U.S. businesses spend billions of dollars generating sales leads only to lose more than 70 percent of them simply because they don’t make contact quickly enough, according to one study.
But that’s not the only way they’re losing out on opportunities, says Brandon Stuerke, president of Advisors Edge Marketing, a specialist in marketing strategy and automation for financial advisors and other professionals.
“A study of more than 600 companies by Dr. James Oldroyd of MIT found that the odds of a lead entering the sales process were 21 times greater if the business made contact within 5 minutes of generating the lead versus contact in 30 minutes,” Stuerke says. “Another study, this one by the Harvard Business Review, found that the average response time by businesses to a generated lead is 42 hours – and that’s just for responses that occurred within 30 days.”
Generating sales leads is big business, with more than $23 billion spent on internet leads alone, he notes.
“You may also be spending money on direct mail, invitations to seminars, TV commercials and/or print ads,” Stuerke says. “How many leads are you generating, and at what cost per lead, only to lose them?”