Phase 2: The Calling Portion of the Trial
What Is a Pilot Program?
A pilot program, or (trial,) is when we get on the phones and start prospecting for you. During the
pilot, which can take anywhere from four to twelve weeks (where we call at a rate of 20-30 hours per week,) we implement the telemarketing program that we designed in the Telemarketing Plan.
The first thing to keep in mind is that trials are not "practice sessions." The pilot program, that is, our efforts in Phase 2, are designed to generate real business for you, to find real prospects who are, hopefully, going to close. The goals of a trial, therefore, include making money for you. But more than anything else, the trial is designed to prove whether or not telemarketing is going to work, and be economical, so that you will want us to do more of it for your business.
Why Do We Also Call It a "Trial?"
As you probably already know, marketing is a risky business. You can spend thousands of dollars on an advertising campaign (and we all know lots of people who have done it,) without having any idea that it will pay off (and then, of course, it often doesn't.) We all know people who have spent tens of thousands of dollars on sales reps without knowing whether they'll perform, or on printing brochures for a direct mail program without knowing whether they'll get a profitable response rate. We all know about SEO programs that failed. And we even know companies who have committed thousands of dollars for telemarketing programs without testing; they trash their market, and then can't get their reputation back.
At JV/M, we can't guarantee your success, so we test everything we do so that we can minimize your costs and risks, and maximize your chances of success. To do that, we use classic, proven sales techniques. And we design a pilot program that is controlled and monitored so that if things aren't working, we can fix them before they get out of hand. For example, we look at the results, the objections, the responses and the feedback from the market, and we use that to improve the appointment rate. We plan what the telemarketer is going to say, and how he or she is presenting your products. And we debrief frequently to learn what the prospects are saying, or not saying, to make sure we find the need, and the "soft underbelly" in the market. If we're lucky, we get lots of good appointments without having to change a thing. But we don't count on luck, we create it by conducting a trial.
(By the way, you'll find that we don't listen in on calls, as it simply isn't helpful in B2B telemarketing. First, the contact rates are so low that you'd sometimes have to listen for several hours before you'd hear a substantive call. Also, would you even know what to listen for? Most people wouldn't, or they'd be doing this in-house. Instead, we use a formal debriefing process that lets us correct things much faster, and better.)
What Can Go Wrong?
Without sounding negative, the fact is that there are many things that we have to consider when we try to grow your business, because they all have to mesh in order for you to be succeessful. And if we approach the problem with overconfidence in our Telemarketing Plan, or hold a pre-conceived -- but wrong -- notion about what will work, we are doomed to failure. So we measure results as they come in, usually on a daily basis; and we adjust the campaign to maximize the quality and quantity of leads that are produced.
In at least half of the cases, something in the program has to change from what we thought when we wrote the Telemarketing Plan. It may be some script element, or the telemarketer, or the target job title, or the attention-getting initial benefit statement, or the qualifying questions, or the way we articulate your value proposition, or even the segment we're going after. Most things are okay, but if that one thing isn't fixed, the whole campaign can fail.
First, We Look For A Non-Zero Response Rate
So while it may sound trivial, the first thing we do is try to get you your first appointment. It's not usually projectable, but a non-zero response rate tells you that we're probably somewhere near the target. If we can't get anything, we may have to go back to the drawing board. Is there no market for the product? Is there no need? Is telemarketing unable to connect with a decision-maker, or pursuade him or her to consider you as a potential vendor? If we get a non-zero response rate, hopefully in the first 10-20 hours, we know we haven't completely failed.
Then We Look For The "Pace"
Assuming that we get a non-zero response rate, of course, we always want more leads and appointments. So, just as seconding a nomination is as important as the nomination itself, we then look for the second and third -- and more -- appointments, while all along we're modifying the script elements, teasing the data base, and working the communcations issues. Hopefully, at some point, we get a sense of the pace: how many hours (or dials or contacts,) per appointment are we taking.
In some case, one appointment every four hours is good, in other cases one appointment every hour is good. In other cases it might take ten hours of calling to get a good lead. Whether it's cost-effective for you depends on your close rate and your margin, so there is no rule of thumb (which is why the success criteria is discussed in the Telemarketing Plan.) But the trial will reveal, at some point, whether we're able to generate appointments for you, how much on average they're going to cost, and how much you're going to make.
We Also Look At The Quality
As important as the number of appointments is, the quality of the appointments is equally important. If we get you a hundred appointments, but you can't close them or make any money on them, what good have we done? On the other hand, if we get you one appointment, and it closes for a $100K net profit, do you really care that we only got one? Maybe, maybe not. But success is a function of both quantity and quality, and we are driven to maximize both.
Ultimately, What Matters Is Your Profitability
The trial usually ends with both of us knowing whether it worked or not, and whether it's worth continuing to work together. We can provide the service and the leads, and if you can close them and make a good profit, we hold you'll conclude that JV/M should be part of your ongoing marketing mix. The trial is all about proving it in with a minimum of cost and risk by both of us.
In Summary
Trials usually last from fifty to 250 hours, and cost $25-$40 per hour. As a rule, we don't make any money on trials any more than we do writing Telemarketing Plans, so we try to keep them as short as possible. The goal is to figure out whether outsourced business-to-business telemarketing can be profitable for your business as quickly as possible, and convince you that we're the ones to do it.
This is because what we're really looking for is a long term relationship. We understand how hard it is to find a good opportunity these days, and that you have many options for partners. But we believe that we have good people, and an excellent process. If we can help you grow your business, that's a win-win.