What’s a more cost-effective way of making a business-to-business sale?
Saving the one-to-one sales calls until the end.
Most of the fastest-growing companies I know don’t rely solely on one-to-one sales contacts to grow their business. Why? Because it’s difficult to find effective salespeople, and often it takes too long for new salespeople to start showing a favorable return on the company’s investment.
Instead, the more successful companies leverage lower cost-per-contact, one-to-many marketing tactics to address the front end of the sales pipeline: prospecting, nurturing and qualifying. Then they focus their more costly one-to-one in-person sales contacts on the end of the pipeline: the heavy lifting of doing demos, crafting proposals and closing sales.
Doing the Math
How many prospects do you think your salespeople can visit during a given day? Unless their territory is limited to the immediate neighborhood, I’d say they’ll probably be able to schedule a maximum of four meetings a day.
Add these numbers up and you’ll find that your average salesperson can complete 200 in-person sales visits a year at most (50 days multiplied by four visits).
My experience says that the average B2B close rates are close to 20 percent to 30 percent, meaning average salespeople will only close between eight and 12 sales from their 200 in-person sales calls!
They would be 40 percent more productive at closing sales if they only had to make an average of three sales visits to close a qualified business lead that was generated for them by marketing.
Use B2B Marketing
So instead of adding more salespeople to knock on more doors, use marketing to cost-effectively contact your prospects and fill the sales pipeline with qualified leads.
Doing so will result in more sales-ready opportunities that your salespeople can turn into new business, meaning greater sales revenue and profits for your company–and maybe a raise for you.