Prospecting and lead generation requires you to track activity. This may seem daunting at first, but there are many useful tools that can help you keep up with your prospects. Tracking and assessing results will help you determine how to alter your prospecting to convert more leads into sales.
There are a number of tools that assist in tracking lead generation. Customer relationship management systems (CRMs) are very popular. They track marketing, emails, and customer interactions. The programing makes tracking easier because it collects information from multiple departments, simplifying the process of finding and tracking leads. Along with full CRM programs, there are apps available for small businesses. Of course, some companies attempt to handle the information on their own, using spreadsheets and other programs to track progress manually, which is very time consuming. In the end, you must choose the best tool for your business.
You should have multiple advertising sources in place to attract leads, but you need to assess how each source performs for you and make adjustments as needed. First, you need to determine what you want to assess. You can assess the increase in traffic, the number of leads generated, or conversion rates. Your assessment will depend on the goal of your advertising. Do you want to attract more leads at this point, or are you looking for higher conversion rates. For example, a campaign may attract prospects or social media likes, but this does not translate to conversions. You might need to target your demographic better to increase conversion rates. Once you determine what you want to assess, collect the data with the CRM tool, ROI, or other tools for each individual source.
We have already addressed keeping a database of leads. This should be more than a list of names and company needs. The information recorded should be extensive, and more information should be recorded with every interaction.
Information to Record:
This is not a comprehensive list. Your business will dictate what you need to record. This information should be kept even if there is no conversion.
As with every other project that your company undertakes, you need to keep track of your return on investment (ROI). The basic ROI calculation is:
(Investment Gain – Cost of investment) / Cost of investment
Prospecting and lead generation are complex because there is not a single investment cost. Common costs include wages, ad posting, the cost of lead qualification, and conversion tracking, etc. The exact cost of your program will depend on the unique circumstances of your organization. Fortunately, there are different calculators and programs online to assist you with the assessment.
Beth was assessing the ROI of the lead generation program and discovered that it was not profitable. She asked Richard, who was in charge of the program, for the records of prospects and leads. She discovered that the records were very lean. Richard explained that he only kept records on people who became customers. Without the information, Beth was not sure which aspect of the process had weaknesses and what she needed to alter to improve the program.