It’s only natural for marketers to strive to generate new leads by launching campaigns, attending trade shows, etc.
But at best, only 10% of qualified leads convert to sales and thus 90% or more do not. In addition to buying from a competitor, other reasons exist for lack of sales conversion, and the big one is postponement of the decision and/or no decision. If the sales staff hears that the timing is “down the road,” or some other reason for a “no decision,” they will likely move on and drop the lead.
Some studies have shown that as much as 30-50% of leads do not convert for these reasons.
Most companies do not have a process for passing back the lead if it does not convert to a sale. Therefore, there are many leads that have been generated and qualified, but not converted. On the premise that “where there was once smoke there still might be fire,” these “old” qualified lead lists will generally outperform newly generated lead lists. The only thing that is required is a “pass-back” system to compile leads that did not convert. In most cases, these leads never come back to marketing.
If you institute this process, be sure to validate that the individual still is in their position or find out who has replaced them. In B2B, interest in a product or service is almost always institutional and not personal.
Do re-market to old lead lists and use some marketing automation scoring for further communication.
The easiest idea is to use email marketing techniques like newsletter and offers set on regular basis.
I remember one of my client from Czech and Norway who introduced it for their clients and after 6 months the conversion rate from such mailings grew to 35-55%.
Lead qualification is a BIG topic
Try one or all five and your prospect-to-qualified lead-to-sale process and result will improve. eCommerce has plenty of such great examples.
My B2B customers noticed also very good results of consistent communication and follow ups.
You also need to think about the resources you need for it. The marketing automation is not a perpetum mobile. It requires time and effort to setup and manage it.
My next post will be about Zoho Analytics inside Zoho CRM that help to monitor all lead related activities.