effective sales lead generation (forte consultancy group)
DESCRIPTION
Approach and best practices for creating sales leads from alternative sources. Focuses mostly on SME leads, although applicable to all customer segments.TRANSCRIPT
Viewpoint
Boosting Sales with Lead Generation
Approach & Best PracticesDecember, 2008
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 2Forte Consultancy Group
Forte considers five key external sources effective in quickly creating sales opportunities…
Sales Pipeline
Business Partners
Lists
Channel Partners
Independent Agents
Persons with influence on or access to prospects(E.g. Retired telecoms
dealers, Entrepreneurs)
Existing Customers
Customers which are satisfied and influential(E.g. Customers in ICT or
with large network)
Companies with relevant sales & service team(E.g. PC resellers, IT
technical service providers)
Companies with relevant customer portfolio
(E.g. Commercial banks, Real estate developers)
Internal and external lists of non-customers
(E.g. Importer/exporter lists, Industry specific lists)
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 3Forte Consultancy Group
Forte considers five key external sources effective in quickly creating sales opportunities…
Sales Pipeline
Business Partners
Create synergies for sales…
Lists
Build basis for cold calls…
Channel Partners
Build win-win
scenarios…
Independent Agents
Use as low-cost mass channel…
Existing Customers
Capitalize on
referrals…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 4Forte Consultancy Group
…for which the initial focus would be creation of alternative sources, after which growth opportunities would lie ahead with the correct actions
Create
Facilitate
Motivate
Cooperate
Accelerate
Evaluate
Winning Partnerships
Identify alternative sources and selectively acquire
Facilitate easy and effective means of interactions with acquired sources
Motivate continuous referrals and sales by recognizing and rewarding high performing partners
Cooperate with the partners, growing their business, through training and value added support
Provide continuous feedback to partners for improvement, and keep channels of communication open
Continuity in lead generation through these sources requires continuity in relations with them…
Potential Partnerships
Customers, Independent Agents, Channel Partners, Business Partners, Lists
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 5Forte Consultancy Group
Creating additional leads with short term and long term initiatives is a cyclical process, which requires a good understanding of the customers, competitive environment and potential partners
Need ApproachImpact
Learn About the Customers, Competition and Partners
Rapid Increase in Sales with Accelerated Actions
Continuous Increase in Sales with Structured
Actions
Generate Information
Build Strategic Initiatives
Take Action
Diagnose Opportunities
LearnInstant Impact
Market Share Annual Sales
Customer Portfolio Value
Number of Customers
Number of Leads
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 6Forte Consultancy Group
Interpretation of the voice of the market, the business, the customer and the employee provides answers to key questions in lead generation process
Voice of the Employee
Voice of the Business
Voice of the Market
Voice of the Customer
Which prospect groups are more important strategically?What are the business priorities to keep in mind in partner creation?What would be the success criteria and targets for such activities?
Who would prospect customers listen to for referrals and sales?Which customers are most likely to refer high potential prospects?Which benefits would the referrer and referred parties expect?
Would sales team see these new sources as competition to their role?How would sales teams prefer to receive new leads?What would channel and business partners expect?
How do competitors create leads for sales?Who partners and works with whom in the market?What are the market potential and trends?
Illustrative
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 7Forte Consultancy Group
Product, customer and channel priorities forms the basis for lead generation process, defining the targets and objectives
Product Priorities
Customer Priorities
Channel Priorities
Increase point-to-point data revenues
Increase long-distance market share
Leverage ATM infrastructure
Leverage growth in real estate sector
Increase SME market share
Increase presence in retail sector
Increase indirect channel use
Increase existence across cities
Establish strong partnerships
Illustrative
Voice of the Business
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 8Forte Consultancy Group
Potential by location and customer segment needs to be analyzed in order to develop the most effective and focused lead generation strategies for defined targets
38848
42116
43854
49137
56185
68495
78278
121470
133652
351053
MANİSA
BALIKESİR
MERSİN
ADANA
KONYA
ANTALYA
BURSA
İZMİR
ANKARA
İSTANBUL
Commercial Entities in Top 10 Cities
34%
49%
37%
16%
33%
33%
7%
9%
5%
5%
7%
10%
55%
50%
52%
59%
47%
46%
9%
6%
8%
9%
15%
19%
27%
14%
26%
40%
36%
33%
Manufacturing
Construction
Trade
Tourism
Transport. & comm.
Real estate
Dial UpISDN<2 MB/sec DSL>=2 MB/sec DSLOther BB
Internet Type by Industries
Comparison of market size by location and customer segment (e.g. industry, size) would reveal untapped potential
for additional sales…
Voice of the Market
Sample
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 9Forte Consultancy Group
For high priority prospect segments, analysis should reveal expectations during sales cycle and potential partnership and referral opportunities
Customer Category
Retail Chain Stores
Sales Expectations
Potential Sales Partners Referral Likelihood
7.7
7.6
3.4
4.5
7.8
8.5
Technical Service Providers
Other Retail Chains
Product Suppliers
Real Estate Developers
Systems Integrators
POS System Resellers
We would consider referrals from… We would give referrals if we…
8.8
7.8
5.6
7.6
Are Happy with Products
Receive Exceptional Service
Receive Other Benefits
Receive Monetary Benefits
In sales, we would look for…9.1 6.7
4.58.9 7.8
References GoodImpression
SalesPromotions
ProductInformation
Discounts
Voice of the Customer
Illustrative
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 10Forte Consultancy Group
Potential partners should be also analyzed, in terms of their potential value add for sales, as well as their expectations from partnership
Partner Category
High Performance
Server Resellers
Partner Potential
Partner Expectations
5.5
6.5
7.6
7.8
3.4
4.4
8.5
Technology Support
Operational Support
Marketing Support
Sales Support
Planning Support
Extra Benefits
Monetary Benefits
7.8
8.9
7.7
8.8
8.7
6.7
Approved Partner Branding
Marketing Training
Advertising and Promotions
Product Training
Prospect Information Sharing
Partner Marketing Conferences
Target Segment Fit
Service Offering Fit
Size of Operations
Number of Candidates Eagerness to Partner
High
High
Medium
LimitedHigh
4.1 / 5.0
Overall Potential
Voice of the Employee
Illustrative
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 11Forte Consultancy Group
Outcome of these activities should build the basis for lead generation strategy map
Retail Chain Stores
Sales
Internet
PartnersSegment
Cold Referral
Cold Referral
Cold Referral
Warm Referral
Warm Referral
Warm Referral
Warm Referral
Lead generation strategy map defines which for products are leads generated from which segment and by whom…
Illustrative
Prod
ucts VPN
Data Center
Long Distance
Pos System Resellers
Systems Integrators
Technical Service
Providers
Other Retail Chains
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 12Forte Consultancy Group
Customer referral programs are effective means for accelerating sales for companies with a basis of loyal customers
Sales Pipeline
Existing Customers
Capitalize on
referrals…
Business Partners
Create synergies for sales…
Lists
Build basis for cold calls…
Channel Partners
Build win-win
scenarios…
Independent Agents
Use as low-cost mass channel…
Pro-activelyinvolve loyal customers
Leverage value chains
& networks of referrers
Create benefits for
both referred and referrer
Care for the experience of
all involved parties
Incorporate referrals into
customer value
Key Principles
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 13
Sample Case
Forte Consultancy Group 13
USA
AT&T provides rewards ranging between $50 and $250 for referrals, based on sales value, presented with a Visa Prepaid Card.
Rewards for referrals are commonly based
on sales volume to referred parties, and delivered in various
forms…
Existing CustomersCase: Friends & Colleagues Small Business Referral Program
Reward mechanism is one of the key success factors of any referral program, balancing attractiveness/volume vs. cost of sales
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 14
Sample Case
Forte Consultancy Group
Providing benefits for the referred party as well provides additional motivation and justification for cause for referrers
Existing CustomersCase: Win-Win Referral Program
Turkey
TTNet Refer & Win program provides 5 YTL discount on bills for both the referred and referrer.
Providing benefits to both parties create a
‘favor’ affect to referral programs…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 15
Sample Case
Forte Consultancy Group
Conditions for eligibility and customer privacy should be effectively managed to avoid potential dissatisfaction of referrers
Existing CustomersCase: Conditions & Customer Privacy
USA
TW Telecom (Time Warner) provides benefits for sales with 12 month commitment only, and lets referrers to choose whether
his/her name is made known to referred party.
Using referrer name can increase likelihood of acceptance, on the
other hand, it can decrease number of referrals submitted…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 16Forte Consultancy Group
Independent agents can prove to be an efficient sales force, with limited investment needs and quick growth opportunity
Sales Pipeline
Existing Customers
Capitalize on
referrals…
Business Partners
Create synergies for sales…
Lists
Build basis for cold calls…
Channel Partners
Build win-win
scenarios…
Independent Agents
Use as low-cost mass channel…
Provide limited
authority & limit liability
Avoid conflicts
with existing sales teams
Reward loyalty and
growth
Motivate policy and
quality alignment
Turn high performers
into channel partners
Key Principles
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 17
Sample Case
Forte Consultancy Group
Warm referrals provide faster means for sales, compared to cold calls, but require more talented independent agents
Independent AgentsCase: Warm Referral Program
USA
Qwest referral program targets independent agents, as a source of warm referrals, and with a sales conversion rate target.
Focusing on warm referrals can create a more efficient sales
pipeline…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 18
Sample Case
Forte Consultancy Group
Mass communication and motivation tools and channels are required for increasing performance of agents
Sky provides accounts to its retail agents for accessing portal for their customer operations.
Web based portals are effective means for agent support and
referral submissions…
UK
Independent AgentsCase: Agent Interactive Portal
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 19Forte Consultancy Group
Channel partners with complementary service offerings which serve priority segment prospects can rapidly expand accessible customer base
Sales Pipeline
Existing Customers
Capitalize on
referrals…
Business Partners
Create synergies for sales…
Lists
Build basis for cold calls…
Independent Agents
Use as low-cost mass channel…
Channel Partners
Build win-win
scenarios…
Ensure policy and qualityalignment
Create business value in addition
to cash
Target partners serving priority
segments
Key Principles
Gain exclusive rights when
possible
Leverage complementing
products & services
Invest in lasting relationships
Key Principles
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 20
Sample Case
Forte Consultancy Group
Partnerships with telecommunications decision influencers and complementary service and product providers can have substantial impact on sales
CA has partnerships with various computer technical service providers, such as Geeks on Call, whose technicians receive
rewards for CA product sales, and receive additional support.
Similar partnerships are applicable for
additional companies, such as:
•PC makers•PC & technology resellers•Real estate developers•Transporter companies•PBX makers…
USA
Channel PartnersCase: Computer Technician Partnership Program
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 21
Sample Case
Forte Consultancy Group
Effective channel partnerships require business and tool support to partners, creating improvements for both parties
USA
Channel PartnerCase: Authorized Partner Support
Sprint provides marketing and training support as well as onlinetools for its authorized partners.
Training and support to sales partners not only directly affect sales, but also add
extra value for these partners, increasing
their loyalty…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 22
Sample Case
Forte Consultancy Group
Low-cost channels, such as web can be utilized for training and support of partners in mass numbers
USA
Channel PartnersCase: Preferred Sales Training Program
Intel provides web based facilities to its resellers for 24x7 training and face-to-face courses for more detailed training in both
technical and sales skills
Web channel is especially relevant for
technology companies’ partners,
such as telecom operators’…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 23
Sample Case
Forte Consultancy Group
Commission-based programs are effective in creating partnerships, yet extrarewards and recognition are necessary for long-term relations and loyalty
USA
Channel PartnersCase: Preferred Partner Rewards Program
Toshiba provides rewards ranging from jewelry to vacations to its top performing partners.
Recognizing and rewarding channel
partners, in addition to providing
commissions, increases motivation
and loyalty…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 24
Sample Case
Forte Consultancy Group
Differentiation of partners, by their value add to the company, and customized treatments also increase return on investments into partnerships
USA
Channel PartnersCase: Tiered Partner Certification Program
Cisco Systems classifies its partners and certifies them, with custom support levels for each.
Segmentation is commonly applied for customers, yet, is also
a powerful tool in partner relationship
management…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 25Forte Consultancy Group
Business partnership with non-competing companies for customer acquisition, creating synergies in value offerings can create opportunities for both parties
Sales Pipeline
Existing Customers
Capitalize on
referrals…
Lists
Build basis for cold calls…
Channel Partners
Build win-win
scenarios…
Independent Agents
Use as low-cost mass channel…
Business Partners
Create synergies for sales…
Care for brand
alignment
Gain exclusive
rights when possible
Target partners serving priority
segments
Leverage complement-ing products
& services
Give some, take some
Key Principles
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 26
Sample Case
Forte Consultancy Group
Bundling of business solutions to priority prospect segments is one of the effective ways in building business partnerships
Business PartnersCase: Start-up Package Partnership with Bank
Malta
HSBC partners with IT & T to provide a complete start-up package to new businesses, bundling banking, telecommunications and
consulting services.
Start-up and sector-specific bundles can
be created in partnership with
banks, which are also after similar prospects…
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 27Forte Consultancy Group
Lists are also effective means, in case targeted group lists are accessible, or mass marketing actions are taken
Sales Pipeline
Existing Customers
Capitalize on
referrals…
Business Partners
Create synergies for sales…
Channel Partners
Build win-win
scenarios…
Independent Agents
Use as low-cost mass channel…
Lists
Build basis for cold calls…
Unify lists to avoid multi-pitches to one group
Balance quality vs. quantity of
data
Customize approach by
value of prospect
Utilize both direct and
indirectchannels
Avoid spamming
using targeted lists
Key Principles
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 28Forte Consultancy Group
List usage should be complemented with prospect potential and needs prediction, in order to target the right prospects through right means and with the right messages
External List Usage
Illustrative
Lists are acquired by segment and company size.
Prospects are solicited via different channels based on
potential and needs.
Potential value and needs of prospects
are assessed.
Certificate Directories
3rd Party Companies
Industry Directories
Stock Market Listing
Trade Directories
Business Directories
Business Rankings
List Sources
© 2008 Forte Consultancy Group. All Rights Protected and Reserved. 29Forte Consultancy Group
Internal data can be also used to identify prospects for sales, through analysis of relations between companies
Internal List Usage
Illustrative
Companies which are called by existing customers frequently are identified through
data analysis.
Prospects are solicited via different channels based on
potential and needs.
Potential value and needs of prospects
are assessed.
Forte Consultancy Group | Istanbul Office
Dereboyu Sok. Sun Plaza Kat:13 Maslak, Istanbul - Turkey
+90 212 366 02 66
The information contained in this document, much of which is confidential to Forte Consultancy Group, is for the sole use of the intended recipients. No part of this document may be reproduced in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of Forte Consultancy Group.