What differentiates leads that generate sales from casual inquiries? How to maximize conversion? Does your generated lead follow a general logic? How can you maximize leads to sales ratio?
The secret answer is quality lead generation.
If you have the ability to acquire higher quality leads or nourish the acquired leads into better prospects, it will act to ensure better final sales turnovers. In-turn it will enable you to directly generate better sales from the available leads.
Further, you can use this knowledge to drive your future sales from the available list of leads.
In hindsight, you are trying to generate the maximum number of high quality leads with the optimal ROI. If you are able to generate leads with better quality, it can help you to manage and reallocate your future expenditures.
What makes a high quality Lead?
If you have ever done active prospecting or field sales, you will quickly learn about the varying levels of interest among the prospects. If your prospect has amiable industry knowledge, you will be able to press on the right quality and pricing. Otherwise, you may need to educate about your prospect.
At handling sales or prospecting, you will be mostly trying to distinguish and focus on better leads or prospects.
Let us showcase with an experience of our own.
At Kapture CRM, we implement custom CRM Solutions for our clients. If the prospect previously has only overheard about the benefits of something called the CRM system, he/she will need serious education about all the other aspects of CRM implementation.
Likewise, if the prospect has knowledge about CRM software, then you could directly take it towards discussing the intricacies of implementing a CRM solution.
Needless to say, the latter parties will be much more understanding about the cost and utilities of a CRM system.
If the prospect is already knowledgeable about the significance of the product, you can go forward with discussing about the latest business operations and cost structures.
A business which is able to attract prospects that are seriously considering the product will be able to generate better sales turnovers. These businesses also need to spend lesser time on average with each particular prospect as they are now handling a considerably lesser number of prospects.
In-short, this means that you need to have a lead management system to consistently generate high quality leads.
Let’s discuss about the different lead management processes that help you ensure superior lead quality.
Marketing Automation to Qualify Visitors
As described, most of your prospects may fail to grasp the significance to their business. According to studies, only 27% of the incoming leads are qualified to be passed on to the sales team.
Let’s examine the logic behind this statistics.
- Almost three quarters of your contacted leads are not ready to invest money in your business.
- A business with undifferentiated lead generation tends to continue the trend.
- All prospects think that there is a gap between website promise and business response.
Due to this, irrespective of source (whether Offline or online) leads are viable to bounce from the website. It’s a common sense that the qualities of your incoming leads will depend on the actual visitors that raise those enquiries.
A marketing automation system will enable you to combine and consolidate your different marketing campaigns. Further, this will give active insights about obtaining the right segment of incoming visitors.
If you can acquire visitors with higher quality, it will help generate better quality of leads. In alternate sense, you also need to nourish the acquired leads to generate maximum sales.
Lead Processing through Different Sales Funnel Stages
As mentioned earlier, your lead pool has to go through a systematic process before actually getting converted into customers.
These stages can be broadly classified as awareness, education, implementation, negotiation and closure.
When taking these stages individually, you can see that the first three stages need to be handled by integrated marketing process. This is achieved through communicating and informing prospects through different platforms and mediums.
In other words, your prospects need to be properly nourished before actually handed over to the sales team.
All these need to have a stage wise lead processing, or else you can untimely end up with less qualified lead segmentation.
In these, only the last two stages could be directly handled by the sales team. The rest of the processes should be handled by the marketing and service team.
This perspective completely overhauls your idea of significance about your marketing and servicing team.
In the same sense, if your sales process isn’t really organized, the quality of your acquired leads can quickly descend a lead management system.
Consolidate Prospects along a sales Funnel
As described, the function of all sales and marketing activity is to generate interest in the product or service.
As a default, the sales funnel is designed to inform and educate about your business activities. A sales funnel can absorb and handle your large number of prospects through a series of vertical steps.
The main purpose of a lead funnel is to improve the quality of incoming leads and differentiate its lead qualification process. This process ensures that your acquired leads have comparatively higher quality.
Let’s consider this practical situation.
Let’s consider that you constantly receive around 1000 leads. Although this situation seems great, now you are left with the job to process and qualify your individual leads.
If you try to consolidate and process all these leads simultaneously, it can reduce the quality of service provided to every prospect. Consequently, by the virtue of market completion your prospects are viable to choose your competitor.
Manage Lead Intelligence
All incoming leads are managed according to their specific lead acquisition value. This includes categorizing of each lead as per the particular differential values.
For example, you can categorize each lead as Hot, Warm or Cold. Without the right qualification metric, you will fail to individually signify the importance of each lead.
This practically acts as lead notification to give heads-up to the concerned sales team professionals who are looking for new opportunities.
Essentially, this data allows you to improve your sales team capacity to handle or handover the essential lead responsibility. This will also help you to manage your lead intelligence in the long term.
Most businesses consider lead quality as variable metric and mostly out of control. But you can improve your lead quality through selective measures that bring optimal results.Thus, the CRM provides an intelligent way to ramp your revenue and moderate your workload.