Contemporary Selling, 5e
Chapter 6
Chapter 6 Outline: Prospecting and Sales Call Planning
Value-Added Information in Chapter 6
• Global Connection – “Four Classic Categories of Prospects”
• Exhibits
o Exhibit 6.1 – “From Leads to Customers”
o Exhibit 6.2 – “Sources of Prospects”
o Exhibit 6.3 – “Sample Items to Research before the Sales Call”
I. Prospecting: Customers Don’t Start Out as Customers
II. Sources of Prospects
A. Loyal Customers
C. Networking
1. Friends and Relatives
2. Centers of Influence
D. Directories
E. Internet
F. Telemarketing
G. Written Correspondence
H. Trade Shows
III. Set a Systematic Prospecting Plan
A. Make the Best Use of CRM in Prospecting
B. Resist Call Reluctance
IV. Planning the Sales Call: The Preapproach
A. Establish Goals for the Initial Sales Call
1. Type of Presentation
2. Grooming and Attire
D. Determine Your Approach
E. Prepare a Sales Proposal
VIII. Role Play
Role Play
In this role play, Bonnie Cairns prepares to open her first new account. Veteran salesperson Abe
Rollins has been assigned to help Bonnie prepare for making the initial sales call on Budget
Hints for the Instructor:
• Students should focus on fleshing out the elements of the preapproach for the upcoming
call on BBB, including:
o Establish specific goals for the initial sales call—especially make sure they are
specific, measurable, and reasonably attainable.
o List sources of information to learn as much as possible about José and BBB.
o Make plans to portray the right image:
Discussion Questions
1. Someone says: “Our firm focuses on maintaining long-term relationships with our
customers. We don’t have to do any prospecting.” Evaluate this statement.
This statement is not correct. Although developing long-term relationships with customers goes a
In addition, several circumstances may make prospecting a higher priority:
• A customer could get into financial difficulty or go out of business entirely. If a
firm has developed a long-term vendor relationship with a firm that is in financial
trouble, such as the downfall of telecommunications firms like WorldCom, then
the seller is also in trouble.
This may result in a change in the relationship.
• A firm needs to increase revenues to pay for expansion or other items. In such
cases, the compensation and rewards system of the firm may be altered so that
salespeople are paid more for prospecting and securing new customers than for
developing and maintaining existing ones.
2. List three or four criteria you could use to qualify a lead as a likely prospect. How
would you find out if the lead meets these criteria?
• Does the potential prospect appear to have a need for your product or service? A
salesperson should research the customer by using the Internet and by talking to
employees or noncompeting clients in order to understand the business and needs
of the potential customer.
• Can you effectively contact and carry on communication/correspondence with the
potential prospect? A salesperson should determine the potential customer’s
geographic location, the salesperson’s ability to get an appointment with the
customer, and what type of contact is needed to develop the relationship.
3. What are some reasons a potential prospect might not be readily accessible? How far
should you go to try to overcome such an accessibility problem before you move to
the next lead?
The prospect may be in a geographic location that is difficult for the salesperson to gain access to,
or the salesperson may have difficulty getting an appointment with the prospect. The salesperson
4. Pick any three of the sources of prospects discussed in the chapter and pick a product
or service you like. Develop several ideas for how you would use each source to
locate leads for the product or service you are interested in selling.
Students should choose three of the eleven sources of prospects listed below. Below are some
examples of ideas for the sources used to locate leads for a firm that offers pest control services
to both businesses and individuals (student answers will vary):
• Networking – The salesperson should first use its contacts with friends and relatives for
prospects. The salesperson should also approach a “center of influence” such as a
customer’s business or facilities manager who could champion the purchase of the
salesperson’s pest control services. For B2C selling, the firm should talk with
neighborhood groups about pest control services and offer a discount through the group
or association. For B2C selling, the firm should join an association of business
organizations such as Rotary International or the Chamber of Commerce.
• Telemarketing – The firm should make (or hire a telemarketing company to make)
appropriate outbound phone calls to locate prospects.
• Written correspondence – The firm should hand out flyers in neighborhoods offering its
pest control services.
• Cold calls – The salesperson should telephone or go to see potential prospects in person
by walking through a neighborhood or business park with service information.
• Prospecting by others in your firm – The salespeople should encourage others in the firm
5. Who is currently in your own network that you could use for prospecting? How might
you add to your network?
Your network would typically include friends, relatives, and co-workers. You can work outward
from this core group by using these contacts to meet other prospects. You can also add to this
6. Why do you think a salesperson might experience call reluctance? How can it be
overcome?
A salesperson might experience call reluctance because of a lack of confidence in his or her
ability to perform the task. Much of the solution to call reluctance lies in effective training and
support by management. Sales managers can help tremendously by employing the following
approaches:
• Set realistic and attainable goals for the salesperson to work on.
• Train salespeople to view prospecting as a numbers game. In order to have a continuous
pipeline of customers, a salesperson must continuously seek out new prospects.
7. The chapter provides sample goals for an initial sales call on a prospect. (a) What
other goals can you come up with that might be appropriate for an initial sales call?
(Try for three or four more.) (b) Develop three or four goals that would be
appropriate for a sales call on an established customer.
Initial sales call goals
• To have the prospect agree to purchase the product.
Established customer goals
• To have the customer provide the salesperson with the names of three or four other
potential customers.
• To have the customer refer others to purchase the product.
8. Why are grooming and attire so important in relationship selling? How do you know
if you are dressed appropriately for a customer?
Grooming and attire are important in relationship selling because they affect the salesperson’s
Following are guidelines to know if a salesperson is dressed appropriately for a customer:
• If the client suggests dressing in business casual, the salesperson should do so.
• When in doubt, the salesperson should dress up to business attire.
Global Connection – Four Classic Categories of Prospects
Answers to Questions
1. Why is it useful for salespeople to categorize prospects? How does it help them do a
better job of selling? Are there any downsides to categorization?
The primary reason for categorizing prospects is to properly allocate resources and effort.
Prospects with a higher potential for success (as defined by specific criteria such as size of
2. Think of people you know that you believe might fall under the various categories of
buyer behavioral types. Provide evidence as to why you categorize each person as you do.
Ethical Dilemma – Teaching Notes
Teaching Notes
Unlike the other ethical dilemmas in the book, this one deals with a real situation, the creation of
the national Do Not Call Registry and its effect on telemarketing (and lead generation). While
telemarketers. They argue, as noted in the dilemma, that calling people to solicit and prospect is
a legal and effective (although not always efficient) method of generating leads.
who seek to identify potential new customers.
A second issue is a broader question about the nature of generating leads. The chapter discusses
a number of sources that are used to identify new customers. A good debate can be started
talking about just how far salespeople should be allowed to go. For example, should salespeople
be allowed to pressure customers for leads? Or, put another way, what are the parameters for
seeking and identifying new customers?
This is one dilemma where most students will probably support the Do Not Call Registry and
limit telemarketers. As a result, stimulating the discussion by providing an alternative
Answers to Questions
1. Should marketers be prohibited from using the telephone to solicit prospective customer?
Why or why not?
As of this writing, with the exceptions noted in the dilemma, marketers are prohibited from using
the telephone to solicit prospective customers; that is the law and people who use the phone are
subject to fines. The exceptions are:
Under the proviso that a company is conducting business in a legal and ethical manner, a
marketing company is engaged in free speech and commerce by using all available means to
2. Is there a cultural aspect to this issue? That is, is telemarketing more acceptable in some
cultures than others?
This is an interesting issue. Telemarketing is increasingly under pressure globally as laws are
3. If you worked for a company that used telemarketing to help generate new prospects,
how would you feel about losing this source of customers?
Of course, most people who worked for a company that used telemarketing to generate leads
would have a problem with limiting access to potential new customers. They would cite the
Mini-Case 6 – Strong Point Financial Services
This case asks students to consider the various means of prospecting and to evaluate their
potential effectiveness for Rafael as he begins his career with Strong Point Financial Services.
Answers to questions for this case are included in the “Sources of Prospects” and “Set a
Systematic Prospecting Plan” sections of the text. Students should be encouraged to evaluate
activity that allows the sales representative to build a database of potential customers will pay
dividends in the end.
Answers to Questions
1. Rafael has decided to use cold calls, directories, and trade shows as his initial methods of
prospecting. The cold calls are the result of Rafael “knocking on doors” while the directories will
come from his use of the chamber of commerce lists of individual business owners and the trade
shows will come from him setting up a booth at the local home show. In addition, John has
2. Other sources of prospects that Rafael should try to continue developing his database of
potential customers include loyal customers, endless chain referrals, civic and professional
groups, written correspondence, and social networking websites. As Rafael begins to win
groups would be a good method for Rafael to use. He could implement this method of
prospecting by joining the local Rotary club or Kiwanis organization. Such organizations have
other individuals as members that may be a valuable source of leads. Finally, Rafael may want to
3. For Rafael to get the most out of his prospecting efforts, he should follow the advice
provided in the “Set a Systematic Prospecting Plan” section of the chapter. The advice provided
includes: (a) setting daily, weekly, and/or monthly goals for the number of prospects identified
that are specific, measurable, and attainable, (b) studying and practicing the various methods of
prospecting so that he knows which approach will work in different situations, (c) keeping good
