Better lead conversion strategies is the third video and article in this series for subscribers only, writes Robert Clay of Marketing Wizdom.
Over the last 21 years I have done considerable research in to what makes businesses market leaders in their niche. In that time I’ve taught more than 600 established businesses how to harness and apply these principles, which has enabled them to outsmart the 98% of businesses that don’t. It works!!!
In my previous article and video, I showed you the first of six ways to Turbocharge your business – using Profit-Boosting Lead Generation Strategies. Today, I’m introducing you to the second of the six turbochargers – Better Lead Conversion Strategies.
Business Down the Drain?
Let me ask you this: how often have you enquired about something only to get no response, or a single response, but no further follow up?
Unfortunately, many businesses unwittingly throw a significant portion of their potential business down the drain by generating interest and leads. But not converting those leads into business. They need better lead conversion strategies.
What would happen to your bottom-line if you had better lead conversion strategies that could double or triple your conversion rates?
But before I show you how to do that let me briefly mention all six of the turbochargers, which will be covered in more detail over the next few articles and videos.
Master any one of the six profit turbochargers, including better lead conversion strategies, and you can achieve significant business growth. By applying your efforts to all six areas and achieving a simple 10% boost in each one doesn’t just deliver 10% or even 60% more profits, but 175% more profits. And a 25% boost in all six areas can increase your profits by 365%.
So, what is not to like about that!
The Second Turbocharger – Better Lead Conversion Strategies
It’s scary how many leads fall through the cracks. I come across many industries where it is considered quite normal to convert a pitiful 5% of leads into sales. And one of the most scandalous statistics I ever encountered is that 80% of sales enquiries never even receive a response!
The point is that most businesses are much less effective than they could or should be at converting leads. And they unwittingly throw a significant proportion of their potential business down the drain.
That’s a tragic waste of all the time, money and resources invested in generating those leads in the first place. But unfortunately, it happens all the time.
Furthermore, the damage to your reputation could be immeasurable. That’s where better lead conversion strategies can make a big difference. And it all starts with measuring your conversion rate.
Do You Measure Your Conversion Rate?
Very few entrepreneurs in my experience can accurately tell me their conversion rate when asked. Most just take a stab in the dark and it’s quite common for them to over guess by as much as 400%.
The thing is, it really ISN’T hard to measure your conversion rate.
Better lead conversion strategies could easily double or triple your business virtually overnight.
So how do you measure your conversion rate?
It’s just a matter of recording how many people enquire or show interest in your product or service, and how many of them ultimately buy in the same time period. Then you divide the number who have bought, by the number who have enquired and there’s your conversion rate!
For example, if you have 100 enquiries and you sell to 18 of them, you have an 18% conversion rate. It’s so easy, yet it constantly amazes me how few people in business do it.
So, let’s say you wanted to double your conversion rate, subsequently doubling your revenues… Where would you focus YOUR attention?
Five Conversion Strategies to Consider
There are dozens of things you can do achieve better lead conversion rates. Here are just a few:
Educate your prospects: Provide your buyers with a complete understanding of the reasons why you do what you do. And why your product or service is superior to others. Why they should act. And why they’ll be disadvantaged if they don’t.
Quantify the value you offer: Value Quantification is the process of demonstrating to your prospects and customers that your products or services offer exceptional value. You do that by expressing your benefits in monetary terms.
Make it easy for people to buy: If you want people to buy your products or services in ever greater numbers or talk positively about your business, you need to make the whole process as easy, pleasant, desirable and even fun for them as possible.
Make irresistible offers: Create such a powerful and compelling offer that people would be foolish to pass it up. An offer that makes it more advantageous to acquire your product or service than not to do so.
Eliminate risk for your buyers: For example, free trial period, performance guarantees etc. The stronger the guarantee you can offer, without putting your business at risk, the more business you’ll do.
And Four More …
Provide irrefutable proof of the outcomes you can deliver: For example, before and after examples, case studies, video testimonials, independent reviews and ratings.
Provide direct experience of your product or service: For example, free trial/sample, in shop demonstration.
Train your team to sell more effectively: Ensure that your team not only have professional consultative sales training but also have detailed product knowledge. They should be able to put themselves in your customers’ shoes and advise them on the best way to get the outcomes they’re seeking. This will equip them to handle any queries customers may have and turn more of them into sales.
Use a solid CRM system: A good CRM system manages all your business relationships and interactions. It helps you stay focused on your relationships with your buyers, potential buyers and suppliers. It streamlines your processes and improves your productivity.
I could go on!
How A Travel Agent Doubled Her Business Overnight
Now I’ve given you some food for thought, let me give you a quick example of how a Travel Agent doubled her business overnight by using better lead conversion strategies.
This travel agent sought help because she thought she needed better advertising to generate more leads. When asked what her conversion rate was, she THOUGHT it was about 80%. That seemed highly unlikely, so she was shown a very simple way to measure it. She was mortified to discover, after measuring it for a few weeks, that it was actually only 18%.
The mere awareness of her conversion rate had an impact. By training her team and making them aware that they were being measured, they started converting 23% of enquiries immediately. That’s an instant 28% increase in business.
Better Lead Conversion For No Extra Cost
A better lead conversion strategy was devised which was extremely simple and cost her nothing. Her conversion rate instantly leapt to 42%.
Here’s what she did…
The problem was that people would walk in off the street and browse all the travel brochures on the rack. They’d help themselves to the ones they wanted, then disappear out of the door. So there was no interaction with the travel consultants. And nobody knew who they were.
The answer, quite simply, was to move the brochure rack behind the consultants’ desks. That made it easy for the consultants to start interacting with potential customers. And it instantly pushed the conversion rate up to 42%, a 233% increase in sales virtually overnight.
Like many businesses, the travel agent needed more customers, so of course she was always hungry for more leads. As it turned out, she didn’t NEED better advertising. She was already generating all the leads she needed. Quite simply, like many businesses, she just hadn’t been converting them effectively. She needed a better lead conversion strategy.
Lots of Lead Conversion Strategies Are Available to You
The point is that there are any number of lead conversion strategies available to you. Consider just how easily a better lead conversion strategy can boost your conversion rate by 10% or even 25%. Remember that a simple 10% boost in each of the six areas of the profit acceleration formula doesn’t just deliver 10% or even 60% more profits, but 175% more profits. And a 25% boost in all six areas can increase your profits by 365%.
Your goal should be to get your business working smarter, not harder for you on an ongoing basis.
What conversion strategies do you use in your business? Which ones work best? And what other steps can you take to increase your conversion rate?
So, don’t forget to:
- Educate your prospects
- Quantify the value you offer
- Make it easy for people to buy
- Make irresistible offers
- Eliminate risk for your buyers
- Provide irrefutable proof of the outcomes you can deliver
- Provide direct experience of your product or service
- Train your team to sell more effectively
- Use a solid CRM system
Now that’s something to think about!
What Lead Conversion Strategies Do You Use? Please Comment Below
Please share with us below how you convert leads into buyers in your business. How do you measure your conversion rate? What percentage of your leads fall through the cracks? And what results would you achieve if you could double or triple your conversion rate?
Please also comment if you’ve found this article on better lead conversion strategies helpful. And if you have any of your own ideas, insights, perspectives and experiences to contribute, please add your comment below.
And let us know below if you have any questions relating to lead conversion strategies. Or if there are any specific topics you’d like us to cover in future articles.
This is Robert Clay. Thank you for joining me today. I look forward to sharing many more concepts with you that, when you put them together and execute them effectively, can take your business from arithmetic to geometric growth and to leadership in its niche.