I am calling from where three of your competitors have recently invested. Our office is, the national investment promotion agency, and we would like to know if you would like more information on why Sara Lee, Fruit of the Loom y Gap made substantial investments here?
14 The Funnel Begin with general questions to arrive at more specific questions and answers later There will be various funnels in each call Are you interested in your competitors investments? In what overseas locations do you have investments? What are the most important qualities you look for in a location? RecentlyXYZ Inc. completed an evaluation of our country on precisely those topics. A team from will be travelling to your city soon, would you be willing to meet them at your offices?
15 Questions: Open Cannot be answered with a yes or no A good method What are the qualities you looked for in an investment location? Within what other countries do you have operations? Which locations have been the most successful?
16 Questions: Comparative y Mirror Comparative (recommended) What different have you noted in the productivity of our labor force when compared to country X? Mirror (recommended) We have plans to increase investment in our telecommunications division. You re going to go ahead with an increase in the division? Yes in the next 12 months. So, this year? Be careful not to sound like a parrot
17 Questions: Reflection Deepens the conversation and getter a better perspective on the intentions of the client extention of mirror questions Requires that you listen and interpret well the answers of the client The General Manager says he has no interest in investing in your country, she must have her reasons You have doubts? Ï think we should consider the country at least Is there anything we can do to help you make your case?
18 Questions: Closed and Leading Closed (be careful!) Your company has plans to expand operations? Leading (not normally used) I imagine you will increase investment in your operations soon? You are not lawyers and the call is not a trial leave inferences up to the client.
19 Treatment of Guardians Guardians have a key function for the management of the company One example from Virgin Atlantic (automatic negative response) Try to get their names before the call Save their names in the contact management system Make the guardian your ally Send them thank you cards
20 Keys to success Don t talk too much Think like the client try to understand their perspective Ask questions to clarify not confront Don t interrupt Concentrate on what the client is saying Write notes Listen well looking for ideas not words Looks for keys in the tone of voice Smile! Demonstrate empathy and be patient
21 Keys to success Always maintain control over the situation Offer sufficient information to organize the meeting no more the product to sell is the meeting not a site visit or an investment Finish the call as soon as you arrange the meeting
22 What you should do. Focus on the benefits and use high-impact words like benefits, efficiencies, savings, problem solving, client satisfaction Get a clear picture of the client s needs Calls early in the morning before business hours produce the best results better possibility to reach the person directly
23 Things you should do (cont d) Express thanks for the time they have dedicated to the call Verify the name of the person on the other end of the line and use it Be honest Take the initiative - no matter how good your letter or promotional materials it is very unlikely that they will pick up the phone and call you don t wait get on the phone!
24 Things not to do Improvise or give an incorrect answer Call when there are distracting background noises Interrupt the client or finish a sentence for them Insist on continuing a conversation that has obviously finished or is not a good time for the client Hang up in a moment of panic Forget that a badly organized and badly executed call could lose the contact (and any investment they may have made) for ever
25 Report & Follow-up 6 Each call should have a completion report - If the investor was not interested: Re-qualify the contact and add useful information from the call into the contact management system If they demonstrate interest: fill in the contact management system and develop a follow-up plan Maintain information on the questions asked by the investor for the objection bank and other reasons.
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