The first element of a Consultative Telemarketing approach is to determine whether this approach has a good chance of providing you with a decent Return On Investment (ROI). The second element is to gain an understanding of your business, to find all the key points that will lead to success. The final part of the approach is in applying proven techniques to implement the process.
So let’s start with ROI. ROI is always the name of the game. If there is no chance of you gaining a return on your investment in Consultative Telemarketing, then you should be looking at alternative routes to market. Hence the first and most important aspect is whether Consultative Telemarketing is right for your business model. ROI in its simplest form is a mathematical equation of – ‘Benefit of Telemarketing minus Cost of Telemarketing‘. If this equation provides a positive outcome, then you are on the right lines.
Let’s give a simple example here – You decide to spend a budget of £2k to try Consultative Telemarketing. During the campaign, 10 appointments are made for you which you attend. Let’s say that you are not the best sales person in the World, so during the campaign you close 2 sales, the value of which is 2 x £10k = £20k. Your profit margin on the sales is 40%, so you make £20k x 40% = £8k. You deduct your travel expenses of £2k and you deduct the cost of Consultative Telemarketing of £2k – that’s £8k – £2k – £2k = £4k.
Now of course, everyone’s business model is different. We don’t all sell products for £10k a sale. Neither do we all close 1/5 sales. The reality is more complex, but this should give you a good idea of Return On Investment. Simply replace the figures above with your model to gain an idea of what is feasible. To put it in simple terms – if you are selling a product or service that has a medium/high sale value, with a reasonable profit margin, then you are on to a winner. If you are selling a low value product or service – then there is little point racing round the country trying to sell it and paying for telemarketing on top.
If at this point, you have realised that your product sale value is very low, then you should be considering alternative routes to market. If your sale value is middle to high, then read on. The next step is for the Consultative Telemarketing person to look deeply in to your business offering.
We’ve already agreed that your sale price justifies paying for Consultative Telemarketing, but let’s just clarify here why you should be choosing Consultative Telemarketing over bog standard Call Centre Telemerketing. In essence, the higher the value of the sale, the greater the chance that the Buyer will hold a more senior position within the organisations that you are trying to sell to. That means the telemarketing person must be of a high enough calibre to communicate with such people at their level. Moreover, a relationship (both rapid and long-term) must be built up with the Buyer. The vast majority of call centres simply don’t have that ability on a consistent basis.
So the Consultative Telemarketing approach is right for you so far. Now comes the part about finding about more about your business. For the non-sales person, it can often seem difficult to grasp the concept, that an outsider can often sell your business better than anyone in your team. But if you think about this logically – it applies to all professions. After all – if you could look after your accounts better than a skilled accountant – why outsource this task to an accountant? In a legal case, you know far more about the problem – so why outsource this to a solicitor? The answer to these questions is obvious – you may know more about your business than an accountant, a solicitor or a consulatative telemarketing person – but you are not an expert in applying that knowledge to gain the outcome that you desire. Just as an accountant or solicitor would take the time to understand the salient points necessary, that is exactly the process followed by a skilled Consultative Telemarketing expert.
At SL-Freelance, we would spend an appropriate amount of time right at the start, in understanding all the key points of your business. We don’t need to be you or have all the knowledge in your head – we just need the salient points that will gain the outcome you desire. We will talk to you about the geographical area your company works in, build a profile of your ideal customer, and so on. In essence, we will hone in on who you are trying to sell to and why they should be buying from you.
The final stage is to set up and implement the telemarketing campaign. Consultative Telemarketing generally follows what is known as a ‘Call – Email – Call’ scenario. Of course a good telemarketing person will always be looking for any early or easy wins. However, the vast majority of prospective customers will need to be ‘courted’. They are possibly about to spend a lot of money with you, so they want to feel comfortable that they are making the right decision.
Firstly your prospects will want a proper introduction by telephone – a brief discussion of the benefits of doing business with you. Then a little more flesh is put on the bone with an email and maybe an electronic brochure. Finally, another call at the right time, puts them in a position where they want to meet up with you Face2Face to talk terms and prices. That’s what we call, a ‘Call-Email-Call‘ scenario.
So let’s recap – first check that the Return On Investment looks promising. Then a Consultative Telemarketing person focuses on the key aspects of your business – to find the right prospective customers for you. Finally, a successful formula of call-email-call starts bringing in the business. Now I know I’ve tried to simplify this for you. So I will be discussing more ideas in detail on this blog. If you want to know more right now – call SL-Freelance today on 0870 042 1263, go to www.sl-freelance.co.uk or email me – firstname.lastname@example.org .