Lead generation marketing, is how you grow your business, but knowing where to invest and what is working can be hard.
Lead generation marketing has two key action areas.
- The first one is what content should you be creating and is that content creating leads for you organisation?
- The second is, knowing where to invest your marketing budget to ensure you are reaching the right audience and doing it in a cost effective way.
Tl;dr Lead Generation
Top 3 tips for Lead Generation
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2. Understand which channels and campaigns (how people got to your website) are working and not working. Know the cost per lead for paid channels, to see if there is an issue or opportunity to invest further.
3. Know which content people are engaging with the most. What is driving your lead generation and what content should you be doing more of.
Lead Generation Marketing
The What, Why and How
What activities can I do?
Lead generation marketing is not a new category in marketing. However with digital marketing it makes the process more interactive for prospective leads and measurable for organisations.
The two activities you need to be focusing on for your lead generation marketing are the following:
2 The channels you need to use to reach your audience
Why should I measure my leads?
Measuring your lead generation marketing performance is critical.
By measuring where you leads came from (channel) and what they engaged with (content) you will be able to understand what is and is not working.
Once you know what is converting well, you will be able to invest your lead generation marketing budget to work it’s hardest.
The typical measure of success is Cost per lead (CPL) which will allow you to understand which media and content combination is the best.
How to I diagnose my marketing effectiveness?
To diagnose your lead generation marketing you will need to look at two key areas:
1.Define your trending lead performance
The first task is to understand overall how your organisation performs at generating leads. This needs to be compared either month on month or year on year. Click here to learn how to monitor your overall lead performance.
2. Diagnose your channels and content
The second task is using the changes from your trending lead performance, diagnose which channels, content and campaigns are over and underperforming.
Click here to learn how to diagnose your lead generation marketing.
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Learn how to understand your lead generation marketing performance over time.
See our quick video guide to understand your overall lead generation marketing performance.
Outlining your overall lead generation marketing effectiveness
In this image we have outlined the key metrics you need to have a handle on to ensure you can accurately monitor the effectiveness of your lead generation marketing. This example is based on monthly data, but could also be quarterly.
Profiling your overall campaign performance
Here are a number of example lead generation marketing campaigns which have been run over a month. The overall awareness vs effectiveness has been mapped out so you can understand the contribution of each campaign.
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Listen to our audio guide on how to monitor your overall lead generation marketing performance.
Discover 5 easy steps to diagnosing your lead generation marketing
See our quick how-to guide on diagnosing your lead generation marketing activities.
STEP 1: Discover where your leads are coming from
In this image we have outlined the number of leads generated by each marketing channel. Make sure you can capture each lead and identify where they original came from to know how effective that channel is.
TOP TIP: Make sure the website traffic is correctly classified so the leads are put into the right buckets. For example if the email traffic is not correctly tracked it will come in as direct traffic.
STEP 2: Know what your leads engaged with
This image shows what the visitors did on the website. Ensure you tag each of your forms on your website so you know what people did to become leads so you can then understand what content is currently engaging your audience, which makes your marketing spend work harder.
TOP TIP: Be sure to validate the quality of the leads. Ensure the leads generated by each form, are not inflated with irrelevant leads. Use your lead goal targets for both leads and qualified leads to know if your lead forms are over or under performing.
STEP 3: Diagnose which channels are working effectively
This illustration highlights the lead generation marketing effectiveness of each of the major channels. Profile the share of your channels to understand where the majority of your leads are coming from vs where the traffic is coming from.
TOP TIP: Aim to profile share of traffic against share of leads. Be aware the more traffic you generate the less effective that channel will become. This doesn’t mean that channel is underperforming. This is certainly the case if you are prospecting or targeting visitors who have never visited your website before. As long as the cost per lead is not very high for media campaigns continue with this effort.
STEP 4: Understand which paid campaigns are generating your leads
Here is an outline of lead generation marketing paid campaigns. Look specifically at the performance of each of your paid for campaigns. See which campaigns have generated the majority of your leads and see if there is more headroom for those which are performing well.
TOP TIP: Ensure you have a clear naming structure for your campaigns, so you can quickly identify what campaign they are and what type of advert it is. Also ensure the cost per lead is not too high on the large volume campaigns, as they might be generating a good volume of leads but at a very high cost. Ensure the cost per lead is aligned with your target cost per lead.
STEP 5: Calculate the cost per lead for your campaigns
TOP TIP: Look at your cost per lead closely to understand the performance of your campaigns. If you closely monitor you cost per lead over time you might need to stop a campaign if it starts to become tired (increasing cost per lead) when users have seen the content or already engaged with the content. This could require the creation of new a campaign and content.
On the go?
Listen to our 5 step how-to guide on diagnosing your lead generation marketing activities.
People also ask . . .
Once you have set out your targets for the year and built your lead generation performance funnel, you will have idea on the numbers you need to generate.
Depending on if you are hitting or missing these targets will indicate where you need to focus. For example:
- Too many visitors and not enough leads? Then there is a lead conversion problem.
- A lot of leads but not enough sales opportunities, more work is needed to qualify the leads.
So knowing your lead performance funnel and monitoring it will enable you to know where to focus your effort.
Your lead marketing effectiveness will all depend on what you are trying to measure.
In the first instance you will need to ensure you cost per lead amount does not exceed the amount of potential revenue you could get from a sale.
To truly start to measure your lead generation effectiveness, you will need to start to measure the number of qualified leads. These are leads which are deemed as being ready or relevant to have a further conversion.
Understanding your marketing qualified lead cost is very important and is a good measure to knowing if you are likely to generate profitable leads.
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Below is some recommended lead generation content, we have picked out. This content is mixture of tools to help and articles which help understand more about lead generation in digital.