Greetings,
Do you ever find that you don't have enough good prospects to be talking to when growing your business? Do you ever feel that growing your business would be more fun if you had an unlimited number of people to talk to that were interested in your business and products?
Some of the most frequently asked questions that I get are:
Do leads work?
How do you find quality leads?
What are the different types of leads?
Should I pay a lot for leads?
Today, we're going to solve the problem of leads.
Today, you're going to learn how to have a virtually endless stream of people to speak with about your product, service, and opportunity.
There is no doubt that leads work. The reason that many in MLM and network marketing are taught to chase their 'warm' market is because it sounds easy, and it worked very well...50 years ago. Back then, people knew their neighbors, all the other people in their neighborhood. These days, most people don't even know the people that live in the apartment 5 feet away from them. We are a very different society than we were 50 years ago.
If you are looking to grow a monster-huge business, you will probably have to venture outside of your friends and family to acquire good clients and business builders. Finding targeted leads are a viable way to do this.
You should also know that all leads stink. Now, I'm not saying that leads don't work, because they do work. However, there is this notion that there is some sort of magical lead that is just sitting at home hoping and praying that today will be the the day that we contact them and offer them our product or service. There is no such lead, at least not that I'm aware of. If you know where they are, then clue me in, because I'm still looking.
That being said, finding targeted leads beats chasing friends and family hands down. You have to have a virtually endless supply of new business, and leads accomplish this nicely.
There are 3 different types of leads. Today, I'll cover 2 of them, so that you understand the differences and how to NOT lose money on this.
The first type of lead is what's known as a demographic lead. A demographic lead is separated based on large, general, demographic information. For examples, if you were marketing a health a wellness product that helped reduce joint pain, you might choose to target people over age 50, since they typically have high occurrences of joint pain, arthritis, etc.
If you were marketing a product like a benefits savings package, then you might choose to target young married couples between ages 35 - 45, since they are one of the main groups of people now that is being hammered by this credit crunch.
You can specify that you want demographics of people with a certain credit score, or you can specify that you want demographic leads of people that make over a certain annual income. You can specify that these leads be in a certain geographic location (within 50 miles from where you live, for example).
The important thing to understand is that demographic leads are:
1. The most general (and least targeted) type of lead, and
2. Is the cheapest type of lead.
Demographic leads apply best to products that aren't very niche. Benefits packages, identity theft services, insurance, etc.
The 2nd type of lead is what's known as a Response Lead. A response lead is a lead that had to respond to something. For example, they had to fill out a questionnaire, or they requested more information about a product or service. A response lead is much more targeted than a demographic lead, because they had to take some sort of action in order to become a response lead. You know that they have an interest in whatever they are responding to.
A good example of a response lead is when you order the free information for a Nordic Track or a Bowflex. The fact that you responded to their commercial, and called them for more information, means that you have an interest in what the Nordic Track or Bowflex can do.
You can get targeted response leads for whatever it is that you are marketing. For example, if you were marketing a Telcom service, you could get targeted response leads that responded to some sort of ad for a discounted phone service. If you were marketing a weight loss product, you can get response leads that recently inquired about a weight loss program.
**Special Note**
Opportunity-seeking leads are garbage. They are usually re-sold to the point that if you contact them, they will have talked to 50 other people before you, and will probably tell you to go fly a kite. Opportunity-seeking leads are pseudo-response leads, and the best thing you can do with them is use them to get your fire started on a cold winter night.
When you are "lead shopping" you want to focus in on the benefits of your product or service. If you want to lead with your company's income opportunity, please refer to previous posts here in The Toolbox.
So the big question is: WHERE DO YOU GET LEADS?
Well, there are many different places to find leads.
One way you can get them is through lead brokers. If you do a Google search right now for "leads", you'll see a ton of different companies pop up. You can buy leads from many different sources, but here are some guidelines to go by:
1. Be Cheap - I never pay more than 20 cents per lead. Usually, I like to keep it between 5 and 10 cents. Also, you want to start with very small batches. Remember, if you are dealing with a lead broker, their job is to make you...broker. Sometimes they will have a minimum order or batch of, say, 10 thousand leads. If they do, then keep shopping. You want to start with very small batches of leads, no more than a couple hundred at a time.
2. Avoid Data-Managers - These will be the people on the first few pages of your search results. I personally don't recommend you do business with a data-vendor or data-manager for the simple reason that you will probably be regarded as a "small fry" in their eyes. They typically sell millions of leads each month, so if you come knockin' asking to buy a few hundred leads from them, then it will be difficult to be viewed as a legitimate business in their eyes.
The real "lead brokers" are are on the back pages of your google searches. They're cheap buggers, so they're not going to try to compete with the big data-vendors for the first page of Google rankings. Interview a small brokerage, and build a relationship with a "mom and pop" type of lead firm that will respect small orders, and will treat you as a person.
3. Don't Go For Your First Offer - Shop around for leads. You'll get many different offers. The goal is to not get the absolute cheapest leads, but rather, find a broker that you can build a business relationship with, someone who will back you up and stand behind what they are selling. I'd rather pay a lead broker with integrity twice what I'd pay a lead than a lead broker that could care less about my business. Just like anything else, success with this endeavor will depend on the relationships that you develop.
So now, you know of 2 different types of leads, the differences, where to get them, and what to pay for them. Hopefully, 2008 is shaping up to be a good year for your business.
Have some fun this weekend, enjoy the Super Bowl, and drink responsibly (at least when your spouse is looking ;)
All The Best,
- Joshua Fuson
