Lead Nurturing

Multichannel relationship strategies to take a contact from prospect to sale

April 5, 2011

A special thank you to:

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Todays Speakers

Dan McDade President and CEO PointClear Author of The Truth About Leads

Parin Mody Global Director of Business Development Mardev/DM2

Moderator

Thorin McGee Executive Editor Target Marketing

Lead Nurturing: Multichannel relationship strategies to take the prospect to sale

Agenda
The Problem The Cause The Cost What to Do
Agree on a common definition of a lead Agree on market, media and offer Measurement beyond number of leads, their cost and revenue

Ten Actions to Take The Truth About Leads

The Problem
Best Practice Results
MQL = 4.1% of inquiries/ targeted suspects SAL = 62% of MQL SQL = 47.5% of SAL Close = 22.1% of SQL

The Cause
7 Reasons Why Sales and Marketing are Not Aligned
Lack of standard lead definitions Failure by sales and marketing to accept accountability for influencing each step in the buying cycle Focus on quantity instead of quality Lack of integration between sales and marketing technologies Lack of serious, formal discussion between sales and marketing

Failure to measure what matters

Silo approachfailure to pass leads back and forth
Source: The Aberdeen Group

The Cost

Quota attainment since 2006

Quota trends since 2006

The Solution: Turn Raw Leads Into Real Opportunities

Attributes of a Well-Qualified Lead
1 2 3 SIC of NAICS Code Firmographics (revenue, # of employees, # of locations) Decision makers and influencers identified

4 5
6 7 8 9 10

Environment documented Decision maker engaged

Business pain(s) uncovered/validated Decision-making process and time frame documented Budget allocated or process for budgeting documented Competitive landscape documented Sense of urgency or compelling event exists

What to Do: BANT vs. AN

What To Do: Define Market, Media, Offer

Establishing a clear and mutually agreed upon definition of market, media and offer can help you multiply results
Market we target? Who are our target contacts? How can we segment our market and apply differing approaches? Media integrated media will be most effective? How will we navigate to those contacts? How can we convey a building dialogue? Offer

What companies will Which mix of

What compelling calls

to action will cause our targets to respond? How do we articulate what problems we solve and how? What messaging will differentiate our solution?

What to Do: Market

The power of relational segmentation
1,000 Companies

Marketing Equally Sized Samples Sample size 200 Lead Rate 9% 7% 5% 3% 1% 5% # of Leads 18 14 10 6 2 50

5% Lead Rate

200 200 200 200 1,000

32 leads (64%) = 40% of spend 42 leads (84%) = 60% of spend

50 Leads

What to Do: Media

Multi-touch, multi-media, multi-cycle processes multiply results

Buyers Journey

What to Do: Offer

Conditions of need
Fear of Loss Perceived Risk Opportunity to Improve

What to Do: Offer

Ultimate benefits
Save Money Save Time Improve Save lives

What to Do: Offer

Personal reasons

What to Do: Your Sales Force Needs Fewer Leads

Too many raw, unqualified leads can create a clogged marketing and sales process and an unhealthy funnel More leads dont equal more success

What to Do: Reap the Value of Long-term Leads

ROI WITH Best-Practice Handling of Short- and Long-Term Leads Category Names Short-term leads Long-term leads % Closed ST leads % Closed LT leads # of deals Average deal 8 $250,000 20% 20% 8 $250,000 Quantity Short Term 1,000 40 40 Quantity Long Term Total

Revenue
Cost of qualification Gross after marketing expense

$2,000,000
$59,040 $1,940,960

$2,000,000
$4,920 $1,995,080 $3,936,040

Ten Actions to Take

1. Agree on market definition (the largest identifiable market with the tightest possible market definition). 2. Agree on offer (enterprise, point, both, priorities?) . 3. Agree on the definition of a lead (BANT vs. AN, 10 point system).

Ten Actions to Take

4. Agree on expected metrics (MQL to SAL to SQL to Close). 5. Define required reporting and frequency of reports (recognize that what happens during the course of onequarter is likely to happen the next quarter without driving change). 6. Give your sales force fewer leads that is fewer, more highly qualified leads. 7. Effectively nurture longer-term leads. Provide the right content to the right person (from the right person) at the right time.

Ten Actions to Take

8. Design your touch cycle using multi-touch, multi-media, multi-cycle processes to multiply results. 9. Construct offers that take into account:
A. The three conditions of need B. The ultimate benefits C. The personal reasons why people buy things for companies

10. Set realistic actions and timeframes. You cannot solve a sales shortfall when you have a six month sales cycle and you are in Q4.

The Truth About Leads

Revealing little-known secrets that focus your lead-generation efforts, align your sales and marketing organizations and drive revenue

Contact

Dan McDade [email protected] 678-533-2722 office @dandade @pointclearpd http://www.linkedin.com/in/danmcdadepointclearllc

Demand Generation: Best Practices and Lessons Learned

Customer Behavior & Buying Cycle

Presented by: Parin Mody Global Director, Business Development Mardev-DM2

What is a multi-faceted campaign?

What is a truly integrated, multi-channel campaign? More than postal + email More than print + digital More than delivering the same message through multiple channels (although thats important) Marketing integration is using the most effective media channels and tactics to begin the conversation with your prospective buyer And then inviting them to take the next steps in their journey with you Continue the conversation Gauge their response Must be measurable Track each channel of communication

Leverage them to build each other

Document results and adjust as needed

Buyers are more educated than ever

The New Buying Process: Self Education
Marketing
Sales

Blogs/Tweets Download demo or White Paper Search online Forums/Communities Podcasts/Webinars

Reading emails

Poll # 1

Which dimensions of personalization do you leverage in your current campaigns?

Contact profile data Account profile data Behavior based Buying cycle stage based Preference based

Communicate with the whole person

Step 1: Meet the individual where he is. Understand that while working, he is still a consumer. While on personal time, he is still a professional and concerned about his business. Step 2: Make sure your message is consistent throughout the various communication tools you use. Step 3: Measure which tools gain the greatest response throughout the buying cycle.

Watching TV Mobile/Txt

E-mailing Online Research

Personal
Surfing Reading

Work
Commuting Tweeting

Implementing Demand Generation

How do I implement Demand Generation within my company?
First step Understanding the customer buying cycle and mapping it to the journey you, as an organization, offer to the customer Customer Buying Process

Interest

Learn

Evaluate

Justify

Purchase

Suspect

Inquiry

Marketing Qualified Lead (MQL)

Sales Sales Accepted Qualified Lead (SAL) Lead (SQL)

$$

Marketing validates quality of interest.

Marketing nurtures to sales ready.

Sales validates and accepts ownership.

Sales validates BANT criteria

Sales closes revenue opportunity.

Sales & Marketing effectiveness determines volume and velocity

Moving up the Lead Value Chain

Lead Definition Lead Generation Process # of leads Lead Characteris tics Hot Warm Sales Opportunity ready to buy Pre-qualified lead some information known about purchasing requirements

- Largely sales force task - High degree of interaction required with prospects, integration of online and offline channels to identify prospective need. May include email, online, telemarketing, direct mail.

Low Medium to Low

Prospects indicated definite interest

Profiled Suspects higher propensity to purchase

- Search - Permission marketing

- Segmentation, modelling of databases - richer demographics or information

High to Medium

Warm

High

Cold to Lukewarm

Suspects

- Lists with some demographics

High

Cold

Lead Generation: Tactical

Campaign Objectives
Lead definition & qualification
whitepaper download, appointment

Reporting

Target audience
company size, business sector, job title

email

leads
resource optimisation

Channel Selection
email, digital, telemarketing

Collateral Creation
case study, whitepapers, webinars

Online

nurture

Analyse, Optimise and Adapt

whats working increase whats not, adapt or switch off

Deliverables
volumes, timescales, CPL reporting

tele marketing

prospects

Strategic Campaign Workflow Example

Emails & Newsletters
DYNAMIC MICROSITE Gold Leads Pass to Field Sales

SEO/PPC

Social Networking

Whitepapers Case studies Competitions Blogs Forums Webinars Podcasts RFQ

Telemarketing

Silver Leads

Bronze Leads

Nurture

Online inventory

TRACKING & SCORING Monitor level of interest based on :

Email opens visits to microsite Downloads Reading/Posting on Blogs

FURTHER QUALIFICATION Budget Authority Need Timescales

NURTURE PROGRAMME

Advertising

Multi-touch Example: Microsite Driven

Multi-touch Example: Microsite Driven

Poll # 2

On average, how complex is your communication mix in a campaign?

Single touch via single communication channel (i.e. email batch and blast) Multi-touch via single communication channel (i.e. automated email drip campaign) Multi-touch via multiple communication channels (i.e. webinar with email, phone and direct messages

Strategic Nurturing Objectives

Lead/Customer Nurture Strategy: Build trust within your customers and prospects Educate them Who are you? What does the company do? How does it benefit them? Establish credibility as experts Be relevant to the issues /pain points of your different segments All of the above will help you differentiate your organization as a partner to the prospect as opposed to a vendor Use the data you collect about each visitor to send them more relevant engagement materials

Anatomy of ScanningPaper.com
The images and the text are dynamically populated based on the leads industry The welcoming message uses the first name, the job function, the company and the industry fields to make the experience very personal The customer examples, the business need case studies and the solutions in action content that can be downloaded is also dynamically populated based on the leads interest This content is based on and especially written for professionals in the leads industry

Content is based on solution interest

Lead Nurture: Rules of Engagement

1. Do not initiate contact without a clear objective 2. Start with the customer, not with your product/service 3. Pick-up where the interaction left-off 4. Dont ask the prospect for the same thing more than once 5. Make the interaction personal and personalized 6. Deliver information that reflects what youve learned about them

7. Learn about the customers/prospects in bits.. .. not all at once

Source : Peppers, D., Rogers, M., One to One Fieldbook, 1999

Defining Your Lead Nurturing Program

1. Define your objective 2. Define the WHO 3. Define collateral needed Touch point Emails Phone scripts White papers Postcard Letter Webinars Podcasts Flash demo

Content Assets Analyst reports Articles Research Papers Poll / survey Scorecard / rank yourself against your peers

Interactive media

4. Map out the customer experience 5. Test and launch 6. Ongoing evaluation and monitor reporting 7. Keep content fresh

Improve ROI with Lead Scoring

Lead scoring and nurturing improve ROI Objectives: Improve conversion to qualified leads Improve quality of leads Prioritize follow-up Harvest dormant leads and re-engage Helps measure channel effectiveness Enhance lead insight with marketing database demographics and behaviors

Dynamic Lead Scoring Model

Score on profile fit and level of engagement Profile Fit A = Target fit (BANT qualified) B = Potential fit (nurture) C = Not high enough now D = Not a fit Level of Engagement 1 = Showing buyer interest 2 = Showing some interest 3 = Not enough information 4 = Inactive

Dont send unqualified leads to sales Nurture.

Nurturing programs generate on average: 7-10% increase in marketing qualified lead (MQL) generation > 50% acceptance from sales (SAL)

Lead Scoring Model: Example

Category Level Demographics - 10 Points Title - 5 Points Pri ma ry Values Count Score Location in Eloqua Hea d of Di rector Chi ef Technol ogy Offi cer Executi ve Offi cer CIO Chi ef Opera ti ng Offi cer Seconda ry Ma na ger Cons ul ta nt Vi ce Pres i dent Archi tect Ana l ys t engi neer Terti a ry Admi ni s tra tor Support Techni ci a n As s i s ta nt Speci a l i s t devel oper Industry - 2 Points Pri ma ry LOCAL & CENTRAL GOVERNMENT EDUCATION & TRAINING MANUFACTURING & ENGINEERING HEALTH/SOCIAL & PUBLIC SERVICE Bui l di ng & Cons tructi on BUSINESS SERVICES Loca l Governement It Cons ul ta ncy Ba nki ng, Fi na nce, Ins ura nce Educa ti on Sector Seconda ry OTHER RETAIL/WHOLESALE DISTRIB SOFTWARE DEVELOPMENT/ISV Engi neeri ng Ma nufa cturi ng Indus tri es Government Other Servi ce Acti vi ti es CATERING, HOTELS, LEISURE,ENT. SERVICE PROVIDER/ASP/ISP/MSP/ Whol es a l e & Di s tri buti on Terti a ry 24 20 16 14 13 13 12 11 10 10 8 8 7 7 5 5 3 3 3 0.75 1 Conta ct Fi el d: "Indus try" 1 1.5 2.5 Conta ct Fi el d: "Job Ti tl e"

Supporti ng And Auxi l i a ry Tra ns port Acti vi ti es ; Acti vi ti es Of Tra vel Agenci es 5

Acti vi ti es Of Bus i nes s And Empl oyers Orga ni s a ti ons 2 Acti vi ti es Of Bus i nes s Empl oyers And Profes s i ona l Orga ni s a ti ons 2 Acti vi ti es Of Profes s i ona l Orga ni s a ti ons 2 0.25 Bus i nes s And Ma na gement Cons ul ta ncy Acti vi ti 2 es NETWORK/TELECOMMS RESELLER/INT NHS Securi ty Broki ng And Fund Ma na gement 2 2 2

Ma nufa cture Of Computers And Other Informa ti on Proces s i ng Equi pment 2

Other Fi na nci a l Intermedi a ti on Not El s ewhere Cl a s s i fi ed 2

Lead Scoring Model: Example

Employee Size - 1 Points Primary Employees 0100 to 0499 Employees 1000 to 4999 Secondary Employees 0500 to 0999 Employees 5000 plus Tertiary IT Expendiutre - 1 Points Primary Employees 0001 to 0099 51k - 250k 1m - 4.99m Secondary up to 50k 5m - 49.99m 500m+ Tertiary 251k - 999k 50m - 499m Annual Revenue - 1 Points Primary 250m+ Les s than 1/2m 200m - 500m Secondary 10m - 25m 100m - 249.9m 50m - 99.9m 100m - 200m 10m - 24.9m 50m - 100m Up to 4.9m 25m - 50m 5m - 9.9m Tertiary 1m - 5m 5m - 10m 25m - 49.9m 1bn+ Current Activity - 45 Points Click through Whitepaper Click through Register Click through More Info Click through to Homepage Click to View Online Click on Thank You Form Form Submit/Registrant Event Attendee Telemarketing - 40 Points Implemented DV? DV a Priority? Implementation Timeframe DV? 1626 713 527 518 213 15 11 9 8 7 6 5 177 163 79 66 54 52 51 49 48 47 41 41 33 31 26 14 25 0 10 10 0 0 0 0 Contact Field: Contact Field: Contact Field: Contact Field: Contact Field: Contact Field: "TYForm" Contact Group: "Reg" Contact Group: "Attend" Contact Field: "Tele_s 1q2" Contact Field: "Tele_s 1q2a" Contact Field: "Tele_s 1q2b" 0 0.25 0.75 Contact Field: "Annual Revenue" 0 0.25 0 0.75 Contact Field: "IT Expenditure" 0.25 0.75 Contact Field: "Employee Size"

Results and total lead score

Previous Activity - 5 Points Attend Register Clicks Primary Secondary Tertiary 2 1 More Than 3 More Than 1 Les s Than 3 48 84 66 300 2.5 1.5 0.75 0.25

Total Lead Score: A B C F

100 100-45 44-25 24-5 <5

Primary Secondary Tertiary

0-3 Months 3-9 Months 9 or More Months

Team in Place DV? Interested in PC? Currently Implement PC? Considering PC? Implementation Timeframe PC? 9 Primary Secondary Tertiary 0-6 Months 6-12 Months 12 or More Months 9 2 1 4 Primary Secondary Tertiary Information Security Bus ines s Continunity Data Growth and Maintenance Compliance *Cloud* 30 9 6 4 1 1 0 0 4 9

Contact Field: "Tele_s 1q2c" Contact Field: "Tele_s 2q0" Contact Field: "Tele_s 2q1" Contact Field: "Tele_s 2q1a" Contact Field: "Tele_s 2q1b"

Team in Place PC? 4 IT Challenges

Contact Field: "Tele_s 2q1c" Contact Field: "Tele_s 3q1"

Advise Areas

Primary

Contact Field: "Tele_s 3q3"

Lead Scoring and Nurturing: Best Practices

Best Practices: KISS Do not score on too many criteria as it will be unclear what values are defining the score Sales and marketing SLA with protocol around MQL to SQL, follow-up, etc.

Focus on scoring criteria that has standardized values, this will facilitate program execution and ease refinement, as needed
Continuously re-evaluate and tweak the scoring system Conduct a closed-deal analysis to uncover insights into conversions

Marketing Effectiveness
Marketing Automation Platforms (MAPs) enable a marketing team to measure its ability to directly impact and drive revenues Marketing dashboards help address one key tenet of marketing accountability the transparent communication of results. Forrester Research

Benchmarkable
Performance Benchmarks Track improvement over time against KPIs Prioritize & Launch enhancements based on business objectives Monitor demand generation process and measure its impact to revenues Marketing Sourced Pipeline (% of sales pipeline uniquely created by marketing) Marketing Influenced Pipeline (% of sales pipeline touched by marketing) Investment to Pipeline Investment to Revenue

(average cost of the demand creation of the sales pipeline)

(average revenues generated from $1 invested in demand creation)

10-50%

30-82%

1-4%

$5-$20+

Source: SiriusDecisions, Cross-Industry averages for B-to-B Companies

Contact Mardev-DM2

Parin Mody, Global Director, Business Development

[email protected]

www.mardevdm2.com U.S., Chicago Office

[email protected] +1.800.323.4958 [email protected] +44 (0) 208 652 4525

UK, Headquarters

Reference Information

Campaign Management: Planning

Interest Learn Evaluate Justify Purchase

Search Begins

Solutions Identified

Solutions Evaluated Against Needs

1. Do they meet my expectations? 2. What do analysts say, are they a leader? 3. Is Company viable? 4. How do they compare? 5. Why should I choose? 6. Whats the cost?

Short List Assembled

1. Leading, solid product/company? 2. Recommended by customers and analysts? 3. Meets or exceeds my need? 4. Can afford to buy & implement? 1. eMail & Web 2. Customer, analyst references 3. Sales calls 1. product customer reference site 2. product Awards 3. Customer stories 4. Press releases 5. Seminar Pres

Selection Made

Questions:

1. Who are the suppliers for my need? 2. Whats the scope of potential achievement? 3. Where do I stand? 4. How can I easily find out more?

1. What do they offer? 2. Are their customers achieving success? 3. Do they fit my need? 4. How can I easily evaluate/demo?

1. How can I easily purchase? 2. Can I purchase via Web site? 3. Who can I call? 4. Do they have a partner in my area? 5. Why buy now?

Experience:

1. eMail & Web 2. Seminars 3. Podcasts

1. eMail & Web 2. Podcasts/Seminars 3. TM Calls

1. 2. 3. 4. 1. 2. 3. 4.

eMail & Web TM Calls Sales Calls Seminars

1. eMail & Web 2. TM & Sales Calls 3. Partners

Content:

1. Industry white papers 2. Company product white papers 3. Customer stories 4. Assessment tests 5. Press releases

1. 2. 3. 4. 5. 6. 7.

Company white paper Seminar Pres product spec sheets Customer stories Flash Demo Ind/analyst reports Educational Tips

Features/Benefits Gartner Quadrant Fin. Press Releases Competitive & Cost Comparisons 5. product Awards 6. Seminar Pres

1. 1800# provided 2. Company.com product 3. E-Shop product 4. Partner locator? 5. Promotions or deals?

Marketing Effectiveness Measurement

Marketing Effectiveness Measurement

Source: SiriusDecisions

Measure What Matters

Measure what matter for your business Funnel Value On track to meet revenue targets? How much revenue from each source? What is the quality of the pipeline? Channel Performance Top campaigns by lead acceptance Top campaigns by number of high scoring leads, etc.

Investment effectiveness
Which campaigns yield the best returns?

Question & Answer Session

If you havent done so already, please take this time to submit questions to our speakers using the Ask a Question box on your console.
Dan McDade President and CEO PointClear Author of The Truth About Leads Parin Mody Global Director of Business Development Mardev/DM2

Moderated by:

Thorin McGee Executive Editor Target Marketing

Thank You
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