Posts Tagged ‘Sales Pipeline’

5 Ways to Prevent Sales Funnel Leakage with Marketing Automation

Thursday, January 6th, 2011

In the b2b world of long sales cycles involving multiple decision-makers and influencers, sales funnel leakage is one of the most challenging issues Sales and Marketing face. It occurs when Marketing Qualified Leads are passed to Sales but do not actively enter the sales cycle, and as a result, fall out of the funnel. Why should reducing funnel leakage be a top priority for organizations? According to DemandGen Report, 80% of un-worked leads – those not worked by your sales team for various reasons - will buy from someone over the next two years.

Plugging leaks in your sales funnel can prevent you from losing un-worked leads to your competitors and significantly impact your bottom line. Below are 5 ways marketing automation can enable you to prevent sales funnel leakage:

  1. Create a lead scoring model to enable Sales to automatically prioritize leads.
    Lead Scoring models help your sales team prioritize leads that are ready for action. The total lead score is comprised of both a fit and interest score, and leads are automatically passed to sales once they reach a certain score. The key to creating a successful lead scoring model is getting Sales and Marketing to agree on what constitutes a qualified lead. According to a SiriusDecisions report, about 80% of leads are not followed up by on by Sales. This is probably because of a disconnect between Marketing and Sales.
  2. Use sales alerts to respond to high-scoring leads at the right time with the right message. Connecting with today’s crazy-busy buyer is incredibly difficult. If you are lucky enough to get them on the phone, you have about a 5-second window to say something valuable before you’re dismissed. Marketing automation provides your sales team with real-time sales alerts tracking when prospects enter your website and what pages they view – giving sales reps the ability to have a relevant conversation at the moment the prospect is focusing on you.
  3. Develop a lead nurturing process to engage decision-makers. According to a survey by American Business Media, 78% of business decision-makers say they are spending less time with sales representatives. Before scheduling a meeting, they want relevant information delivered to them. Content should be objective, personalized, and delivered in a simple, clean format. Each touch-point should provide more information and value than the last preparing them for the initial meeting with a sales rep.
  4. Close the loop between the sales and marketing process with tight CRM integration.
    In the long b2b sales cycle, circumstances, such as budget, role or need, are constantly changing. A lead that was initially qualified may become unqualified or not sales-ready. These leads should be passed back to marketing for continued nurturing. Tightly integrated CRM and marketing automation platforms, enable sales reps to enter those leads into a marketing-driven lead nurturing campaign directly from their contact records. Leads will continued to be nurtured by marketing until they are sales-ready – and when passed back to Sales, your company will be top of mind.
  5. Track your results and revise your process. Building a solid process to utilize your marketing automation solution to its fullest potential is a work in progress. You should constantly track and evaluate your results. Are there bottlenecks in your sales funnel? Does your lead nurturing process fizzle at a certain touch-point? Is your lead scoring model aligned with what Sales considers a truly qualified lead? Tracking your results and revising your process accordingly is critical to creating an effective sales funnel.

Plugging the leaks in your sales funnel can lower your cost of doing business and significantly increase deals closed per sales rep. Marketing automation enables you to plug those leaks and keep your hard-earned leads’ eyes on you throughout the sales cycle.

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Jeff Erramouspe

Marketing Automation Puts an End to Wasting Leads

Tuesday, October 5th, 2010

In many companies, generating any kind of an inquiry is considered a lead and sent over to the sales side, heaped onto the pile that sales reps must dig through in search of someone with a pulse that may have the potential to become a customer in the short term. This is but one example of why marketing and sales don’t get along.

According to Marketing Sherpa, 79% of leads never become sales opportunities. This percentage can either indicate that marketers are not generating the right types of leads, or that the leads sales doesn’t select for short-term pursuit fall into a black hole, never to be seen again—or a combination of both.

The problem with this approach to lead management is that marketing is wasting the majority of the budget they spent to acquire leads, as well as giving viable leads over to competitors without a fight. How long can your company afford to continue this practice?

Instead, consider the advantages of changing the way you manage leads. Marketing automation can eliminate waste and improve the use of sales rep’s time by:

  • Doing the cherry picking for them.
    Lead scoring measures fit and tracks activity so that only the leads that express high velocity, founded on concentrated interest will be routed to salespeople for follow-up. Instead of losing leads into a black-hole database, marketers can better ensure that funnel leakage is reduced while better-qualified opportunities are generated.
  • Disqualifying leads that lack ideal customer traits.
    Armed with an agreed-upon definition of a qualified lead, marketers can remove, or disqualify, leads that do not fit the customer profile your company serves. Not only will this keep your database clean, but it will reduce (hopefully eliminate) fruitless activity for salespeople. All contacts are not leads. Continuing to treat them like they are is a waste of your time—and theirs.
  • Using trigger events to transition leads at the right time.
    Tracking activity across the buying process enables marketers to identify patterns of behavior that result in forward sales momentum at the handoff. Marketing automation provides the ability to set rules and responses to those key behaviors so that salespeople don’t miss the chance to engage at the appropriate time.

Research conducted by SiriusDecisions finds that prospects are 70% of the way through their buying process at the time of sales engagement. The better able companies are to continue a content marketing dialogue from the first identification of a lead until sales readiness is indicated, the higher the potential to turn leads into customers. Nurturing leads over the longer-term buying process increases the odds that your pipeline will be more consistent, especially with evidence that a majority of leads that express interest will buy a solution from a vendor within a year or two.

Marketing automation software gives B2B marketers the tools they need to reduce lead waste and leakage and help salespeople to focus on pursuing the best opportunities for customer acquisition.

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Christopher Doran

How Marketing Can Help Sales After the Handoff

Wednesday, September 29th, 2010

As companies work to establish processes that embrace and support the buying journey from contact to close, an interesting result occurs. Marketing and Sales become unified around one process, instead of each focusing only on their respective ends of the revenue pipeline. Marketing automation integrated with CRM helps to bridge that chasm that used to serve as a dividing line between unknown entities and qualified leads acceptable for sales pursuit.

The key is that buyers don’t care which side is communicating with them, they care about what’s in it for them as they work toward solving business problems.

Recent research by Demand Gen Report found that, “…58 percent of B2B marketers believe the role of a marketer ‘never ends’ even when the lead has been transitioned to sales…” Marketing automation helps marketers add value to buyer relationships even after those prospects have begun to interact with salespeople.

Take a look at 3 ways marketing automation can be used to help salespeople after the handoff:

1.       Post Handoff Scoring: Once a lead’s score reaches the qualification threshold for transition to sales doesn’t mean that their activity with your website and content ceases. In fact, it could even accelerate as they get involved in the complex details necessary to validate that your solution will actually serve their specific situation. With visibility into just which content your qualified leads are accessing, marketers can provide salespeople with additional content and collateral that matches buyer activity to help keep the momentum toward purchase moving along.

2.       Continuous Nurturing: By creating a post-handoff nurturing program jointly with your sales team, marketers can continue to provide late-stage “touches” that help to prove the value sales reps bring to the conversation. Because marketers know which content leads have viewed to date, they can continue to build the relationship on behalf of salespeople. The integration with CRM will help salespeople choose when to interact as well as provide them with fodder for relevant follow-up conversations.

3.       Growth in Interest: Anonymous Web Visitor ID can help marketers identify website visits from additional contacts at the qualified lead’s company. With B2B buyers involving more influencers and stakeholders, sharing this insight with sales reps can help them gauge the true level of buying interest and spot opportunities to extend conversations and offer additional information that may help the buying committee take next steps.

The above are only three suggestions for how marketing automation can help companies establish a seamless end-to-end buying process, facilitated by sharing the insights to prospect behavior that sales reps can act upon to expedite the purchase decision. Marketing automation software generates the data marketers need to provide new levels of support to sales. The challenge is in developing the processes for sharing the data in ways that help salespeople have better conversations and more relevant interactions that serve buyers’ needs.

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Jeff Erramouspe