More than 53% of marketers spend more than half of their marketing budget on lead generation because it's an effective acquisition strategy.
However, it only works when it is done right.
If you’ve been thinking about implementing lead generation into your business strategy this year, you’re on the right path.
In this post, we’ll share everything you need to know about generating high-quality leads. From the strategies to tools, keep reading to find out more.
Lead Generation and Why It’s Important
Being the first step in customer acquisition, Lead generation is the process of identifying your potential customers and contacting them so they become aware of your product or service.
At this stage, your goal is primarily focused on getting a means to communicate with them and further convert them in the process.
There are many reasons businesses prioritise lead generation and some of them include:
Increased brand awareness: Lead generation strategies allow you to promote your business to a wider audience. This increases your reach and gives your company more visibility and brand recognition. Over time…
Higher sales records and revenue: Every single customer was once a lead. The way you nurture them is what encourages them to do business with you. So generating more leads increases your chances of getting more customers and in turn, higher revenue.
Better conversions: With lead generation, you can directly track the ROI of your marketing and sales efforts. For example, you can track how many people are interested in your business based on how many website visits you get. You can make more impactful decisions and know what works versus what doesn’t based on the patterns you get from your data.
Cleaner data and customer insights: When you generate leads, you also get behavioral insights like their preferences and needs. This can help with more precise targeting and personalizations that can positively influence your engagement. However, this works especially when you get your leads the right way.
Types of Leads and Which One Should You Target
A lead is anyone interested in your products and services.
Usually, when they become a lead, it means you have their contact information and some details about them. For example, their name, job title, and company to mention a few.
But you cannot target every single lead and that is why you need to categorize them.
Here are a few ways to categorize your leads:
Based on interests
This classification allows you to group your leads based on their level of interest, and how they also found your business.
Inbound leads also known as warm leads are those leads who did their research and found your business themselves. An example might be someone who signed up for a product demo or your newsletter
Outbound leads also known as cold leads, on the other hand, are those generated by you through either a lead generation tool or your marketing strategies. An example are connections you sent messages to on LinkedIn.
Based on Qualification
Another classification method is qualifying them based on where they are in the sales funnel or your needs at the time.
Marketing Qualified Leads: These leads have usually shown interest in your business but passively. For example, leaving an email address after downloading a resource. This makes them a great target for your marketing campaigns.
Sales Qualified Leads: Here, the lead is very interested in your product and they just need convincing from your sales team. This could be someone who has signed up for a personalized demo or a chat with your team.
Product Qualified Leads: Very similar to SQLs but the difference is that here, the lead is already attached to your product. Usually, they’ve already signed up for a free trial or are on the free plan and are looking for the right plan to suit their needs.
Irrespective of the types of classification, the basics remain the same. Inbound leads are very interested in your business and are known as warm leads.
Inbound leads could also be product-qualified leads and marketing-qualified leads.
Outbound leads are cold and usually passive. These could also be sales-qualified leads and sometimes marketing-qualified leads as well.
How to Generate Leads for Your Business
Depending on the type of lead you want to attract, there are two approaches to lead generation
1. Inbound Lead Generation Method
The type of business you run would determine the exact inbound lead generation model for you.
However, since it is generating interest in your product or service via helpful resources and similar strategies, you need to find promotional channels that work for your team.
Some examples of channels you can use to acquire inbound leads include SEO, social media marketing, podcasts, content marketing through ebooks, videos, infographics, and more.
Choose one of these strategies and then focus on creating content that your target market would resonate with.
2. Outbound Lead Generation Method
Since it’s generally harder to generate leads here, the outbound lead generation method uses a higher level of targeting and personalization from the sales and marketing teams.
Here, you can use strategies like running paid ads on Google and social media (PPC), sending cold emails, or placing cold calls to leads you get from your lead generation tools.
Lead Generation Tools
Lead generation tools popularly known as lead generators are tools that help teams automate the lead generation process.
They can be used to carry out both outbound and inbound lead generation at a larger scale.
Some of these tools include:
Email finders and verifiers
Email marketing and outreach tools
Marketing automation and CRM tools
Social media tools
Survey and form software
Calendar and call scheduling tools
7 Strategies to Get High-Quality Leads in 2024 (+ Examples)
If you’re not sure where to begin when building your sales generation strategy, here are a few examples to inspire you.
1. Set up a Tripwire funnel for PPC Campaigns
This strategy uses a lead magnet to reel in cold leads at first and then triggers a paid product at the backend. It offers an inexpensive product to the customer to sell a more expensive one later.
For example, a lead might not be ready to purchase your course online just yet, so you create a cheaper mini-course as the trip wire and then a free ebook as the bait to reel them in.
Once they are locked into your eBook, you can upsell the mini-course which they’ll be more inclined to purchase.
Another example could be offering a 15-minute consultation service.
Tripwire funnels work because people like to have a good deal. However, they won’t easily commit to your business without a little nudge.
The sales from your tripwire would also help you offset any advertising costs spent.
Tips for setting up your Tripwire PPC campaign
Identify your best-performing product or service and create an MVP that’s cheaper but highly valuable
Run a highly targeted PPC campaign towards your target audience or demographic
Set up marketing automation afterward based on their behavior and interaction with the product
2. Use webinars to generate warm leads
Webinars are a way to incorporate door-to-door selling on a larger scale in today’s world.
For one, it establishes your business as a thought leader in your industry.
During this webinar, you can position your business while addressing any concerns they might have with your product or service.
However, don’t do this the generic way!
Some strategies we recommend when using a webinar to generate leads include:
Creating a webinar topic to target a specific problem or point your prospect might have
Adding an open-loop system that leaves them curious. For example, sharing that your approach would be easy and free would make them even more expectant
Keeping on-demand downloads in exchange for contact information, like Slack
In the webinar, use an attendee’s business to show a real-life example of how they can use your product or service to solve a problem