Lead Generation is the process of acquiring suitable prospects by showcasing a company’s products or services. Leads can be generated using paid advertising methods. But other ways are by using search engine results or referrals from existing customers. Lead generation is combined with lead management to move leads through lead generation funnel.
Generating leads is a vital step in marketing. Generating proper leads can help a company achieve a good turnover. After a lead is accessed a proper follow up has to be done. It has to be thoroughly examined if it can be converted into a good business opportunity. After passing through many sales stages a final deal is made between the company and the customer.
Lead Generation involves some steps and procedures when done in the right way can generate abundant ROI in no time. This process is called by marketers as Lead Generation Funnel. A good understanding of the stages involved in a lead generation funnel is a must. Only then can a qualified lead be converted into a valuable customer by employing suitable marketing techniques. Find below some tips and practices for making the best use of lead generation funnel for any brand or business
As the name suggests, the lead generation process is like a funnel where large volumes of names and prospects are first fed into. Suitable sales leads are filtered out and converted them into potential customers at the end of the funnel. This is like a tool that explains who the best leads are and where they stand in the lead generation process.
By a proper understanding of how the lead generation funnel works a brand can set up campaigns to make sure the leads turn out to be a suitable customer or client. Business processes and sales situations vary from one business to another. But a general overview of the different stages involved in the sales funnel is given below:
Stage #1: Brand Awareness:
As the name suggests, the first stage in this process is publishing about the brand through social media paid advertising, content marketing, SEO. The goal here is to attract customers. Advertisements can be in the form of banners, publishing in the newspaper, etc.
But there is a risk at this stage. Since this is an early stage that requires first contact visitors to sign up, fill up forms, applications or register, there are chances of potential suitors to back off. There are also chances of entertaining customers who would further turn out to be not a potential suitor.
Stage #2: Adding names to the database:
After advertising the brand, the next step is to obtain contact information about the leads. This is entered into the database for reference. This information is used to communicate with them for further marketing. For further communication appointments can be fixed wherein videos, demos about the product can be shown. A more detailed explanation about the product description can also be given.
Stage #3: Getting Engaged:
The next step is to engage your customers by sending them newsletters, getting them to attend webinars, downloading e-books. A company has to be in touch with customers through email.
Stage #4: Target or Prospects:
The next step is to determine whether a prospect is a qualified buyer. This can be done by performing lead scoring. It can be done manually and automatically depending on the type of business and prospects. Some data about the company like its size, industry segment, job title or geographic location is obtained and accessed if it fits the ideal lead score.
Stage #5: Marketing qualified lead:
Once the particular lead fits the ideal lead score then further marketing can be carried out. A contact person or sales executive can speak directly with the lead. The salesperson can show demos, send quotations and even sign up for a free trial. Within seven days the lead can be turned into a true sales lead or sent back to marketing for lead nurturing.
Stage #6: Opportunity:
Once the lead turns into a sales opportunity, engaging the leads are important. The sales team can send offers and discounts. They can start negotiating with the customer about the price and continue to communicate until the deal is closed.
Stage #7: Customer:
This is the final stage where the lead is finalized. The customer starts buying the product. But it is wise to provide constant support to the customer to ensure the customer stays till the end. If the customer is happy then, in turn, he can refer others to the company.
Find below the graph showing lead generation. It represents the costs that marketing representatives face. The closer a company is to its total available market the more it costs to create new leads.
