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It is a well-known fact that lead generation is a crucial part of a marketing strategy. According to a report, 53% of marketers spend half or more of their budget on lead generation. This and other statistics emphasize how important it is to nurture the interest in a product or service as it is one of the most important things in business. You have to develop a strategy for attracting clients, otherwise, your product/service would be left unnoticed no matter how good it is.
As important as it is, lead generation is not an easy task. In fact, the process of generating leads is becoming increasingly difficult. Statistics show that 63% of companies consider lead generation as the biggest challenge. Due to its complexity, lead generation requires a lot of expertise and effort and resource investment. That is why many businesses outsource their lead generation processes to expert providers. In this article, we intend to give a detailed definition of lead generation and explain why it is better outsourced.
The core purpose of lead generation is to identify and cultivate potential customers and convert them into paying clients. This is a huge part of marketing campaigns because it’s aimed at finding and engaging prospects through inbound or outbound techniques on different channels.
Lead generation is a complicated process that comes with its challenges. However, it has the potential to transform your business by growing your client base and bringing more sales. So it’s definitely worth it to invest in lead generation.
Leads are usually classified into different types depending on their qualification and what lifecycle they are in. Let’s look a closer look at each of them.
Marketing qualified leads (MQL)
MQLs are users that engage in your marketing content. They express their interest in your brand by checking out your website, social media pages, or using tools on your website to assess their needs. However, these leads are not ready to talk to your sales team.
Sales qualified leads (SQL)
SQLs are customers that demonstrate a direct interest in buying your product or service which indicates that they are ready for a call with a sales representative. Sales qualified leads are usually those who fill out a form on your website, sign up for your newsletters or respond to your prospecting email.
Product qualified leads (PQL)
PQLs are usually leads that already use your product/service as a part of a free trial or any other program of that kind. Typically, product-qualified leads are familiar with your service and find it very useful. Therefore, sales representatives have all chances to convert such leads into regular customers.
Service qualified leads (SQL)
SQLs are basically leads who told your customer representative that they want to make a purchase from you or become a regular user of your product or service. This normally happens after a customer tried the service out (during a free trial) and decided to keep using it. In this case, a customer support representative connects the client with a sales rep to close the sale.
Companies opt for outsourcing their lead generation for different reasons, but mostly because of its multiple benefits. Let’s take a look at them.
Lead generation outsourcing companies provide professional services. Their main goal is to bring a brand real, convertible leads, which requires deep knowledge and understanding of how lead generation works. For that, outsourcing agencies use innovative techniques and technologies to ensure high-quality leads are produced regularly.
Outsourcing means delegating a part of your responsibility to an external provider. This means that you have more time on tasks that are more important or require more attention. When you outsource your lead generation, you are offloading a significant amount of work from your team’s shoulders and let it focus on core competencies and on professional development within the company. This nurtures an enhanced performance of your team and an overall efficiency of your business.
How much time and resources do you usually invest in lead generation? Probably a lot. Do you get the desired ROI? Not always. That is because lead generation is a very complex process that requires high expertise. When you outsource this process to an external agency you get that expertise. And the best part is that you don’t have to start from scratch.
Outsourcing lead generation companies have all tools, resources and expertise needed for developing the most suitable strategy for your company. They know all industry trends, have experience-based competence and employees. This means that you don’t need to spend months or even years on developing a good lead generation team. You can just hire one of the outsourcing agencies and start generating high-quality leads right away.
As mentioned above, marketing departments usually spend a lot of money on lead generation. In addition to service costs, you have to pay for maintaining an in-house lead generation team which includes office setup, recruiting and other expenses. Outsourcing companies take care of all of that and make you pay only for the service itself.
Lead generation is a challenging task that requires deep industry knowledge and a lot of resources. While some companies are willing to take on the challenge, many decide to outsource their lead generation processes.