Improving the quantity and quality of a sales lead isn’t a simple task. Just ask any sales or marketing expert. However, a 2011 study by Aberdeen Group, a market research firm, demonstrates that investing in demand generation optimization and developing key performance indicators to measure the quantity of leads converted can pay great dividends.
Aberdeen surveyed 4,141 marketing and sales executives worldwide to identify key trends and initiatives designed to improve lead management and sales effectiveness. The results from the survey were not totally surprising; however, the performance differences between laggard companies and best-in-class companies were significant.
- Best-in-class companies forecasted sales from leads generated by marketing to be 50 percent versus 2 percent from laggard organizations.
- Best-in-class companies closed 48 percent of marketing-generated leads versus 2 percent for laggard organizations.
- Best-in-class companies experienced 20 percent YOY growth compared to 3 percent decline among laggards.
Moving from laggard to best-in-class status requires investment and can’t be done overnight. It requires close collaboration between sales and marketing, a process that has been difficult if not impossible for some organizations. To get started with this transformation, it’s best to assume that your firm falls into the laggard category (even if that’s not true.)