When calling prospects, many originators stick to a traditional “time of day” approach – calling at certain “optimal times” when they think borrowers are more likely to answer. But is that really the best strategy?
The study, conducted by Velocify, found that “optimal times” calling resulted in only “miniscule improvements” in contact and conversion rates compated to following up quickly with new leads, then following up at strategic intervals.
“We felt it was important to use the massive amount of sales data we’ve collected to bust the industry myth that calling at a specific time of day is the best way to boost contact and conversion rates,” said Velocify CEO and President Nick Hedges. “Priority and status should determine the best time to call prospects that express interest; strategy should not be dictated by overly broad statistics and a clock on the wall.”
The study found that the difference in contact rates between the “worst” time of day to call and the “best” was only 2.6 percentage points. “Speed-to-call,” meanwhile, seems to be the most important factor in successfully contacting and converting a prospect, with an optimal call sequence approach more than doubling success rates. And Velocify found that prospects who were called back within one minute of their initial inquiry were 391% more likely to convert than those called later.
The study also found that making six follow-up calls at strategic intervals improved contact and conversion by “much greater margins” than scheduling calls for so-called optimal times. Using optimal call sequence strategy (which sequences call attempts relative to the time prospects initially showed interest) led to a 110% improvement in contact rates, compared to only a 7% boost from the “optimal times” approach.