https://www.agencynewbusiness.com/wp-content/uploads/2010/10/tall-hamburger1.jpg 320 497 Lee McKnight Jr https://www.agencynewbusiness.com/wp-content/uploads/2021/12/Updated-RSW-logo-2018-web.png Lee McKnight Jr2010-10-07 17:23:002019-10-09 10:16:51What’s “Worth” More Budgeting Dollars: Lead Nurturing vs. Lead Generation-Part 2
We’re excited to present the second part Jude Fischer’s guest post, What’s “Worth” More Budgeting Dollars: Lead Nurturing vs. Lead Generation. Jude further discusses budgeting, and the results other companies are realizing through their lead nurturing efforts.
Studies by Gartner, Forrester and a host of others indicate that anywhere between 70% and 95% of the “leads” you generate are not ready to buy your product or service when they enter your system.
Most of these people will buy, but they will do it when they are ready; after they have completed their buying process. But your sales team is focused on hitting its numbers, and rightfully so.
So they don’t have the time or interest to hold the prospect’s hand along the way.
They want to focus on the few that have an immediate need. The rest fall through the sales funnel into what we call the non-qualified lead dead pool.
So, 75 of every 100 leads marketing works so hard and spends so much money generating end up getting dumped out the other end. And you’re back to square one, allocating more budget to generate more leads that are going to fall through the system into the dead pool.
As your budgeting for 2011, consider the following results other companies are realizing through their lead nurturing efforts:
- Lead nurturing generates 20% more sales opportunities. – DemandGen (lead nurturing consulting firm)
- 7% points higher win rates on marketing-generated leads. — CSO Insights (sales consulting firm)
- 100% increase in bid-to-win ratios and 47% higher average order values. — Aberdeen Group
- 48% of all deals coming from lead nurturing. 50% more sales-ready leads from lead nurturing. — Marketo
- 60% of senior-level marketing executives using lead management automation indicate better leads as a result, and a more robust sales pipeline. — Forrester Consulting
Last night, I grilled some hamburgers for dinner, and I don’t know about you, but for me, a hamburger isn’t complete without some goodies on top.
So, I walked over to our garden and plucked a nice big beefsteak tomato and some fresh onions. It’s so nice to have a garden full of fresh fruit, herbs and vegetables. But doing so takes some effort.
You can’t just put a bunch of plants in the ground and expect to be harvesting in a few weeks. You have to water and fertilize the plants as they grow. You need to tend to the garden, supporting the healthy plants and prune the others.
If you do, you’ll be eating well throughout the summer and early fall. If you don’t, you’ll be spending more of your money buying additional seeds, plants and groceries to replace the ones that died on the vine. A little nurturing not only keeps you healthy, it can save you some money down the road.
Jude Fischer is a Partner and Director of Advertising Services for Adventive Marketing, Inc. in Arlington Heights, IL. As Adventive Marketing’s Director of Advertising Services, he plays a role in all phases of client marketing. From development of creative, to audience segmentation, to strategic planning and campaign management, he has a directive hand in the successful execution of all Adventive communication solutions and strategies.