These are scary times for many business owners, and not just because of the spooky Halloween decorations in their neighbors’ yards or the horror movies popping up on TV all month.
What’s much more frightening is the economic uncertainty and finding ways to navigate a downturn in the market. But just because times may be getting tougher doesn’t mean it’s the reason for panic.
Speaking at a networking event in Philadelphia earlier this month, legendary former Villanova basketball coach Jay Wright reminded sales and marketing executives in the room that a winning attitude can go a long way toward overcoming colossal challenges. Staying true to your core values is critical, Wright said.
For most businesses, those core values include building meaningful relationships with prospects and clients. VSA has been helping companies develop and sustain such relationships for 21 years.
Here are five proven strategies for rising above tough times and outperforming dips in the economy:
1. Keep calling!
It’s natural to want to shy away from making cold calls during economic downturns, with the assumption being that your prospects aren’t in a position to buy. According to the American Management Association, a nonprofit leadership training group, the average salesperson cuts calls by 37% during a down economy.
But this is no time to be afraid of the phone! Companies that continue to have conversations during downturns distinguish themselves from their competitors by building connections, creating brand awareness, and nurturing relationships. Even if prospects aren’t ready to buy, they’ll likely remember those conversations when the market rebounds.
Historically, the numbers back this up. A recent Forbes article cited a well-known McGraw-Hill study of companies’ marketing activities during the recession of 1981-82. According to the study, businesses that continued to advertise during those years saw their sales jump by 275 percent, while companies that cut their ad budgets saw only a 19 percent increase.
2. Augment your calling capabilities
If your rivals are reducing their sales and marketing budgets during times like this, it’s a perfect opportunity to gain a competitive edge by connecting with the prospects they’re ignoring. But what if you lack the internal resources to ensure you’re targeting enough people—or the right people? Randomly cold-calling prospects without adequate research, data, and best practices likely won’t yield the results you’re looking for and could negatively impact your bottom line.
That’s where outsourcing to an experienced lead generation and appointment-setting firm like VSA can make a huge difference. If your sales team is too small or too busy with other tasks to reach as many prospects as you’d like, we can fill in the gap.
No matter what the economic environment is, it’s unwise to ignore the phone in your lead generation strategies. According to recent statistics compiled by global sales training company RAIN Group, more than half of B2B buyers say the last meeting they agreed to take came after a seller connected with them by phone. So it’s crucial to make these phone conversations count, and VSA has the list-building resources, experience, calling technology, and data to ensure we’re accomplishing that on your behalf.
3. Don’t forget about your existing customers
Engaging with current customers is easier than cold calling new prospects because the relationship is already established. Upscaling their customer experience during tough times lets them know they’re appreciated and helps ensure they remain loyal to your company. The gesture may even earn you a few referrals, which are invaluable during dips in the economy.
VSA frequently reaches out to our clients’ existing customers, for a variety of reasons. We recently shifted gears for one of our long-time technology clients and focused on calling current customers regarding upgraded services. The rate of scheduled meetings immediately skyrocketed. Another reason we touch base with clients’ current customers is to invite them to webinars, conferences, and other live or virtual events that showcase their latest offerings.
This mindset also applies to contacting former customers. Maybe they’re unsatisfied with their current vendor and looking for an alternative. Hearing from a familiar name might be all the incentive they need to switch back to your services.
4. Be prepared for cost objections
Prospects will always have their reasons for wanting to quickly get off the phone during a cold call. During tough economic times, their biggest objection will often involve concerns about cost. It’s crucial to be able to respond to this objection by sharing the value your offering provides.
You don’t necessarily want to get into specific dollar amounts during a cold call (that conversation will come later), but you do want to be prepared to address the prospects’ concerns calmly and professionally. That’s why every VSA script includes a list of common objections and suggested responses unique to each client.
5. Be sensitive to the current climate
No one wants to hear an obvious sales pitch on a cold call during economic boons, let alone when times are tough. Jumping on the phone and immediately delivering a hard sell to a stranger who is stressed about finances is insensitive, insulting, and most likely a waste of time.
It’s important to show empathy toward your prospect and establish trust, which requires understanding their pain points and succinctly expressing the relevance of your product or service to their concerns. VSA’s Business Development Representatives are experienced, empathic, and highly skilled at engaging in genuine conversations. We’re always respectful on the phone and mindful of whatever challenges prospects might be facing.
VSA is also adept at pivoting during a campaign to adapt to evolving circumstances. Whether it’s modifying the target list to reach decision-makers who are more willing to listen or altering the messaging to better reflect current times, our calling programs are never set in stone.
Conclusion
Economic downturns are scary, but they don’t last forever. The companies that make the extra effort to engage with prospects and build trusting relationships will be the ones that come out ahead when the market rebounds.
In times like this, it’s important to have more conversations with prospects, not less. VSA can make sure you achieve that goal, by becoming a direct extension of your sales team.
If you’re looking for ways to generate more leads and keep your sales pipeline full, give us a call. Even during tough times, we can help your business prosper.