Lead generation refers to the process of generating prospective consumer interest or inquiring into a company's products or services. Sales and marketing are the two types of leads in the lead generation market. Usually sales leads are generated on the basis of criteria such as income, age, etc. These sales leads are resold to multiple advertisers which are then followed up through phone calls by the sales people. These are commonly found in the industries like mortgage, insurance and finance markets. Marketing leads are generated for a particular advertiser .Unlike the sales leads the marketing leads are sold only once.
How Does Lead Generation Work?
There are agencies that specialize in providing qualified leads. The agency develops a website or partnerships with several websites in which they promote the company's products and/or services. A consumer if interested in the same fill in an online quote request form. This form is submitted to the agency. The buyer's information is verified and matched with the several companies' products/services. These matched leads are then sent via email to the companies with full contact information and purchasing requirements.
Lead generation Process:
Lead generation acts as a link between the buyer and the seller by breaking the barriers of time, distance, or attention. The nature of lead generation depends on various factors like the type of product/service and mainly on the decision of the buyer. In lead generation the most likely prospects are identified and educated on the products and services.
Advantages of Lead Generation:
Lead generation is useful for both the buyer and seller. A buyer is able to request information about what they are looking for from businesses that offer the product or services and the seller is given the opportunity to market their product or service to someone who is interested in the same. Such leads have a higher conversion rate when compared to cold calling. Other advantages are listed below:
- It helps in pricing the products and services on the basis of the leads generated.
- It helps to decide the geographical area for sale of products and services on the basis on demand and the tastes and preferences of the prospective consumers.
- It helps to understand the demand for the businesses products and services.