Lead generation is a popular online marketing tool. It stimulates and captures interest in a product from which sales can be developed. By targeting a selected audience with tailored promotional offers, a base of interested leads is built for a business to convert into new customers. It has potential for high volume, improving the reach, return and, due to its targeted nature, accountability of online engagement. AJ recommended this approach to one of its most established clients, proving you can teach an old dog new tricks.
Aquability is a leading UK producer of walk-in baths and showers, and has employed AJ as its agency for almost 20 years. During 2016, AJ recommended Aquability tried a new approach to lead generation because we were looking for new ways to grow business having maximised press and inserts.
The supplier, Magnetise, is running a mixture of online and email formats specifically designed to capture data. Once secured, the data is supplied to Aquability on a daily basis. Timing is important. Unless data is supplied for conversion efficiently, the value of real-time information is lost.
Lead generation requires an offer or call to action. In this case, potential leads are able to download a product brochure once their contact details have been given. Telephone numbers are a mandatory field so leads can be followed up by Aquability’s call centre team to generate appointments and ultimately sales.
This approach is popular because costs are fixed and low. Conversion rates from leads to sales can be low, but converting only a small number of leads to sales generates a high ROI. A typical lead cost is 20% of a press lead. Lead generation typically requires 50 leads to make a sale, compared to 12 from press, but still stacks up well and provides additional leads to keep the call centre busy.
Conversely, speed of lead generation is often affected by seasonality and the quality of leads isn’t known until activity begins. Quantity of leads doesn’t guarantee quality either, so regular feedback to Magnetise allows adjustments to be made and value maximised. Performance of each source is monitored, refined and optimised on an on-going basis.
Effective lead generation activity makes the sales process and revenue creation easier and quicker. Using this new way to reach customers, has given Aquability the scope to grow business by adding a new channel.