Hold onto your hats, sales folks. This stat is going to sting a little…
Only 1% of your leads are turning into customers.
It’s tough to think that such a small percentage of leads are converting into real dollars, but thankfully there are people like Sangram Vajre, Co-founder and CMO of Terminus, whose goal is to turn that stat around for good.
Terminus is an account-based marketing platform that allows companies to connect their SalesForce data and target their best-fit accounts from a list of over 200 million B2B professionals. Sangram shared with us why account-based marketing is the best method to ensure that your marketing efforts make their way to the decision-makers and influencers within your industry.
Sangram shared three quick wins to gain through account-based marketing: pipeline velocity, upselling, and cross-selling, and turning accounts into opportunities.
When a lead comes across your inbox, they’re essentially raising their hand and saying, “I am going to buy something.” If that person doesn’t end up buying from you, you better believe they’re going to your competitor. In order to guarantee that you’ll get the sale, you must increase pipeline velocity.
To do this, you have to be efficient at marketing to not only the individual you are targeting but also to the executive decision-makers that surround that individual. The goal is to create a halo effect in which they see your brand from all angles online.
To create this halo effect, be proactive by finding what platforms they are using (mobile, social, etc). If you’re waiting for a CEO to visit your website to retarget them, you’re going to be waiting a while. Don’t force them to do something you consider successful, but engage with them on their terms to make them feel like you’re adding value to the process.
You can manually identify people you want to target (most likely through buying a list), hope they opt in to an email, and hope again that those people actually come to your website to retarget them. Or you can use Terminus to remove a lot of this guesswork. Terminus identifies where you need to proactively target your marketing efforts in order to be seen by those decision-makers you want to connect with.
Upselling & Cross-Selling
It’s common sales know-how that it’s far less expensive to keep an existing customer as opposed to signing a new one.
By focusing your time and resources on selling to existing customers, you are becoming a far more efficient organization. If you can offer a more robust version of a product or service, or if you can offer a new product or service that would add benefits to an existing account, you are winning on both sides.
One additional advantage of upselling and cross-selling is that you can personalize your message to each customer. The longer that you have been working with them, the more you understand what they are looking for in terms of products and services. The longer the client relationship, the more knowledge you have about what they’re looking for.
As you begin to customize your message to these existing clients, deeper layers of trust are being earned. This also typically leads to customers becoming large advocates for your company.
Account To Opportunity
One of Sangram’s biggest points of advice for turning leads into customers is to focus on the right type of lead. Many times, companies focus on the sheer number of leads they can toss to the sales team rather than focusing on the quality of leads. Lead generation is an artificial measure of success if you can’t take those accounts and turn them into true opportunities.
For example, Terminus will often encourage a company to look at 100 of their leads, and narrow that list down to the 25 leads that are the best potential matches to their business. Not all leads are created equal, and prioritizing leads allows you to hyper-focus your marketing efforts towards the most promising accounts.
Sangram has a saying, “Nobody’s ever closed a lead, they’ve closed accounts.” Relationship building here is key – people buy from people. It’s important to always focus on the accounts that will be the best fit for your organization rather than getting distracted with a huge list of far-fetched leads. Forget the long lead lists, focus on the accounts that will be the best fit for your company.
Terminus is on a mission to help companies turn more leads into actual customers. Through account-based marketing, these three quick wins will help you get started on the right foot. Don’t worry yourself with the nitty gritty details, Terminus makes increasing pipeline velocity, focusing on upselling and cross-selling, and turning accounts into opportunities simple.
This post is based on an interview with Sangram Vajre (you can also follow Sangram’s other twitter account, @FlipMyFunnel) from Terminus. You can find this interview, and many more, by subscribing to the B2B Growth Show on iTunes.