#94- Starting outbound sales
A simple, actionable playbook for B2B SaaS founders
A while ago, I came across this post from Jen Abel, co-founder of Jjellyfish.
And while it resonated, a couple of founders had a pertinent question - how?
I’ve been told, the moment you have the same conversation more than twice, it is always good practice to write it down because what is a question for two can be the question for two hundred. So, let’s dive into the playbook.
Outbound Sales
Founders, one of the critical aspects of building a successful B2B software firm is establishing a robust outbound sales strategy from the very beginning. Outbound sales involve actively reaching out to potential customers who might not have heard about your product or service yet. It may take a bit longer to close outbound leads, but the benefits are immense. By initiating the conversation, you gain control over whom you engage and serve, resulting in bigger deal sizes, enhanced sales activity control, and increased precision in targeting your ideal customers.
Let me share a real-life example of how implementing outbound sales early on led to significant growth for a startup we invested in. The company identified its ideal customer profile as medium-to-large-sized people-heavy businesses struggling to recruit entry-level talent efficiently. Instead of waiting for inbound leads, they proactively reached out to these businesses through personalized emails and follow-up calls. While it took some time to establish relationships and build trust, the outcomes were exceptional. A year after they raised capital, their outbound sales efforts resulted in securing deals with 10+ Fortune 2000 companies and revenue growth of 400%.
To supercharge your outbound sales, try leveraging the power of video in your outreach. Record short personalized video messages introducing yourself and your company to potential customers. Studies have shown that video emails receive higher response rates than traditional text-based ones. It adds a human touch and demonstrates your authenticity, setting you apart from competitors. Tools like Loom or Vidyard can help you easily create and embed videos into your emails.
Building an outbound sales engine from the outset provides you with a competitive advantage. It allows you to be proactive in pursuing your target audience and takes you one step closer to your potential customers. By selecting who you engage and serve, you can focus on high-quality leads, leading to increased deal sizes and revenue. Don't wait for inbound leads to trickle in; start your outbound engine now and set your B2B software firm on a path to accelerated growth and success.
Identifying Your Ideal Customer Profile (ICP)
As founders, identifying your Ideal Customer Profile (ICP) is crucial for successful outbound sales. Your ICP represents the specific group of customers who are the best fit for your product or service, and targeting them will yield the highest chance of conversion and customer satisfaction.
Let's say your B2B software firm offers project management software tailored for small to medium-sized businesses in the technology sector. Instead of casting a wide net and reaching out to any business, we would define your ICP as tech startups with 50-200 employees, seeking a cost-effective solution to streamline project workflows and enhance collaboration. By focusing on this specific segment, we can tailor outreach messages and value propositions to directly address their pain points and needs.
One effective way to identify your ICP is to analyze your existing customer base. Look for patterns and common characteristics among your most satisfied and profitable clients. Consider factors like industry, company size, location, pain points, and use cases. This analysis will help you pinpoint your ideal targets and enable you to allocate your resources more efficiently.
Defining your ICP brings numerous benefits for founders. Firstly, it streamlines your outbound efforts, allowing you to invest time and resources into the prospects most likely to convert. This leads to higher conversion rates and shorter sales cycles. Secondly, understanding your ICP helps you craft personalized and compelling outreach messages that resonate with your audience, fostering a stronger connection with potential customers. Ultimately, honing in on your ICP leads to increased customer satisfaction, better word-of-mouth referrals, and accelerated business growth.
Building a High-Quality Prospect List
A high-quality prospect list is the foundation of a successful outbound sales campaign. It involves identifying and compiling a targeted list of potential customers who match your ideal customer profile (ICP). This ensures that your outreach efforts are focused on the right prospects, increasing the chances of generating meaningful leads and closing deals.
Building a high-quality prospect list begins with defining your ICP based on criteria like industry, company, revenue, location, etc. Let's say you run a B2B software firm that offers project management tools primarily to tech startups and small-to-medium-sized businesses. Your ICP might include companies with 50-200 employees in the technology sector, located in specific cities where tech startups thrive.
Next, leverage online tools and platforms like LinkedIn Sales Navigator or Clodura.ai* to source potential leads that match your ICP. For instance, you could search for tech startups in your target cities, filter by employee count, and identify companies within your defined size range.
To further enhance your prospect list, consider using customer referrals. Reach out to your existing satisfied customers and ask if they know any other businesses that could benefit from your software. Incentivize referrals with special offers or discounts to encourage participation.
Building a high-quality prospect list not only saves time and resources but also ensures that your outbound efforts are directed at the right audience, increasing the likelihood of conversion. By focusing on specific industries, locations, and company sizes, you maximize the relevance of your outreach, leading to more meaningful conversations and potential long-term partnerships. Additionally, leveraging customer referrals can help you tap into untapped networks, expanding your reach and credibility within the target market.
Remember, the quality of your prospect list is crucial in outbound sales, as it directly impacts your engagement rates and deal closures. Invest time in refining and updating your list regularly to stay relevant and maintain a competitive edge in the market.
Crafting Compelling Outreach Messages
Crafting compelling outreach messages is a critical aspect of successful outbound sales. These messages must be personalized, attention-grabbing, and relevant to the recipient's needs to increase the chances of getting a response and initiating a conversation.
Let's take an example of a B2B software firm that provides project management solutions to small businesses. Instead of sending a generic email like, "Hello, we offer project management software for businesses like yours," I would craft a more compelling outreach message tailored to the recipient's pain points.
For instance:
Subject Line: "Struggling to Manage Projects Efficiently? Our Solution Can Help!"
Hi [Prospect's Name],
I noticed that you're running a growing business managing multiple projects.
I'd love to offer you a 14-day free trial of our project management software to see firsthand how our solution can benefit your team.
At [Your Company], we've developed a user-friendly tool specifically designed for small businesses like yours. Our platform streamlines task assignments enhances collaboration and provides insightful analytics to boost productivity and deliver projects on time.
Are you available for a quick 10-minute call tomorrow?
[Your Name]
[Your Company]
A way to stand out in your outreach is to include a personalized video message in your email. Instead of a regular text-based email, record a short video addressing the prospect by name and addressing their pain points directly. This approach adds a human touch and demonstrates your genuine interest in their business, increasing the likelihood of engagement.
By crafting compelling outreach messages, founders can make a strong first impression on potential customers and differentiate themselves from competitors. Personalized and relevant messages show that you've done your research and understand the prospect's needs, earning their trust and respect. The growth hack of including a personalized video adds an extra layer of authenticity, making the outreach more memorable and increasing response rates.
Implementing Multi-Channel Outreach Strategies
As a founder, one of the most powerful ways to increase your chances of engaging potential customers is by implementing multi-channel outreach strategies. Instead of relying solely on one communication channel, such as email or cold calling, diversifying your approach allows you to reach prospects through various touchpoints, increasing visibility and response rates.
Let's say you've identified a target prospect from your ideal customer profile. Instead of sending a single cold email and waiting for a response, employ a multi-channel approach:
Day 1: Start with an email introducing your product's value proposition
Day 2: Like or comment on their LinkedIn posts
Day 3: Follow up with a personalized LinkedIn connection request, referencing the email you sent earlier
Day 4: Engage with their posts or articles to establish familiarity
Day 5: Make a warm call, acknowledging your previous interactions, and offering to address any questions they may have
By utilizing this multi-channel sequence, you're more likely to capture their attention and demonstrate your commitment to building a meaningful connection.
Incorporate video messages into your outreach sequence. Record short, personalized videos where you address the prospect by name and briefly introduce yourself and your product. Videos add a human touch to your outreach and can make a significant impact on engagement rates. Use free video outreach tools like Loom or Vidyard to easily create and share personalized videos within your emails or social media messages.
By implementing a multi-channel outreach strategy with personalized video messages, you can break through the noise and stand out to potential customers. This approach not only increases your chances of getting a response but also helps build rapport and trust early on. Moreover, you'll gain valuable insights into which channels and messaging resonate most with your prospects, allowing you to refine your outreach strategy over time for even better results. Remember, combining persistence, creativity, and personalization will set your outbound sales efforts apart and lead to more meaningful conversations and ultimately, more closed deals.
Leveraging Sales Tools and Automation
As a founder, incorporating sales tools and automation into your outbound sales process can significantly boost efficiency and productivity. These tools help you manage leads, track interactions, and streamline repetitive tasks, allowing you to focus more on building meaningful relationships with prospects.
Let me share a practical example of how sales automation can save you time and effort. Consider using a CRM system like Salesforce or HubSpot. With these platforms, you can import your prospect list, set reminders for follow-ups, and track your team's activities. When a prospect interacts with your outreach, the system automatically logs the details, making it easy to maintain a centralized database. This way, you never miss a beat, and you can nurture leads systematically through personalized, timely interactions.
Then integrate your CRM with an outreach tool like Clodura.ai*. This integration allows you to create personalized email sequences and automate follow-ups. But here's the hack: Instead of relying solely on email, combine it with personalized video messages. Record short, authentic videos addressing your prospects by name, addressing their pain points, and showcasing your product's value. Studies have shown that personalized videos can significantly increase response rates and engagement.
By leveraging sales tools and automation effectively, you not only save time but also gain valuable insights into your prospect's engagement. You can track..
email opens
link clicks
video views
..thereby giving you a better understanding of your prospects' interests and engagement levels. This data empowers you to tailor your follow-ups more effectively, providing added value to your prospects and increasing the chances of conversion.
Remember, sales tools and automation are meant to enhance your outreach efforts, not replace genuine human connection. Always aim to strike the right balance between automation and personalization, so you build meaningful relationships with your prospects and drive successful outbound sales outcomes.
Overcoming Objections and Rejections
In outbound sales, objections and rejections are common hurdles that can derail your progress. However, they also present valuable opportunities for understanding your prospects' concerns and addressing them effectively. By learning how to handle objections gracefully and turn rejections into opportunities, you can build stronger relationships with potential customers and increase your chances of closing deals.
Let's say you're reaching out to a prospect who expresses concerns about the cost of your software solution. Instead of becoming defensive, I recommend acknowledging their concern and highlighting the unique value your product offers. Share a success story or case study that showcases how your solution helped another client achieve significant cost savings and increased efficiency. By demonstrating tangible results, you can ease their doubts and instil confidence in your offering.
One powerful way to overcome objections is the "Feel-Felt-Found" technique. When a prospect raises an objection, respond with empathy by saying, "I understand how you feel. Many of our clients felt the same way initially." Next, share a success story or testimonial about a client who had similar concerns but eventually found tremendous value in your solution. This technique helps prospects realize they are not alone in their hesitations and builds trust by showing how others benefited from your product.
Handling objections effectively is a skill that can significantly impact your outbound sales success. During the workshop, I will conduct role-playing exercises where founders can practice using the "Feel-Felt-Found" technique and other objection-handling strategies. These hands-on activities will empower founders to confidently navigate objections in real-world scenarios, boosting their overall sales performance. Remember, objections are not roadblocks but stepping stones toward understanding your customers better and closing more deals. Embrace them, and you'll transform objections into opportunities for growth!
Setting up Sales Metrics and KPIs
You can not improve outcomes if you do not measure them. Any sales outbound effort requires setting up clear and measurable metrics. These metrics can act as a barometer to understand your outbound performance, identify gaps and make decisions to improve the metrics. This helps you set your path towards success.
Suppose you have just launched your outbound sales campaign, and your team is reaching out to prospects through cold emails and calls. One of your primary KPIs could be the "response rate," which measures the percentage of prospects who reply to your initial outreach. To calculate this, divide the number of responses received by the total number of outbound messages sent and multiply by 100.
For instance, if your team sent out 100 cold emails, and 15 prospects responded, your response rate would be 15%. Monitoring this metric over time will help you assess the effectiveness of your messaging and identify areas for improvement.
One way to boost your response rate is to incorporate personalized video messages in your outreach. Instead of a regular cold email, use tools like Vidyard or Loom to send short personalized videos to prospects. People respond more positively to face-to-face communication, even if it's through a video, as it adds a human touch to your outreach. In the video, address the prospect by name, mention their company, and highlight how your product or service can address their specific pain points. This creative approach can significantly increase your response rates and build rapport with potential customers.
By setting up sales metrics and KPIs, you gain a clear understanding of your outbound sales performance, allowing you to identify what strategies work best and where you need to adjust your approach. This empowers you to make informed decisions to optimize your sales process continually. The growth hack of using personalized video messages adds a unique touch to your outreach, increasing the likelihood of engaging prospects and securing meetings. Remember, data-driven decision-making combined with innovative approaches can elevate your outbound sales game, helping you achieve better results and drive substantial growth for your B2B software firm. So, start measuring your progress, experimenting with new strategies, and embracing the power of personalized communication to excel in your outbound sales journey.
Training Your Outbound Sales Team
Training your team is non-negotiable. At the early stage, most sales are founder-led. And that means once you understand how your outbound engine works, your number 1 task should be to train your team to conduct repetitive, manual tasks of outbound themselves before handing over primed-up leads to you.
Look for individuals who possess excellent communication skills, resilience, and a customer-centric mindset. Once you have the right team members onboard, create a comprehensive sales playbook that outlines your sales process, best practices, and strategies for handling objections.
Implement a "buddy system" during training. Pair new sales representatives with experienced team members to learn through observation and hands-on experience. This fosters a collaborative environment and accelerates the learning process. Additionally, organize regular team huddles to share success stories, exchange tips, and address challenges collectively, promoting continuous improvement.
By investing time and effort into training your outbound sales team, you empower them to become confident and skilled sales professionals. A well-trained team will be better equipped to handle various sales scenarios, resulting in increased conversion rates and faster deal closures. Moreover, a cohesive and knowledgeable team will contribute to a positive and motivated work culture, leading to long-term growth and customer satisfaction.
Remember, a strong outbound sales team can become a competitive advantage for your B2B software firm, allowing you to scale efficiently and sustainably in today's competitive market. So, take the time to nurture and develop your team's capabilities to unleash their full potential and drive significant business growth.
Establishing a robust outbound sales strategy is crucial for B2B software firms. Proactively reaching out to potential customers yields immense benefits. To supercharge outbound sales, leverage video in your outreach and craft compelling, personalized messages. Implement multi-channel strategies, embrace sales tools and automation, and master objection handling. Setting clear metrics and KPIs helps measure performance and improve results. Train your team to become confident and skilled sales professionals, enabling accelerated growth and success. Excel in outbound sales, unleash your potential, and conquer new heights! Do share your thoughts on this below.
Disclosure: My firm has an investment in Clodura.ai
Creating a personalized video for each prospect might significantly increase the workload and efforts. Additionally, it could be perceived as intrusive by the majority, which might hinder our overall approach. However still worth giving a try!