Before we get into the details of when one should invest in a predictive dialer, let us understand what exactly is meant by a predictive dialer and how it works.
From the point of view of a salesman, a predictive dialer is nothing less than some kind of a superpower. After all, it takes the mundane job of cold calling leads and makes it super exciting and easy! Which sales team would not love to have this great tool on board, right? Now let us understand what makes the predictive dialer so useful and desired.
What is a predictive dialer and how does it work?
A predictive dialer is a very old player in the game of sales and marketing. It is basically an outbound calling system that somewhat automates the process of cold calling prospective clients. It automatically dials from a list of numbers after screening for busy signals, voicemails, disconnected numbers and the sort. Awesome, right?
Another distinguishing feature of a predictive dialer is that it analyses and detects when the sales agent will be available to make the next call and automatically dials the next number for them. They really allow a sales team to put their maximum effort into sales calls by doing mundane and time consuming tasks on their behalf.
A good and properly functioning predictive dialer should produce little to no downtime between calls. It saves a lot of time and ensures maximum agent utilisation by contacting the right number of leads at the right time.
The predictive dialer is most suitable for which businesses?
While the predictive dialer is super fun, easy to use and saves a lot of time, it definitely is not for every business. Different businesses have different needs and requires different kinds of approach to sales. A predictive dialer is most successful when used in telemarketing, debt collection as in banks or venture capitalist firms, market research and for lead generation.
The main aim of using a predictive dialer is to keep the sales team on the phone as much as possible. This being said, it is not apt for selling high value or costly items since these types of products require a different kind of sales approach. Also, those who want to provide their customers with an exceptional customer service should not opt for a predictive dialer either. Let me tell you why. To create a great customer service experience, you need to research about the interests and handle them with a lot of time and care.
Such high profile companies generally aim at an elite clientele. In order to have a productive outcome of a sales call which such clients, one needs to devote ample time and attention and hence a predictive dialer may not prove to be useful.
As for other companies, where mass calling is the key to more sales, there is an ideal time to switch to the predictive dialer. Getting it too early or too late could hamper its utility and harm your sales. So when is the right time to buy a predictive dialer? Let us see.
Which is the right time to get a predictive dialer for your business?
As mentioned earlier, there is a perfect time to invest in a predictive dialer such that it can be utilised to its full potential. Wondering when to invest in one? Here are some tips that will help you decide:
1. When your business is ready to go cold calling, backed up by an efficient sales plan
Having a sales plan that works and leads to a high conversion rate is what good companies are made of. A good sales plan consists of finding prospective customers and connecting with them. When you have successfully established a connection, that is when you pitch to them and close the deal.
The most difficult process in this sales plan is connecting with prospects. Statistics state that for every 20 cold calls that a salesman makes, one lead is generated. Tough odds, right? This is the hard truth. This is what it takes. The more people you talk to, the more leads you generate.
If your business has formulated such a sales plan and is ready to connect with people across the map, then it might be the right time to invest in a predictive dialer. With this type of a sales plan, you will have two primary targets – to talk to as many prospects as you possibly can and to patiently connect with them and give them quality time. Getting a predictive dialer can simplify both these steps for you.
Some may still be confused as to how a dialer can simplify this process. Let me explain a little in depth. A predictive dialer cuts back down time between calls and allows a sales rep to maximise their work time. They can then reach out to more people, make connections with more people and ultimately close deals with more people.
However, a predictive dialer is mostly used for bulk calls. Businesses that are just starting with their sales campaign and have a limited number of sales people on their team do not really have much use for a dialer.
A predictive dialer is not used to help businesses start, but to help them grow.
2. Do not opt for it if you are selling high priced products or services
As useful as they might be, predictive dialers are not meant for high value items. Before you start to doubt my words, let me tell you why.
Most customers do not think twice before buying a useful product for a low price range. However, if you are selling a high end product which pulls out a large amount of money from your customers’ wallet, you need to be more careful with your marketing strategy.
Selling high value items means that you are targeting an elite clientele and not every Tom,Dick and Harry that you come across. Cold calling is not the way to go for these clients. If they are going to pay a huge price for your product, they expect top quality customer service in return. To close the deal with such prospects, you need to spend a fair amount of time studying them and provide them with personalised care and attention. You need to build their trust, slow and steady.
As a company, it would be more beneficial for you to handle your leads slowly and carefully. It will not only give you a higher rate of conversion but also more satisfied customers. You need to make sure that before a prospect buys your product, they know everything about what you have to offer. Any confusion or misunderstanding that arises later will be detrimental to your business.
As is clear from what I have said above, one needs to take their time with leads when it comes to high ticket products or services. Since you are aiming for a specific clientele and not targeting the masses, you do not really need to make mass calls. You agents do not need to be on the phone 24/7; they need to sit tight and do a lot of research. For these reasons, it is not wise to opt for a predictive dialer in case of high end products.
3. When you want to improve the productivity of your sales team
So you have landed yourself a great sales team but they are not racking up insane numbers like you expected. You know they are capable, you know they can sell, you just do not know what is holding them back! Well, I’ve got an explanation for you.
Salesmen have more on their hands than you think. They do not have the time to be on the phone the whole day, where you would ideally like them to be. They need to handle tons of paperwork, manually document sales records, waste time switching from one tool to another and so on. As a result, a lot of valuable call time is wasted.
But don’t worry! If your sales team is facing a similar problem, we have a solution for you. You must now think along the lines of getting a predictive dialer with CRM integration to help your sales team increase their productivity, and ultimately close more deals for you.
For those of you who are not aware, a CRM software integrates all your client data into a single software and automatically records or documents the highlights of a customer call, linking it to the profile of the customer. This is among the many features that the software provides, thus becoming a blessing for salesmen. It releases salesmen from their mundane jobs of creating records and documenting calls by hand, and automates the entire process for them.
When you integrate a predictive dialer with CRM, both of which are beasts in the sales industry, then you allow your sales team to seriously step up their game!
4. When you are ready to face the challenges that come along with a predictive dialer
Businesses using a predictive dialer for making sales calls experience a slight call delay between the customer answering the call and a sales rep joining the call. No big deal, you might think. However, it is a big deal because such time lags are governed by a different set of rules that may vary from region to region.
For example, in Canada, a strict “Do not disturb” policy is followed that prevents dialers from contacting numbers registered under such regulations.
Such rules increase the call abandon rate and renders a predictive dialer useless in some cases, thus increasing your cost incurred in the whole process. Hence, before opting for a predictive dialer, a company must make sure that they are familiar with all such limitations and are capable of efficiently dealing with the same.
By now, you must have got a fair idea as to when you should buy a predictive dialer. These tips or pointers will help you make a better decision which is in the best interest of your company. As much as you would love to have a predictive dialer for your sales team, you must keep in mind that it is not suitable for all businesses.