In this blog post, we discuss the importance of lead generation strategies. If you have any questions or need any help with your lead generation strategy then get in touch.
How To Generate Leads Using Lead Generation Strategies
Lead generation is frequently misunderstood and under-valued when it comes to growing a business. The term “lead generation” doesn’t help as it’s not clear to many business owners and start-ups as to what exactly it means.
In this blog post, we go through what a lead generation strategy is, and how you can use lead generation to increase your sales. If you would like help with your lead generation then get in touch for a free consultation to see how we can help.
What Is a Lead Generation Strategy?
A lead generation strategy is a marketing and sales technique used to generate leads for a product or service. It’s based on the premise that to get sales, you first need to have a number of prospects (also known as leads) that will buy from you. Finding prospects is, as the phrase goes “generating leads”.
There are varying levels of leads such as cold leads (unlikely to buy or not enough information to know their situation), warm leads and hot leads (ready to buy or are certainly expressing a high level of interest in what you offer).
A lead generation strategy involves a plan (and one or more sales and marketing campaigns) to generate leads.
Lead generation strategies are often effective because they target people who want what you have but don't know about it yet.
Lead Generation Statistics and Fast Facts
Before we get into more detail on how to generate leads, here are some quick facts to consider:
- In the United States alone, there are over 50 billion dollars spent annually on lead generation.
- The average cost of a qualified lead is $25.
- The average conversion rate for a qualified lead is 10%.
- Lead generation can be done through many different sources, such as social media and email marketing campaigns.
Qualifying Your Leads
A qualified lead is one that you believe is looking to potentially buy from you. If you have 200 email addresses of people who could buy your services but no other information then these are cold - or unqualified leads.
If, however, you establish contact with those people in whatever way, you can find out how serious they are about buying. Some of those leads can be removed from your list, while others can be considered as qualified leads.
A lead is qualified when they meet your criteria. Make sure you have a set list of qualifications before generating leads because it will be easier to turn them down if they don't qualify than after you have invested time and effort into them.
Using PPC to Generate Leads
Lead generation strategies are the most effective way for companies to gain new business. There are many different ways that a company can generate leads, but one of the best is by using Pay Per Click (PPC).
PPC, also known as pay-per-click advertising is a form of internet marketing that involves the advertiser paying for each click on their ad by potential. A Google Ads campaign, for example, can be used to promote a product or service when someone is actively searching for that service.
A hotel in Manchester, for example, might set up a Google Ads campaign so that the advert for the hotel appears when someone searches for “hotels in Manchester”.
Using Email to Generate Leads
Email Marketing can play a critical role in the lead generation process. It can either be used to generate leads or by nurturing prospects and building up the relationship with them so that they will go from being a lead to becoming a paying customer.
Lead Generation Strategies can be used to generate leads for a variety of businesses, and they are especially useful when you're just starting out because it's one of the cheapest ways to get customers quickly.
Different channels for generating leads
Leads can be generated by many different channels, including sales leads from trade shows and other events, advertising campaigns (such as PPC campaigns) or public relations efforts that attract large numbers of potential customers, and even from social media marketing.
Leads can also be generated through methods such as cold calling and direct mail.
Cold-calling can be difficult for many businesses for various reasons and although it’s considered by many to be outdated compared to digital marketing, it can still be effective for many industries.
How Much Does Lead Generation Cost?
Lead generation costs are based on the type of lead that is being generated, how many leads are desired and what methods will be employed to generate them.
For example, email marketing can cost as little as £1 per email and the price of each lead will depend on various factors such as the type of products or services, the industry and the channels that are used to reach the target audience.
There’s no definitive answer to the question “How much does lead generation cost?”, but if you would like to know more about measuring Return on Investment (ROI) and deciding on the most effective lead generation campaign, then get in touch. We would be happy to help.
The integrated approach
The ultimate lead generation strategy is one that’s tried and tested to get results and is set up as a process that’s automated as much as possible. To achieve this requires an understanding of what will work most effectively as well as an integration of marketing tools such as email marketing, landing pages for lead generation and a follow-up process for contacting hot leads.
At Think Twice Marketing, we work with businesses to set up their lead generation process. To find out more and to grab your free consultation, get in touch today.
The opinions in these blog posts are those of marketing professional and book author Darren Hignett.