So, do I think phone sales are the real deal? Is this a legit way to make money? In short, yes. And to be clear, I also think that phone sales are great if you’re trying to get your entrepreneurial toes wet. For a lot of first time entrepreneurs, they try to make the leap into a business model with no knowledge and quickly fail. But with phone sales, there’s less of a risk. But before we get too ahead of ourselves here, let’s look at all of the facts.
While there are positives to phone sales, there are still some negatives as well. For instance, you may be looking to leave your 9-5 and become entrepreneur because you want to make your own schedule and say goodbye to your boss. And while there are some freedoms to phone sales and a bit more flexibility than a 9-5, it’s still pretty similar. How? Well, phone sales require getting on the phones and calling people. So, if you’re not actively making phone calls you can’t make money. This type of business doesn’t generate passive income.
Furthermore, you still are reporting to someone. They might not be your boss in the traditional sense, but whoever you’re selling for is going to have the final say. And just like any regular boss, you might not like them. It can be very difficult to find a client you actually like to sell for.
Then on top of that you have to hope their course is actually good, because it can be an uphill battle to solve programs with a bad reputation. Nobody wants to spend $5-$10k on a course that is a flop. You want to find someone who you don’t mind working with, has a course you don’t feel guilty about selling, sends you plenty of warm leads, and gives you a decent percentage of each sale.
Another negative that is worth noting is that a lot of courses come and go like any other trend. And there is a multitude of reasons for this. Whether the course owner decides to sell their program and retire to a beach home in Costa Rica or they lose their market to a competitor that does things better than them. Either way, if you lose your client then you’re back to square one trying to find someone else to work with.
I have also noticed that Cole really hypes up the numbers. Whether he is inflating the percentage of sales you should close or how many calls you’ll probably have each day, he doesn’t talk about the reality of sales. In phone sales, there’s a good chance the potential customer will never even show for your call. So yeah, maybe you do get a lot of calls like he says, but some will never show up, some people won’t have the money to buy, and others are too scared to commit. Those are some truths he fails to mention when running the numbers.
Don’t get me wrong, you’ll close some sales…but there are many factors that go into the process. Like in my last example: refunds. Cole doesn’t mention these, but inevitably you’re going to get the unhappy customer that wants their money back. Then what?