Increasing lead conversion rates

By Pascal Persyn on February 25, 2009 @ 17:31
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Categories: B2B marketing, Sales Tips, Sales-Process, lead generation
Tags: , demand generation, funnel managment, lead definition, lead generation, sales tactics

The lack of communication and Sales-Marketing alignment sounds like kicking in an open door. Yet, once more, I tumbled on the same problem when investigating lead generation issues with a customer.

2 immediate problems jumped out:

• Different metrics: Marketing had a lead gen KPI and Sales a conversion KPI. Both in itself good metrics’s but meaningless if measured in a separate way.
• Sales and Marketing were using a different definition for ‘a lead’

Here are some tips to improve the lead conversion rates:

1. Write a common definition (universal lead definition) for ‘a lead’ and make sure it’s known by all concerned.
2. define a process describing ‘who does what’ and ‘what needs to be reported’ to one another.
3. Make sure Marketing talks to Regional and Country Sales about their lead generation programs prior to decisions. This allows the creation of an integrated approach and making sure Sales will be ready with an adapted approach to be part of the process.
4. Define a common dashboard to track the results and attack funnel frictions from a corporate point of view instead of departmental.
5. Implement a process and reporting mechanism based on the readiness to buy, such as the buying clock™,  instead of a process based on steps already taken.
6. Make sure that sales is using the same buying cycle mechanism for their forecast and plan of actions. It will allow them to
   1. Be focused on the customer and adapt their next step accordingly, instead of following a pre-defined series of steps;
   2. Adapt their next step in function of buying readiness of each individual person involved in the decision making process;
   3. Get all their contacts synchronized avoiding them to be the reason for complications (i.e. a DMU member you didn’t meet yet who becomes a non-supporter because of  some wording or content in a proposal that was send too early in the overall buying cycle);
   4. Avoid doing the right type of action at the wrong time and maybe the wrong contact.

The Buying-Clock is based on the mental phases a buyer is going through from happy user over admitting pain all they to buying, implementing and using a  new solution. The 24 hour of a clock represents a full cycle .

Stay tuned over the next coming weeks for more sales efficiency and demand generation tips.