Cost of Generating Leads
Creating economic development is one of the most difficult tasks communities have in today’s highly competitive global economic environment. How do you generate leads, and what is the average cost for each lead? Look at these press releases:
One state Economic Development Department announces that it has begun a
$350,000.00 marketing blitz in California.
Another Economic Development Authority announces that it is adding personnel and preparing to step up its $ 650,000.00 marketing campaign aimed at businesses fleeing California.
Another says California is still the target of their recruiting effort and hires a multi-national advertising agency to create an ad. They then go on to say “To pay for advertising space, the state will spend only $150,000.”
Still another economic development association says that it has raised more than $3.5 million to purchase leads, pay for staff to make cold calls, and attend conferences, all to bring businesses to town.
With iGroups Multi-Channel Marketing Strategy you can get your message in front of 10,000 or more business owners and key executives in any industry, in any geographical area in the US in one day.
Some ask “what is the percentage of responses?” Use caution when people talk about “Percentages.” As an example, if you mail 200 direct mail pieces and 4 people respond you have a 2 percent response rate.
If you mail 10,000 direct mail pieces and 20 people respond you have a .002 percent response rate. Now ask yourself, which is better? A 2 percent response rate that generates 4 leads or a .002 percent response rate that generates 20 leads. If it cost less to generate the 20 qualified leads, then you know the best answer.
Some call this a “Shotgun Approach.” Personally we don’t care what people call it, the facts are that it works because it gets your message in front of key decision-makers in your target audience. If they’re interested in your message they’ll respond.
What’s the better definition of a “Qualified Lead", companies most likely to be expanding to somewhere, sometime in the future, or a company that responded to your specific message and expressed interest in your specific community?
Donald Flor
Economic Development Marketing (EDM)
(800) 595-7052 (619) 585-7052
Boy this is true. I have had my fill of marketing programs promising to produce "qualified leads" that turn out to be nothing more than "tire kickers".