Prospecting for Clients


Published on


Published in: Career
No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Prospecting for Clients

  1. 1.
  2. 2. What Makes aQualified Prospect?<br />Does he or she have a NEED for life insurance?<br />Can he or she AFFORD to pay for it?<br />Can he or she QUALIFY?<br />Can he or she BE APPROACHEDunder favorable circumstances?<br />2<br />
  3. 3. HOT<br />50%<br />35%<br />WARM<br />20%<br />COLD<br />10%<br />PROSPECTOMETER(Measuring the Value of a Name)<br />Timeliness:<br />Has there been a recent change resulting in:<br /><ul><li> Financial Improvement?
  4. 4. Increased Responsibility
  5. 5. Increased Receptiveness?</li></ul>(PLUS INFORMATION BELOW)<br />PROBABLE BUYER<br />(A Prospect for You, Now!)<br /><ul><li>Can you get to see the prospect on a </li></ul> favorable basis?<br /><ul><li>Are you fully equip to satisfy the prospect’s particular need?</li></ul>(PLUS INFORMATION BELOW)<br />QUALIFIED PROSPECT<br />(A Prospect for You)<br /><ul><li>Does the prospect have purchasing power?
  6. 6. Does the prospect have a need for your product?
  7. 7. Can the prospect meet medical and underwriting requirements?</li></ul>(PLUS INFORMATION BELOW)<br />PROSPECT<br />(For Some Lucky Agents)<br />DEGREE OF PROBABILITY OF BUYING NOW<br /><ul><li> Do you know the prospect’s name, address, </li></ul> phone number, place of employment, <br /> occupation, age, family status, hobbies, <br /> interests, etc.<br />SUSPECT<br />3<br />
  8. 8. A Lot of Things Happensas a Matter of…Timing<br />4<br />
  9. 9. SITUATIONS THAT INDICATE NEED FOR LIFE INSURANCE<br />Financial Improvement<br />Increased Responsibility<br />Increased Receptiveness<br />5<br />
  10. 10. FINANCIAL IMPROVEMENT<br />Appointment or Promotion<br />Salary Increase<br />Bonus<br />Inheritance<br />Probate of a Will<br />Winning a Law Suit<br />Completion of Installment Payments on Car, Home, etc.<br />Policy Becomes Paid-up or Has Matured<br />Dependent Relative Dies or Becomes Independent <br />Successful Speculation<br />Real Estate Transfers<br />Awarded Business Contract<br />Business Expansion<br />Gets Building Permit<br />Patents Awarded<br />Government Action Gets Favorable to Business<br />Winning in the Lottery Increased Prosperity<br />6<br />
  11. 11. INCREASED RESPONSIBILITY<br />Marriage<br />New Child<br />Adoption of a Child<br />Engagement<br />Taking First Job<br />Changes Job and Loses Group Insurance<br />New Home<br />Borrows Money<br />Parent/Relative Becomes Dependent<br />Death of Wife<br />Death of Husband<br />Child Enters College<br />Interest in Some Charity<br />Has a “Special Child”<br />Becomes a Key-Person<br />Improvement in Standard of Living<br />7<br />
  12. 12. INCREASED RECEPTIVENESS<br />Death of a Friend or Relative<br />Narrow Escape From Death<br />Observing Narrow Escape<br />Sees Life Insurance in Action<br />Sees What Life Insurance Could Have Done<br />Birthdays<br />Age Changes<br />Approaches Retirement<br />Becomes Uninsurable or Rated<br />Financial Losses<br />Graduations<br />Becomes Executor or Administrator of Estate <br />Improved Social Status<br />New Resident<br />Friend/Relative Buys<br />Birth of Grandchildren<br />Child Gets Special Honors<br />Failure of Competitor<br />Death of Competitor<br />Favorable Business Forecast<br />Takes Child Into Business<br />Change in Management<br />Business Re-Organization<br />Another Agent Sold Idea but Didn’t Ask for the Application<br />8<br />
  13. 13. Who Do You Know Who…<br />9<br />
  14. 14. The Sales Pipeline*<br />It’s in “Seeing the People”<br />There is not a business going that does not depend on new people to see. <br />Somehow someone must put names into the pipeline so that what comes out the other end are completed missions. <br />Although there are multiple facets to operating any business, the entrepreneurial spirit would mean nothing without new prospects, and these mean less if no contact is made. <br />The success of any business venture can be measured by the percentage of time spent face to face, and this time occurs only when someone asks for the meeting.<br />General<br />Public<br />Targeted<br />Market<br />Specific<br />Prospects<br />Eliminated<br />by Choice<br />Initial Contact<br />No Need<br />At This Time<br />Study of<br />Their Needs<br />Proposal<br />Inappropriate<br />Proposed<br />Solutions to<br />Client’s Problems<br />Confirm<br />The Purchase<br />Assure Client Satisfaction<br />* from the “Business of Selling,” Allesandra & Cathcart<br />10<br />
  15. 15. Client Referral Model<br />Personal<br />Referrals<br />Family<br />Relatives<br />Friends<br />Social<br />Contacts<br />Social<br />Referrals<br />Acquaintances<br />Neighbors<br />Key<br />Business<br />Relationships<br />Business<br />Associates<br />Business<br />Contacts<br />Occupational<br />Referrals<br />11<br />
  16. 16. Personal<br />References<br />1. ____________<br />2. ____________<br />3. ____________<br />Best Friends<br />1. ____________<br />2. ____________<br />3. ____________<br />Sports<br />1. ____________<br />2. ____________<br />3. ____________<br />Associates<br />1. ____________<br />2. ____________<br />3. ____________<br />Attorney<br />1. ____________<br />CPA<br />1. ____________<br />Doctor<br />1. ____________<br />Family<br />1. ____________<br />2. ____________<br />3. ____________<br />CENTER OF INFLUENCE<br />________________________<br />Neighbors<br />1. ____________<br />2. ____________<br />3. ____________<br />4. ____________<br />5. ____________<br />Professionals<br />1. ____________<br />2. ____________<br />3. ____________<br />4. ____________<br />5. ____________<br />6. ____________<br />7. ____________<br />Greeting Cards<br />1. ____________<br />2. ____________<br />3. ____________<br />4. ____________<br />REFERRAL POSSIBILITIES<br />12<br />
  17. 17. BUILDING & EXPANDINGYOUR MARKET<br />13<br />
  18. 18. What’s the BestProspecting Method?<br />Client Prestige<br />Referrals<br />Client Referrals<br />Endorsements<br />Professional References<br />Seminars<br />Advertisements<br />Leads<br />Mailing or Telephone Lists<br />Cold Calling<br />The value of the method increases<br />as you move from the bottom to the top. <br />14<br />
  19. 19. AGENT CONTROL<br />PROACTIVE<br />PROSPECT CONTROL<br />REACTIVE<br />Impact of Various Prospecting Methods <br />TOP<br />OF THE TABLE<br />Target Market<br />Network of Advisors<br />COURT<br />OF THE TABLE<br />Referrals<br />MDRT<br />Research Followed by Phone Call<br />SHORT<br />CAREER<br />Direct Mail<br />Followed by Phone Call<br />Face-to-Face<br />Cold Calling<br />Direct Mail<br />Natural Market<br />The following Prospecting Pyramid clearly illustrates the impact of various prospecting methods on an agent’s career. <br />Generally, the more an agent relies on “cold” methods of prospecting, the lower his/her productivity and the shorter the career in sales. Agents who direct their prospecting efforts toward Target Marketing achieve the highest production and maintain long-term, successful sales careers.<br />15<br />
  20. 20. First Year Commissions and Lives/Cases SoldAverages for U.S. Agents and Members of MDRT Table Levels<br />16<br />* U.S. Average Commissions and Lives/Cases from LIMRA<br />
  21. 21. AGENT SURVIVAL RATES<br />GAMC<br />17<br />
  22. 22. Organized Prospecting<br />List Names<br />Evaluate Names<br />Record Names & Data<br />Organize for Calls<br />Record Results<br />18<br />
  23. 23. Methods of Prospecting<br />PERSONAL OBSERVATION<br />FRIENDS & ACQUIANTANCES<br />DIRECT MAIL<br />CENTER-OF-INFLUENCE’S LEADS<br />REFERRED LEADS<br />(Endless Chain)<br />COLD CANVASS<br />SEMINARS/WORKSHOPS<br />SUSPECTS<br />NEW<br />CONTACTS<br />FOLLOW-UP<br />CONTACTS<br />CASES<br />OPENED<br />CLOSING<br />INTERVIEWS<br />SALES<br />COMMISSIONS: $ ____________<br />19<br />
  24. 24. Weekly Sales Success Formula<br />PERSONAL OBSERVATION<br />FRIENDS & ACQUIANTANCES<br />DIRECT MAIL<br />CENTER-OF-INFLUENCE’S LEADS<br />REFERRED LEADS<br />(Endless Chain)<br />COLD CANVASS<br />SEMINARS/WORKSHOPS<br />20<br />G<br />U<br />I<br />D<br />E<br />L <br />I<br />N<br />E<br />S<br />YOUR<br />S <br />T<br />A<br />N<br />D<br />A<br />R<br />D <br />S<br />SUSPECTS<br />12<br />NEW<br />CONTACTS<br />8<br />FOLLOW-UP<br />CONTACTS<br />10<br />CASES<br />OPENED<br />6<br />CLOSING<br />INTERVIEWS<br />2<br />SALES<br />COMMISSIONS: $ ___________________<br />20<br />
  25. 25. Weekly Sales Success Formula<br />Below, the Weekly Sales Success Formula is charted in the form of a funnel. On the left-hand side of the funnel, you will see “Guidelines” showing the suggested number of Suspects, New Contacts, Follow-up Contacts, Cases Opened, Closing, Sales and Commissions. On the line below the funnel, enter the average weekly amount of “Commissions” you wish to generate. Then develop, and fill in the lines down the right-hand side of the funnel, “Your Standards” — as required to generate the “Commissions” you set to achieve.<br />“SUSPECT” - New people whom you plan to contact in the near future. You only have a “Suspect” when you know the name, address where to be contacted, phone number, occupation, approximate age, family status, hobbies, interests, etc.<br />“NEW CONTACT” - A ‘New contact’ is when you have an appointment to speak to someone for the first time about one of the company’s products.<br />“FOLLOW-UP CONTACT” - A second or subsequent interview, as part of the selling process, on any previously Opened Case.<br />“NEW CASE OPENED” - A “Case” is “Opened” when you have had your first interview and decide to continue your negotiations.<br />“CLOSE” - A “Close” consists of a face to face (not telephone) conversation during which you ask the prospect to take some positive action, such as signing the application, to be recorded whether the attempt was successful or unsuccessful.<br />“SALE” - A “Sale” is any interview which results in your obtaining all the necessary requirements<br />to complete a sale: — signed application, premium payment, medical evidence arranged.<br />21<br />
  26. 26. 22<br />Are You Seeing3 People Per Day?<br />“If you are not seeing 3 people per day, you haven’t earned the right to complain about the state of your financial circumstances.”<br />
  27. 27. Always remember the basic premise of any sales endeavor:“You’ve Got to Kiss a Lot of Frogs to Meet a Prince.”<br />That’s the job and you’ve got to kiss them<br />Don’t try to substitute<br />You can’t mail them a kiss<br />You can’t stay in the office and wait for them to hop in and kiss you<br />You can’t let advertising change them into princes<br />You can’t ask your secretary to kiss them (he or she hasn’t got the stomach for it)<br />It doesn’t take a lot of smooching to tell a prince from a frog<br />You can’t change kissing styles every 30 days or spend all your time in Kissin’ School<br />You’ve got to spend time with frogs and you’ll find them out there in the marshes<br />Then, when you find one, you got to make contact<br />Kissing is a contact sport<br />-Source Unknown<br />23<br />
  28. 28. CONTACTS<br />At this point, when your prospect is ready to buy, you have a 90% chance of being called.<br />You are probably the only person to make eight contacts with this prospect.<br />You are building top-of-the-mind awareness (TOMA).<br />Nurturing slowly, your prospect gets to know you and your company.<br />Customer Relationship<br />You are becoming a factor in the prospect’s mind.<br />89.9% of salespeople have given up by this point.<br />79.8% of salespeople have given up by this point.<br />65% of salespeople have given up by this point.<br />50% of salespeople give up.<br />PROSPECT<br />24<br />
  29. 29. 25<br />HOT<br />50%<br />35%<br />WARM<br />DEGREE OF PROBABILITY OF BUYING NOW<br />20%<br />COLD<br />10%<br />Success in Our Businessis All AboutQuality Prospecting…<br />Everything else is Commentary.<br />
  30. 30. Success Triangle<br />GOAL SETTING<br />SALES<br />KNOWLEDGE<br />QUALITY<br />PROSPECTING<br />26<br />
  31. 31. The 8 Keysto Bullet-Proofing Your Practice<br />Rate your practice from<br />Scale of<br />1 to 8<br />with 1<br />representing your best practice<br /><ul><li>Relationship Management
  32. 32. Activity Management
  33. 33. Time Management
  34. 34. Inventory Management
  35. 35. Referral-Based Prospecting
  36. 36. Values-Based Fact-Finding
  37. 37. Product Expertise
  38. 38. Assistant Coordination</li></ul>27<br />
  39. 39. “You Miss 100% of the Shots You Don’t Take.”<br />Wayne Gretzky<br />Great Hockey Player<br />28<br />
  40. 40. JAN<br />FEB<br />MAR<br />APR<br />MAY<br />JUN<br />JUL<br />AUG<br />SEP<br />OCT<br />NOV<br />DEC<br />Prospecting<br />Sales<br />One Reason for Sales Slump<br />The vast majority of salespeople experience sales slumps. The one reason why dry spells occur can be understood with the aid of this chart.<br />Let’s say you start a job in January and spent a lot of time in prospecting, in fact, it took 90% of your time that month. Naturally, there is a time lag between your initial contact with your prospect and the confirmation of a sale. This is called the Sales Cycle, and generally, the higher the price, the longer is the sales cycle.<br />As time goes by, sales increase. Your prospecting activities begin to pay off. You become more and more impressed with yourself. You’re making customers happy, your sales manager is thrilled and your bank account looks better all the time.<br />But as your sales increase, you keep decreasing your sales activities because you think “I don’t need to prospect, I’m making sales?” Months later, you enter a dry spell but you can’t figure it out. The answer is simple, you have stopped prospecting. The prospecting groundwork you laid at the beginning of the year has already paid off, and the well of new business is starting to run dry.<br />Sales slumps can be avoided by continually prospecting. One simple truth to remember in this business is that “if you stop planting, you stop reaping.”<br />
  41. 41. SynergiaBusiness Presentations<br />Joaquin “Duke” G. Wilwayco8301 Ephraim Road, Austin, TX 78717Phone: (512) 799-2999<br />Fax: (512) 671-6377Email:<br />