Ten "Worst Practices" Guaranteed to Lower Lead Development ROI
by Michael A. Brown
A great deal of b-to-b lead development is conducted over the phone (aka telemarketing), but as we all know, much of it is baaaaad. As a b-to-b marketing by phone consultant, I hear complaints about low ROI all the time. Want to know why ROI is low? Because too many companies are making the following lead development no-nos:
1. Using the telephone as a mass marketing medium.
Think about this for a minute. Why do we use the phone every day? To conduct business on a one-to-one basis - which is what makes the phone such a great marketing tool when it's used correctly. So why do companies insist on using the phone as a mass marketing medium by making "one size fits all" calls to large lists of people they don't know?
2. Reliance on the wrong metrics.
Common telemarketing metrics, such as "number of dials per day" or "talk time minutes" derive from business-to-consumer boiler room practices. What you get, when you focus on these metrics, is conversations that go nowhere, low ROI, and high call rep turnover. Instead of focusing on quantity, focus on quality, which includes measuring how many phone calls resulted in speaking with real decision makers and other meaningful metrics.
3. Using poor quality lists.
Low conversion rates, too many wrong numbers, or poor quality leads are indicators that your list is bad. Direct mail professionals choose their lists with care - and you should, too. I recommend to my clients that they choose lists based on events and affinities rather than simple demographics or job titles, e.g., companies that have grown X% in the last year or who attended Widget Trade Show.
4. Measuring the effectiveness of the postal service.
I heard at a trade show recently that high tech decision makers are getting 4,000 pieces of mail a year. That comes out to 15 pieces a day! So why would you call a busy person to say, "I'm just following up to make sure you got our mailing"? One, he isn't going to remember your mailing and two, all you're really doing is measuring the effectiveness of the postal service.
5. Not doing your homework before making calls.
I can't stress this enough, but if you're calling b-to-b decision makers, you have to do your homework. You must research the industry and the company, you have to know your target's pain points, and you have to speak their language. If you want to increase marketing ROI, you simply cannot begin a call by mispronouncing the person's name and then barge right into a sales pitch! Which brings me point #6.
6. Trying to sell on the first call.
If you're selling complex, high end products with long sales cycles, it is a complete waste of time to try and sell someone on the first call. A more effective method is to begin a conversation: "Good morning Mr. High Powered CFO. The reason for my call is that I've just read an article about your (relevant event) in the Wall Street Journal and believe we may have a good fit between your initiative and our (product or service). Is now a good time to talk?"
7. Not asking prospects how they want to keep in touch.
Ok, great, you had a productive dialogue with a prospect interested in your product or service, but for whatever reason, she isn't ready to buy. Did you just assume this person wants to be contacted by phone again? Big mistake! Instead of assuming, ask your prospect how she wants to be contacted and when. For example, does she want a PDF emailed to her or a print brochure sent via postal mail? Does she want to be contacted by phone in two months after the start of the new fiscal year or in four weeks when she gets back from an extended business trip?
8. Sending fulfillment that wasn't requested or not sending it at all.
A big lead development no-no is sending fulfillment that wasn't requested in the initial dialogue in order to "push" the sale. Don't do it - your fulfillment becomes one of those 4,000 mail pieces decision makers receive. And, don't assume prospects are asking for information just to get you off the phone - and hence, you don't send anything. People often ask for information to be sent because they want to look it over at their convenience. Send promised fulfillment within 24 hours with a note on the outside envelope or email subject line: "The material we discussed is inside [or attached]."
9. Not keeping good institutional and/or "human" history.
In b-to-b lead development, each conversation has to build on prior conversations in order to move a prospect along the sales cycle. Buyers hate having to retell their stories. You'll only annoy your prospects and lower campaign ROI by moving telemarketing call reps from one account to another or by failing to keep track of conversations in a CRM system.
10. Making the type of calls you yourself wouldn't take.
Bottom line - how many calls do you hang up on every day because the caller was rude, mispronounced your name, used high-powered pressure tactics, didn't understand your job or know your company? You know how much you hate poor telemarketing practices - your prospects do, too.
To increase the number of leads that turn into sales, ensure all your telemarketing/lead development calls are conducted politely and intelligently by highly trained callers who understand the industry, your target audience, and your products and services.
Michael Brown is the principal of The Business Marketing Consultancy and Redwood Training Associates in Austin, Texas. He can be reached at 800-373-3966 or by email at michael@michaelabrown.net.
Secure Computing Generates 1,000 A+ Qualified Leads in Six Months
Secure Computing had a fixed budget and a big challenge: generating qualified leads in a broad marketplace.
Using The Lead Dogs to qualify leads, Secure Computing was able to separate the "wheat from the chaff" and present inside sales with only leads that could and should be acted on immediately.
Read this MarketingSherpa case study to see how The Lead Dogs helped Secure Computing qualify 8% of fourth quarter leads generated as A1 leads.
Do you need The Lead Dogs?
How do you know if you need the Lead Dogs? Take the following short quiz:
- Are your salespeople complaining about not having enough leads?
- Are your leads "poor quality?" In other words, do you have leads, but they aren't viable prospects?
- Do you have several campaigns generating leads but they seem to be dying on the vine because no one is following up on them?
- Has productivity dropped with regard to your outbound or inbound telemarketing efforts?
If you answered "yes" to one or more questions, then you're a candidate for The Lead Dogs' customized B-to-B lead development and lead generation programs and services.
Give one of our Lead Dog sales representatives a call at 800-710-2926. We'll be glad to discuss your marketing and sales goals and find the solutions that lead to more sales.