Prospecting 101: How to Perform Prospect Research

By Sofia Arriola | Updated: 15 Aug, 2024

Imagine you're at a party, and you're trying to meet new people. You want to find interesting conversations and make connections that could turn into friendships or even future opportunities. That's a bit like prospecting in sales.  

Sounds fun? The issue arises when you’re under pressure to meet sales or fundraising targets and juggling hundreds of admin tasks, calls, and events. Suddenly, prospect research slips down your priority list, and you’re left without enough hours in the week to get it done. 

Instead of struggling to find time in your already packed workweek, outsourcing prospect research to a trained sales VA makes a ton of sense. Prialto managed VAs often help members with their prospecting, either for sales or non-profits, so we’ve developed a slew of internal resources and tested our favorite tools.  

Ahead, we’ll share everything we’ve learned about efficient prospecting through our years of experience.

Table of Contents

  1. What is prospecting?
  2. How to do prospect research 
  3. Our favorite sales prospecting tools
  4. Outsourcing your prospect research 
  5. Prospect research with Prialto

What is prospecting? 

Sales prospecting is the process of identifying potential customers for your business. 

Most sales prospecting involves researching, reaching out, and starting conversations with these potential customers. Successful prospecting involves finding and engaging the right people who could benefit from your product or service. At its core, prospecting is the science of reaching out to the right people, at the right time, with the right message. 

Prospecting can happen in many ways. Depending on your business model, you may prospect potential customers through:  

  • Emails 
  • Phone calls 
  • Social media platforms like LinkedIn  
  • Networking events  
  • Partner organizations 
  • Etc. 

The goal is to build a relationship, understand their needs, and see if there's a good fit between what they need and what you offer. The problem is the time it takes to do effective prospecting. This is where the right tools, resources, and strategies will help. 

How to do prospect research 

Want to find the best leads quickly and efficiently? Your approach to prospect research needs to be methodical and strategic. Follow these simple steps to master the art of prospect research.

 

1. Understand your customer base

Before you start searching for new prospects, you need to know who your ideal customers are, your Ideal Customer Profile (or ICP). This first step is like setting the GPS before starting a road trip.  

Here’s how: 

  • Analyze your existing customers: Look at your existing customers and identify common traits. What industries are they in? What problems are they trying to solve? What products or services do they buy from you? 
  • Create buyer personas: Based on your analysis, create detailed profiles of your typical customers. Include information like their job titles, demographics, company size, location, and key challenges. These personas will guide your research and help you focus on the right people. 
  • Segment your market: Divide your customer base into segments based on different criteria, such as industry, company size, or geographic location. This will help you tailor your prospecting efforts to each group’s specific needs and preferences. 
  • Identify pain points: Understand the common problems and challenges your customers face. Knowing these pain points will help you position your product or service as the solution they need. 
  • Research competitors: Look at who your competitors are targeting. This can give you insights into potential prospects you might have missed and help you refine your own target audience.

 

2. Use the right tools

Having the right tools for prospect research is like having the best gear for a hiking trip. Here’s a list of essential tools and how to use them: 

  • Customer relationship management (CRM) software: A CRM system helps you keep track of your interactions with prospects. Tools like Salesforce or HubSpot can store contact information, track communications, and set reminders for follow-ups.  
  • LinkedIn: LinkedIn is a goldmine for finding and researching prospects. Use it to identify potential leads, learn about their backgrounds, and understand their current roles. LinkedIn Sales Navigator, with its advanced search features and recommendations, can be especially helpful. 
  • Lead generation tools: Tools like ZoomInfo, Clearbit, and Leadfeeder can provide detailed information about your prospects. Use them to find contact details, company information, and even intent data, which shows if a company is actively looking for solutions like yours. 
  • Email tracking software: Tools like Mailtrack or Yesware can show you when a prospect opens your email or clicks on a link. Tracked email opens help you gauge interest and know the best follow-up times. 
  • Data enrichment tools: Services like Hunter.io or Voila Norbert can help you find email addresses and other contact information. 
  • Proposal automation Tools like email and proposal automation can save time, but make sure your messages don’t feel robotic.

 

3. Prioritize your prospect list 

Once you have a list of potential prospects, it's important to prioritize them based on your own unique criteria. When you have an idea of who your ideal prospect is, you can prioritize your outreach.  

Here’s how: 

  • Define your criteria: Decide what factors are most important for your business. This could include company size, industry, budget, location, or specific needs that your product or service can address. 
  • Score your prospects: Give each prospect a score based on your criteria. For example, if a prospect matches your ideal customer profile closely, give them a higher score. You can use a simple scale from 1 to 10 or a more detailed lead scoring system. 
  • Segment your list: Group your prospects into categories based on their scores. You might have high-priority, medium-priority, and low-priority segments. You can then focus your efforts where they’re most likely to pay off. 
  • Consider engagement: Look at how engaged each prospect is with your outreach efforts. Are they opening your emails or responding to your messages? More engaged prospects might deserve higher priority. 
  • Review regularly: Priorities can change, so review and adjust your list regularly. Make sure you’re always focusing on the prospects that have the highest potential for conversion.

 

4. Create a pitch template

Creating a pitch template saves you time while allowing you to personalize your outreach. Having a solid pitch ready to go is a bit like having a reliable tool in your toolkit. 

Getting the right balance of efficiency and customization helps you connect with prospects more effectively and increases your chances of success. 

 Here’s how to create and use a pitch template effectively: 

  • Start with a template: Write a basic version of your pitch that covers the main points you want to communicate. Always include an introduction, a brief description of your product or service, the benefits, and a call to action. 
  • Make it customizable: Leave placeholders in your template where you can easily insert personalized details. This could be the prospect’s name, their company, specific pain points, or how your product can help them. Don’t forget to change these placeholders when you’re ready to send! 
  • Highlight key benefits: Focus on the main benefits that are most likely to appeal to your prospects. Keep it clear and concise, making sure your message is easy to understand. 
  • Use engaging language: Write your pitch in a friendly and conversational tone. Avoid jargon and complicated terms. The goal is to make your prospects feel like you’re talking directly to them. 
  • Include social proof: Add a section where you can quickly mention customer success stories or testimonials. Social proof adds credibility and shows that others have benefited from your offering. 
  • Test and refine: Try out your template with different prospects and see how they respond. Make adjustments based on what works best. Over time, you’ll develop a pitch that resonates well with your audience.

 

5. Optimize your prospecting as you go

Optimizing your prospecting process is like adjusting the sails of a boat to catch the best wind. A few tweaks in the right places can make all the difference to your prospecting. Here’s how to keep improving your efforts: 

  • Track your results: Keep a record of your outreach activities and their outcomes. Note which emails get the most responses, which pitches lead to meetings, and which prospects convert into customers. 
  • Analyze data: Look for patterns in your data. Are certain types of prospects more responsive? Are there specific times of day when your emails get opened more? Use this information to refine your approach. 
  • Seek feedback: Don’t hesitate to ask prospects for feedback. If they decline your offer, find out why. Their insights can help you improve your pitch and approach. 
  • Adjust your strategy: Based on your analysis and feedback, make necessary adjustments. This could mean tweaking your pitch, changing your email subject lines, or targeting different types of prospects. 
  • Stay updated: The business landscape is always changing. Monitor industry trends and adjust your prospecting strategy accordingly to ensure relevance and effectiveness. 
  • Use automation wisely: Tools like email automation can save time but make sure your messages don’t feel robotic. Personalize where you can and ensure your follow-ups are timely and relevant. 
  • Keep learning: Stay curious and open to new methods and tools. Attend webinars, read articles, and connect with other sales professionals to learn what’s working for them. 

Optimizing your prospecting process helps you become more efficient and effective over time. By continually refining your approach, you can increase your success rate and build stronger relationships with potential customers or supporters.

Read more: 5 Prospecting Methods That Will Increase Your Conversions 

Our favorite sales prospecting tools 

Using the right tools can make a huge difference in your sales productivity. Here’s a brief look at some of the best tools available: 

ZoomInfo 

ZoomInfo is a powerful B2B database that provides detailed information about businesses and professionals. It has accurate contact details, company insights, and the latest news about your prospects. With its advanced search features, you can easily find and connect with the right people, making your outreach more effective. 

LinkedIn Sales Navigator 

LinkedIn Sales Navigator is a must-have tool for any sales team. It helps you find and connect with potential leads using LinkedIn’s vast professional network. With advanced search filters, personalized recommendations, and real-time updates, Sales Navigator makes it easy to build and nurture relationships with your prospects. 

Crunchbase 

Crunchbase is a comprehensive database of companies, startups, and investors. It provides detailed information about a company’s funding history, key personnel, and recent news. It’s particularly useful for finding fast-growing companies and understanding the market landscape. 

Leadfeeder 

Leadfeeder identifies which companies visit your website, even if they don’t fill out a contact form. It provides detailed company information and shows you which pages they visited. You can use these insights to better understand their interests and tailor your outreach accordingly. 

Aerolabs 

Aerolabs offers a suite of tools designed to enhance your sales prospecting. It includes features like email verification, lead enrichment, and automated outreach. Aerolabs helps you maintain high data quality and ensures your messages reach the right inboxes. 

Chrome extensions 

Several Chrome extensions can help streamline your prospecting efforts: 

  • Apollo.io is a versatile sales engagement platform that helps you find prospects, enrich data, and automate outreach. The Chrome extension allows you to gather contact information directly from LinkedIn and other websites. 
  • RocketReach provides email addresses, phone numbers, and social media profiles of professionals. The Chrome extension lets you quickly find contact details while browsing LinkedIn or company websites. 
  • Lusha helps you find accurate contact information with just one click. The Chrome extension can be used on LinkedIn and other sites to instantly reveal phone numbers and email addresses. 

Outsourcing your prospect research 

Outsourcing prospect research can be a game-changer for your business. According to HubSpot, sales reps dedicate only two hours a day to active selling; the rest of their time is swallowed up by admin and prospecting tasks like research.  

Imagine how much time your sales team could free up just by outsourcing prospect research.  

Read more: Spend More Time Selling With A Virtual Assistant 

4 Benefits of outsourcing 

  1. Save time: Prospect research is time-consuming. By outsourcing, your team can focus on selling rather than searching for leads. 
  2. Save money: Hiring and training in-house researchers can be expensive. Outsourcing offers a cost-effective solution by leveraging experts who specialize in prospect research. 
  3. Access expertise: Some VAs have professional skills and experience with the best techniques and tools to find high-quality leads. They stay updated on the latest trends and strategies. 
  4. Scalability: As your business grows, your prospecting needs may change. Outsourcing allows you to scale your research efforts up or down based on your current needs. 

How to start outsourcing prospect research 

Choose a provider 

You have a couple of options for outsourcing prospect research including through individual freelancers, agencies, or a sales virtual assistant. Because you’re trusting your outsourced resource with early relationship building, it’s important they they understand your business, your audience, and have the skills you need. 

If you choose to outsource to a sales VA, your best bet is usually to choose a managed VA service. Instead of handling the recruitment, vetting, and training, you can delegate this to the provider.  

Read more: The Ultimate Guide to Hiring Virtual Assistants in 2024 

Define your criteria 

Clearly communicate your ideal customer profile and any specific criteria you want your VA to follow. You may want to fill out a table or spreadsheet that defines your target prospect’s ideal demographics and characteristics.  

Once you’ve built the profile, your virtual sales assistant can take it out and start prospecting. And, since they typically work directly in your systems, they’ll funnel customer profiles directly into your CMS, database, spreadsheet, or wherever you need it.  

Collaborate and communicate 

Working with a managed sales virtual assistant service is often more collaborative than an agency or freelancer. You can stay in regular contact with your outsourced team, provide feedback, and make changes as needed. Strong communication ensures that research aligns with your goals, the profile is right, and you’re getting what you need. 

Find out how Graham, a top independent insurance brokerage and consulting firm, saves over 600 hours a month with Prialto. 

Review and act 

Once you receive the prospect lists, review them for quality. Use the provided information to start your outreach efforts and track the results to measure success. 

You can stop here, or you can direct them to move forward with prospect communications using a template, white labeled email address, and prepared resources. They can organize your schedule, follow-up on calls, and provide all kinds of administrative support! 

Prospect research with Prialto 

Outsourcing prospect research to managed virtual assistants will save you from hours of tedious grunt work. Imagine what you could achieve with 10 extra hours each week.  

With Prialto’s managed VA service you get more than just a skilled, dedicated assistant. You also get a whole behind you – including an Engagement Manager and a backup assistant so you never lose support just because your VA is out for the day.  

With Prialto your sales team can finally focus on the work they do best, selling.  

Ready to save hundreds of hours each month? Learn more about how hiring a managed virtual assistant will save you time.