Small Business Lead Generation – Why Spamming and Cold Calling Does Not Work

Every small business is the proverbial Needle in the Haystack, so small business lead generation is critical to an entrepreneur’s survival and the growth of his/her small business. The thing that most entrepreneurs forget, though, is that it is a lot easier to turn a prospect or lead into a customer if the lead calls you versus when you call them. It cracks me up when I hear titles of articles, seminars, or books about how to “Make Effective Cold Calls” or how to “Warm Up Cold Calls”. In the past decade (through two recessions, mind you,) I’ve built a total of four multi-million dollar businesses from scratch, and none of that revenue was ever generated from any “cold call”. In fact, I’ve had over 405 of the Fortune 500 companies become clients, and they have all called or emailed my companies. They searched my companies out when they had a problem instead of us trying to find people within these companies that were facing the specific problems that we could solve. These are a few of the secrets that we have uncovered to help small businesses generate more leads (and more quality leads).

Cold Calls do not Work at All in a Digital Age

Cold calls, email spam, blast faxes, pop-up windows, forced “opt-in” subscribers and the like just don’t work in this digital age (I’m not sure any of them ever worked very well for very long). The ones that crack me up the most are the companies that send out blast email spam guaranteeing us that they can get our website to the top of Google in 48 hours. Seriously? Do you think that if they could actually do this that they would be wasting their time spamming millions of people trying to beg someone to buy their service? Last month, there were 165,000 people who went to Google and searched for the term “Google search optimization”. If they could get to the top of Google with just that one term, they would have about two million people potential leads coming to them every year. So why would they need to spam people? If you are so good at what you do, why are you spamming me? Why are you cold calling me? Why are you trying to force me to subscribe to your newsletter? The truth is that cold calling and spamming people shows desperation, not success.

Get Potential Leads to Call You to Turn more Leads into Customers

The internet is the great equalizer for small businesses. Big businesses have websites, but their bureaucracy forces them to move very slowly in implementing new technology and captivating on new opportunities. However, nimble small businesses can capitalize on these opportunities immediately. It is actually very easy to get to the top of a Google search result. It is very difficult, however, to stay there. In fact, it is a fulltime job. But it is a very lucrative fulltime job. Logically, this is why this is your most important goal for your small business. When someone has a question, where do they go for an answer now? In decades past, if you had a challenge or a question, you might ask a friend or coworker or if it was a really big problem, you might go to the library and search for an answer. Today, though, people go immediately to Google. The listings at the top of the first page have a lot more credibility than the ones on the second, third, or four-hundredth.

If your small business is listed at the top of the results when they enter their question, and then they click through to your website and get the answer to that question, your small business is now at the top of their short-list for solution providers. If they call you or email you, you automatically have about a 25% chance or so of turning that lead into a client. In contrast, if your small business is listed at the top of page two on Google, in order to have someone contact you, they will have already looked at listings from at least 10 other competitors. Most potential customers will not be that thorough, so you will generate fewer leads, and now, since you are competing with at least ten other competitors, your percentage of closing drops to below 10%.

Get Leads to Call You by Giving Away Something that They Need or Want

What is common knowledge to you is uncommon to most people. Remember that your expertise and knowledge is extremely valuable to people who are searching on Google for answers as in the previous example. So if you can help them answer the question – and really help them in the process – they are more likely to share with you their contact information. Once they do, you now know two things about them. First, you know that they have (or had) a specific problem that you can help them solve. Second, you know that they already know who you are and trust has started to develop from them that you are an expert in your industry.

What you give away doesn’t have to be costly, but it must be valuable. Costly means that it doesn’t have to cost you anything to give it away. For instance, if you have a lot of informational content on your blog, then you might ask people to register in order to conduct a search of your blog for specific topics. Or, you might give away a special report or access to a video or audio file with information that a prospect might need. For example, if you are a dentist, you might offer a video about how to teach a three-year-old to brush properly. Anyone who requests the free information will likely have a young child and be concerned about the child’s oral health. Whatever the gift, just make sure that your costs are low and the value of the item is high from the customer’s perspective.

So forget the cold calls and spam, use your website to get more leads to call you, and then use a high-valued free gift to encourage prospects to contact you, and you will generate great success through small business lead generation.

Home Based Business Leads – 3 Simple Ways To Get More Network Marketing Leads From Free Methods!

In any business that you are part of, having the ability to generate a steady flow of new customers is essential. Nowhere else is this more pivotal than in network marketing. If you are going to be successful in this type of business you have to be able to generate home based business leads from multiple sources. Below you will find my top three favorite ways of generating network marketing leads for free. Yes you can use pay methods, but when you are spending a dime and still getting a good amount of leads on autopilot, it’s a pretty nice situation.

One of the best ways to get business opportunity leads is through content generation. Usually this comes in the form of what is called article marketing. Third many different article directories that are more than happy to take your content and put it up on their website. The more places you have your articles the better chance you have of people seeing them. This strategy can be highly effective for building MLM leads if you are consistent with your writing.

Another good form of lead generation that won’t cost you a dime is called blog commenting. This is where you visit other peoples sites and read what they have to say. If you like what they had to say or think you can add to the conversation, you leave a comment on their blog that points back to your site. This is a great way to get traffic coming to your site because of all the different visitors to the blog receives.

Being active in related forms also can help you build up your business opportunity leads. Because people who are like-minded are also members of these forms, you stand a good chance at building some nice leads from those who are visiting the forum. Just make sure you are being as helpful as you can and people will find you.

Now these methods all work great for traffic and building up a small business leads, but if you don’t have a solid marketing plan to convert them, you’re just wasting valuable traffic. You have to have a way to get this traffic to convert into some form of money for you. This could be into your primary MLM opportunity or even better, it could be into something that allows you to make some nice commissions from as an affiliate.

The opportunities are endless once you have a good supply of leads.

Small Business Lead Generation – Pay-Per-Click Advertising

Small business lead generation using pay-per-click ads can be very challenging. In fact, paying for leads can either make you really rich or drive you out of business. Google makes a ton of money every year from pay-per-click ads. Most of the money that they make from these ads did not generate a single bit of additional revenue to the companies or entrepreneurs who purchased them. However, there are a few people out in the business world who pay a little bit of money to Google and generate millions of dollars in return. They don’t generate this type of income by accident. These entrepreneurs just have a better strategy than the ones who end up losing money on pay-per-click ads.

How to Lose Money in Pay-Per-Click Ads

The Uninformed Entrepreneur says, “I am not making money from my website because no one is coming to my website, so I will invest in pay-per-click ads and that will make me money.” No, that will cost you hundreds or thousands of dollars every week with very little, if any, return on your investment. Effective advertising leverages or magnifies the return that you are already getting from your current sales channels. If your website is not generating leads or business for you before you invest in advertising, then you will be magnifying a zero return. 300% of zero is still zero.

Most people use pay-per-click ads as the starting point, and when they do, they will almost always lose money. They are betting their business capital on an untested experiment. It would be like buying a thoroughbred and running down to the racetrack and betting a bunch of money on your horse’s first race. Yes, you would know your horse, but your horse is untested against other horses. However, if your horse wins his first three races, you might want to invest a little in his fourth one.

Your website is the same way. Develop your website to where you are generating leads and sales from those leads. Then, one you have a track record of success, invest in pay-per-click ads. Then you are betting on a sure thing.

How to Generate Lots of Revenue from Pay-Per-Click Advertising

The Informed Entrepreneur says, “I have finally got my business generating new leads from the internet, and now I want to leverage the success that I am currently getting.” Now you can make an informed budget for your pay-per-click advertising.

Here is a highly simplified example. If you are generating 10 leads per week from your website, and you are averaging closing one of those leads for $100 in revenue and $25 in profit, then you could only afford to pay $2.50 per lead to break even. Remember that just because someone clicks your pay-per-click link, does not mean that they will contact you and become a lead. If you have a fantastic website, you might be able to turn one out of every ten clicks into leads, so you could pay no more than $.25 per click to just break even. So pay-per-click won’t yet work for you yet. You would need to increase the revenue per customer, or the profit margin, or the closing ratio (or all three) to make pay-per-click more cost effective for you.

If you invest in an email follow up system and generate the same 10 leads per week, this time you might turn three of those leads into customers. Since you are now able to build a longer term relationship with your leads, you might be able to bundle a few of your products together and generate a higher revenue per sale and increase your average sale to $300. By doing all of this, your cost per lead goes down dramatically. Now for every sale you are generating $100 in profit. With three sales out of ten leads, you generate a total of $300 in profit. You can now afford to pay $30 per lead, so with the same ten clicks turning into one lead, you could afford to pay up to $3 for each click. If you can get quality clicks for just $1 each, you will triple your pay-per-click investment.

So forget the cold calls and spam, use your website to get more leads to call you, and then use pay-per-click to leverage your success, and you will generate great success through small business lead generation.

Writing Pay-Per-Click Ads that Lead to Sales

Once you have a great site and follow up system set up, now you can in some ads. Remember that the goal is NOT to get people to click your ad. The goal is to get people who will buy something from you to click your ad. For instance, if I put “One out of every 100 who click this link will get $1000,” I’d get a LOT of clicks. However, none of them would buy anything from me, so I’d just lose a lot of money. Or, if I am a local dentist in Frisco, Texas, and I place an ad that says, “Free Teeth Whitening Tips,” I’ll also get a lot of clicks, but very few sales. Most of the people who click will just want the free tips, and very few of them will be in my local neighborhood. A better ad would say something like, “Frisco, TX Dentist – Free teeth cleaning with your first whitening treatment.” If you don’t want to go to a dentist in Frisco, TX, you are less likely to click that link. People who do click the link are probably pretty good prospects for you.

You will always have numb-skulls who click your links even though they don’t need or want anything that you are promoting, but you’ll have fewer people click your paid-for links who are looking for something different than what you are offering.

So if you want to generate small business leads using pay-per-click, make your website and follow up system solid first, then use effective ads to target the specific market who will buy your services.

Small Business Lead Generation: How It Works?

The process of small business lead generation essentially operates on a cyclical basis, wherein new leads are generated, contacted and converted to sales. Some of these clients are retained for the upcoming period of time after their contract expires, while others leave. Hence, it’s important that the lead generation activities need to happen continuously, so that the leads keep coming in and these fluctuations don’t have much of a detrimental effect on business.

Essentially, it has been observed that effective small business lead generation has the potential to shorten the cycle and also lead to better quality of leads. The most important aspect of ensuring this is to understand that the first contact is not sufficient to ensure sales. Hence, one needs to continuously keep at it. However, this depends on whether the lead in question is hot or cold. Quite obviously, one needs to pursue hot leads more fervently, and filter out cold leads completely from the system. This can either be executed by experienced professionals, or by maintaining a log of the feedback received from the different kinds of prospects, which can then be monitored either by an experienced team leader, or by the team together.

One more aspect that organizations are particularly wary of in terms of small business lead generation is that getting quality leads is often an expensive proposition, whether one tries to procure the same from an external party or pushes the sales team to accomplish the objective. Compared to getting a cold or warm lead, finding a hot lead is a lot more time and resource-consuming. However, it’s absolutely worth the effort, when one sees it purely from the perspective of return on investment, since it shortens the span of time it takes from the initial contact to sale. Hence, one needs to ensure that all these points are taken care of in every lead generation campaign, for phenomenal results.

The next criterion is the place mix, which talks about the location at which the product is being introduced. This is equally important as the rest of the lot, since the place at which the product is introduced is of paramount importance. One can’t hope to sell raincoats in a desert, or half sleeved T-shirts in a snowy province! Lastly, the promotion mix in small business lead generation refers to the kind of promotional tactics are used to sell the product.

The appropriate combination of all these would virtually guarantee success for any product or service.