{{ searchResult.published_at | date:'d MMMM yyyy' }}

Loading ...
Loading ...

Enter a search term such as “mobile analytics” or browse our content using the filters above.

No_results

That’s not only a poor Scrabble score but we also couldn’t find any results matching “”.
Check your spelling or try broadening your search.

Logo_distressed

Sorry about this, there is a problem with our search at the moment.
Please try again later.

An increasing number of brands are starting to take Online Lead Generation (OLG) seriously and making it a central part of their online customer acquisition strategy and it’s not hard to see why. 

If you sell widgets and you can capture leads where the consumers are all interested in buying widgets then you can put a process in place to turn those interested customers into sales and therefore revenue. Simple right?

For many brands it is pretty simple but before you decide to allocate thousands of pounds to a lead gen campaign it pays to take a step back and ask yourself a few questions to work out whether OLG is right for your brand. 

What’s your product?

Products that are fairly generic where the consumer typically searches for the product or service rather than a specific brand are generally better for OLG campaigns.

For example, financial services products such as insurance, mortgages etc. are perfect lead generation products as the consumer is often in comparison mode and is looking for the best deal rather than the brand that provides it.

If the product can be purchased purely online then it can be much harder to generate leads as there is much less reason for a consumer to submit their information without an additional strong incentive, which in turn will have an effect on lead quality. For example, for products like TVs and other consumer electronics, consumers can research, compare and purchase online without any need for further contact from the brand.

How will you follow up the leads?

If you are looking to OLG to provide interested consumers to fuel an outbound call centre then again this will only work if the product or service you sell typically requires that the consumer has to come offline to speak to somebody before making a purchasing decision.

Again this type of execution works perfectly for financial services lead generation as there is a natural incentive for a consumer to submit their details as they will need to speak to somebody to discuss an often complex product. However, for campaigns designed to build a prospect database for further remarketing (typically via email) then there is a much broader scope to use lead generation to capture interested consumers. 

Who and where are your customers?

As a lead is further down the marketing funnel than other forms of marketing (i.e. the consumer has to submit their details compared to just clicking on an ad) then the more niche your product and the smaller your customer base the harder it is to generate leads.

For every 100 consumers that hit a landing page only a small percentage will submit their information and only a percentage of these will get through a lead providers validation rules leaving potentially only a handful of leads.

This means you need a large number of potential consumers to generate quality leads in any volume. For example, car insurance leads are fairly easy to generate as every consumer with a car needs car insurance and there are millions of consumers searching online for car insurance.

Leads can be generated for more niche products but it often depends on whether these customers can be targeted easily. For example there might be a few websites that are frequented by your exact target customer so if you can run lead gen campaigns on these sites then there are still opportunities to generate leads.

What is the value of a sale?

Ultimately the measure of success for any OLG campaign is ROI and very simply, the higher the revenue potential from a converted customer the more opportunities there are for lead generation.

If you generate 10,000 leads from a campaign and you only require 100 leads to convert into a sale to make the campaign a success then you are far more likely to have a successful campaign than if you need 500 leads to convert into business.

Justin Rees

Published 7 September, 2010 by Justin Rees

Justin Rees is founder of Talking Customers and Cofounder of Currently.

15 more posts from this author

Comments (3)

Avatar-blank-50x50

Nick Copley

As a general rule lead generation works better where the purchase is a considered purchase - so the buyer needs to think about and research their buy before buying.

Typically these are higher priced items whether in the B2B or B2C space.

I've found that online you can very much target niche audiences who are looking for a specific product.

about 6 years ago

Steve Harvey-Franklin

Steve Harvey-Franklin, Director at AttercopiaSmall Business

I think there are some good points here. I take the point about generic products, but also think that if products and services are a little more discernible or more unique then there will be less competition and possibly a better ROI.

We're finding that Social Media is proving a fantastic integral strategy for lead generation and conversion strategy.

about 6 years ago

Avatar-blank-50x50

Steven

You make some good points here but your right it really comes down to what you and your brand has to offer when it comes to decide whether lead generation will be of any benefit to you. I had to learn that the hard way with my past failed endeavors.

about 6 years ago

Comment
No-profile-pic
Save or Cancel
Daily_pulse_signup_wide

Enjoying this article?

Get more just like this, delivered to your inbox.

Keep up to date with the latest analysis, inspiration and learning from the Econsultancy blog with our free Daily Pulse newsletter. Each weekday, you ll receive a hand-picked digest of the latest and greatest articles, as well as snippets of new market data, best practice guides and trends research.