Are you a business professional or salesperson that purchases B2B sales leads as a method of generating new business? How do you value the new sales leads that you purchase? I would bet that if you do put a value on the leads that you are undervaluing them.
The best way to prove my point is with an example.
Let us say that you are an attorney and that, for arguments sake, you make an average of $1000 fee for every new sales lead that turns into a client. Now, let us say that you have an opportunity to purchase sales leads for $250 each.
Would you buy the sales leads if your closing ratio on these leads were 100 percent? Of course you would because for every 4 sales leads purchased ($1000 cost) you would earn $4000 in fees (4 new clients). This is profitable.
Would you purchase the sales leads if your closing ratio on these leads were 75 percent. Again, you would because you would still be making a profit.
Would you buy the sales if the closing ratio on these leads were 50 percent? Yes, of course you still would.
Would you still buy these leads if you closing ratio on the sales leads were 25 percent? This is the tricky part. At a 25 percent sales closing ratio 1 out of every 4 leads purchased would result in $1000 in income. So, if you purchase four leads for $1000 it would result in $1000 in fees collected. You would be breaking even. Now, I ask you again, would you still buy these sales leads if it resulted in a 24 percent closing ratio? On the surface, you are breaking even. So, on the surface it would not make sense. But, if this is your answer, you would be undervaluing the worth of these sales leads.
To explain the reasoning of my answer, think about this: Do any of your current customers on your client list result in repeat sales? Do any of the current customers on your client list provide you with business referrals? If you are a good salesperson, then you must have answered “yes" to these two questions. That is why, at break-even, you should still purchase the sales leads. Qualified sales leads are worth more in the long-run than you realize. The larger you client base, the more repeat business and referrals that you will get.
Of course, this applies not only to attorneys, but all business professionals, salespeople, and entrepreneurs that purchase B2B sales leads to generate new business. That means, chartered accountants, mortgage brokers, architects, auto sales reps, insurance brokers, real estate brokers, website designers, caterers, engineers, advertising & marketing professionals, pharmaceuticals sales reps, office furniture salespeople, and even manufacturers.
So, remember this the next time you have the opportunity to purchase B2B sales leads: B2B sales leads are worth more than you realize.
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