Lead Generation: The Who, What, Why, and How

Lead generation isn't just about getting as many leads as possible, it's about making sure that your leads are coming to you for the right reasons. The best leads know, like, and trust you BEFORE they need your thing. They come to you because they believe you deliver competent convenience at a reasonable premium. These are often busy families who don’t have the time to fuss over multiple bids and second-rate service. They believe if a deal seems too good to be true, it usually is. They shy away from the suspiciously cheap and are drawn to the reassuringly expensive. They buy the $50+ bottles of wine and always look to make the right selection, not the cheap selection. These are Relational Buyers. Low quality leads come for the cheap prices. They also go for the cheap prices. They do not have a preferred service provider and they do not value the service you provide in general. They are unlikely to become a loyal, long-term client, and would sell their mother for a wooden nickel. These are Transactional Shoppers. Today’s close rate determines tomorrow’s sales leads. The relationship you have with your customers is so integral to exponential lead generation. A high-quality lead is a High CAP customer. These are the customers who close on the first sit, at a higher average sale and profit (High CAP). You have to nurture your lead before you can even think about closing the sale, and good advertising is the introduction to your brand integrity. Your CSRs, Techs, and Salespeople continue the conversation. If you hope to keep up the relationship, you have to deliver on the promises you make in your advertising. So, what are the best lead generation strategies that you can implement right now to start seeing more of those High CAP customers come your way?In this article, we'll go over the whos, whats, whys, and hows of lead acquisition so you attract better leads using the best lead generation techniques to start propelling your business forward.

The What

So, what is lead generation, and what types of lead generation processes are there?

Lead Generation

If you look up "lead generation" online, you'll probably get a definition that says it's "the process of identifying potential customers and convincing them to become your prospects through digital channels."Quite frankly, this isn't true. Most of us can agree that the buyer's journey starts when we grab their Attention. This will then lead to Interest, which ultimately leads to a Decision (sometimes incorrectly known as desire). So, if this is the case, lead generation really can be defined as a process that employs tactics that motivate Action. The action to click to your company's website over any of your competitors, and pick up the phone or fill out the online scheduler (A. I. D. A.).The ultimate goal of lead generation is to convert leads into prospects. These are the people who need what you're offering but have yet to make a purchase. And if you rely exclusively on lead gen for A. I. D. A., you're running a fool's errand. Why? Because you'll end up being a slave to the neither consistent, reliable, nor affordable natural demand cycles and Google Ad auction prices. A. I. D. A. is a team sport, and your branding efforts are the real ringer. Of course, there are several ways to approach generating leads, and your approach all depends on your competition, market demand, visibility, and digital presence.

Inbound Lead Generation

Inbound lead generation is a process where businesses can attract prospects through various means, such as PPC, SEO content, lead magnets, tripwires, funnels, phone numbers, and online schedulers. The aim is to then convert these leads into appointments. To be effective, inbound lead generation must be part of a broader inbound marketing strategy. This strategy should focus on creating valuable content that can be consumed by your target audience. The goal is to build trust and credibility with potential customers so that they are more likely to do business with you BEFORE they need to do business with you. This is where a solid brand strategy comes in. Think about it like a black hole. Your lead gen devices, like PPC ads, online schedulers, and trackable phone numbers are the event horizon. The gravitational pull of the black hole starts well before you hit the event horizon though. The better your branded ads, relational-friendly calls to action, and google reviews collectively, the stronger the gravitational pull to your business.

Outbound Lead Generation

Outbound lead generation are advertising tactics that focus on generating new leads through methods such as cold calling, door knocking, or email blasting. This approach differs from inbound lead generation, which involves attracting potential customers to your business through content marketing, social media engagement, and other online activities. Ever play Hungry Hungry Hippos? Outbound marketing is a mad clamor to reach out and scoop up as many marbles as you can before they’re all gone from the other hippos pounding the same playing board. This is outbound marketing. While there are pros and cons to both outbound and inbound lead generation strategies, many businesses find that outbound lead generation can be more effective at driving sales and increasing revenue in the short term. This is because outbound lead generation allows you to proactively reach out to potential customers, rather than waiting for them to come to you. This means that you can target your marketing efforts more specifically and generate leads that are more likely to convert into customers. Done too often to your existing clientele, and you’ll lose the opportunity all together. Be a farmer, not a miner. Are you seeking new ways to get more leads for your business? At Wizard of Ads®, we specialize in helping residential home service businesses build brilliant, disruptive brands with a story that has your target audience willingly step into your gravity well. If you want to learn more about how we help you generate High CAP leads and grow your business, book a call with us today!

The Who

Who out there needs lead generation? Everyone. Everyone needs lead generation. This isn’t the Field of Dreams. If you build it, they will NOT come. You need to go get them.

At any given time, 7% of your trade area is in need of your products and services. That doesn’t suggest you have access to all 7% of these prospects, however. Some of the 7% are already spoken for with a preferred provider, and some won’t be interested in your premium price model, no matter how good a sales team. And some will not be able to afford your solutions. Whatever leads are left over are, “The Undecided”. Not a name that generally evokes confidence, the undecided are willing to give you a try, but don’t think you’re friends. Now if leads come to you through a visceral response to your well-crafted branded advertising, you are no longer talking to the available, undecided leads. You are actually talking to all 68% of potential buyers that are able and willing to buy. Congratulations! You have won the game of lead gen before the game has even begun.

The Why

We have a lot of clients that do not need us to generate them more leads. They are booked out 2 to 4 weeks. They are inundated with business, but they are hungry for quality over quantity. They are hungry for higher-intent leads. They want more of the High CAP leads. And they even crave the high quality candidates needed to deliver an a world-class buying experience.

Improves Lead Quality

Lead quality is an important factor for businesses looking to succeed in today's marketplace. When you only have so many skilled Techs, it is more important than ever to send them to as many high-intent opportunities that you can. By focusing on lead generation strategies that attract High CAP prospects, businesses increase their one sit conversions at a higher average sale and profit. Whether you are just starting out or looking to level up your business, lead generation is an essential activity for growing your revenue.

Attracts Top Candidates

The number one greatest challenge for any growing residential home service business is that of capacity. When the volume of leads exceeds the number of hours you have to run the calls, you end up wasting lead generation dollars on lost opportunities. This is a tough pill for all ambitious leaders. When you attract top quality leads, you can attract top quality candidates who are looking to maximize their results too. Top candidates expect top shelf leads. The GlenGarry leads, if you know what I’m saying.

Ability to Target The Right Customers

One of the biggest mistakes businesses make with lead generation is chasing quantity over quality. Anyone can generate loads of leads for you, but what good is a lead that only costs you money? If the epic failure, Groupon, taught us anything, it was that there is no value in attracting a bunch of ungrateful, disloyal, and cheap customers to your business only to bleed you dry. Your lead gen strategy should be designed and catered to the types of people who are most likely to buy from you, stay with you, and recommend you. Look, any idiot can get you a lead by lowering your price. Literally, you can do that yourself. You don’t need to pay a digital marketer to lose you money on overpriced PPC campaigns that are designed for you to spend more, therefore, paying your digital marketer more.

Helping People Win

You cannot help people win, yourself, your employees, and your prospects, until you convert a lead into an appointment that can be run. Lead generation is a critical process for both buyers and sellers, as it allows you to close a deal or deliver a world-class buying experience to nurture future opportunity. Today’s closing rate produces tomorrow’s sales opportunities. It is your duty to not only get more people to experience your service, it’s your duty to close the deal.

Big Data - A Valuable Asset

Big data tells a story that steers marketing decisions. Knowing who is converting into a prospect based on what you put into the universe will allow you to modify your strategy to maximize results. I’m not talking about the deeply flawed ROI by lead source information. I’m talking about geographic, demographic, and psychographic information at the lead generation level, and more specific data for those that finance with you, including birthdays, personal information, and job data. Remember, big data is called big data for a reason. When you try to extrapolate a conclusion from too small a sample size, you make bad decisions. Assuming causation without appropriate correlation is a crime.

The How

How does a residential home service company generate more of the good leads? The first thing to do is abandon the tactics that attract low quality leads. Discounts, coupons, sales, and promotions are a red herring that are not helping you grow or profit. The next thing is to do more in your marketing than just lead generation. If nobody knows who you are or worse yet, they know your name and don’t have a trigger to pick you from a list of usual suspects, you will lose.

Companies That Reap the Benefits of Lead Generation…

• Generate high-quality traffic

Going after high-quality over quantity means attracting a few less (approximately 16% less) leads by saying the right things before the zero-moment of truth. When undecided, they will be more likely to pick you out from the crowd as a best case scenario.

• Generate more high-quality traffic

As you continue brand advertising and align it with your PPC and website copy, you will start to see a rise in higher quality leads. More people will connect with your brand, not just recognize it. The more you reach the mass market with the right message at the right frequency, the more direct and organic search is going to increase.

Bypassing PPC costs altogether is arguably the best valued lead generation, so make sure your website is optimized for conversions.

• Boost lead conversion

Once you have an effective lead capture system in place, you can use conversion optimization tactics to boost the number of leads that actually convert into paying customers.

This might also involve optimizing your website for higher conversion rates, developing targeted email marketing campaigns, or using retargeting ads to bring visitors back to your site who didn’t convert the first time. Paired with an effective ongoing brand campaign, and you can nurture the relationship with your most loyal customers.

• Increase ROI

High quality leads that are captured and converted through any of these methods will be great sales opportunities. Be sure that your techs and salespeople understand they are talking to relational buyers, not transactional shoppers. Have them assume the sale on every sales call, and be sure they have persistence through resistance to close those deals today.

Running a High CAP Lead Generation Campaign

Running lead generation is essential in every marketing strategy. Who you chose to attract and who you choose to lose matters. A lot. When you try speaking to everyone, you end up speaking to no one. Before beginning your next campaign, put some key pieces of information in place — specifically what you want to say, but more importantly, how you want to say it. Understanding your ideal customer’s felt needs, the gaps in your competitive landscape, and what you’re team is really great al delivering consistently, make you an anomaly. And that’s worth paying attention to. The biggest question you’ve got to ask yourself is why? Why do I demand more leads over less, high quality leads that my team can spend more time with and close at a higher average sale and profit on day one? Why do I allow digital marketers to charge me a percentage of my spend? Why do I want any lead over high intent leads? Why don’t I tell a better brand story and work hard at delivering a better buying experience? Here are some tips for elevating on your next campaign:

• Determine your goals: What are you hoping to achieve with your lead generation campaign? Do you want to focus on increasing traffic, boosting conversions, sustaining customer retention, or appealing to High CAP customers? With a well-executed lead generation campaign, you can achieve all your goals.
• Understand your target audience: Who are you trying to reach with your campaign? What are their felt needs and pain points, and how can you offer a solution? Researching this information will help you create more effective messaging for your campaign and pull at the heartstrings of your prospects.
• Create content: Whether it’s an email or landing page, you want to ensure that your content is compelling and quickly communicates the benefits of your product. Appeal to your audience’s values by creating compelling copy that speaks to their inner truths. Craft a meaningful headline, and include visuals that align with your brand identity.
• Make an offer that includes a call to action (CTA): Your offer should be something that doesn’t break the integrity of your brand identity. We call these Relational-Friendly Transactional Offers (RFTOs). It should act as a filter to appeal to your ideal client, and repel the cheapy cheapy customers.
• Promote content: The more salient your content, the more your target audience will connect with you. Once you have a message that connects, share it everywhere you can. There are several tactics that you can use, including paid advertising, social media marketing, and email campaigns.
• Create and optimize a funnel: Successful lead generation campaigns may require a well-crafted funnel that starts with attracting prospects and ends with converting them into customers. You’ll need to measure your results at each stage so you can optimize your campaigns along the way.
• Test lead gen campaigns (A/B test): Measuring your campaign results will allow you to determine which campaigns are performing well and which can be improved. A/B testing is used to maximize the efficacy of campaigns, and should be part of every strategy.
• Lead scoring: Once you’ve attracted a sizeable pool of prospects, it’s time to prioritize them by assigning lead scores. Lead scoring bases the value of a prospect on their likelihood to convert into paying customers and provides you with insights into which campaigns are performing the best. This is how you will know what leads are Low CAP and which leads are High CAP. Trace them back to your original ad set and you will know what works best to attract the High CAP customers.
• Lead nurturing: After dialing in your High CAP prospects it’s time to nurture your relationship with them. Lead nurturing is the process of working at the relationship with something other than salesy stuff. It can take many forms, but some common tactics include email marketing drip campaigns, gifts, and thank you cards.

From start to finish, you can monitor and optimize your campaigns to ensure they’re as effective as possible. Knowing how to get High CAP leads is ideal for every business, but it can be tough to know where to go next sometimes. At Wizard of Ads®, we help residential home service companies generate leads that become loyal customers. With 35 years of experience, and a disproportionately high success rate, we can help you create and implement a marketing strategy that targets the right people. Book a call with us today to learn more about our lead generation services and how we can help you grow your business.