There are so many powerful arguments for outsourcing lead generation. It gives you back time and frees you up to concentrate on more strategic projects while safe in the knowledge that you can rely on a consistent and quality supply of leads. What’s not to like?
So when is outsourcing not the right decision?
The value of your product
It comes down to the value of your product. A good barometer is if your sales value is below the £5,000 mark (one off sale or annualised if you’re selling a monthly subscription model) then outsourced lead generation might not deliver the results you’re looking for. A good lead generation company is able to guide you on this and let you know the potential return on investment (ROI) they can deliver for your project.
Lead generation can deliver incredible results but it’s important to have realistic expectations at the outset. It’s not a magic bullet that can expertly cut through your sales cycle; the expertise is derived from the skill of the agent’s approach and their commitment to achieving results for your business. If it were easy, you’d simply expand your team and see immediate results.
It takes time
Lead generation campaigns need time to gain momentum, taking up to 6 months to prove their ROI. In the same way you wouldn’t expect a new employee to deliver sales on day one or even month 1, you cannot expect to see immediate results from a very limited trial or a very short campaign. It simply won’t be a meaningful reflection of what could be achieved with the proper time and investment in the project.
The foundations for partnership
Lead generation companies worth their salt will want to build a partnership and collaborate closely with you so they can learn how your business operates. Nobody knows your business and products better than you, so communicating your advice and experience is vital to success. Remember, they are experts in their field but they’re not experts in your business processes, so they will need time and support to get things right for you. This requires access, regular meetings and a level of involvement with your in-house team. Things don’t always go to plan, it’s important to be able to have an honest and open conversation with your supplier. Work with them to find solutions and spend some time listening to their agents making calls. If a supplier isn’t prepared to let you listen to calls, or see how they train their agents, take them off your list at the supplier selection stage. The relationship works both ways and they need to be transparent about their processes to ensure your partnership thrives.
You have a different sales model
All businesses have quirks that are unique to them. If most of your sales come from referrals and you’ve experienced organic growth as a result, then it’s important to understand that leads generated from cold calls will have a much lower conversion rate, typically between 5% and 30% (dependent on product, price and relevance to the customer).
Know your numbers so you can set expectations
It is important to start outsourced lead generation programme with a clear understanding of what to expect.
Check out our video where Owen Richards, MD of Air Marketing and Richard Forrest, MD of Forrest Marketing Group in Australia, dive deeper into the topic discussing the impact of pricing models and perceptions of supplier collaboration on the success of lead generation initiatives.
At Air, we work with clients to create a tailored, blend of services that will deliver the best conversion rates in their desired market. If you’d like to hear more about how we can help your business grow or show you how we’ve helped businesses from all sectors achieve success, get in touch today or call us on 0345 241 3038. Hear more from our existing customers here.