Prospecting—The Lifeblood of
Selling

McGraw-Hill/Irwin

Copyright © 2007 by The McGraw-Hill Companies, Inc. All

Chapter

6


6-3

Chapter

6


Main Topics
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6-4

The Tree of Business Life: Prospecting
The Sales Process Has 10 Steps



The Tree of Business Life: Prospecting

True

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ce
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Se

T
T T
T T TT
T T T T
Builds

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 People buy from those they know
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Relationships


3. Approach
4. Presentation
5. Trial close
6. Determine objections
7. Meet objections
8. Trial close
9. Close
10. Follow-up


Exhibit 6-2: Before the Sales Presentation


Steps Before the Sales Presentation
 Prospecting  Appointment  Planning
 Rule of thumb:

 40% preparation
 20% presentation
 40% follow-up


Prospecting–The Lifeblood of Selling
 Prospecting – identifies potential customer
 Lead – name of a person or organization (also
referred to as a suspect)

 Prospect – qualified person or organization




 Financial services, such as life insurance
 Real estate


Some Prospect, Some Do Not, cont…
 Many organizations do not prospect.
 Examples are large consumer goods firms as
General Mills* and Colgate*.

* products and associated images used for illustrative purposes only


Compensation for the Salesperson that
Prospects is Often:
 Based upon 100% commission – if you do not sell,
you do not earn.


Compensation for the Salesperson that
Does Not Prospect is Often:
 Based upon mostly salary with a small bonus and


expenses such as car and office supplies paid
If you do not sell you still get paid…but not for
very long.


Where to Find Prospects

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Prospect Lists – trade pubs, list-selling firms
Become an Expert – get published
(5)Public Exhibitions and Demonstrations
(6)Center of Influence
Direct Mail
(7)Telephone and Telemarketing
Observation
(8)Networking (center-of-influence people)


Exhibit 6-5: The Processing System Within
a Telemarketing Center


Exhibit 6-6: Reports From a Telemarketing Center to
Other Marketing Groups Within the Firm


Prospecting Guidelines
 Three criteria are: