Cold Call Ratios Starting Out
Hey Everyone, I've seen conflicting information regarding ratios for people at different stages in their careers so I figured I throw my situation out there and get some more accurate feedback.
Currently an FAA at MSSB starting production in November and I just want to know what kind of ratios I can expect out of the gate. Say I make 300 dials per day. How many contacts could I expect (business or residential)? Of this, how many will be qualified? And of this, how many can I expect to set appointments with? I realize a lot of this depends on my approach on the phone but I'm just looking for ballpark estimates for now. Thanks.
It depends upon how hard you qualify your potential prospects. I tend to qualify my prospects hard as I believe the more information they are willing to share with you on the intial phone call the more likely they will become a client. My call to prospect ratio is usually about 400-20 or 25 +/- 5, to clarify for every 400 cold dials I make I should expect somewhere between 20 - 25 good prospects from my efforts. The +/- 5 means my average can vary by +/- 5 propsects on any given day. On a bad day for 400 dials I may only get 15 prospects on a good day I may get 30 prospects for my 400 dials. That is why it is important for you not to focus on any given day but to focus on your weekly or monthly numbers because it will all average out.
It is important for your first few years to keep meticulous records of your activity. dials, connects, prospects, 2nd calls, 3rd calls, etc. and calls to close are all important metrics to keep. I know it sounds like alot of work and it is but it is worth it so you can keep your focus when you are having a bad day, week or month. Just focus on making the calls.
Some rules to help you.
1) Smile, people like to buy from happy people
2) In the beginning, focus on dials and have a short engaging script that grabs their attention.
3) Always qualify for money (minimum when starting out should be $50,000, to open an account do not go below 25k.
4) stay with less than 3 products as an account opener. Have a Bond(preferably a muni), a preferred stock of a local company that your prospects know, and a conservative equity idea for dividends of a highly recognized company. know your script inside and out. Ask for large orders, get their commitment. "Mr. Jones, If $ 50,000 is too much for you what amount would you feel comfortable investing in XYZ utility co. preferred yielding 7%? If he says, $15,000, you say this. Mr. Jones, unfortunately $15,000 is below my minimum account size although I would like for us to start a business relationship, my minimum account size to start a relationship is $25,000 this will yield you $ 1750/year in dividends or $ 437.50 per/qtr. Would you prefer the dividends be reinvested or would you prefer the divs in cash? If he says "cash". (move right to the close) Mr. jones in order to begin this relationship I will need some information from you. what is the full spwlling of your name?, what is your ss#, what is your DOB, etc. until you have all your information you need to open the account. Boom! you have a new account. Easy!
5) Followup, More sales are lost by not following up. If you place the trade, get the confirm out immediately, do not wait for your firm. call them to make sure they are sending the money in. when money arrives, send a thank you note out immediately.
6) Smile, people like to buy from happy sales people!