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Sales leads



Kirjoittanut: Lucas Pääkkönen Alvim - tiimistä SYNTRE.

Esseen tyyppi: Yksilöessee / 2 esseepistettä.
Esseen arvioitu lukuaika on 5 minuuttia.

Sales leads

 

Introduction

What is a lead, a lead is any person or business that has shown interest in a product or service that a company is offering. Leads normally are contacted by the business after there has already been some communication, that communication can be the lead providing some personal information to get a newsletter from the company, a trial or to get an offer.

A good example is that you search on the internet for how to organize and maintain a pretty and big garden, and you find an online survey to learn more about taking care of your garden. In the survey, they ask your email and all sorts of questions about your garden and your gardening habits. After a day or two you get an email from the gardening company on how they can help you maintain and improve your garden. This is an example of how you are a lead for a gardening company. And this way the gardening company has better chances of getting new customers as they know that you have a garden and care about it, than instead of cold calling without knowing if you even care about how your garden looks.

Leads are a part of the broader customer journey that potential customers go throw. Not all leads are created the same way and not all leads are qualified the same way. There are different kinds of leads on how they are qualified and at what point of the customer journey they are in. (Cox, 2023)

 

Different kinds of leads

As previously said, there are different kinds of sales leads. The six types of sales leads that I will be covering are: hot leads, warm leads, cold leads, information qualified leads, sales qualified leads and marketing qualified leads.

Hot lead. A hot lead is a person or company that has already shown interest in your product or service, by asking for a free demo or even contacting the sales team. Normally hot leads have communicated a problem that they have that your business can solve for them and normally they are in your target audience.

Warm lead. Warm leads are people or businesses that know your product or service. Even if they have not communicated their interest in what you have to offer, they read your blog posts or follow your business in social media. Also, they can have communicated interest previously but not followed through with the deal.

Cold leads. Cold leads are people or businesses that have not shown interest in your business but fit in your target audience. These leads are mostly generated by own research.

Information qualified leads. IQLs are people or businesses that have shown interest in what you have to offer by for example signing up for a monthly newsletter provided by your company or downloading a free guide from your website.

Sales qualified leads. SQLs are people or businesses that your sales team recognizes as qualified. So leads that your sales team wants to pitch or follow up. Normally SQLs fit your target audience and have shown significant interest in your company’s offerings.

Marketing qualified leads. MQLs are people or businesses that have taken the next step after being exposed to your marketing and they meet specific criteria specified by the marketing team. They normally have a basic knowledge of your offering but are not yet ready to make a purchase. An MQL can be a person who saw an ad of your product or business and clicked on it, browsed throw your website, but did not make a purchase. (July, 2023)

 

How to convert the different kinds of leads into sales

As there are different kinds of leads, there should also be different approaches to trying to close sales with them, as different leads are at different points in the customer journey.

Hot leads. It Is important to get back to your hot leads as soon as possible as they have show interest in your business they may have also shown interest in the business of your competitor. Also if you get back to them soon, the interest is still fresh in their head, if you give it to much time, the interest may start fading. Different ways of trying to convert a hot lead may include scheduling a call or meeting between the sales team and the lead, where the sales team can pitch the product or service, give the lead a free trial so that they can try it out, and decide if they want to stick with to more time and make a commitment.

Warm leads. Warm leads usually have a good conversion rate as they are already familiar with the business and have shown interest at some point in it. Some different ways of trying to convert a warm lead can be by sending them an email or having a call where you explain and emphasize the features of the product or service that may interest the lead. Include calls to action in your website and emails to encourage the lead to communicate with your business their interest in purchasing or purchasing directly.

Cold leads. Cold leads are usually the hardest ones to convert as they have not yet shown any interest in your offering. But converting cold leads is essential to getting new customers and growing your business. To start the process of converting a cold lead you share in your blog posts, throw email and social media more information about your business, so that thw cold lead could familiarize with your business. Also calling them or setting a meeting to go over how would they benefit of partnering up with your business and how you would solve their problems.

Information qualified leads. IQLs have already shown interest in your offering, so they want to learn more about it. So a good way of converting these leads into customers is by creating and sharing high-quality informative content that would answer the lead’s questions and concerns regarding the product or service satisfying their needs, and also include clear calls to action to motivate them to commit to purchasing your product or service.

Sales qualified leads. To try to convert a SQL the sales team should reach out with a pitch and try to discuss with the lead the benefits of partnering with your business and how the product or service can solve their specific problem.

Marketing qualified leads. To convert MQL you should invest in creating quality content with the objective of getting engagement from the lead, to get the lead to sign up for emails to receive more information about what are you offering, and by providing this information you would be reassuring the lead that your business has value for them and encourage them to convert. (July, 2023)

 

Conclusion

In conclusion, there are different kinds of leads that require different kind of handling, and it is crucial that leads are well-handled so that they could convert into loyal customers, bringing growth in revenue that consequently will help the business grow,

 

References

Cox, L.K. (2023) Lead generation: A beginner’s guide to generating business leads the inbound way, HubSpot Blog. HubSpot. Available at: https://blog.hubspot.com/marketing/beginner-inbound-lead-generation-guide-ht (Accessed: May 3, 2023).

July, A.F. (2023) 6 types of sales leads and how to convert them, WebFX. Available at: https://www.webfx.com/blog/marketing/types-of-sales-leads/ (Accessed: May 3, 2023).

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