Strategic Prospecting

it is a process designed to identify, qualify, and prioritize sales opportunities, whether they represent
potential new customers or opportunities to generate additional business from existing customers.

The main aim is to help salespeople determine the best sales opportunities in the most effective way.

Effective strategic prospecting helps salespeople spend their time in a productive manner.

Importance and challenges of prospecting

* Current customers are not always enough because of :

1) The tough economic environment.

2) Market condition change.
3) Existing customers might buy less.
4) Customers might go out of the business.
5) Low customer satisfaction.
6) Competition.

Why Buyers Won’t See Salespeople

1) They may have never heard of the salesperson’s firm.

2) They may have just bought the product category, and there is no present need.
3) Buyers may have their own deadlines on other issues, and they have no time to see salespeople.
4) Buyers are constantly getting calls from salespeople and do not have the time to see them all.
5) Gatekeepers screen their bosses’ calls and sometimes are rude.

This could be overcome by:

1) Following a strategic sales prospecting process.

2) Utilizing a variety of prospecting methods.
3) Developing a strategic prospecting plan.
4) Preparing for the sales dialogue.

Sales Funnel

Representation of the trust- based sales process and highlights the major steps of the strategic
prospecting process

1st step: Generating Sales Leads

Leads/suspects: They are the individuals who might possibly purchase the product/service that the
salesperson offers.

2nd step: Determining Sales Prospects

Qualifying sales leads: Salespeople evaluate the sales leads to determine which one are true prospects
to their product, by collecting analyzing and using various ways of procedures.
Prospects: individuals who have the need, purchase power and the purhase decision.

3rd step: Prioritizing Sales Prospects

Salespeople tend to prioritize the prospects by creating the ideal customer profile that includes the
characteristics of the perfect customers. Those who fit this profile tend to be the best opportunities that
the salespeople will spend most of their time on
Categorizing the prospects into A,B and C.

4th step: Prepare For The Sales Dialogue

At this point the information the salesperson has, with some additional information increase the chance
of making a successful initial sales dialogue.

5th step: remaining steps is the Trust Based Sales Process

The most productive salespeople pursue the best sales opportunity and translate a large % of these
opportunity into sales than less productive salespeople do.

Prospecting Method:

Page 1
1) Cold canvassing
2) Published sources
3) Networking
4) Company sources

1) Cold canvassing
cold calling is the most extreme form of cold canvassing because salespeople merely "knock on the
door" or make telephone call to organizations and individuals.
A small percentage of cold calls lead to future sales dialogue with qualified prospects.

Referral
salespeople are often trained to ask customers and others for the names and contact information of
potential prospects

Salespeople can also obtain sufficient information to qualify the lead as a good prospect.

Introduction
By writing a letter or making a phone call to introduce the salesperson to the prospect.

2) Published sources
variety of sources in print and electronic form can be very useful in prospecting

Directories
offer an inexpensive and convenient means of identifying leads

Commercial lead list

Designed to focus on virtually any type of business or individuals from simple lists of names ,addresses
and phone numbers

3) Company sources
Many companies have resources or engaged in activities that can help their own salesperson with
strategic prospecting.
• Company record
• advertising inquiries
• inbound telemarketing
• outbond telemarketing
• trade shows
• seminars

4) Networking
salespeople can use various types of networking as effective method for prospecting , many salespeople
join civic and professional organizations these membership provide the opportunity for them to build
relationship with other members

Networking
people in the community or other organizations making them :
a. centre of influence
b. noncompeting salesperson
c. electronic networking

Prospecting Process
a strategic prospecting plan should fit needs of the sales person

The strategic prospecting plan set goals, allocate specific times to be used for prospecting , and
continuously evaluate results in order to maximize the effectiveness of prospecting time and effort.

Page 2
Tracking system
• a good tracking system should also be a part of the prospecting plan
• part of the strategic prospecting plan that record comprehensive information about the prospect
,traces the prospecting method used , and chronologically achieve outcomes from any contact with
the prospect

Information to know on a prospect

1- The prospect’s name

2- The prospect’s title
3- Is this prospect willing to take risks?
4- Is the prospect involved in the community?
5- Does the prospect have hobbies, interest?
6- What is the prospect personality type?
7- Where was the prospect educated?

Gathering information about the organization

1- What type of business we are dealing with?

2- Their market, competitors and the company make and sell
3-company financial position
4- what problems does company face?
5-in what volume does the company buy

Page 3