You might think dating and sales aren't similar, but I'll have you know they have more in common than you'd once thought.
Build a better SaaS business with cold calling
Most SaaS businesses tend to believe in ‘build it & they will come’ and this can be true in certain circumstances, I want to put it to you that using cold calling is going to be one of the best strategies to get the right clients that can propel your business.
Why Cold Calling Works
Many SaaS businesses will shy away from the cold call in favor of emailing from the comfort of their laptop screens. This method seems enticing since it is less expensive and requires no thinking on the spot. But, it may be less effective for your marketing campaign.
While cold calling has its challenges, it also has several benefits for your company. Cold calling helps you generate new customers through a human-centered approach. Despite the reluctance toward cold calling, 62% of buyers would like to hear from sellers when they are seeking out a solution to a problem they have.
Since reaching out to prospective clients to offer them your solution is important, you should work to improve the method of delivery. Calling leads demands an immediate response and, if done correctly, cold calling can help benefit and grow your SaaS business in many ways:
Validate Market Fit
Contacting prospects over the phone will show you whether someone is truly interested in your business or whether you are wasting your time contacting them. This form of communication also allows you to confirm whether you are targeting the right audience while building the right features.
You can start using cold calling before you’ve even developed any MVP, this is a great way to understand if your idea has a valid target audience and potential willing buyers.
Cold calling provides a direct approach with immediate results, which will help you understand what your leads are thinking and feeling about the services you offer. By being able to provide valid information on what problems your solution solves you’re able to provide value right there on a call, instead of unlimited email back & forth. Cold email marketing for SaaS can pay dividends but cold calling is often more effective.
Understand Your Client Persona
Speaking one-on-one with your prospective and existing clients will help you gain a better understanding of their personalities. No matter how much market research you conduct on your target market, the reality could always be different. You can have an in-depth understanding of who your clients are on paper, yet putting a human voice to that image will always be more accurate.
In addition, you will gain valuable insights into what your prospective clients are looking for through cold calling. This strategy creates a two-way conversation since you can ask them questions. Cold calling potential clients should not be a one-way selling conversation. Rather, you want to engage your prospects and give them a platform to be heard.
This can lead to valuable insight on how you can improve your product or service and shift directions in the future if the market changes. In addition, it will help you track the leads who will respond to future calls and who would prefer to connect via email.
Generate Quality Leads For Demos And Booking Meetings
Around 82% of buyers will accept a meeting if you reach out to them first. Customers are more likely to accept meetings with people they already know, even if it is through a phone call. This means that you need to pick up the phone and meet your prospective buyers. Once they have spoken to a person, they will start to gain trust in the company.
Anyone can hide behind an email. But, once a prospect hears your voice, they will feel like they know you personally. This can help you set up more meetings and demos, and get to know your leads on a personal level. This trust is important especially for SaaS companies where face-to-face meetings are not as common.
You’re able to complete lead qualification on the call at the same time which means spending more time on quality demos with leads that have a higher chance of converting.
A key aspect of securing leads is follow-up calls. According to Databox, more than half of respondents to their survey required three to four continuous cold-calling follow-ups until potential leads became paying customers.
However, this is a fine balancing act. You don’t want to come across as pushy. Following up with prospective leads should take place over a month or so. In general, it’s best to contact a potential lead no more than one or two times in any given week, unless they are particularly eager to move things along. You also want to read between the lines and ensure you are taking a hint if they don’t outright object to signing up.
Key Tips for SaaS Cold Calling
There are various tips worth considering when it comes to business to business cold calling for a SaaS company.
Using a SaaS Cold Call Script in the Right Way
You don’t want to sound like a robot when cold calling. So, while you should consider using a script, you could still take a fairly loose approach. For instance, it’s best to have a general template/structure to go with as opposed to a script for every single word you’ll use.
Here’s what you may want to include:
- Have an appealing and light-hearted introduction with a brief discussion about your SaaS business.
- Know what you’ll say based on a variety of possible responses, such as if they show interest or say they already have a SaaS in your sector.
- Ask them a question to get things rolling.
- Make a comment relevant to their business or career. You might want to congratulate them on a recent promotion, for instance.
- Have a broad cold calling script for Saas sales that is sector-oriented.
Be Open and Honest
You need to be sincere and show honesty when cold calling potential leads. You can achieve this by leaving room for questions and providing all relevant information in your answers. Unless they naturally ask questions, you should check with your potential client if they have any questions once you’ve presented your SaaS and what it offers.
If your conversation goes well, you may get to discussing the pricing plans for your SaaS. If you get to this phase, you may already be on the brink of securing a customer. While it generally takes a few calls to turn a potential lead into a customer, this won’t always be the case if things go particularly well.
Never give false information or figures to convince someone to sign up. You need to carefully fact-check any statistics or claims you make when cold calling. This is an example of how it’s vital to be well prepared before getting to work.
Of course, if there’s information you’d like to add to a call but aren’t sure of, should you and your possible customer plan a second call, you can verify it after your initial call ahead of the next conversation.
Manage Objections Well
Expanding a little on our points about following a script, you’ll want to prepare for specific objections. Those who you cold call could react in many ways. You should present good listening skills during cold calling. After all, you don’t want to be too strict in how you engage.
End on a Good Note
When a cold call goes well, it’s critical that you give your lead a clear sense of where things go from there. You can achieve this by leading into the end of the call and discussing what steps should follow.
While you may seal the deal in the first call, if it seems likely that a second or third call is needed, you can discuss further engagements when you and your potential lead catch up again. Make certain that there is absolute clarity on what comes next before ending the call.
Poke the Bear
This is a useful cold calling strategy that consists of five steps. It is arguably among the best cold prospecting strategies for SaaS.
Here is how to ‘poke the bear’;
- Permission - Seek permission to engage with a potential lead (e.g., ask the individual if you could have a moment of their time).
- Problem - Raise a problem that your could-be-client may have, or ideally, an issue that they definitely do face. For example, you could highlight known challenges that companies in their sector deal with, oryou could mention a relevant problem that they are confronting.
- Poke the Bear - After you highlight a problem, you should swiftly add a brief follow-up question (e.g., “What is your experience with this issue?”).
- Peel the Onion - Listen patiently and show genuine interest in what they have to say.
- Promise - Tell them why and how your SaaS can offer a solution to their challenges. Ask them if they’d like to have another call in the next week or two to talk in more detail about your service.
Take a Down-to-Earth Approach and Use Insider Language
We also suggest that you come across in a friendly and down to earth manner. One way to do this is by including humor where suitable.
Using insider language can also cut across your relatability and knowledge. This could instill confidence in a potential client that you’re the real deal and, moreover, it can make you more likable.
Since cold calling clients and potential clients is a fast touch-and-go art, you should get right to the point while coming across as friendly and appealing from the get-go. Approaching cold calling in the right way is key to success here, and it can ultimately work toward lead validation for your Saas.
Go For It
Sales call reluctance is common among SaaS startups and most business owners in general who need fresh customers. To overcome your fears, a good sales call reluctance test is to start off by practicing cold calling with people you know or even working with a cold calling specialist. Your confidence will grow as you practice and get used to cold calling.
Rejection is totally normal when it comes to cold calling, with most calls going nowhere. The more you do it, however, the easier it will get.
How Cold Calling Contributes To Business Growth
Reaching out to your potential clients personally will help grow your business by gaining the trust of your consumer base. When they know who they are dealing with, they will be more likely to respond to your marketing campaigns and contact methods. You can grow your SaaS company with cold calling, since the truth is, two-thirds of buyers still answer cold calls.
Cold emails are a less intrusive way to start the initial contact with a client. However, these can easily get lost or forgotten by the client. Additionally, it won’t matter how snappy, smart, or funny an email is if left unopened.
Ad campaigns are another effective way to create awareness about your company. Yet, this is an expensive avenue to follow and your budget may not afford this in the early stages of the business.
Ultimately, it’s best to include cold calling in your sales strategy. You can also implement dual approaches to initiate contact with your leads and gain better results.
Since many buyers may be wary of cold calls, it is important to pay attention to the technique you use when implementing this marketing strategy into your business model.
Cold calling can help your SaaS business grow if you take the time to implement it correctly and use effective tools, like Myphoner, to make the whole process easier. This is true whether you have a micro SaaS for sale or if you’re a multi-million dollar company.
Understand when and how to utilise scripts within your sales strategy to create a better experience for potential customers and your agents at the same time.
You’ve heard it too: cold calling is dead. But don’t you believe it! It’s just a catchy phrase used to attract attention.