Most insurance agents would agree that one of the more challenging tasks they face in their career is finding new clients. Unfortunately, the sometimes-painful chore of prospecting is a necessary evil in this industry. You obviously can't sell much unless you have interested customers.
In "Prospect Factory" (Palmetto Publishing, 2004), Ted Stevenot points out that "there is no such thing as a successful salesperson who has not somehow solved the problem of prospecting." A flourishing businessman and expert prospector, Stevenot wrote this step-by-step prospecting manual to help salespeople generate more leads. He says that if you learn how to prospect effectively, "it invites qualified prospects to turn to you for help when they need it, and it provides a consistent and adequate supply of new prospects to your business." In essence, this book teaches you how to build your very own "prospect factory."
Stevenot's proven process is intended to help you "systematically generate large numbers of qualified sales leads without calling on people you know, without depending on referred leads, and without having a strong natural market." Here are some of the fundamental steps Stevenot says every salesperson must take in order to augment their book of business and ultimately reach their career goals.
Lay the groundwork
Before you begin seeking out new clients, Stevenot says you should "spend some time thinking about the products and services you sell." Ask yourself who buys your products and where those buyers are located. Your answers will help you construct a general description of your target audience. Based on this customer profile, you can determine which resources -- whether it's a published list or a simple phone directory -- will be the most helpful in building your prospect list.
Pick up the phone
This is the step that many producers dread and despise more than any other -- making cold calls. Regrettably, you can't expect to sell products to prospects unless you actually talk to them first. Stevenot says, "To succeed with this system, you must make a commitment to achieve a call volume that is sizeable enough to cover either your entire market or a manageable segment of it." He explains that the best way to calculate the amount of time you should spend making cold calls is to determine the total number of calls you need to make, how long each of those calls will take, and how often you plan to cycle through your prospecting list.
No pain, no gain
Stevenot believes that "the most powerful tool for extracting any anticipated pain from making telephone prospecting calls can be found in one word: acceptance." In other words, rather than attempting to change their response, you should simply accept the way a prospect responds to your call. According to Stevenot, "Prospects will either be receptive to your approach or not." If they are not receptive, you should immediately thank them, hang up the phone, and move on. This approach should make the telephone prospecting chore less agonizing.
Gather some intel
Be sure to pay attention and take plenty of notes during your prospecting calls so you can collect vital information about potential customers. Stevenot emphasizes that you should not "push" prospects for information. Rather, you should simply gather any pertinent data a potential customer reveals. As he explains, "When you finish [this process] you will have identified, by keeping track of such information, a smaller list of prospect names." In the end, the notes you take during your phone calls will help you narrow your list to only the most interested and viable prospects. It will also help you to remember that customer and start building a relationship with them.
While prospecting is not generally a salesperson's favorite activity, finding new customers is essential to an agent's success. Stevenot promises that his easy, step-by-step approach will increase your confidence, reduce your stress, and ultimately lead to a boost in sales.
Amy Bell is a freelance writer and frequent contributor to the Agent's Sales Journal. Visit her Web site at www.writepunch.com or email her at amy@writepunch.com.
