All Leads Are NOT Created Equal
If you’re in an industry where buying leads in bulk is possible, chances are you’ve either tried it or considered trying it. The concept seems almost too good to be true…you pay someone, and they deliver piping-hot leads right to your inbox. You even get a fancy “portal” to log in and monitor progress, see totals, etc. I mean, why even hire a sales staff? Just sign up, slap down your cold, hard cash and let the leads flow in, right?
Well, if you’ve bought leads in bulk in the past, you know that’s not the case. Often times you can’t connect with these purported “interested” parties. Or when you do, they tell you that they aren’t interested right now. Or worse, they’ve already bought – possibly from one of your competitors. Ugh.
If only you knew a little more about what you were buying and who you were buying from. That’s where this post may help in your quest for affordable lead generation. If you’re about to buy leads, especially non-exclusive leads, here’s the 3 questions that you HAVE to ask before moving forward:
1) How are the leads acquired? The best leads will be acquired from solid PPC campaigns, and then call-verified on the spot. Once it’s confirmed that A) they’re a real person and B) they really are interested, the leads are sent out asap. If lead aggregators are mixing in leads that they cultivate from email lists or from outbound cold calling, that’s a red flag. People who click on PPC ads are hand-raisers. They are self-identifying their interest. If they’re being “pulled” from outbound calls or emails, they may not be that interested. Make sure you know how the leads you are buying are cultivated, and shy away from aged leads.
2) What’s the average resale rate? Most of the leads you are buying are also being bought by other parties. That’s how this game is affordable for the sellers…they spend X amount generating a lead, but recoup 2 times X by selling the lead to multiple parties. Make sure you know their average resale rates! A lead that is being sold eight times is far less attractive than a lead with a resale rate of three times. Look for low average resale rates or exclusive leads whenever possible. Not all leads are created equal!
3) How are lead credits handled? Most companies have a very clear policy on when leads can be credited. If they are come in with valid info (name, phone, email), normally you pay for them. But what if a number is disconnected? What if some of the names are “Just Looking” or “Ima Freak”? How are duplicate leads handled? If you are buying these at a very large scale, it’s definitely important to go back and check before paying an invoice. It’s possible to save 10% of your monthly bill or more just by understanding and working the lead credit angle. It’s also an easy way to check out the quality of the leads you’re buying.
This list is far from exhaustive. Other considerations include how leads are delivered, what sort of volume is available, how selective their targeting options are, etc. However, if you just ask these three questions, you’ll weed out weaker lead providers pretty quickly.
Not sure if your lead generation program is what it should be? Thinking of jumping into the lead buying game? Let us help with a one time, up-front digital marketing consultation. An outside 3rd party with no skin in the game is always the best route for analyzing operations. Contact us today to learn more.