Most people tell us that Cold Calling doesn’t work. In fact it’s always the gateway to a lot of business.
The usual start, at least for a professional services business, is when people go self-employed and take a couple of clients with them. This work doesn’t fill the week, they get worried about paying the bills, and make a few calls. Surprise! some people are interested and buy something.
The next wave of expansion is usally fuelled by referrals – some of which come from that original cold call.
Still don’t believe me? well, let’s try a worked example!
Fred, Chartered Accountant, decides to go it alone. One quiet Friday, he makes a few cold calls and closes a deal – an audit worth £5,000.
The client is really pleased and sends others to Fred – he gets one new client a year, at £5,000 each.
Over 5 years, Fred earns a total of £75,000 from Audits alone (£25,000 from customer one, £20,000 from number two, £15,000 from number 3 etc…)
More comes, of course, as Fred is really good.
Three of them are worried about their tax position, they call Fred, who can fix their problem for £5000 – so another £15,000.
In year 5, Fred is retained for an MBO by a happy client – the fees come to £30,000.
Overall, Fred has billed £120,000 in five years, which all started from one afternoon of calling.