Thursday, September 25, 2008

Lead Analytics: Understanding the Different Types of Potential Customers

Download this Article from Docstoc

Face the reality: not everyone who is going to belong to your lead list is going to be your regular customers. Some of them may approach you on a per-need basis, others would just make an inquiry, while there are those who don’t share interest at all (makes you wonder why they are there in the first place). Nevertheless, part of the lead analytics strategy of your business is identifying their characteristics. This will then help you determine which of them will become your priority all throughout your lead marketing campaign.

Let’s get the ball rolling:

1. Loyalists and Devouts. Let’s call the first one the loyalists or devouts. These are the people who have been patronizing your business for so long, and they have never failed to shower you with praises for your job. They only comprise a very small group, even less than 20 percent of your total customer base, but their contribution is very huge. In fact, they can make up half of your company’s sales.

They make excellent sales leads because they are easier to convince and would likely purchase your new products or avail of your new services with just a simple marketing ad or call.

2. Per-need Leads. These are the types of sales lads that would only purchase certain types of items from you. They would also not become part of your customer base unless you have something that they need. For example, if you’re running a consumer electronics business, and your pre-need leads are looking for cameras, unless you have them, you will not be able to convert them.

These sales leads should become priorities only when you can provide them with what they’re looking for. When you do, you will almost have the same amount of success in your conversion rate with the Loyalists and Devouts.

3. Roamers. There are also people that we can call the roamers. These are the kinds of leads that should belong to the bottom list or better yet completely removed as part of your leads. They really don’t have the intention to buy your products or avail of your services for some reason. Perhaps they have accidentally added their name to the mailing list, or someone else did. Believe it or not, some may even do it just for plain fun. They also don’t fit the characteristics of your target market.

Is there any way that you can convert these Roamers into Per-need Leads? Yes, you do, but only when you can also give in to their demands or what they need. Usually, however, if they believe that the business cannot do something for them, they are uncooperative.

4. Compulsives. There are also leads that we can label as compulsives. They don’t really have anything that they particularly need at that time. They cannot also be labelled as Loyalists or Devouts since they are not repeat customers. They are, however, those individuals that would purchase products that seem good at the moment. They are also not on your top-priority lists, but make sure that you can obtain a wishlist from them, so whenever you’re ready to sell such products, you already have existing leads.

Measuring Lead Performance

The performance of your sales leads will depend on their characteristics. But it will surely help you out if you can make use of a lead analytics program. You can rank or score these leads according to their priorities, and those that emerged with high values should be the first ones to be handled. A lot of these software are already web based, so you can expect up-to-date information.

Visit our lead management software sponsor:

No comments: