Why many Online Marketers Struggle with Lead Generation Management?

Online Marketing professionals and businesses such as digital marketing agencies just getting into Lead Generation and Distribution business plan out their business strategies (i.e. lead generation and selling) very well. They are generally very good at picking the niches and lead verticals, lead generation sources and methods, affiliate and advertising tactics, etc. In other words, they get the “idea” part of it.

However one major area where they lack in planning is the executing the operations. This is where many startups and entrepreneurs in the lead business struggle and meet with significant difficulties. Though they are good in the “marketing” aspect, they struggle with the systems and processes. Unfortunately, in the leadgen industry unless you master the “operations” part of the business, there is no real business success.

Lead Generation Management

For example, you do not need to be a technology nerd to be a successful an online marketer. However, capturing, aggregating, distributing and delivering leads generated (on the internet) is a different ball game altogether. Every affiliate and lead supplier will demand a different specification for pushing leads; most buyers will also demand different delivery methods, systems and exception handling (for duplicate leads and other lead returns). For instance, using “ping” method for lead delivery means different things for different vendors and clients! While most systems and tasks can be outsourced, you should understand and differentiate different services, solutions and processes. If you are a large team, then you should have someone taking care of this serious stuff!

Though most lead distribution software providers will support HTTP Post, Real Time emails, SMS text messaging and SOAP / XML based delivery methods, these do not work by simple flipping of switches; it needs extensive assessment and technical support. Data transformation adds another level of complications and issues.

Wait, I am not suggesting that you have to go out and get a masters degree in database structures and computer science if you want to be successful in lead generation business! You need to pick and choose the right processes, people, software systems and tools.

Lead Distribution Software

Assessment and selection of Lead Distribution Software cannot be carried out with a checklist. As I mentioned earlier, most lead distribution systems will meet the criteria, at least on “feature list”. Hence, schedule some time with the prospective software providers and discuss in detail about your specific business requirements and ask them how (in detail) their solution can meet the same. Better yet, request them to show it to you after plugging in your lead data and distribution rules from a sample source.

If you cannot or not willing to spend time with lead system provider initially, then probably you will regret it later. Remember that the industry, technology and practices change so fast, there is not a single “perfect” solution. Similarly, if your perspective lead distribution technology vendor cannot spend time with you, in all likelihood, it will not be a suitable solution for your lead generation business.

Email Lead Distribution

I added this phrase in the topic title for simple reason that most business owners use “Email Leads Distribution” for capturing internet leads (from landing pages or emails) and delivering prospect information via real time email alerts. Unfortunately, email is the least dependable method from both your and your client’s perspective. Try to educate the clients and leverage other reliable delivery methods (such as HTTP/ SOAP / XML / CRM interfaces, SMS Texting, etc.); better yet, post the leads to your lead back office system and request them to access it online. Another advantage of using a back office system is that your clients can use the system as a their Lead Management (CRM) and Tracking solution with minimal incremental fee.

Note: If you are a SMB and looking for a lead distribution and management software system to assign sales leads within your inside sales or field sales organization (not to third parties or buyers), then try the sales lead tracking system version of LeadPro247 (i.e. LeadPro247 has 2 system versions catering to (1) lead distributors and (2) SMBs for lead tracking).

As home care services are highly regulated by the government and industry bodies, online lead generation has not mushroomed as in other industry verticals. However, the opportunities in this industry are very large. As the population is aging quickly and the health care costs are skyrocketing uncontrollably, consumers are looking forward to technology for researching products and services, cutting costs and improving  health care. As more and more healthcare systems get automated in the near future, the rules and regulations will be more clear and easier to follow.

Home Care Leads Generation

Since cold calling is not allowed for sales promotion, lead generation services providers still depend on traditional marketing and leadgen channels such television, radio and print advertisement. Once the potential customers see the advertisement and call the telephone number advertised, the agents carefully screen the calls and then pass on the leads to the  service providers and product suppliers.

Home care leads fall into two major categories: Home care equipment and Home care services. The lead generation companies have to wade through lot of legal issues and make sure that they are following rules such as HIPAA regulations, state rules, Medicare regulations and other privacy regulations.

Lead Distribution and Management

The home care providers also exercise great caution when buying leads from third parties, as they are ultimately responsible for the issues, if any. For example, a consumer could have called a lead generation service and the leadgen company could have passed on the contact information to the service provider. The service provider must have clear record of the entire conversation / communication, so that they can defend themselves in case of issues; the buyer also will have the right to inspect the processes of the lead generation company.

Home care lead generation firms have started using advanced lead generation management system software such as LeadPro247 for distribution, delivery and tracking of leads. The lead distribution systems supports recording of telephone conversation and tracking entire lead movement from end to end.

Home Medical Equipment (HME) companies have to make sure that they are buying from established lead suppliers and foolproof systems and procedures are used by the firms concerned.

The lead generation companies should make sure that express consent is obtained from the prospective customers. Internet lead generation is to be carefully planned and executed. For instance, the lead company should specifically inform them that they will be passing on the contact and related information to another third party (i.e equipment / service provider). Even in such cases, the communication is considered as marketing and hence payment is not a referral fee. Hence the lead generation firms and the lead buying home care companies enter into a business associate relationship.

The lead companies are not allowed to discuss medical conditions or prescription information with the potential customer, while they might check the insurance eligibility.

In such a scenario with highly regulated business environment, it is essential to follow the rules by the book. Automation will certainly reduce some manual efforts, so that more critical business tasks can be focused.

Automated lead generation management systems can help lead companies operating at regional or national levels gain maximum benefits by reducing the manual process errors and increasing the efficiency of the lead distribution and tracking process.

Higher Education Lead Generation is one of the major verticals in leadgen industry. There are several large, established companies involved in education leadgen business. Since this vertical is matured, several new entrants are coming into the market. The industry which started with catering to the requirements of traditional schools and colleges has now expanded into the online schools and universities.

With the recession in the economy and squeeze on student loan availability coupled with increase in tuition fees has led to significant growth in the online education industry. The lead volume requirement has gone up significantly because of focus in this segment by several universities.

In the education leadgen practice, content is the king. Unlike in other verticals, where lead companies focus on small websites and per per click (PPC) strategies, education lead generation businesses build significant amount of web content in order to attract the potential student community. While this is certainly a barrier to the easy entry into the education marketplace, the same fact serves as an attractive niche if you can build and generate useful content to attract student traffic.

Generally, the education leads are distributed to the schools in real time. Hence using a robust lead distribution and delivery system is a basic requirement. Also, most of the leads are delivered as dedicated, exclusive leads, though there is some market for shared leads.

Of late, there is a lot of buzz in the education lead generation industry. Quite a few M&A activities are also rumored and / or reported. It is reported last month that All Star Directories is in the market. All Star Directories is a Seattle based company which helps educational institutions attract students in a dozen disciplines, from engineering and business to culinary arts and psychology. Founded in 2001 by former Microsoft manager Mike Mathieu, All Star Directories met with early success through its lead generation model first designed to pass on qualified candidates to nursing schools. By 2005, the company was profitable and had annual sales of $15 million. Later on it was sold to Austin Ventures. The company says more than 5,000 schools use its lead generation service, including Johns Hopkins, Columbia University, University of Phoenix and DeVry.

In another development recently, EducationDynamics, higher education’s leading marketing services company, announced the acquisition of Education Connection, a valuable resource that helps prospective students find colleges that are ideally suited for their academic and career interests. EducationDynamics acquired Education Connection from Kaplan which is a subsidiary of The Washington Post Company. The acquisition of Education Connection marks an expanded student prospecting portfolio held by EducationDynamics, which also includes several high-visibility websites such as eLearners.com, EarnMyDegree.com, GradSchools.com, StudyAbroad.com, and more than 50 special interest microsites. The company also offers a full suite of web-based solutions for higher education institutions proven to drive enrollment growth and increase student retention.

Western Governors University marketing director announced that she is noticing a surge in online education and they are ramping up online lead generation and conversion efforts.

When speaking about Lead Conversion, a recent survey pointed out that over 30% of the prospects do not receive a call from the school! If the prospects are not contacted within a few minutes, the chances of further follow-up and conversion is very remote.

This is another area of opportunity for small businesses entering into education leadgen vertical. If you can provide additional support to the schools by way of immediate telephone follow-up, that will serve as a value addition. However, engaging generic call center or agents will not help in lead conversion; in fact, you might lose prospects if the agents are not professionally trained. The team has to be a dedicated, fully trained team with a long term perspective.

Here is a checklist with 10 signs that shows your business needs an automatic web lead distribution system. If you are new to the internet lead generation business or a recently established the lead company and you are not using a lead distribution software system, compare your lead gen and delivery operations with this checklist. You might be surprised what opportunities (that will help you in scaling up the business) are being missed.

If you are already using some sort of lead management system and you still some of the problems described in the checklist, then it may be good time to reevaluate your software solution and match with your business requirements.

#1 Too much time spent in emailing leads: Are you spending too much time in emailing the leads received from your lead generation websites? When you started the business, probably it was good idea to focus on lead gen and business development. You could have emailed the few leads received to a handful of lead buyers. But, if you are following the same process, then you are not growing your business.

#2 Leads fall through the cracks: Are you missing the leads and the captured leads never reach the intended customers? Every lead missed is money wasted – in terms of lead generation efforts and cost. When you go on vacation, what happens to the leads? Either you need to subordinate to take care or your customers might slip away from you.

#3 Wasting time in re-formatting Emails to Customers: Even if you are dealing in a specific vertical such as Education Leads or Insurance Leads, each of your customer may be needing the lead data emailed to them in a specific format. If you sign-up more customers, more pronounced will be this problem. Your lead distribution and management system will support multiple email layouts and format to meet each customer’s requirement.

#4 Have to ignore potential buyers since they need automated Lead Delivery: I am sure that every has to avoid signing up one or two clients for some important reason. However, ignoring customers for want of an automated lead delivery management system will fatal to the business. Sophisticated / savvy / large customers will demand more automation features.

#5 Have more than a handful of websites or leads generated: If you have a more than a few websites, then managing the capture and distribution process is tedious. Also, measuring the performance of each website is essential to optimize your leadgen efforts. Even if you have one or two lead capture websites, if the volume of leads generated is high, then you will face the same issues.

#6 Using Google / Yahoo / Bing PPC for leadgen: Are you using PPC (pay per click) programs with Google Adwords, Yahoo Search Marketing and Bing AdCenter to drive web traffic and generate leads? If so, you cannot live without a solid lead management system to manage and analyze the leads captured on your PPC landing pages. Don’t waste your inbound marketing efforts without fully monetizing.

#7 Don’t find enough time for Lead Generation: Are you spending too much time on your operations management? You must be focusing on traffic generation strategies and activities. Another important aspect needing most of your time is the business development and enrolling more customers. Deployment of a lead company operations management system can take care of capture, delivery and tracking.

#8 Lead Buyers complain about delay in lead delivery: Have you heard any complaints from your lead clients that leads are not reaching them on time? If you promise real time leads, the leads should be delivered in real time. It means that the data should be delivered within a few minutes, not after 30 minutes. Remember, the first responders have the advantage of converting the prospect to a customer.

#9 Losing Revenue: Are you leaving money on the table? If you don’t automate the distribution process, you may not route the prospects to all buyers. If you are promising multiple quotes for the prospects, you need to deliver the lead info to multiple customers. For example, if you are generating insurance or mortgage leads and the routing is based on geography (zip code or state), imaging how error prone the delivery routing process will be.

#10 Spending time on analyzing leads: Do you know where the leads are coming from and how these are distributed? What is your profitable lead source? Unless you know answers for these questions you cannot optimize your investment and generate revenue. If you are not using a good lead distribution database system which will provide instant answers on questions such as these, you will be wasting time in trying to get a grip of the business operations.

If you think that even one or two signs are visible, then it is time to take an in-depth look at your business operations / practices and analyze if an automatic lead distribution system can help you.

If you are in lead generation and distribution business, you are most likely to leverage affiliates, partners and other third party lead gen companies for increasing your lead volume. Here are 5 important tips while buying web leads from the vendors and partners. Using these tips will help save a lot of time in managing the lead business operations, insure consistency of lead sales and improve client satisfaction.

#1 Lead Posting / Integration Options to meet your Customer Requirements

Most lead buyers will be have different lead posting requirements depending on their lead distribution, delivery and management system. The following are some of the options, which in turn will need customization or minor tweaking:

• Basic HTTP Posting
• Advanced HTTP Posting with return of critical information
• SOAP based API
• Advanced Authentication
• Fixed / Converted  data formats

If your lead provider cannot have multiple lead posting options with flexibility, you may not be able to satisfy certain customer requirements.

#2 Capabilities of Lead Vendor’s Technical Team

Even if the lead posting system is flexible enough, the customers will come with a ton of custom requests. Unless your vendor’s technical team is capable and willing to address these requirements, customer needs cannot be met.

#3 Response Time to address Technical Requests

The vendor support team should be agile and quick to respond to the requests. The turnaround time should be short enough to service the customers. Your lead providers should be flexible to accommodate the work at short notice. For example, if you need to post 100 sample leads to a large customer’s lead management or CRM system, the same should be done within hours; not in days or weeks, unless it requires super customization!

#4 Quality of Leads

Assuming that the vendor is able to deliver leads in time, the quality plays an important role in lead conversion rate. Understanding Vendor’s Web Traffic Generation strategies and processes might help you get an insight into the lead quality. Other traditional methods such as reference check will add great value in this area.

#5 Optimum Pricing

As pricing is relative to the quality and performance of the leads, evaluating and arriving at an optimum price is critical. The pricing is very elastic and hence the vendor’s pricing should be assesses based on both objective and subjective factors.

While evaluating lead vendors and partners, the above considerations should be factored in. If you are new to the business you may be content with your lead generation using Search Engine Marketing (SEO and PPC) and Social Media / Web 2.0 strategies. However using lead gen vendors who specialize in specific verticals and have long experience is required to scale up your lead business operations. Any missteps in lead buying will lead to customer churn and loss of revenue. Hence spend some time researching the vendors and their processes, ask questions and make a decision that will be a win-win for both the all the parties concerned.

Choosing a lead distribution software service provider is a critical decision to be made by lead generation companies. If you are new to the online lead generation industry, you may be facing a number of options while considering a decision in this regard. Especially, the fees charged by various software providers may be all over the place and zeroing in on a provider based on pricing alone will lead to issues and consequences in future. Once you have selected a system provider and invested significant efforts, switching to another system is a time taking process in terms of the learning curve.

Here are 5 key considerations that you should take into account while choosing a Lead Distribution Software Service for your business.

#1 Flexible Software System

The lead distribution software should be flexible to accommodate all your requirements. A large / complex system may not necessarily mean it is flexible. You should weigh your current requirements and needs in the near future. If you are new to the lead generation and distribution business, invest some time in understanding the systems in the marketplace, industry practices, and technology developments. Remember that online lead generation and distribution business is closely tied to the internet technology trends.

#2 Match your business requirements

As mentioned above, a ton of features in the lead system may not address your business specific requirements. Understand your verticals, do some research or consult with couple online lead generation and distribution consultants. Money spent on these aspects will be worth the investment in terms of risk avoidance and mitigation.

#3 Agile technical support and services

If the software service provider is a behemoth and you are small business organization, probably they may not match your speed. Success of internet lead generation and distribution is all about timing and great customer support. You cannot be waiting for days and weeks to address specific technical support requirements. Remember that the internet works 24X7 and consumer lead requests are generated 24X7. If someone says that “our implementation team lead is on vacation for couple of days and hence the lead posting integration has to wait until next week”, better watch out. You customers (lead buyers) can just opt for another lead provider in a matter of minutes.

#4 Full Service as an option – a must

While you may prefer to go with self service options in the initial phases of your lead business, full service option will be way to go once you establish yourself. You must focus on generating leads and signing up customers, not on day to day technical operations management, unless you are restricted to a small niche which will leave you with plenty of free time. Make sure that your lead distribution software provider has the full service option when you need it.

#5 Double as your Business Consultant

As I mentioned above, the internet industry and online lead generation practices undergo constant change. You might be often needing help in using the technology trends to your advantage. A good lead system service provider can help you leverage the technology in terms of lead generation as well as distribution and delivery improvements. Small customizations and tweaks to the processes would be able to bring in significant benefits and maximize profit. For example, if you are generating internet leads using Pay Per Click (PPC) method with Google, Yahoo, Bing, etc., managing the campaigns could be integrated with the real time lead delivery system, so  that you can save money when sufficient lead orders are not available. If your system can help in Tracking and managing the demand for real time leads, it will be a great help for you as a business owner / executive. You would be able to figure out other improvements and benefits by working with your service provider acting as a consultant.

While there are several other factors to be considered while choosing a lead distribution system, these five key considerations should be the top ones in your mind. Whether you are operating in one lead vertical or in multiple industry segments, you can leverage lead distribution the tool to grow your business.

Whether you are a veteran in the internet lead generation and distribution business or just a rookie, driving affiliate traffic via CPA Ad Networks should be a key part of your leadgen strategy.  You may take a look at my earlier post How to Use CPA Ad Networks for Lead Generation and reduce dependence on Google Adwords PPC, if you are yet to get into the game!

Lead Quality is Key

The success of the leadgen business depends on the lead quality and resulting ability to retain the lead buyers as customers in the long term. If you are using your own traffic generation modes such as SEO, Google Adwords, Facebook Advertising, Banner Ads, etc., you will have pretty good control over the nature of traffic and resulting lead quality.

When you are using CPA Ad Networks, essentially you are outsourcing the traffic generation. In such a condition, you have very little control over the quality of the web traffic driven to your landing pages. As a result the lead quality may suffer, which will affect your business in the long term. This holds good even if you are using the leads generated for your own purpose (and not reselling leads).

Here are some key factors to be taken care of (while using CPA Networks) in the lead capture process, which will help you ensure lead quality to a great extent.

• Research, test and choose a right Ad Network in the first place.
• Design and test Landing Pages for proper / good conversion. Conversion rate alone should not be criteria.
• Track the leads by source. If you are using multiple networks, you should be able to analyze the performance of each network based on lead quality.
• If required, you may use multiple landing pages depending on your offer and ad network used.
• Depending on the quality of leads delivered, stop  / start using those ad networks. Typically, ad networks provide a 10% cushion for bad / invalid leads. However, this may not be acceptable to your customer!
• Customize landing pages as required; do not go with a basic lead capture form. Include filters, dropdowns, etc. so that the information captured will be relevant.
• Make sure that basic validations such as phone number, etc. are handled in the lead capture page in order to avoid bogus entries.
• You may also include security features such as CAPTCHA entry, which helps avoiding bot based submissions.
• Include additional lead verification processes after capturing the lead profile data in your lead capture, distribution and delivery system such as LeadPro247. Based on the verification results, you may filter out the leads to the lead buyer. Note that the lead verification process using 3rd party provider services such as TargusInfo, ServiceObjects, etc. incurs additional expenses (on per lead captured basis).

While implementing these ideas would not acheive 100% quality, it will certainly help improve the quality significantly, save money and retain customers.

Back Office Lead systems, also referred as Lead Delivery Systems or Lead Management Systems, can be leveraged as great tools to acquire lead buyers and retain the existing clients. As a lead generation company, just like any other business operation, you need to focus on signing up more lead buyers and sell them more leads on an on going basis.

Many lead generation firms and vendors focus their energies on affiliate management, web traffic generation, lead acquisition, lead quality and lead distribution processes, but often times forget to develop their own client base. Acquiring leads for their customers and signing up their own buyers are equally important tasks for one to be successful in the lead generation business.

Lead Back Office Systems

If you are using a lead capture and distribution system such as LeadPro247, you can easily leverage the lead back office solution offered as part of the software for client acquisition and retention. The back office systems can serve the following functions, depending on your software version and subscription plan:

• Lead Retrieval
• Credit Request
• Sales Tracking
• Lead Nurturing

Lead Retrieval

While you may be delivering leads to the lead buyer by email or SMS text messaging, it is preferable to provide a back-office access so that the client can login and retrieve the leads. Many savvy and experienced lead buyers insist on a back office access as part of the contract. Lead retrieval system access also allows them to download the leads at their convenience and they won’t miss any leads due to email issues.

Credit Request for Invalid Leads

It is natural that a small percentage of leads delivered to your client will be invalid. Using a lead back office system automates the entire process of credit request and approval. The clients can make requests online and you would be able to review the requests and process at your convenience. There is no need to use email.

Sales Tracking

If your customers are end users of the leads purchased from you, you can provide a value addition by providing the sales lead tracking and management feature as part of the lead retrieval system. Your customers need not go for lead tracking and management software from another service provider. You may provide this service as free or charge a small monthly fee. Your customers can capture their own leads in the system along with leads provided by you.

Lead Nurturing

The lead buyers can leverage the drip email messaging feature available with lead retrieval and management systems to nurture their leads until conversion to sales. Drip email marketing is a lead nurturing process where the system sends marketing and informational emails automatically to the prospects based on certain triggers and events. This will be a great value addition to your lead buyers and if they are the end users of the leads.

Lead Distribution Systems

Lead distribution software systems such as LeadPro247 include these value added functions. You may have to select the required version based on your customer requirements. By leveraging such services, you can step out of the basic “lead generation” business and become a full fledged “lead service provider”.

You may also refer to this earlier post on Back Office System features and comparison of functions.