How To Act On Your Lead Qualification Data
⏱ Reading Time: 11 minutes
Today’s guide will teach you how to act on your lead qualification data. There are multiple things you need to understand to qualify leads well. Below, we will walk you through the fundamentals of lead qualifications, explaining some of the necessary steps you must go through.
After this, we’ll provide tips and guidance on the best analytics sources for lead qualification and how to do better lead scoring. By the time you conclude, you should have all the knowledge and skills required to act on your lead qualification data.
Consequently, you’ll be in a better position to quantify which leads deserve most of your time and resources. In turn, this can lead to more conversions by targeting the right people. So, without further ado, let’s jump straight into this guide, starting with the obvious question:
What is Lead Qualification?
Lead qualification refers to a process where you decide which leads are best for your business. Essentially, it’s a quantifiable way of arranging leads into different categories, based on all the data you have about them.
Your information includes the way they interact with your brand, how they came to interact with you the first time, and so on. It’s all about analyzing the quality of your leads.
Picture 1. What is lead qualification?
For a lead qualification to take place, you need to undergo lead scoring. Effectively, lead scoring lets you assign specific values and scores to your leads. Lead scores are variable: they can change over time and throughout a lead’s journey with your company.
The flexibility of lead scoring lets you figure out your highest-value leads at every stage of the buying process. Therefore, your sales and marketing team will understand which leads are better to apply most of their attention to at each stage, increasing the likelihood of converting them.
In reality, lead scoring is rather complicated. There are many ways of scoring leads, but the overall idea is that each lead gets points based on different actions taken. As you tally up points for leads, you see which leads are the hottest prospects and which ones aren’t that valuable at all.
As a mini summary for this section, lead qualification is a method of assessing leads and determining which ones are the most valuable for your business, based on the data you have received.
This data is collected and quantified through lead scoring, which is a fundamental part of the lead qualification process. Why is all of this so important? Research suggests that 67% of lost sales occurs when sales reps fail to properly qualify potential customers before taking them through the full sales process.
That’s a massive chunk of sales lost, purely because people are targeting the wrong leads. Lead qualification ensures you focus on the right people, saving time and money.
Rules, Triggers, and Workflows
For lead scoring and lead qualification to work, you need to implement rules, triggers, and workflows. All three of these must work in harmony so you can act appropriately on your lead qualification data. What does each of these three things mean?
Rules are a framework created to help you score your leads. You can define all the different actions a lead takes, assigning points to each step.
For example, you can say that a lead gets 5 points if they click on your ad or 10 points if they provide you with an email address. These are completely random numbers, but you get the idea. You set the rules based on what actions you deem as the most beneficial for your business.
Ranking Leads With Points
When using all of these components together, you can rank leads effectively with points. You can also set rules that categorize leads based on how many points they have. One example from Progress states that leads with over 100 points are “qualified leads.“
Triggers and workflows come into play when leads hit a set amount of points. The idea is that you select a point total as a “trigger,” which automatically sets off a workflow.
Let’s say a lead surpasses 100 points, and the moment they do this, it triggers a workflow to set off numerous actions – like emailing the lead or sending a notification to a salesperson.
Setting triggers is a simple way of ensuring that particular time-consuming activities only apply to leads that have been qualified and deemed valuable enough to warrant your attention.
Even if you have terrific lead scoring analytics that provides you with comprehensive data, you must still create rules that make sense for your market niche.
One set of rules that works well for one company might not provide you with the best insights for your market. So, be sure you spend a lot of time developing the rules that fit best for your lead qualification strategy.
Analytics Sources for Lead Qualification
By ‘analytics sources,’ we’re referring to all the different ways in which you can gain lead qualification data for your lead scoring.
If you’ve already watched the video earlier in this guide, it reveals a few ideas. We’ve also touched upon a couple throughout this, but this section will give a broader overview of what you can use to gain valuable analytical data.
Some of the things you should look at include:
- Video watch time
- Click-through rate
- Open-rate for emails
- On-page analytics – time spent on your website, times returned to the website, etc.
- Demographics information
- SEO analytics
- Download data – did someone download something from your site?
The list can be much longer than this; it depends on what you deem as valuable in your market. However, this should give you an idea of all the different things you need to consider. You can use all of these sources to get data on your leads, which you then put through the lead scoring system.
As a basic example, a lead with a longer video watch time will earn more points than one that clicks on a video and then leaves with a second or so of watch time.
But, each of these sources provides its worth and value – you may deem email open-rate as more critical than video watch time. In which case, leads would get more points for opening emails, and so on.
Picture 2. Lead scoring
How To Do Better Lead Scoring
The key to improving your lead scoring is to keep adding different analytics sources to the mix. The more data you have on leads, the more sense you can make out of them. Adding email, on-page analytics, and even video analytics can deliver better lead scoring.
You gain more knowledge of your leads, understand their behaviors better, and quantify them in the lead scoring process.
Similarly, there’s one tactic that a lot of businesses are using to help differentiate between qualified and unqualified leads. It’s called negative lead scoring, and it works in the same way, only you take points off for specific actions. Why should you do this, and why does it create better lead scoring?
As per Act-On, negative lead scoring is a way of finding out if leads aren’t going to work. The best example of this is if a lead comes from a particular demographic that’s way outside your target market.
They might do things that gain them positive lead scoring points, but the fact that they’re not in your target market dictates that they’re probably not going to end up converting at all. So, negative lead scoring gives them a negative score that you can use to push them aside.
In essence, you need negative lead scoring to identify red flags and identify leads that aren’t qualified. Classifying unqualified leads further ensures that you stop wasting time on leads that aren’t ever going to provide your business with anything productive.
Use Automation Tools To Connect Lead Scoring To Business Process
Remember the earlier section on rules, triggers, and workflows? That’s what we’re talking about here: you can set up automation tools to loop in lead scoring to workflows like CRM, SRM, and SMM.
Naturally, both Supplier Relationship Management and Customer Relationship Management are similar workflows, only targeting two different audiences. Social Media Marketing steers towards the social side of things and the various workflows relating to your social media strategy.
The idea with good lead scoring is that you take your rules and use trigger points to kick automated workflows into action. You can do this with your CRM by looking at any automated workflows you already have set-up.
From here, you can connect these to lead scoring, triggering them when they meet individual score totals. Think of it as a way of ensuring that you continue to interact with the highest quality leads as soon as you identify them. It stops many from slipping through the holes in your net!
Digital Marketing Channels
There are loads of different digital marketing channels to look at when dealing with lead qualification and scoring.
They include organic search, paid search, social media marketing, paid social media marketing, etc. It would help if you looked at all of these channels to provide analytics for lead qualification.
Not only that, but you can also use them to trigger different workflows or tweak your marketing strategy to appeal to your most qualified leads.
Another channel that deserves lots of attention is email marketing. It is regularly seen as the best and most important channel because it has an incredible ROI.
Data from LYFE Marketing suggests that email marketing can achieve a 3800% return on investment. Therefore, this is a channel you desperately need to focus on when quantifying lead values.
If people are opening emails and clicking on links in them, they will earn high scores. Similarly, you will need to trigger workflows that send out emails to your qualified leads, increasing conversion chances.
Ultimately, good lead scoring and lead nurturing is all about learning which digital marketing channels deserve your attention. As we’ve mentioned many times before, it can stop you from wasting time and resources in areas that yield no results.
If your lead qualification data shows that hardly any of your leads are coming through your paid search, what’s the point in investing more money in this channel? Wouldn’t it make more sense to withdraw your investments in this area and focus on a channel that proves to generate high-quality leads?
What is Segmentation?
Segmentation is a crucial aspect of marketing, and it helps you figure out who you should be targeting your marketing. It lets you break down a market into smaller subcategories – or segments – based on shared characteristics. Typically, you can segment your market into groups based on:
- Purchase history
The list can go longer than this, but it should help you understand segmentation in its primary sense. If you optimize and increase segmentation, it can lead to higher conversion rates on individual leads.
How? Well, you break leads down into groups, then target them with marketing material that appeals to their unique shared characteristics.
For example, your product may attract men aged 18-24, but it could also attract women aged 25-30. With segmentation, you can create marketing material aimed at each of these two subcategories, rather than one aimed at everyone.
Content Marketing vs. Product Marketing
Speaking of marketing segmentation, it should help you develop a better marketing strategy. Take landing pages, for example – they should be tailored to the lead segmentation and sell gently, rather than promoting a product page.
It increases the likelihood of the leads purchasing because you’re showing them things that appeal to them, rather than forcing your product down their throat. By appealing to customer intent, content marketing works far more effectively than product marketing.
In conclusion, you need to focus on better, more personalized content to generate high-quality leads. It’s not so much about the volume of information created, but more about the leads’ quality.
Please don’t depend on SEO tricks (because they rarely work). If you ask us, you can always benefit from being more useful to your potential customers. The entire lead qualification process helps you do just that – you learn what makes a lead valuable, letting you create marketing content that is truly a win-win for everyone.
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