Truth #6—Best-in-class Prospect Development

Posted by Dan McDade

Find me on:
on Jul 3, 2009 9:03:00 AM

Lead Generation Featured Image
Everybody, it seems, wants more high quality leads and this demand is driving marketing buyers toward solutions that just aren't working. Whether attracted to pay-for-performance (what I call pay for failure) or bait and switch (low base rate programs that end up costing a mint after all costs are loaded on), the frenzy is on and will undoubtedly end up like the tulip crash in 1637.

Before you jump on board, consider the following:

Which of these scenarios are you interested in:

1. Your market is "creamed" and your sales reps are sent leads prequalified as lightly as possible so that the provider gets paid as much as possible. Meanwhile, the low base rate you thought you were paying has just increased by 35%. You wouldn't want poor customer service, would you? Each and every one of their reports is custom—and expensive...

2. Compare that to a partnership where both the client and the provider/partner are aligned. Of course generating leads and increasing revenue are primary objectives. However, what about weeding out those names on your lists that are absolute garbage (you will never identify them and weed them out with scenario #1). What about companies that are fully qualified (type, size, vertical, environment...) but just not sales-ready? If 30 - 40% of the average list contains qualified companies with no immediate interest—but that same list is a great source of future opportunity, wouldn't you want to know that AND stay in front of that market until ready-buyers are produced? Of course!

Do you want high quality leads from a best in class provider/partner or an argument about how this low-level lead really does or does not meet the qualifying criteria?

Best-of-class prospect development focuses on qualified revenue opportunities: Standard lead generation focuses on quantity rather than quality:
Fills your forecast with qualified prospects Floods your pipeline with so-called leads
Delivers fewer, yet more qualified leads that improve results Claims inflated lead rates without regard for quality
Gives you sales-ready prospects in seamless transition Clutters calendars with unqualified meetings
Segments, mines databases for maximum effectiveness Uses standard lists, and hopes for different results
Offers program ROI—averaging 10x investment Offers programs that incent volume, not quality
Measures value by revenue generated Measures value by cost-per-lead

For more information about quality Prospect Development:

Prospect Development | Business Case

 


By Dan McDade


Tell us what you think!

Topics: Lead Generation, Marketing Strategy, Cost Per Lead


Revenue - Inbound - Nurturing = The GAP. We guarantee you'll be surprised by your actual metrics. Try our Lead Revenue Calculator
Get the Calculator

filter blog posts

  • Search

Top 5 posts

How Much Leads Cost

I review a lot of content on this topic and am amazed at what I find written about lead cost. For example:

Why Don’t Companies Want to Talk to Anyone?

It’s truly strange when companies enter the stealth mode. They hide phone numbers, dial-by-name directories, and employee names,..

What Should the Sales Close Rate Be?

I’ve read and heard (from a well-known industry analyst firm) that best-in-class companies close 30% of sales qualified leads..

Gold Calling vs. Cold Calling

I've written many blog posts on the fact that cold calling isn't dead. In fact, doing the right amount of research, adding a..