PureB2B is a data-driven marketing platform that offers lead generation and data services that accelerate the technology sales process by identifying intent among technology buyers.

Founded in 2009, PureB2B helps marketers meet the helps meet the ever-changing demands of B2B sales.

Delivering full-funnel, scalable solutions for sales and marketing teams.

Customized campaigns optimized to target your in-market buyers at any state of the buying cycle, PureB2B’s hands-on approach and buyer-intent data provide you with the sales and marketing pipeline velocity you need.

If you want to improve your conversion rates, you need to implement the right sales funnel optimization strategy to get the results you want. This means taking a closer look at your current process and making improvements based on what you see behind the scenes.

From the top of the funnel where visitors get converted into leads, all the way down to acquisition, there’s always something you can tweak to make the most of your lead generation efforts. Effective optimization results in above average conversion rates and sustainable revenue.

Your lead generation plan should include sharing content that’s compelling enough to encourage your target audience to become qualified leads. You know you’ve successfully acquired a lead when they download your e-book, become subscribers, or fill out an inquiry form.

However, the funnel doesn’t end with a lead acquisition. You need to continue nurturing the relationship to turn them into loyal customers. Whether it’s by sending them relevant content, the latest industry news, or updates that reinforce their decision to buy your product or service, don’t neglect the importance of keeping in touch with current clients.

How to Compute Lead Conversion Rates

Compute Lead Conversion Rates

Before you can calculate these rates, you need to define what type of action defines lead conversion in a particular campaign.

More often than not, lead conversion is defined as being accomplished when the lead becomes a paying customer. But conversion in itself can mean any of these other customer behaviors: becoming a newsletter subscriber, downloading your white paper offer, signing up for an online seminar, sharing content on social media, or a specific length of time spent on your homepage.

Once you’ve clearly defined what a conversion is, you now know what to measure and how to compute your lead conversion rate. Conversion rates are equal to the total number of conversions divided by the number of leads and then multiplied by 100.

If your conversion is defined as leads who become new customers, then the formula should look like this:

Lead Conversion Rate = Total No. of New Customers / Number of Leads * 100

So if you had 100 leads, and 20 of them became new customers, your lead conversion rate is 20%.

Average Conversion Rates per Industry

Average Lead Conversion Rates Per Industry

Conversion rate averages will vary depending on what industry you belong to, so you need to be aware of these figures to accurately gauge if your lead generation campaign is a success or if there’s room for improvement.

In most cases, you should also expect traffic coming from the top of the funnel to be a lot higher than those who have moved further down the tunnel to become Marketing Qualified Leads (MQL) and Sales Qualified Leads (SQL).

MQLs and SQLs provide bigger opportunities because they have been identified as leads who want to hear from you and learn more about your product. On average, SQL conversion rates are higher than MQL conversion rates because these are leads that have been identified as those who are interested in your product, and therefore, have a higher propensity to buy.

According to Capterra, the conversion rate average for lead generation in the software industry hovers between the 5% to 10%.

Meanwhile, a Marketing Sherpa study revealed that website conversion rates of traffic that come from the top of the funnel across various industries typically fall within these ranges as well:  

INDUSTRY AVERAGE CONVERSION RATES
Non-profit 2%
Retail or Commerce 3%
Travel or Hospitality 4%
Manufacturing or Packaged Goods 4%
Technology Equipment or Hardware 5%
Software/SaaS 7%
Education 8%
Healthcare 8%
Other 8%
Media or Publishing 10%
Professional or Financial Services 10%

Takeaway

Based on these findings, how is your business performing? No matter where you fall in that range, there’s always something that can be tweaked. What can you do to improve your batting average?

For one, you can streamline your sign up form by removing a few fields that you can do without. When your form is longer than five fields, many visitors get discouraged and end up not submitting their contact details. Instead, try to narrow it down to 3 fields, five at the most.

Another way to improve your lead conversion rate is to use a clear, straightforward Call to Action (CTA) that leaves no room for doubt as to what their next steps should be. Visitors should know what to expect as soon as they click on your CTA button, so pay attention to how you design it.

Are your client testimonials readily accessible on your landing page? If not, it helps to improve your trust elements this will enhance your credibility and inspire confidence in your brand.

As long as you continue A/B testing, tweaking, and improving your strategy based on quantifiable data and industry averages, your conversion rates are bound to improve. It takes consistency, continuous optimization, and persistence to bring your lead conversion rates above average.

 

If your conversion rates aren’t quite up-to-scratch, maybe you should think about outsourcing to the lead generation experts. Check out our FREE whitepaper today!

The Ultimate Guide to Outsourcing Lead Generation

Sales and marketing alignment is key to driving success regardless of your industry. It’s also an issue that many companies find to be a struggle.

The disconnect stems from these teams’ seemingly disparate goals. The marketing team is expected to generate as many leads as possible, while the sales team is under pressure to turn those leads into paying customers. Often this causes the former to focus on volume at the expense of quality, while the latter tends to blame failure to close on the marketing team for not qualifying leads effectively.

One way to unify these two teams is to focus your efforts on results by making ROI the responsibility of the whole company, not just individual teams. When both teams see the bigger picture, the whole organization benefits by having a shorter sales cycle and better target market profiling. This gives you the ability to close the gap between lead quantity and lead quality.

Here are a few best practices you can implement to help align your sales and marketing teams:

  1. Hold Regular Meetings

Hold Regular Meetings

It may sound obvious, but it can be a challenge to set aside time for regular meetings especially when there are deadlines to meet and time becomes a scarce resource. Whatever the case, you should always make time to catch up because these knowledge sharing sessions play a significant role in the alignment process.

Make the most of these meetings by having a clear agenda to share processes, resources, and best practices on both ends. Marketers must be kept updated on the sales team’s progress when it comes to meeting their quotas and goals because it allows marketing to offer specific support when needed.

  1. Secure Executive Commitment

You have a better chance of success if you secure the backing of key personnel from the C-suite. This puts a considerable emphasis on unity and sends a clear message throughout the organization that you mean business.

This is especially important in companies where the rivalry is clear between these two functions. Executive level buy-in will help neutralize tensions and ensure that everyone is on the same page.

  1. Don’t Tie ROI Solely to Sales

ROI and Sales

Marketing has traditionally been more concerned with bringing in as many leads as possible. As such, most have failed to keep track of how their lead generation efforts contribute to overall revenue.

Alignment between the two teams means that marketing has to develop strategies with metrics focused on revenue generation. KPIs such as “deals influenced” or “deals sourced” can be included to help tie in campaigns with bottom line results.

  1. Come Up with a Common Set of Definitions

This ensures that both teams are on the same page both literally and figuratively. This also promotes clear and effective communication across teams, so confusion and misunderstandings are minimized.

For example, a “lead” can mean different things to different departments. How qualified are these leads and what does it take for a prospect to be classified as a lead? Don’t hesitate to be as granular as possible for best results.

  1. Agree on a Single Customer View

Single Customer View

Both teams must take the time to define their exact target audience. There must be a clear picture of the ideal customer, which can be achieved by sharing what both teams’ unique knowledge.

Familiarize yourselves with each customer touchpoint until you come up with a well-rounded picture based on mutual insight and common goals.

  1. Marketing Should Keep Sales Updated on Upcoming Campaigns

Make an effort to ensure that any new campaign or content launched has been shared with the sales team. This promotes a seamless front so that the sales team can directly engage the leads who have consumed these new marketing materials.

Make sure that marketing is coordinating with sales whenever a new email blast is sent out, or any new leads have been acquired. This will not only give additional insight into a customer’s interests, but it will also provide sales reps with an idea of what motivates leads to take the next step.

  1. Use a Closed-Loop Feedback System

Closed Loop Feedback

The sales team communicates with leads or prospects regularly, so they are in the best position to tell you what your customers need. However, they don’t always have the time to record these insights, which can lead to a breakdown in communications.

One way to address this issue is to use shared documents to collect ideas and references. Another way to bridge the gap is by holding regular brainstorming sessions where the sales team can share what they know about attracting leads or what types of content would resonate the most with prospects.

A closed-loop feedback system will ensure open communication and that all opportunities to leverage customer data are being taken advantage of.

  1. Implement Strategic Content Creation

Don’t simply leave content creation to the content team. Your entire company is full of potential knowledge that can help improve the quality of your content, and you should be taking advantage of it.

Your sales teams have an intricate knowledge of what customers want, so why not use them to help develop content that is more appropriate for your audience? You can interview them, ghostwrite for them, or if they’re so inclined, have them write the post themselves. This will provide you with new knowledge channels and empower your best sales reps.  

  1. Lead Quantity and Quality Must Work in Tandem

Lead Quantity & Lead Quality

Lead generation companies optimize their lead generation efforts by finding the right balance between lead quantity and lead quality. The best possible combination will differ depending on the type of company and its industry.

To find a balance that works specifically for you, you’ve got to test, test, and test some more. Ask yourself questions such as:

Find out how shifting the focus affects ROI to find the best possible practice for your business.

  1. Make Sales-Enablement Resources Easily Accessible

Brochures, presentations, overviews, and other marketing materials should be placed in a shared area (like Google Drive) so that the sales team can easily get hold of these resources to support their activities.

Include your marketing strategy, campaign calendar, relevant offers, blog posts, and other content tailored for specific customer personas in this shared file. With more contextually-relevant information, sales teams will be able to tailor their sales pitch more effectively.

Takeaway

In most organizations, sales and marketing have historically operated independently of each other. It’s rare to find these two functions working perfectly as a unified team with common goals.

In many cases, there’s even a rivalry between the two, because both sides fail to see how each one can benefit from the other. While some teams have successfully found common ground without outside interference, the best approach is to assign managers and personnel to oversee their alignment.

This responsibility primarily rests on key decision makers, as they have the power to set operational objectives. Expect some form of resistance from your marketing and sales teams, because nobody likes change. But with a keen focus and a proper plan in place, you’ll be seeing higher conversion rates, better performance from both sales and marketing teams, and a more functional working environment altogether.

 

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