Leads are expensive! Naturally, companies only want to invest in lead generation channels that yield higher returns. With some companies struggling to see value in purchased leads, this begs the question: Should they continue to buy leads or just cut them altogether?
Let’s take a look at what high-growth companies are doing:
A recent study shows that of the four primary lead sources – purchased, website/self-managed SEO, referral, and direct mail – purchased leads accounted for nearly one-third of the total volume of leads for high-growth companies. With no plans to reduce investment in this source, what are these companies doing differently when they buy leads? Here are five tips for getting the most out of your purchased leads:
1) Follow up ASAP.
Don’t wait too long after you buy leads before making your first contact attempt. Ensure you have a way to automate lead capture into a lead management system that can distribute the leads within seconds to an available rep. Speed is critical when responding to purchased leads. The Ultimate Guide to Inquiry Response shows that conversion rates more than double when leads are called in under one minute.
2) Be persistent.
Process and strategy are equally as important to success as speed-to-contact. Make sure you are not only following up fast, but also persisting beyond the first few contact attempts with multiple channels of communication. Velocify research has found that making between five and seven calls yields the best results – by the sixth call attempt, 95% of leads who will eventually convert have been contacted. For email, stick to four and six emails before moving a lead to a nurture status.
3) Prepare for duplicate leads.
What happens if you buy leads that you already have in your system? Understand the policy for duplicate leads going into a relationship with a new lead provider and agree on an efficient process for reporting duplicates. Don’t disregard the value of duplicate leads as it may be an indicator of leads that are more qualified; just make sure you have a way to automate the process of de-duping and assigning greater value to these leads.
4) Frequently monitor KPIs.
When you buy leads, it’s important to set KPIs (key performance indicators) around monitoring quality. Track KPIs like contact, qualification, and conversion rate, to gain insight into any adjustments to process or strategy that might be affecting your bottom line. Keep your finger on the pulse of performance by monitoring KPIs each day, or at least each week. If you’re interested in learning more about tracking sales performance, this post might help: How to Improve Sales Performance: KPIs for Better Decision-Making
5) Meet regularly with lead providers.
Keep an open dialogue with lead providers. Meet monthly, or at least quarterly, so you can tweak your program to meet lead generation needs. Companies experiencing significant growth are 125% more likely than flat or declining businesses to evaluate new lead providers at least quarterly. Some flat or declining businesses even go a few years without evaluating new lead providers – a practice not reported by high-growth companies.
High-growth companies evaluate lead providers more often than flat or declining companies. (Source: Lead Trends Report)