How many initial contacts do you need to gain one new client?
When asked, the answers of many professionals are often hopelessly optimistic. And they wonder why their Business Development efforts aren’t amounting to much. The fact is that moving prospects in our target markets from initial contact to converted client is usually a lengthy process with several stages, where at any point, we can be screened out: hence, the analogy for the process as a pipeline. In most professional environments, this attrition means that initial contact numbers usually have to be significantly higher than a few (dozen).
Here are three things to address the “pipeline peril” and make it a safer, more productive bet.
Keep your tap on It isn’t just the length of the pipeline that is important; it is the speed of migration down it. It can take YEARS for some business contacts to result in a trading relationship. The long game approach required to be successful at this sits ill with the short-term, ‘fees, fees, and fees’ focus of many professional lives.
“We are very busy so no-one’s doing any selling at the moment”
Turn off the tap that keeps your contacts flowing and you risk future famine. This requires a contact strategy to maintain profile with potential clients. Do you or your professionals have one?
Count, plan and monitor How many business development professionals know the number of contacts they have in their pipeline and at which stage they are at with any conviction? In our experience, these experts are few and far between. Because they don’t recognise the dynamics of the pipeline or perhaps take it seriously, they cannot begin to control its flows. Assessing where you are is the first step to deciding what should be done (plan) and doing it (see below), plus then monitoring to ensure that sufficient new client work is being delivered at the other end.
You cannot be serious! …and sure enough, too many of us are not when it comes to planning and doing it. Do we schedule time for business development activity as carefully and in as much detail as the professional work that is done? Most professionals’ Outlook diaries are full of transactional actions and deadlines. But BD ones??!
James Newberry runs People Scope, a consultancy, training and coaching firm working with lawyers, accountants and other technical specialists to help them operate successfully outside of their comfort zones. http://www.peoplescope.com.