Lead generation is often critical to the success of small business-to-business companies, yet too many business owners remain emotionally attached – even hard-wired – to old methodologies that no longer work well. While others throw money at “snake oil” options that rarely produce what is promised.
Take a moment to think about the leads your company is generating currently:
- Monthly Lead Volume: Prospecting is likely done by you, a sales team, a website – any of these three can be a very expensive use of resources. Estimate how many leads (defined as interested and new prospects) come in per month, based on current resources/staff. Let’s say that number is 20.
- Sales Closure Ratios: For this new base of leads, you estimate that between you and the efforts of your team, you are able to close 25% of those leads. 25% of 20 leads = 5 closed leads.
- Value of Closed Deal from New Leads: You can also estimate that for every closed deal from a NEW lead equals X in revenue and Y in gross margins. For the sake of example, let’s simply say that every close deal from a new lead equates to $2,000 in revenue and your average gross margin is 25%, so your gross profit value from each new lead closed is $500
- Final Calculations: 20 new leads every month leads to 5 closed deals. Your closed deal value is $10,000 in revenue and $2,500 in gross margin.
This calculation is important to understanding how many new leads you need each month in order to achieve the revenue growth you hope to reach. Yet, you ask yourself about the cost of your time, the cost of your sales team and the cost of your website. And, you wonder just what you have to do to your lead generation engine to reach $20,000 in additional revenue each month. You obviously know how many new leads need to be brought to your business, right?
In 2017, is the “tune-up” you seek have anything to do with promises from search engine optimization firms? We don’t think so. Is it best solved by adding more expensive salespeople. We wouldn’t likely make that recommendation. Do you think that you need to work 18 hours a day to reach such numbers? Come on, that’s just insanity.
How do you double your leads? Better yet, how can your existing “sales & marketing machine” double your leads with minimal cost to your bottom line?
A few readers may have read a bit about marketing automation. However, they refrained from further investigation because of time (to further understand), availability of existing resources, depth of knowledge in existing personnel AND cost. “Managed” marketing automation can help solve most of your headache and drive a greater percentage of warmed-up leads – for a better price tag – than you might have expected.
What would you say if I suggested we believed that our service could easily double your monthly leads from 20 to 40, and new monthly revenues from $10,000 to $20,000? And, you didn’t have to hire a new sales rep?
Click here – you’ll only need to read a few paragraphs to understand whether Managed Marketing Automation holds potential for your B2B business. NOTE: service packages start at about $1,000 per month. Yet, our most expensive packages do not exceed the cost of an entry level, unproven sales rep.
About the Author: Brent J. Anderson
Innovative and dynamic B2B marketing leader with a 29-year career (high-tech/healthcare – 16 years; creative agency sales/strategy – eight years; B2B sales – three years; CPG marketing – two years). Best known for refining strategies to better meet corporate objectives and dramatically improving awareness for unknown brands/products/services.