Ask about returns rather than prices

Mortgage Strategy
09-07-2009 

The first question most prospective lead buyers ask providers is how much leads cost.

This is a reasonable question but it’s surprising how many make a decision on whether or not to buy leads based on the answer.

For the most part, the price of a lead is irrelevant. Cheap leads that don’t convert are less valuable than expensive ones that generate healthy returns.

Lead buyers should be asking how leads are generated, what time of day they will be delivered and what return they can expect, as well as finding out their cost.

The problem is that one of lead generation’s greatest strengths is also its biggest weakness - when you buy leads you are paying for a physical piece of information.

This makes it measurable and appealing but also brings into play psychological aspects that other forms of marketing don’t.

Lead buyers should measure the success of their campaigns by the return on investment but they often get caught up in individual leads.

For example, if you spent £1,000 for six months of advertising in a local newspaper and the revenue generated was £10,000 you could say it was a successful campaign. Whether this came from one enquiry or 10 doesn’t matter.

Lead generation should be seen in the same way. If you spend £1,000 on leads and generate £10,000 in revenue it doesn’t matter if this is from one lead or 50. Price is irrelevant. The measure of success is your return on investment relative to your initial objective.

Solutions

LeadPoint Connect

LeadPoint now offers new ways for buyers and sellers to interact across our state-of-the-art lead generation platform! Click to read more

LeadPoint First Call

Convert more leads with our First Call service! Click to read more

Defined by Quality

We offer an industry leading robust quality verification process for leads. Learn how we deliver only the highest quality leads. Click to read more

LPUK Blog

Online Marketing Techniques

The online marketing partners that LeadPoint work with (our Sellers), generate their traffic through.... Click to read more

Measuring Online Marketing

Lead Generation and Return on Investment Marketing Click to read more

Vital Advisers Embrace Technology

As featured on the FT Adviser WebsiteClick to read more