The Fundamentals of Lead Generation

The term lead generation is one that you frequently hear if you are in the marketing world or use digital marketing for your business.

 

Even if you practice lead generation already, do you know what it means at the most fundamental level? Reviewing what something means at the most basic level is a great refresher and it always helps you come up with new and impactful ideas.

 

In this post, we are going to review what the definition of lead generation is. Let’s start with a lead, and then we’ll get into what lead generation is, why you need lead generation, how you qualify someone as a lead and how you generate leads.

What is a Lead

Let’s start with the basics. A lead is a person who has indicated interest in your company’s product or service in some way, shape, or form.

In other words, instead of getting a random cold call from someone who purchased your contact information, you’d hear from a business or organization you’ve already opened communication with.

When you contact a lead, you use the information collected to personalize the sales outreach efforts so that the sales call is as personal and enjoyable for the client as possible.

Online marketers preach the benefits of warm and qualified leads over cold leads. But what are the differences between them and how do they apply to online marketing?

Cold Leads

We have all been the on the receiving end of a cold lead cold call. This is when, for example, a credit card company calls you out of the blue and tries to get you to sign up for one of their credit cards. You never contacted them, showed interest in their products or services, and were completely annoyed by them because they probably called you in the middle of dinner.

Warm Leads

A warm lead on the other hand is someone who has shown interest in a product or service, either by following your company on social media, signing up to your email newsletter, by being referred by a friend or previous client, or by some other way of expressing interest. These types of leads are simply prospects who have shown interest in learning more about a product or service, and are much more valuable than cold leads, but really only consist of someone whose contact information has now been captured.

Qualified Leads

Qualified leads are the best types of leads because these people tend to be closest to the buying stage of the sales cycle. For example, a person who does a Google search for a specific product or service is a qualified lead because their need has brought them to go online and search for a company like yours.

However, there are different stages of qualified leads and these can be established using what is called the BANT approach:

  • Budget: does the prospect have enough money to buy your products?
  • Authority: can the prospect make the purchase decision or do they answer to someone else?
  • Need: do they in fact have a need that the product or service will fill?
  • Timescale: is there a specific time period in mind where they intend on making a purchase?

What is Lead Generation

If you have to tell somebody who is not marketing savvy what you do, you most likely tell them that you find ways to attract people to your business.

 

Lead generation is a marketing process that focuses on attracting and converting strangers and prospects into someone who has indicated interest is your company’s product or service and gathering potential customer information such as name and email, rather than soliciting for a direct sale.
Prospective customers aren’t likely to buy during their first brand interaction. Lead generation is a great way to gather information in order to stay in touch with potential customers without overselling. Some examples of lead generators are job applications, coupons, and online content.

 

In other words, it is a method of starting to funnel eventual purchasers of your product or service down the path of buying.

How Do You Collect a Lead

Here is a quick overview of some of the highly effective strategies you can use to generate many more qualified leads and clients for your business. They are all simple and cost-effective to implement once you know what to do and how to do it.

Direct Mail

This allows you to present every benefit of your product or service over those of your competition in a manner that’s 100% consistent. Reaching the right audience with the right offer and the right message is the key to success because the only thing that counts is how many sales or inquiries your mailing generates.

Effective Advertising

Advertising should be nothing less than ”salesmanship in print,” i.e. it should do the same job that a top salesperson would do face to face.

Referral Systems

One third-party endorsement is more powerful than a hundred presentations. Getting your customers to recommend and encourage other people they associate with to seek out your products or services is the most coveted prize in selling, besides a sale.

Networking

Most people you meet have hundreds of contacts, which means that virtually anyone you might want to contact or meet is only four to five people away from you. Effective networking is therefore vital to your success.

Internet/E-Commerce

The Internet is now an essential element in business communication. When people want information, they surf the web to find what they need. You need a good website that maximizes your exposure… or you’ll look old-fashioned and behind-the-times.

Advertorials and News Stories

Writing articles and news stories for publication in the media that your prospects and customers would find interesting and would like to know about is the quickest, easiest way, and usually the first step, in building your reputation.

Other lead generation strategies include:

  • Affinity marketing
  • Blogs
  • Consignment Selling
  • Database Marketing
  • Demonstrations
  • Experiential Marketing
  • Offers
  • Promotions
  • Salespeople
  • Sampling
  • Search Engine Optimization
  • Social Media Visibility
  • Viral Marketing
  • Websites

How We Change the Typical Approach

However, there’s finally an easier way for you to collect and score leads: Respect.Studio. We make it so that you can collect leads with no forms or buttons.

Using a personal approach, we connect you with your target audience through different channels. Then we engage in a conversation with them and make sure they are interested in your service (or product). Once we see that this prospect is ready for a detailed conversation, we transfer it to your sales team.

In parallel, we A/B test the message script, target audience and continuously optimize our campaign, so that your results will get even better with time.

Contact us and we will send you a detailed offer explaining how we can generate leads for your business.

So What is the Main Purpose of Lead Generation?

“Generating leads, duh” might be your first thought. You wouldn’t be wrong. It seems pretty self-evident. You know what lead generation is, but now it’s time to talk about how to market for lead generation.

There are major differences between how B2C and B2B lead generation ought to be handled. Here are several differences between the two as well as methods that can be used to improve your B2B lead generation campaigns.

Strategies commonly employed in B2C lead generation may not prove as effective for B2B lead generation. B2B lead generation is typically a more complex, prolonged process than what is found in B2C lead generation. Here are a few methods that can be used to improve B2B lead generation success:

  • In B2B, you have to keep in mind not only the decision-makers to whom you are selling but also the wide variety of factors influencing those decisions. Factors to take into account include industry trends, forecasts, budgetary needs and an often lengthy sales cycle.
  • While consumer products are only sold to an individual, B2B usually demands interaction with buying groups or teams. Catering to the specific needs of each individual who influences the purchase decision is crucial to closing sales.
  • B2B sales often involve longer buying cycles than B2C, meaning that you will need to develop strategies for long-term nurturing through various tactics, including phone conversations, direct mail or email marketing. Keeping a prospect regularly engaged throughout the buying cycle is vital for the success of B2B lead nurturing.
  • Researching a prospect is an important facet of B2B lead generation. In order to procure quality leads, detailed research regarding a prospective company’s divisions and subsidiaries, as well as the overall industry dynamics, will help generate an effective campaign.
  • In B2B lead generation, your prospects may be high-ranking decision-makers such as CEOs and IT managers, meaning that they will expect your representatives to be highly knowledgeable and understand the complexities of their industry. Apply what you have learned through your in-depth research when interacting with them.
  • If you outsource your B2B lead generation to a third-party, coordinate with those representatives so that they fully understand your business as well as the prospect’s. Choose a firm that is willing to work with you to develop a quality, long-term relationship and an in-depth understanding of your business’s goals.

A well-thought-out B2B marketing campaign may be difficult to plan, but it can have outstanding lead generation benefits for your company. Leave the hard work to the experts of Respect.Studio. Contact us today to learn more!

Why is Lead Generation Important for My Business?

Generating a constant flow of high-quality leads is one of the most important responsibilities of a marketing team. Actually, a well-managed lead generation process is like the fuel that will allow your company to deliver great performances – leads bring meetings, meetings bring sales, sales bring revenue and more work.

Lead generation is very important for the growth of a business. The buying process has changed and marketers need to rethink and refocus their efforts in order to stay relevant. If people demonstrate to you that they are interested in your business when you go to contact them about your offering they are no longer a stranger, but rather a true sales prospect who has “told” you that they are interested in your product or service.

Remember, what you do with your leads is entirely up to you, but it’s important that you understand the full picture of what “a lead” can mean to your business before you start a Lead Generation campaign. Treat your leads with respect, and they’ll treat you with respect back.

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