Cold Calling to Business Owners
- Thread starter NinaA
- Start date
- 11,266
What are you selling?
- 6,453
Gist of a comment from a small business manager I know,
Somebody coming in here to sell me something had better be showing me how their product will help me run my business. I have no interest in how good you think your product is, I want to know how it is going to help me run or manage my business more effectively.
He then told me a story about two ins people that called on him, he listened to "the kid" for a few minutes and then thoroughly ripped the district manager trainer, in front of "the kid", for the poor and non-existent sales training he was providing.
Somebody coming in here to sell me something had better be showing me how their product will help me run my business. I have no interest in how good you think your product is, I want to know how it is going to help me run or manage my business more effectively.
He then told me a story about two ins people that called on him, he listened to "the kid" for a few minutes and then thoroughly ripped the district manager trainer, in front of "the kid", for the poor and non-existent sales training he was providing.
- 389
Stop trying to "sell" them anything. "Listen to them"....determine what their needs and concerns are (you should already know....they're basically the same for all business owners) and offer solutions that can address those needs and concerns.....let them buy...and not be sold.
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And what did this accomplish? Absolutely nothing! This is one reason why he's only a "small" business manager.
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And what did this accomplish? Absolutely nothing! This is one reason why he's only a "small" business manager.
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WillC
Expert
Good advice by Key2Success. Every business needs this: Coordinated risk coverage with no gaps and overlaps. Smart businesses want this: an expert advisor who can help look toward the future and prepare for upcoming risks. Your cold call should begin with a clear statement that you are not an insurance product peddler... you are a partner in your business clients' success, and it is your goal that you are still working together in 20 years and have had a terrific win-win experience. Then, as Key2Success said, you listen more than talk; discover current needs and concerns, AND ask about future goals and plans. In a real way (especially as your success grows), you are interviewing the business owner to be sure he/she has a strategy that fits with your ideal client profile.
Done well, there's no moment when you actively pitch a specific product other than as a RESULT of the issues the prospect raises in the discussion.
- 252
Couldn't agree more with folks saying that you better have a good reason for walking in besides selling something. The more valuable you can seem to the business owner whatever the industry, the likelihood of doing business goes up 10-fold.
Presenting yourself as a partner, someone who will be with them for the long haul, those are good things. It helps if you genuinely like the business. If you are going to be popping in for lunch 2-3 times a week anyways, might as well try and pick them up in your portfolio.
I'm mostly talking P&C to start.
Presenting yourself as a partner, someone who will be with them for the long haul, those are good things. It helps if you genuinely like the business. If you are going to be popping in for lunch 2-3 times a week anyways, might as well try and pick them up in your portfolio.
I'm mostly talking P&C to start.
I've been selling B2B for over 15 years. The advice I would give you is to not hide the buy. With B2B get to the point quick, and ask an open ended question about their business asap. If you can show them you care about their business, and do it quickly, then you can usually set up an appointment.
WillC
Expert
Getting past the gatekeeper. The best possible answer, if possible, is including the gatekeeper in the potential benefit: "I have approaches to protecting the business that can keep the doors open and the employees paid, even in a major disaster... I'm sure he'll want to at least talk with me to learn about what I offer."
Another try is humor as an ice breaker (also a question that's important to get answered): "Does your boss ever talk to people who drop by, or did he tell you to get rid of me as soon as possible?
The real goal is rapport -- but a veteran gatekeeper has heard all the obvious pick-up lines... so disarming humility is another try: "Man, I've been doing this job for X years, and I still get nervous whenever I come into a place like this. I'm okay once I'm talking about the ways we can protect your business...but -- do I look nervous?
Another try is humor as an ice breaker (also a question that's important to get answered): "Does your boss ever talk to people who drop by, or did he tell you to get rid of me as soon as possible?
The real goal is rapport -- but a veteran gatekeeper has heard all the obvious pick-up lines... so disarming humility is another try: "Man, I've been doing this job for X years, and I still get nervous whenever I come into a place like this. I'm okay once I'm talking about the ways we can protect your business...but -- do I look nervous?
- 252
Let's talk logistics and game plan this for a minute and let's review what we know.
1. Commercial Insurance is handled better face to face vs personal lines can be done without ever meeting someone face to face. However is it wise to just show up unannounced? For some the adventure might be in their wheelhouse but I would rather try and set a few appointments in an area and then drive there and walk around.
So while this thread is dedicated to cold calling it also should be pointed out that the purpose of the Cold Call CANNOT be to sell insurance to business owners, if it is then you're doing wrong. And that's based on the agreed upon fact that Commercial Insurance must be SOLD face to face.
2. Since what you really are doing is setting appointments I might be more inclined to allow a $10 an hour TM set some appointments. To get a better worker I would somehow make it lucrative enough to where $10 an hour could easily become $20 an hour+ with bonuses on anything you close, especially if the premium is North of $10k, you would be foolish not to spread a little cheer to the appointment setter.
3. Pick a couple specific industries to target. Dentist offices might be an easy policy to write but it pays easy commissions if you know what I mean plus there is a lot of competition. Much easier in the winter to walk thru an office building filled with tenants than it is to hit more industrial types where you gotta get out of the car and truly walk the facility grounds. In the North that is tough in the winter, in the Deep South the summers are just brutally hot.
Whatever field or industry you pick, try and get all the companies in a 25 mile radius or perhaps even 50 to 100 in the surrounding area and start mining for gold. You will see patterns and i would try to have 2-3 lead in questions that are similar to lawyers in court asking questions they already know the answers to. You want to find or uncover whatever PAIN the owner is experiencing and it might not be insurance..."Hey John, are you also noticing (fill in the blank) like some of my other clients I have in this arena?" And many times they will agree which is what you want?
4. Try to fill your appointment book up with as little phone time as possible. Most business owners are in early, I used to have success at 8:00AM when others are still in bed planning their day. Do you think those business owners you call sleep in late? I'll answer for you, EFF NO!!! Many of these types are up at 5 in the morning and hitting the gym or their morning routine, they drink black coffee at some little cafe where no one really knows they are a mover and a shaker except his favorite waitress who always gets a nice healthy tip because she already knows how he likes his breakfast and just asks him if he wants "the usual"...you getting the lesson here? Start thinking like the type of people you want to market to.
(I apologize to the ladies, this last paragraph seems rather sexist as I proof read it, my apologies but it is what it is. I plan on doing a thread dedicated to female owners at some point, woefully under worked market IMO)
If you were a small business owner, would you buy from you? Why or why not? But again the real purpose of your call is to get permission for a visit. I would not corner yourself with something like "Just 5 minutes" because you already are saying you aren't worth a lot of time. You can say "I will be brief and if we don't find something to enhance or help your bottom line quickly then I will be on my way...that still could be a 15-20 minute conversation, you don't know until you get there.
5. Leave the Big Boys to Brown and Brown, Marsh, etc...you're looking for folks with premiums $10,000-$25,000+ where you can save them 10-20% or increase their coverage without raising premiums. Don't call a lot of companies with sales over $10M-$20M, you're playing a high stakes game that you cannot win. Those big insurance agencies will eat you for lunch, stay out of their waters until you have a nice solid book of small to medium sized businesses and can work a $500,000 annual premium account which will take you months and months and perhaps longer since it is just you.
Keep your head up, keep dialing, concentrate on yourself and not what others are doing around you. You control your own destiny in this business but you gotta help yourself before others will be willing to assist. Go Go Go!!!
1. Commercial Insurance is handled better face to face vs personal lines can be done without ever meeting someone face to face. However is it wise to just show up unannounced? For some the adventure might be in their wheelhouse but I would rather try and set a few appointments in an area and then drive there and walk around.
So while this thread is dedicated to cold calling it also should be pointed out that the purpose of the Cold Call CANNOT be to sell insurance to business owners, if it is then you're doing wrong. And that's based on the agreed upon fact that Commercial Insurance must be SOLD face to face.
2. Since what you really are doing is setting appointments I might be more inclined to allow a $10 an hour TM set some appointments. To get a better worker I would somehow make it lucrative enough to where $10 an hour could easily become $20 an hour+ with bonuses on anything you close, especially if the premium is North of $10k, you would be foolish not to spread a little cheer to the appointment setter.
3. Pick a couple specific industries to target. Dentist offices might be an easy policy to write but it pays easy commissions if you know what I mean plus there is a lot of competition. Much easier in the winter to walk thru an office building filled with tenants than it is to hit more industrial types where you gotta get out of the car and truly walk the facility grounds. In the North that is tough in the winter, in the Deep South the summers are just brutally hot.
Whatever field or industry you pick, try and get all the companies in a 25 mile radius or perhaps even 50 to 100 in the surrounding area and start mining for gold. You will see patterns and i would try to have 2-3 lead in questions that are similar to lawyers in court asking questions they already know the answers to. You want to find or uncover whatever PAIN the owner is experiencing and it might not be insurance..."Hey John, are you also noticing (fill in the blank) like some of my other clients I have in this arena?" And many times they will agree which is what you want?
4. Try to fill your appointment book up with as little phone time as possible. Most business owners are in early, I used to have success at 8:00AM when others are still in bed planning their day. Do you think those business owners you call sleep in late? I'll answer for you, EFF NO!!! Many of these types are up at 5 in the morning and hitting the gym or their morning routine, they drink black coffee at some little cafe where no one really knows they are a mover and a shaker except his favorite waitress who always gets a nice healthy tip because she already knows how he likes his breakfast and just asks him if he wants "the usual"...you getting the lesson here? Start thinking like the type of people you want to market to.
(I apologize to the ladies, this last paragraph seems rather sexist as I proof read it, my apologies but it is what it is. I plan on doing a thread dedicated to female owners at some point, woefully under worked market IMO)
If you were a small business owner, would you buy from you? Why or why not? But again the real purpose of your call is to get permission for a visit. I would not corner yourself with something like "Just 5 minutes" because you already are saying you aren't worth a lot of time. You can say "I will be brief and if we don't find something to enhance or help your bottom line quickly then I will be on my way...that still could be a 15-20 minute conversation, you don't know until you get there.
5. Leave the Big Boys to Brown and Brown, Marsh, etc...you're looking for folks with premiums $10,000-$25,000+ where you can save them 10-20% or increase their coverage without raising premiums. Don't call a lot of companies with sales over $10M-$20M, you're playing a high stakes game that you cannot win. Those big insurance agencies will eat you for lunch, stay out of their waters until you have a nice solid book of small to medium sized businesses and can work a $500,000 annual premium account which will take you months and months and perhaps longer since it is just you.
Keep your head up, keep dialing, concentrate on yourself and not what others are doing around you. You control your own destiny in this business but you gotta help yourself before others will be willing to assist. Go Go Go!!!
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