If you do your lead tracking right, you notice there are two types of leads coming in: inbound leads and outbound leads.
This article covers everything you need to know about inbound leads, including how to generate more of them and why they are better for your business than outbound leads.
You will also learn what kind of content brings the most inbound leads to your pipeline so you can use these strategies straight away.
What is an inbound lead?
An inbound lead is a B2B prospect who initiates contact with a business after engaging with its content.
There are many ways for an inbound lead to engage with your content, such as visiting a website, filling out a form, or downloading an eBook.
If a prospect converts thanks to your inbound lead generation strategy, it’s an inbound lead.
An inbound lead is someone who:
- Visits your website and submits a contact form.
- Downloads your eBook or white paper.
- Signs up for your newsletter or email list.
- Registers for a webinar or online event.
- Engages with your content on social media by commenting or sharing.
- Initiates a chat on your website’s live chat feature.
- Requests a demo or trial of your product or service.
- Completes a survey or questionnaire you provide.
- Views a video or other multimedia content on your site.
- Subscribes to your podcast or YouTube channel.
- Participates in a poll or vote on your social media channels.
- Reads and comments on your blog posts.
- Downloads a case study or research report from your website.
- Signs up for an exclusive online community or forum you host.
- Requests pricing information or a quote through your website.
- Engages with a promotional offer or discount provided online.
- Adds products to a wish list or saves items for later on your e-commerce site.
- Uses a referral code to access your service or product.
- Consumes multiple pieces of your content across various platforms.
- Provides feedback or testimonials through an online platform you manage.
What’s the difference between inbound and outbound lead?
Inbound leads are warmer and more qualified because they have self-initiated interest in your business. They are much more likely to purchase.
Outbound leads start with no prior interaction with your business, and you have to make way more effort to engage and convert. They are less likely to purchase.
In fact, inbound leads have a close rate of 14.6 percent compared to only 1.7 percent of outbound leads (according to this source).
Essentially, inbound leads originate from prospects who actively seek out and engage with you through channels such as website visits or content downloads. It signals their pre-existing interest in your products and services.
In contrast, as a business, you must generate outbound leads yourself. Attracting outbound leads takes proactive outreach efforts by the company, such as cold calling, direct emails, or advertising.
In outbound lead generation, you target individuals who are either not aware of or interested in your company or know very little about it.
Why inbound leads are so useful?
Inbound prospects are particularly useful in B2B lead generation because B2B SaaS sales cycles are usually longer.
Leads that show interest in your product or service are much closer to buying than cold prospects.
As a result, inbound leads can be converted in a much shorter time than outbound leads.
Inbound leads: key benefits
- Higher Conversion Rates: Inbound leads often have a higher conversion rate because they actively seek out your business, indicating genuine interest.
- Cost-Effectiveness: Generating inbound leads is typically more cost-effective than outbound methods, as it leverages organic traffic and engagement.
- Enhanced Customer Trust: Inbound leads tend to trust your brand more, as they come through value-driven content and interactions.
- Improved Customer Insights: Tracking how inbound leads engage with your content provides valuable insights into customer preferences and behavior.
- Increased Brand Awareness: The content used to attract inbound leads raises brand awareness and establishes your authority in the industry.
- Shorter Sales Cycles: Since inbound leads self-identify their interest and needs, they often progress through the sales funnel more quickly.
- Better Qualification: Inbound leads usually meet initial qualification criteria, as they have engaged with targeted content related to their needs.
- Long-Term Relationships: Building connections through inbound efforts fosters long-lasting relationships and repeat business.
- Scalability: Inbound lead generation strategies can easily scale as your business grows and accommodate increasing content demands.
- Better ROI Measurement: The digital nature of inbound leads allows for precise ROI measurement and optimization through analytics and tracking tools.
What are the types of inbound leads?
There are three main types of inbound leads:
- Marketing qualified leads (MQLs): Prospects that have visited your website or social media profile to sign up for a guide, promotion, or other resource.
- Product qualified leads (PQLs): Prospects that have tried your product or services with a free trial or freemium version.
- Sales qualified leads (SQLs): Prospects that have reached out to your sales team about pricing or product information.
How to get inbound leads?
Getting inbound leads involves generating interest from organic content marketing, social media channels, and search traffic.
Inbound lead content marketing typically includes:
- Blog posts,
- Guides and tutorials,
- Product comparisons,
- How-to videos,
- eBooks,
- Webinars and online workshops,
- Podcasts,
- Infographics,
- Free tools and other free resources.
There can be many different content formats, but content aimed at generating inbound leads must focus on the pain points, concerns, and needs of your target audience.
Essentially, the content with which you attract inbound leads has to be:
- Useful
- Valuable
- Problem-solving
- Educational
- Navigational
- Transactional
Apart from the content, there are other steps to follow to generate inbound leads.
To get inbound leads, you have to:
- Optimize for SEO
- Use social media
- Run email marketing campaigns
- Invest in paid ads for better visibility
- Engage with forums and Groups
- Implement lead magnets
- Improve your website’s user experience
- Analyze your inbound lead gen strategies and adjust
What are the cons of inbound leads?
Contrary to popular belief, inbound leads are not quick wins. They still require nurturing and engagement to convert.
These are the main disadvantages of inbound leads:
- Your competitors can easily overrun you,
- Inbound lead generation is time-consuming,
- Initial results can be really slow,
- It heavily relies on your resources,
- Not all inbound leads fit your ICP,
- The number of inbound leads tends to fluctuate a lot,
- It’s not a mechanical process (you need a long-term methodology for inbound lead generation).
Who is in charge of inbound leads?
The sales and marketing teams typically handle inbound leads.
The marketing team often manages the initial engagement and nurturing process through automated systems and personalized content.
Once leads show sufficient interest and qualification, they are passed to the sales team, who further engage with them to convert them into customers.
Key takeaways
Inbound leads are prospects who initiate contact with a business by engaging with its content, such as downloading an ebook or participating in a webinar.
These leads are more valuable due to their higher conversion rates, cost-effectiveness, and enhanced customer trust since they already show interest in your business.
It makes them better qualified and faster to convert compared to outbound leads.
Inbound lead generation relies heavily on creating valuable and problem-solving content across various formats and optimizing strategies through channels like SEO, social media, and email campaigns.
On the other hand, inbound lead generation can be resource-intensive and can require a long time to show the results.
Nurturing by sales and marketing teams, as well as effective management, is crucial to converting your inbound leads into customers.
