How do I increase my conversion rate on the lead I purchase? This is the top question I am asked on a daily basis. So, I thought I would post directly to that question.
These are common best practices and will be reiterated by any successful sales organization and lead provider; however, the difficulty is having the discipline (or the lead management solution) to consistently enforce these best practices.
Know what is going on. You need to know your market, your competitors, and what is causing people to have a need for your product(s). If you have a large number of products educate yourself and simplify your presentation by segmenting products by potential consumer needs.
In addition to understanding what you are selling make sure you read and watch popular culture. Consumers want to feel like their is a human on the other end of the sale. So, read the front page, the sports page, the entertainment page. People love to talk about the weather–make sure you know what it is outside of your cube.
Consumers, especially Internet consumers, in this age of high connectivity expect immediate responses. Unfortunately, on the sell-side of the equation consumers also expect to transact at their convenience.
Consequently, you need to immediately respond to each new lead receipt with an immediate message to the consumer that you are attempting to contact them. This is easily done with an introduction email and phone call (voicemail). This introduce your company, you, and your ability to meet their needs.
Although we all want to be one call closers this is not a reality. In fact most consumers close somewhere between the fifth and tenth call. If you are only calling on those fresh leads each day–you are losing deals to the competitor.
This happens for a myriad reasons: people are busy, needs can be complex, final decisions may require a spouse, etc.
Ask Questions and Listen
This seems intuitive, but how many times have you heard a sales person so revved up on their canned pitch that they are talking past the potential customer. Make sure you start with questions and a needs assessment and close with confirmations of these needs. This is guaranteed to increase your closings!
An application and quote is free. Take and give them often. Consumers are looking for the price and commitment. Withholding the price so that “the customer doesn’t shop me” is bunk. If you don’t tell them the deal they are guaranteed to go to the competitor. Consumers want convenience, not games.
If you are still worried about shopping, use the application and quote process to build trust. Educate them on all of the tricks and hidden fees or gimmicks the competitor is going to pull and when they do they will run back to you and be a trusting customer and referrer for life.
Bottom Line: Follow-up, Don’t Lose Customers, Satisfy Needs
As your pipeline gets large it gets harder and harder to manage this bottom line. That is why I generally recommend a managed pipeline of no larger than 100-150 leads. This ensures that you are able to contact every consumer in your pipeline at least once every 48 hours, assuming you are hitting my recommended call velocity of 60-80 calls per day. The management of the pipeline, call backs, and annotating consumer needs all point to the need for a capable lead management strategy that keeps all of these best practices consistent, enforced, and managed.
Enjoy increased closings today!