The Virtual Bank Account and the Check Off List.
In previous blogs, I’ve written about the causes for Call Reluctance. Most of those refer to preparation and the components of the process that need to be addressed. There are some of us, however, that even when totally prepared, would still rather being doing something else, and hence, do something else. Here are a couple of ideas that have been successfully used to visually see the value of the prospecting part of their job and then to motivate them to do it!
Most of us think we only get paid to close business. True, in the sense that if we don’t actually close anything, we won’t get paid. Not true, however, in the sense that if we don’t also do the things that lead to a sale, we’ll never even have the chance to see that commission. This is especially true when thinking about prospecting, or in particular, the appointment setting component of the selling process.
Here’s a fun way to actually examine and monetize the value of appointment setting and to motivate yourself to make the dials necessary each day by stepping through an exercise that illustrates the value of each dial. To do this, we’re going to create what I call a Virtual Bank. Mine is the Bank of Barry Caponi. Have some fun and create something that will make you smile when you think about it.
Here are the steps you’ll need to set it up and operate it:
- Use our Activity Calculator (ask for a copy—they’re free—or get out your trusty HP12-C calculator) and calculate the number of dials it will take you over the course of a year to hit your commission goal. (You’ll need to know or estimate the following three metrics):
- The Conversation Ratio: Dials to Conversations with the Decision Maker;
- The Appointment Ratio: Conversations to Initial Appointments; and
- The Close Ratio: Initial Appointments to Closed Sales.
If you’re not tracking them, use industry averages of 8%, 15% and 20% respectively. If you’ve been through one of our Academies, you’ll know your metrics and they’ll be substantially higher.
Then do the math to calculate how many of those dials are necessary to get just one sale. If you’re using our Activity Calculator, it will tell you most of these numbers, including the number of dials you’ll need to make each day. If not, you’ll have to do that calculation as well. With all of that, it is easy to do the last calculation of determining the value of each dial.
For instance, if your commission on an average sale is $1,000 and it takes approximately 500 dials to get to a sale (not an appointment, remember), then each dial is worth $2.00.
When you get ready to do a Call Block, get your desk calculator out and input $2.00 onto the screen. Each time you complete a dial, simply hit the ‘Add’ button and $2.00 will be added to your total on the screen. If you need to make 20 dials a day, you’ll have earned $40 for your Call Block for that day and $200 for the week. Keep your Virtual Bank balance on a spreadsheet or simply do it manually on a piece of paper and keep it in a prominent place where you see it every day.
When you close a sale, simply ‘transfer’ that amount into your real bank account!
- If that’s too much work for you, or perhaps you think it is hokey…here’s another idea for those of you who like to check off items on the ‘To Do’ list. Using the same 20 dial a day goal from the example above. Get yourself something that you can stack twenty of on one side of your desk. Make it substantial, like a stack of coins or maybe even a stack of crisp two-dollar bills. Each time you complete a dial, move one of the stack to the other side of your desk. When there are no more on the first side—you’re done.
In conclusion, don’t be afraid to play games with yourself if that is what it takes in order to get yourself to do something you don’t want to do. No shame in being honest with yourself, and it sure beats the feeling you have going home each day after not accomplishing what you know you truly need to do to be successful!
If you’d like more information on the topic of why no team of sales professionals has ever failed to at least double the number of Initial Appointments they were setting after going through one of our programs, give us a call or drop us a line. We love talking appointment making!
Caponi Performance Group and Contact Science jointly market the telephone prospecting and cold calling solution called Coldcalling101™. It is the only comprehensive solution to solving the biggest barrier to success in most selling organizations—the inability to secure enough Initial Appointments to begin the selling process. We accomplish that through simultaneously addressing both the efficiency and effectiveness of the process. We can be reached at 817 224-9900, www.caponipg.com, or at bcaponi@caponipg.com. You can also find answers to many of your challenges in our books: Contrary to Popular Belief, Cold Calling DOES Work! Volume I: Effectiveness, The Art of Appointment Making and Volume II: Efficiency, the Science of Appointment Making.
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