Lead Generation Best Practices Part 6: Fewer Leads Are Better
There is a counter-intuitive relationship between lead volume and sales performance.
With sales organizations facing lower numbers, it seems logical to turn to volume lead generation to fill their pipelines with more and more sales leads in hopes that some will turn into sales. After all, shouldn't more leads deliver more opportunities?
In reality, just the opposite often turns out to be true. Standard lead generation’s focus on quantity—rather than quality—results in the following:
- The pipeline is flooded with a high volume of low-value leads.
- Qualifying criteria are rarely met due to lack of marketing resources.
- Sales reps’ calendars are cluttered with unqualified meetings.
- Money is wasted on sales lead generation programs that don’t work.
Sales reps actually need fewer sales leads—or more accurately, fewer raw, unfiltered, unqualified marketing leads. Conversely, they need carefully qualified leads that have been correctly developed until they are ready to be delivered as high-value qualified sales opportunities.
By focusing sales resources on a smaller number of better quality leads, they can spend time more effectively on the most likely buyers. Such a practice makes sense in any economic climate, but in our current market downturn it can be a way to actually improve efficiency and do more with fewer resources. This also renews the value of lead generation programs, since reps start receiving leads they can actually use.
Best-of-class prospect development—and its focus on fewer, higher qualified sales leads—fills forecasts with sales-ready buyers and helps marketing and sales resources operate more efficiently. In the end, it means great return on program investments and higher company revenue.
For an in-depth look at the concept that sales benefits from receiving fewer, more highly-qualified leads, I encourage you to download the PointClear white paper, Why Your Sales Force Needs Fewer Marketing Leads.
The next installment in the series looks at measuring results with an emphasis on moving beyond the lowest cost-per-lead as the most important indicator.