You have to understand that Leads are the life blood of any business, they are the oil that keeps the machine moving. Without them there are no sales, no money and no work.
In this post, I will explain the three ways businesses generate leads and explain the principles behind each of them.
- – Free Leads
- – Paid Leads
- – Relationship Leads
Free leads are the equivalent of a cave man walking out into the forest and finding some fruit that has fallen on the forest floor. It is free, it may not be the best however it is a gimme and I’m gonna take it.
In business free leads can be generated by chance, fortune, FB groups, random consumer interest. It is they have poor conversion rates with average sales techniques however with correct handling can be used to generate relationship based leads into the future or even in the hands of a skilled sales person perhaps the bruised fruit can be transformed into Jam or a pie.
Paid Leads are the equivalent of the same cave man going to the local hunter with all his nuts and berries that he has foraged and purchasing some spears and hiring the hunter to show him where the deer live. This is an expensive way to make some sales however if you get the right hunter and don’t waste too many spears you can do very well. Paid leads are pre qualified, have higher conversion rates and can be closed comfortably if treated correctly.
Before you go hunting though be ready to come back empty handed a few times. It is a real possibility and you might still need to be eating berries for a while until you get better. And please do not go hunting with the baker.
Relationship leads are the equivalent of the cave man who decided to become a farmer. He spent time finding the right soil, preparing it, planted some of his berries and nurtured them into a crop. Now he has a consistent flow of leads that he can re plant and also use to feed himself.
This is the lead generation process with the greatest lag time, however can be incredibly fruitful if used correctly. Also when hunting there is nothing wrong with catching a deer and farming it, just be mindful not to injure it along the way.
Different businesses and products require different methods. For any business starting out, always be looking to turn the soil and try planting the berries you find. Always be working on relationships in the background. When you have the capital go hunting but it is not a magic pill, have a safety net behind you.
I would love to hear how you have generated your leads, what has worked what didn’t. Personally radio flopped for me however FB sales funnels are working magnificently.