The concept of Lead Nurturing has become a new Game of Thrones in b2b marketing sector: everyone is talking about it and no one really knows what is going to happen next. But one thing can be said for sure: even what appears to be a completely lost case can still be won over with some good strategy applied at the right moment.

So we at HelloMrLead decided to check it out and were surprised by the results obtained! Long story short, in just one week we literally resurrected more than 15 contacts and at least two of them converted in valid leads approved by client. Let’s see if we can do better!

So we got ourselves a client, an expert in managing loyalty programmes in retail sector. Last year we generated some leads for them, but others didn’t work out or just dropped out. The response rate obtained from the lead scoring campaigns in March for the very same client never exceeded 15%, in some cases dropping to 4,6%.

For the lead nurturing campaign our KPI was to get use of dead-end contacts. Not exactly a measurable one, but worth trying and nothing to lose.

Then, right on Holy week (dead season in Spain, so to say) we launched a sequence of 5 e-mails enriched with highly useful content from the client’s own blog: 2 of them dedicated to the buyer person, 2 more – to whatever contact you can get and the 5th “one-size-fits-all” just in case.

What’s point writing to a person who apparently lost interest in your product on a week that everyone goes on vacation, you’d ask sarcastically?

The statistics will speak louder than words:

– of a 100 conversations initiated we got 15 positive replies (most are still being followed up, such as Mercadona, BonArea, SPRINTER or Inditex)

– among those who turned into leads were Solmania and Adolfo Dominguez, companies that could potentially close deals worth several times the campaign price

– the “just in case” mail copy lead to at least TWO positive replies, while the most statistically efficient channel happened to be that “other contact” we did not rely on too much.

Inspired by the results we decided to extend the practice to our other campaigns currently in progress or about to be initiated. And here are some tips that may help you do the same:

1. Don’t hesitate to remind of yourself. That is, not to be annoying, a great way to get use of your previous work that seemed fruitless.
2. Be helpful. No one would ever respond to our e-mails if they weren’t offering any expertise or unique content. If a client doesn’t have a blog to base on, help him create one.
3. Stay up to date. Holidays are a great opportunity to update and prosper, as your clients will have plenty of time to read, whilst the eve is perfect to force the decision making.
4. Don’t throw away possibilities. Even if you know an MQL or SQL and focus the campaign on nurturing that particular contact, it’s always worth trying other approaches.
5. Improvise. After all, this is not a tightly scheduled scientific experiment, there’s always a room for split-testing campaigns, personalized ideas and ad hoc management.

 

Information overwhelms the web and all companies try to attract customers to their business. It is a constant battle against the competition. The only way to attract the
user is to be different, to have certain products or services that customers can only find in your company.

This can be very difficult as there is so much competition in this global world that even creativity is undermined. It is difficult to provide a product that has not been invented in the internet age. But, another element that companies have to differentiate themselves from the rest is transparency.

If your business transmits the values it has, the transparency of your accounts, the steps it follows or its main objectives, the customer will know your company in depth and it will be one of their top. Thus, if you have a business that transmits confidence
and security, users will think of you when they need a product or service.

In this step, transparency marketingcomes into play, a term that can change the way some users view your company.

What is transparency marketing?

This concept embraces the requirement to share with your customers information about your employees, management, values, culture, business processes and the results obtained of your strategy . You may think it is better to hide information so
that competitors do not copy your ideals or ways of working, but opaque doors in a company drive consumers away.

In the digital world where it is very easy to see what each business does, it is longer only required to provide safe and useful products or services. Nowadays it is essential to transmit values related to social responsibility. Customers don’t just want to buy your product and go back home with it, no, nowadays customers need to know that they are cooperating with sustainable, charitable and transparent companies.

It has become a fundamental requirement for active companies on the internet as it is used as a way to differentiate themselves from the rest. Transparency marketing can be transmitted doing various actions such as:

Sharing employees’ stories .
Explaining how the company works.
Communicating mistakes as well as successes.
Broadcasting values that represent the company.

As you can see, these actions are related to trust improvement in the company. The more human side of your business will help you to get closer to your audience and make them trust that they are buying from a committed company.

Transparency marketing policies will help your company to create a relationship based on trust and assurance on the part of the consumer. In addition, this bondwith your lead will generate benefits such as improved sales and customer loyalty.

Ways of being transparent

Vulnerability

In the era of the perfect life in networks, companies carry out the same actions concise actions that align with the objectives to achieve. Each determined action must be related to a task, a person in charge and a date to finish it. In the end, you must create a plan that marks the difference compared to the previous one, that includes changes you have identified during your analysis and, thus, minimize the errors. In order to do that, you must create realistic goals that are achievable and are aligned with the company’s vision. as ordinary users, showing their most positive and successful side. We all want to show how well we are doing and the happiness of our lives. But this is not always the case. There are bad times when projects do not go the way we want them to.

That is why it is important to transmit the vulnerable side of our company to the user. With human communication, the consumer will see that they are not just buying a product, but a story. People don’t buy from companies, they buy from
people. This is fundamental to take into account because if we transmit a story that connects with them it will be easier to create a relationship of trust with the user.

Price transparency

Many companies have chosen to show both the prices involved in labour, shipping, materials and even the profit of the business itself. This form of transparency is highly valued by customers as few show what they earn from the sale of their
products. This practice is especially prevalent in eCommerce because it attracts consumers to buy from their shop, gaining trust through pure transparency.

It is reasonable that you do not want to show what you earn on your website, but it is a perfect example of how people want to be aware of everything that is going on in the company they are buying from. This price reflection helps the user to know that they are paying a fair price for the product they are buying and are not being cheated.

If you do not want to show your profits on the internet, you can take other actions such as creating content focused on explaining the price increase/decrease to gain the trust of your consumers.

Social transparency

Stories attract the consumer. If users see that behind a company there is human value, stories of overcoming, success and constant struggle, they will see themselves reflected and it will be one more reason to make a purchase.

Furthermore, if your company collaborates with humanitarian organizations; if it is committed to the development of sustainable products and local resources; if it hires people from third countries to give them a chance of a future or simply by collaborating in a monetary way, it is one more reason for consumers to buy from your company.

Reputational transparency

A good reputation attracts new customers. Therefore, it is important to take care of your company’s reputation among consumers and on the internet. When dealing with rumors or accusations, you will have all the keys to put an end to those negative
ideas that are going around.

In the case of performing a bad action, it is always advisable to apologize on behalf of the whole company, because when this is done well, it will be noticed by consumers. It is essential to transmit that the regret is real because if you apologize and the user feels that you are not being sincere, your business reputation will get worse.

How does it help your customer relationship?

The setting up of this process has numerous advantages in the relationship with the customer. As we have mentioned before, the consumer wants to be aware of what is happening in the company he/she is buying from, wants to know how it works and
what values it has.

This serves to verify that the values of the company are the same as those of the consumer. Nowadays, it is as important to have a good product as it is to transmit your thoughts about some areas of concern to users, such as sustainability or
humanitarian aid.

Trust, loyalty and honesty on the part of the consumer will be the elements that you will gain if you implement a transparency marketing strategy. Carrying out this strategy does not mean disclosing every detail of your company. You must create boundaries to know what information and data to share and what not to share.

Above all, it is essential to determine with whom you will share that information.

If you implement this process, you will not only get closer to your customer, but you will also be unconsciously advertising your business in a positive way. Good actions
attract good customers.

Future

Companies are increasingly creating working environments based on trust, honesty and shared values. This feeling must be transmitted to consumers. Customers value
the closeness of companies, their involvement and their recommendations and advice.

More and more businesses are basing their business philosophy on the transparency marketing strategy. Thanks to the implementation of this process, the closeness, loyalty and trust with consumers is multiplied.

It is essential to always think about the values we want to transmit, the concern for the consumer and their needs. Our growth will be greater if we base the creation of our company on the trust and confidence of consumers.

In addition, implementing this system will help you connect with consumers’ who share your values. This will make your job and that of your employees much easier.

Transparency should be the motto of all companies to create communities based on respect, trust and loyalty. Developing this strategy will bring you closer to your customers and help you grow with them. In spite of the hard moments that may arise, it is better to face them together with your customer and try to give them the necessary explanations to continue together.

If you have not yet developed transparency marketing in your company, don’t hesitate to try it because you will fall in love with this way of working that benefits both your customers and your way of working.

If you sold milk, would you compete with Coca-Cola?

It is common to believe that the world of B2B sales is all about presenting a product and beating the competition. They forget the art and science behind every strategy, overlooking the fact that competition is important, but that creating an ideal customer profile is the key to hitting the target. More than understanding the competition, it is crucial to understand your perfect buyer and what their needs are.

An interesting example is the “Got Milk” case, a sales strategy that turned around an old sector in need of renewal and refinement.

In 1993, milk consumption declined considerably in the United States, causing a radical change in this well-positioned sector. After four decades of wasting millions on marketing campaigns and seeing no real results but declining sales, milk producers made a decision: they hired a marketing agency to conduct a thorough investigation of their customers.

The result? They’re still enjoying it: last year U.S. retail milk sales topped $45 billion.

 

The problem?

They targeted the wrong market.

The results of the research led the producers to understand that they were trying to convince Coca-Cola and Pepsi customers, yet these consumers were notable for not drinking milk, at least not for the most part.

On the other hand, they discovered that the Ideal Customer Profile (ICP) was made up of existing customers who already drank milk, but drank it along with a complementary food such as an Oreo cookie. This led them to launch the legendary “Got milk?” ad, aimed at existing customers. I’m sure you’ve already seen it, here’s a taste:

Now then, back to the topic. According to Gartner, one of the most important information technology companies, it has found that in some companies, CPI is not well understood as a concept or is poorly defined. Even in companies that have defined a CPI, its use is limited to marketing reports or new employee orientation sessions.

According to Gartner, companies that invest in a well-defined CPI achieve compelling business results, such as: faster sales cycles, higher conversion rates, higher ACV (annual contract value) and average LTV (lifetime value).

Interestingly, CPI drives GTM’s strategic and tactical moves in Marketing, Demand Generation, SDR/BDR, Sales and Customer Success. Betting on the wrong CPI can cost millions of dollars of burn and months and years of lost opportunity, if not company survival In Jeff Bezos’ 2021 shareholder letter, he stated that “customers complete 28% of Amazon purchases in three minutes or less…and half of purchases are completed in less than 15 minutes.”

 

What does this mean?

While, active CPI refinement is a cornerstone of GTM strategy and tactics art that it is not backed by sufficient actionable data and recommendations.

Currently, the reality is that there is no systematic and scientific way to suggest ICPs based on actual conversion behavior. Demand Gen and GTM teams end up with qualitative surveys, sales team feedback, spreadsheets, analysis and anecdotal evidence to build a hypothesis about the right CPI and iterate on the experiments to arrive at the ICP.

Most companies still use a mix of qualitative surveys, feedback from the sales team and sheets to analyze historical data to figure out ICPs. Don’t get us wrong: this is a fair approach. However, this approach is held back by the limitations of analyzing in spreadsheets and isolated tools used for the exercise. “Give me one more spreadsheet!” no leader ever said. It’s too time-consuming an activity for a market that is in constant motion.

Knowing who your ideal customers are (ideal customer) , leads to faster and clearly effective sales cycles. That’s true for a B2C business like Amazon and true for B2B. So, if you don’t know what your buyer needs and don’t offer value to a prospect immediately, you’ll be nothing more than a ghost before you even get a chance to greet them, let alone take them to a meeting.

That’s where the definition of ICP comes in.

The goal is to attract the right prospects and be ready to show them value, causing them to make quicker decisions that lead to shorter sales cycles.

Importantly, the Ideal Customer Profile is not a static element. It evolves. This evolution occurs as the company, its product, its competition, and its market and category transform and grow.

ICPs migrate across dimensions such as company size, vertical, buyer persona, title, region, etc. In fact, it is not surprising that conversions, velocities and success rates change even within a single quarter, especially in turbulent economic and market environments such as the current one.

Given this, the development of CPI aims to identify the leads and accounts most likely to convert into your high-value customers.

If you have a low conversion rate from qualified SDRs to accepted sales, it is evidence that your CPI segmentation is deficient.

 

How do you understand this?

In reality the following happens: until the sales department finally identifies that it is the wrong CPI, the marketing department has spent money on campaigns that attract the wrong leads and continues to do so.

By the time this happens, the SDRs have spent hours researching and warming up these leads, the sales department has spent hours preparing and demoing the product for them.

Only to realize – at the end of it all – that the lead/account was a bad fit all along and mark it as not accepted by sales, leading to poor SQL to SAL conversions.

After the development of the Ideal Customer Profile, you won’t be plagued with costly MQLs that won’t convert; your pipeline isn’t bolstered with unrealistic opportunities; and your forecast is closer to reality than ever.

The road to revenue is paved with one less hurdle to worry about: one big hurdle is solved.

Conversion behavior review, a form of refinement.

The most effective way to be really incisive when creating the Ideal Customer Profile is a systemic, data-driven approach. It is best to use feedback loops from the emerging conversion, pipeline generation, win rate and velocity behavior of the different segments in decision making.

Hence the need to implement a solution that continuously learns from the patterns in your data to validate your hypothesis of a CPI or, better yet, tell you if you are attracting the wrong prospects at the expense of your marketing budget.

 

Conclusion

The Ideal Customer Profile is not the result of an intuitive analysis, much less a concept to be taken lightly. Taking into account what has been explained above, we can affirm that it is the cornerstone of the marketing process.

The vague definition and the mess of data regarding the ideal customer are actions that must be measured, analyzed and studied. There are no magic formulas, no art that only a genius can perform.

The strategy is clear, that level of predictive analysis and pattern creation is the best solution. While it is feasible to leave this in the hands of technology, the truth is that approaching the analysis from the data will bring wonderful consequences.

Successful Email Marketing in 2023

Email marketing remains an essential tool in the arsenal of any digital marketing strategist in 2023. That’s why having a strategy for sending successful emails will not only be fundamental to optimize your marketing, but also to increase your ROI and meet your business goals. In this article we will develop the challenges of email marketing in 2023, the opportunities and challenges, in addition to offering 5 innovative strategies to implement your email marketing, such as: optimizing your personalization according to different levels, re-engagement, the use of channels and ABM strategy among others. Read on and find out more!

 

Email Marketing Challenges in 2023

One of the main challenges facing email marketing in 2023 is inbox saturation. With so many emails being sent daily, it is becoming increasingly difficult to stand out and capture the attention of the recipient. In addition, privacy and consent regulations, such as GDPR and CCPA, have made it more difficult for companies to obtain and maintain users’ consent to send them emails.

Another challenge is adapting to new technologies and trends. For example, the growing popularity of mobile devices has made it essential for emails to be responsive and look good on any screen size. In addition, artificial intelligence and automation are changing the way email marketing is done, and companies need to keep up with these trends

 

Email Marketing Opportunities in 2023

Despite these challenges, email marketing also presents several opportunities in 2023. One of these is personalization. With the amount of data available today, companies can personalize their emails like never before, which can increase open rates and interaction.

In addition, email marketing automation can help companies become more efficient and effective. For example, they can set up email workflows that are triggered based on user behavior, which can increase relevance and conversion rate.

Finally, email marketing remains a cost-effective marketing channel. Unlike other digital marketing channels, such as pay-per-click advertising, email marketing can reach a large audience at a relatively low cost.

In summary, email marketing in 2023 presents both challenges and opportunities. Companies that can adapt to new trends and technologies, and that can personalize and automate their emails, will be well positioned to harness the power of email marketing.

Email Marketing Challenges and Opportunities in 2023 to Double Your ROI

Email marketing remains an essential tool in any digital marketing strategist’s arsenal. However, as with any strategy, there are challenges and opportunities that must be considered to maximize return on investment (ROI). In 2023, these challenges and opportunities are more prominent due to changes in technology and consumer expectations.

Email Marketing Challenges 2023: How to overcome them

New times also bring new challenges. Here’s what’s happening in 2023 with email marketing:

1. inbox saturation: one of the biggest challenges for email marketing in 2023 is inbox saturation. Consumers receive a large number of emails every day, which can make it difficult for your message to stand out. To overcome this challenge, it is crucial to segment your email list and personalize your messages to make them relevant and valuable to the recipient.
2. Changes in privacy legislation: Privacy legislation is constantly changing, and businesses need to stay on top of these updates to ensure they are in compliance. This can be a challenge, but it is also an opportunity to show your customers that you take their privacy seriously.
3. Adapting to new technologies: With the rise of artificial intelligence and machine learning, companies must adapt and learn how to use these new technologies to improve their email marketing. This can be a challenge, but it is also a great opportunity.

 

Email Marketing Opportunities 2023: How to take advantage of them

1. Personalization: Personalization is one of the biggest opportunities in email marketing in 2023. By using data and analytics, you can personalize your emails to make them more relevant and engaging to your recipients, which can increase open rates and ROI
2. Automation: Automation is another great opportunity in email marketing. By automating your email campaigns, you can save time and resources, which can increase your ROI
3. Integration with other digital marketing strategies: Email Marketing should not be an isolated strategy. By integrating it with other digital marketing strategies, such as SEO and social media marketing, you can increase your reach and improve your ROI.

In conclusion, Email Marketing in 2023 presents both challenges and opportunities. By overcoming the challenges and taking advantage of the opportunities, you can double your ROI and achieve greater success in your marketing efforts.

 

Email security and regulations 2023: GDPR, CAN-SPAM and more

In today’s digital age, data security and privacy are of utmost importance. Regulations such as the General Data Protection Regulation (GDPR) and the CAN-SPAM Act play a crucial role in protecting the rights of email users. These regulations not only ensure email security, but also set clear guidelines for companies that use email as a marketing medium.

Updates on GDPR and CAN-SPAM for 2023

In 2023, both the GDPR and the CAN-SPAM Act have undergone significant updates to adapt to emerging challenges in email security and data privacy.

The GDPR, which applies to all companies handling EU citizen data, has introduced new provisions to strengthen users’ control over their data. Companies must now ensure that they have explicit consent from users before collecting or processing their data. In addition, users have the right to request access to their data and demand its deletion.

 

The CAN-SPAM Act, which applies to all companies that send commercial emails in the United States, has also been updated. Companies must now provide a clear and easy way for recipients to opt out of receiving further emails. In addition, commercial emails must be clearly identified as such and contain the sender’s valid physical address.

 

The importance of security in email marketing

Email marketing security is crucial to maintaining customer trust and ensuring regulatory compliance. Companies must implement robust security measures to protect customer data and prevent data breaches. This includes the use of encryption technologies, two-factor authentication and regular employee training on secure data handling practices.

This means that, companies must ensure that their email marketing practices comply with regulations such as GDPR and the CAN-SPAM Act. Failure to comply can result in significant fines and damage to a company’s reputation.

So, email compliance and security are essential aspects in today’s digital world. Companies must stay abreast of the latest updates in regulations and take proactive steps to ensure the security of customer data.

 

5 New Strategies to Implement in Your Mailing Campaigns in 2023

Specific strategies will vary depending on your goals, audience and industry. However, we will explore five general strategies that can improve your mailing campaigns.

 

1. Personalization

This strategy involves tailoring your emails to the individual needs and interests of each recipient. You can personalize emails by using the recipient’s name, recommending products based on their past purchases, or sending content that is relevant to their geographic location or browsing behavior. Personalization can increase the relevance of your emails and improve open and click-through rates.

Personalization can be as simple as including the subscriber’s name in the email subject line, or as complex as tailoring all email content based on the subscriber’s past behavior, preferences and stage in the sales funnel.

Keep in mind, personalization is effective because it makes your emails more relevant and engaging for each subscriber. This can increase open rates, click-through rates and ultimately conversions. This means that it can help you build stronger and more meaningful relationships with your subscribers, which can lead to more effective and more relevant email marketing.

 

2. Re-engagement (Manual and Automatic Nurturing)

This strategy involves identifying subscribers who have stopped interacting with your emails and making a conscious effort to re-engage them. This may involve sending “we miss you” emails, offering special discounts or soliciting feedback. There are two ways to do this according to the experts at Folderly, and that is Automatic Nutruition and Manual. The first is notable for using marketing automation software to send a series of emails designed to move subscribers along the sales funnel.

While the second is more time-consuming because it requires a deep understanding not only of the ICP, but also of the responses they provide. So, the first one contemplates an ICP that can be studied by automation processes, while the use of the manual one requires a more focused attitude on real customer relationships. The choice of one or the other method will depend on the complexity of the existing pipeline.

 

3. Cross Channel Integration:

This strategy proposes to ensure that all of your marketing channels are working together effectively. This can include your website, your social media, your email marketing, your online advertising, your content marketing, and more.

The idea is that no matter which channel a customer uses to interact with your brand, their experience is consistent and unified. This can mean making sure that your branding is consistent across channels, that marketing messages are consistent, that customers can move seamlessly between channels, and more.

Cross-channel integration is effective because it can provide a better customer experience, which can increase customer satisfaction, loyalty and retention. It can also increase the effectiveness of your marketing efforts, as customers who interact with your brand on multiple channels are often more valuable than those who only interact on a single channel.

On the other hand, cross-channel integration can give you a more complete and accurate view of your customers, as you can see how they interact with your brand on different channels. This can help you better understand your customers and make more informed marketing decisions.

 

4. ABM Marketing (Account-Based Marketing)

This strategy involves targeting high-value individual accounts rather than a broad audience. In the context of email marketing, this might involve sending personalized emails to key decision makers within a target company. ABM can be especially effective in the B2B space, where purchasing decisions often involve multiple stakeholders within an organization.

In other words, ABM is a strategy that focuses on individual customer accounts or prospects. Rather than trying to appeal to a broad range of customers, ABM involves identifying high-value accounts and then customizing your marketing approach to those specific accounts. In that sense it is effective in that it can increase the effectiveness of your marketing efforts, since you are focusing your resources on the accounts that are most likely to generate a high return on investment. It can also improve customer satisfaction and loyalty, as you are providing a more personalized and relevant experience.

 

5. Mobile Friendly

With more and more people accessing their email from mobile devices, it’s crucial that your emails are optimized for mobile viewing. This may involve using responsive email designs, making sure your emails look good on a variety of screen sizes.

6. Use of AI (Artificial Intelligence)

AI can be used in email marketing in a number of ways, such as to personalize email content, optimize email delivery times, and segment your email list. AI can also be used to analyze data from your email campaigns and provide insights that you can use to improve your future campaigns.

It should be noted that AI development should be guided by a concern for its impact on humans. In the context of cold mail, this could mean ensuring that AI is used to improve communication and build genuine relationships, rather than simply as a tool to spam potential customers.

 

AI Tools for Email You Didn’t Know You Needed

While AIs are all the rage, there’s always more getting into the game. Here are a few solutions that will change your email marketing game:

Google AI

Google has been using artificial intelligence in several of its products, including Gmail. AI-powered features include intelligent wording, which suggests phrases as you write an email, and intelligent reply, which suggests quick responses to incoming emails.

Superhuman

This AI focuses on speed and efficiency. It uses artificial intelligence to help you manage your inbox more efficiently, with features such as quick search, keyboard shortcuts and email scheduling.

Hiri

It is a email client designed for businesses using Microsoft Exchange. It has features such as task management and email scheduling, and uses artificial intelligence to help you manage your inbox.

 

Astro

It is an email application that uses artificial intelligence to help you manage your inbox. It can prioritize your emails, suggest tasks and reminders, and help you keep your inbox organized.

SaneBox

It’s an email management tool that uses artificial intelligence to filter and organize your emails. It can move unimportant emails to a separate folder, and learn from your actions to improve its accuracy over time.

Seventh Sense

Is an email marketing platform that uses artificial intelligence to optimize the timing of your emails. It analyzes the open and click behavior of each recipient to determine the best time to send them emails.

Rasa.io

An artificial intelligence tool that helps sales teams write more effective prospecting emails. It analyzes successful sales emails and suggests changes to improve your own emails.

SmartWriter.AI

It’s an AI-assisted copywriting tool that helps you write emails, sales copy, social media posts and more. It can personalize your writing for your target audience and suggest ways to improve your writing.

Phrasee

It’s a language optimization tool that uses artificial intelligence to generate and optimize marketing language. It can generate email subject lines, ad copy and more, and predict their performance before you use them.

Conclusion

In conclusion, email marketing in 2023 presents unique challenges and opportunities. By understanding these challenges and leveraging emerging trends, such as personalization, mobile adaptation and the use of artificial intelligence, we can significantly increase the success of our email campaigns and achieve exceptional ROI. Staying current with compliance regulations and prioritizing security are also critical aspects of ensuring the success and effectiveness of our email marketing strategies in the current year.

In the world of B2B sales, having a defined B2B sales funnel is crucial to success. As you may have noticed, digital marketing tools have changed a lot in recent years, and the B2B sales funnel is no exception. A sales funnel is the process a lead follows to become a paying customer. Understanding the different stages of a B2B sales funnel can help companies identify at what stage leads are struggling and how to improve their sales process.

 

What Is The B2B Sales Funnel?

The B2B sales funnel is a very important and effective marketing tool designed to guide prospects through the buying process. This strategy is based on guiding the customer through a logical sequence of steps that can vary, but generally include attraction, interest, consideration, intent and final purchase. Each of these steps is crucial to the conversion of prospects into customers and, therefore, to the success of your business.

Implementing a B2B sales funnel allows you to have a clearer view of your prospects’ conversion process. In addition, it helps you identify weak points in the process and improve them to increase your conversion rates. It also allows you to better understand your prospects, their needs, interests and concerns, and thus offer more personalized and effective solutions.

It is important to note that implementing a B2B sales funnel can be a complex process and requires a clear and well-defined strategy. Therefore, it is advisable to have a team of marketing and sales experts to guide you through this process and help you implement the funnel effectively in your business. In summary, implementing a B2B sales funnel is a valuable investment for any business looking to improve its sales and marketing efforts and increase its conversion rates.

 

Differences between B2B and B2C sales funnels

The main difference between a B2B and a B2C sales funnel is in the length of the sales cycle and the type of target audience. In B2B, the sales cycle is longer and the decision making involves several members of the company. In addition, the target audience is usually companies or professionals, whereas in B2C it is the end consumer.

 

Broadly speaking, B2B companies are characterized by:

• Having sales relationships in continuous development and a longer life due to longer sales closing processes.
• Being related to the sale of products and services from one company to another.
• Include a decision-making process that usually requires the approval of more than one person.

 

On the other hand, B2C companies stand out for:

• Focusing on business-to-consumer sales, such as retail sales.
• Having a shorter sales cycle and encouraging the consumer to buy the product on the spot.
• Not including more than one person in the decision-making process.

 

With this in mind, we can better understand how the sales process differs. Take a look at the following diagram to get a general idea:

How to Build a B2B Sales Funnel step by step?

The B2B sales funnel is a business strategy used to guide potential customers through a sales process. This strategy includes several stages that are fundamental to understand for building this type of funnel.

Stage 1: Discovery

Before starting this stage, it is vital to define the prospect. This involves identifying and understanding the Ideal Client Profile. In doing so, we will know data such as the industry, the size of the company, the available budget and the client’s needs and challenges. It is important to mention that the objective of this stage is to establish a solid relationship with the prospect and prepare the ground for the next stage of the sales funnel through strategic communication.

During this stage, efforts should be focused on generating awareness on how to alleviate your prospect’s headaches. To let your prospects know that there is a solution to their problems, you can employ strategic content and Inbound marketing actions such as advertising campaigns, online content, online collateral or email marketing.

 

Stage 2: Education

In this stage you identify potential customers who have shown interest in the products or services offered by the company and who meet certain pre-established qualification criteria. These potential customers are called MQLs (Marketing Qualified Leads) and are identified by analyzing their online behavior, their activity on social networks and other interactions with the company. Once identified, they can be offered personalized follow-up focused on conversion.

After identifying the target audience, outbound actions must be carried out to achieve the sale of the good or service to the users. To achieve this, special attention must be paid to the multiple types of interactions that these potential customers have made on the websites and other digital platforms they have passed through during this process.

At times, it may be necessary to pause the lead if you are unclear where you want to direct it. In other cases, it may be better to lose the lead if it is not of interest. However, it is important to encourage referred leads, as these are of great interest and are perfect future buyers.

 

Stage 3: Choice

In the choice phase, SQLs are defined and actions are established to prescribe our product or service through influencers, offering samples or personalized demos, for example. A key tactic is to assist the user in the testing process and take advantage of this to recommend our product or service.

Finally, this phase closes with the signing of the contract. It is important to maintain a good relationship with the customer and offer a quality after-sales service to build customer loyalty and establish a long-term relationship of trust. It should be noted that this stage is not only characterized by the sale, but it is also a process that seeks to generate interest, convince the user and establish a relationship of trust to achieve the sale and customer loyalty.

 

Stage 4: Onboarding

The Onboarding phase is somewhere in between two important concepts: commitment and initiation. First, the objective is to get the prospect to commit to the product or service offered. On the other hand, the aim is to get the project underway and start working.

During this stage, the Trial is carried out, which consists of offering a demonstration of the product or service. This is related to the previous phase, where the prospect’s interest in learning more about what is being offered was generated.

At this point, a project kick-off meeting is held, known as Orchestrating. At this meeting, the company’s managers meet with the client to establish the objectives and expectations of the project. This is a key moment to ensure that all parties involved are on the same page and can work together effectively.

 

Stage 5: Usage Phase

This phase starts after the meeting, in case no deal or contract has been closed yet. The MRRs are established, i.e. the revenues to be obtained with a certain regularity (it can be monthly, quarterly, yearly, etc., depending on the product or service).

It is important to keep in mind that the fact that the customer reaches the usage phase does not mean that our work is finished. On the contrary, it is the perfect moment to impact them by showing them a product or service whose potential and differential value stand out from the competition.

Likewise, this is our opportunity to solve any doubts or problems they may have regarding what we offer, and thus complete this phase by promoting the customer’s independence towards us after they become an expert in the use of our product or service.

 

What Is The Best Approach To Build A Successful B2B Sales Funnel?

The best approach to building a successful B2B sales funnel is to approach it in a holistic manner. This means considering target audience, content, search engine optimization, digital advertising strategy and tracking resources to ensure that each step in the funnel is effective.

Content must be relevant to the target audience and must provide value to them. Search engine optimization means tagging content correctly and improving SEO so that potential customers can find the content easily. Digital advertising can help reach new potential customers. And follow-up resources should be closely monitored to make sure all marketing efforts are achieving the desired results.

Setting clear objectives is one of the fundamental pillars for the success of a B2B sales funnel. This involves defining who is being targeted, what are the objectives to be achieved, what actions need to be taken to achieve the objectives and when to meet them. Once the objectives have been established, it is important to establish KPIs to measure the success of a sales funnel. These KPIs can include conversions, abandonment rate, sales cycle time, etc. Establishing these metrics will help determine the progress of your sales funnel and identify where work needs to be done to improve results.

 

Conclusion

With digital marketing, building a successful B2B sales funnel can be a daunting task. But with the right approach, the results can be extremely satisfying. It’s important to start with setting clear goals to ensure that the sales funnel is aligned with your business objectives. Establishing KPIs is another way to keep the focus on results. These metrics will help measure the progress of the sales funnel and identify areas for improvement.

Once goals and KPIs have been established, it is important to design an SEO content strategy to drive traffic to your sales funnel. This involves creating engaging, SEO-optimized content with keywords relevant to your target audience. In addition, it is also important to optimize content for mobile devices to take advantage of the growing mobile audience.

In summary, to build a successful B2B sales funnel, it is important to have clear objectives and KPIs in place, design an SEO content strategy and optimize content for mobile devices. With the right approach, the results can be very successful.

In today’s business world, lead generation is an essential strategy for growth and survival. But what exactly is lead generation and how can it help your business? In this article, we will explore what lead generation is, from its definition to the most effective techniques and strategies to implement it in your business. We will also introduce you to how HelloMrLead uses our own methodology to open markets, generate leads and help you achieve your business goals. If you have an exceptional product aimed at a very specific B2B market and you need to sell, but your resources are limited, you are in the right place.

What is a Lead?

From a marketing perspective, a lead is considered to be a user who has provided their data to a company, thus becoming a record in its database that the organization can interact with. This exchange is based on a fundamental transaction in which the user gives their personal data to the company in exchange for something of value, such as access to specialized content, registration for a webinar, a datasheet, a product catalog for other companies, etc.

On the other hand, for the sales team, a lead is a prospect who has demonstrated a level of interest in the company’s products or services that goes beyond mere curiosity. This interest can manifest itself in a variety of ways, such as requesting more information, taking a product demonstration or even requesting a sales proposal.

It is important to note that in order to consider a user as a lead, it is essential that this person has accepted the company’s privacy policy. This authorization is even more important since the implementation of the new European legislation RGPD to regulate the processing of personal data and the correct use of cookies.

In the B2B context, lead generation is an essential process that allows companies to identify and connect with potential customers. Through effective marketing and sales strategies, companies can attract, engage and nurture these leads, moving them through the sales funnel and bringing them ever closer to converting into customers.

 

What is Lead Generation?

Lead Generation is both an art and a science. It requires a deep understanding of your target audience, a well-planned marketing strategy and the ability to adjust and optimize your efforts as you learn more about what works for your business.

One of the most effective ways to generate leads is through content marketing. This involves creating and sharing relevant and valuable content that attracts and engages your target audience. This content can take many forms, from blogs and videos to ebooks and whitepapers. The goal is to provide value to your leads, establishing your company as an authority in your industry and building trust and loyalty with your leads.

Social media is also a powerful tool for lead generation. Platforms like Facebook, Instagram and LinkedIn allow you to reach a wide and diverse audience, and provide you with tools to segment and target your marketing efforts to the most relevant groups. You can also use social media to interact directly with your leads, answering their questions, engaging in conversations and building relationships.

 

Lead Generation, Hellomrlead style

At HelloMrLead we take care of opening the market for you, to make you known. If you run a technology company (SaaS) and your resources are limited, but you need to sell, we are here to help you. Imagine how your sales would increase if every day we would schedule meetings with people interested in your product and who are also your company’s target market.

HelloMrLead is the answer to your needs if:

• You have already defined your target and you have a clear “buyer persona”.
• You have an exceptional product, aimed at a very specific B2B market…
• Prospecting is not your thing or simply your opportunity cost is too high.
• You need to dedicate all your available time to demos, quotes and closing sales.

 

You and your time are worth much more than what we are going to charge you, and it is not worth investing it in learning the tools we use, because that investment is never recovered due to what we call “learning curve”. That’s why we put on your “beanie”, we get down to work and using your corporate email and LinkedIn profiles we apply the most innovative social selling and outbound techniques. And more! We trust our work and we are sure you will like it, so we will charge you for the leads once they have been delivered and validated by you.

Lead Generation Strategy: “The Four S’s of Success”

Simply put, lead generation is the process of attracting and converting strangers and prospects into someone who has indicated interest in your company’s product or service. And this is where our “Four S’s of Success” strategy comes into play. We don’t lose sight of the fact that our purpose is to help you sell and that’s why we’ve created a 4-step sequence to get to know your needs:

 

Scouting:

At HelloMrLead, we not only offer a value proposition for your company, but we also dive into the vast ocean of the market to discover the perfect niche for your product or service. Our “Scouting” approach is like a radar, always on the lookout for opportunities and possibilities for your business.

Screening:

Once we have identified potential opportunities, we move on to the “Screening” phase. Here, we focus on locating the geographic areas that align with your business objectives. We leave no stone unturned to ensure that your product or service reaches the right audience.

Scoring:

Scoring is where we prioritize your potential customers. Based on your buying cycle and the interest shown in your company, we rank your leads to make sure your time and effort is spent on the most promising prospects.

Social Selling:

Finally, we come to “Social Selling”. Here, we design your web content strategy to become a reference in your industry. We create content that resonates with your target audience, establishing your brand as an authority and building trust and loyalty with your leads.

BANT Funnel

HelloMrLead takes care of managing commercial opportunities through a rigorous methodology based on the BANT pillars (image):

• Budget – we verify that your client’s budget is adequate.
• Authority – that the contact person has the authority to make decisions regarding the purchase.
• Need – we find out the customer’s “pains” and address them.
• Time – the time interval devoted to the decision process and closing the sale.

This tight process allows us to make sure that, when we schedule a meeting with you, the prospect is aligned with the defined target and once the lead has gone through the tightest funnel of all, it is ready to meet with you and continue with the business proposal.

Conclusion

Lead generation is an essential part of any successful marketing strategy. At HelloMrLead, we are proud to offer a full range of lead generation services to help your business grow and prosper. If you’re ready to take your lead generation to the next level, we’d love to hear from you!

You call, but they still don’t know you, what can you say to get their attention and schedule a new call?

Read on, here we give you the solutions.

The telephone pitch or sales pitch is a resource that continues to be effective. It is used by salespeople or agents of different types of companies in order to convince a potential customer to buy a certain product or purchase a service offered.

Also known as Elevator Pitch, it is inspired by the following question: If you were to meet your ideal client in an elevator, would you be able to convince him in a few minutes to buy what you offer?

The answer is simple: yes. Yes, it is possible if you know the right techniques to drive the call towards the goal you want to achieve.

The first thing to understand is that questions are the key to the sales process.

They are the only way to diagnose the problem a potential customer has, they are a powerful tool when meeting with customers, especially when you act like an expert and structure the conversation properly. Luckily, meetings have a repeatable framework that you can follow to be effective.

 

Diagnosing before prescribing: SPICED

This is where you spend most of your meeting time. Use question-based selling to find out what your prospect wants to solve. Ask them questions to understand their situation. Then move on to questions that help clarify their pain and desired impact.

Situation

Start with situational questions that show you have done your research, but help you qualify the prospect based on some basic minimum requirements. These are closed-ended questions that help establish context.

Pain

When you start asking questions about pain, don’t just ask the generic, hackneyed one like this, “What keeps you awake at night?”

Ask more thoughtful questions like, “When I talk to other sales managers, they often mention that challenges X, Y and Z are their top priorities to solve. To what extent is [challenge X] important to you?”

Summarize what you’ve heard before moving on. This shows that you are actively listening and that you really care about helping them.

Impact

Now you can start to move the prospect from an emotional decision to a more rational one. Try to quantify the value of your solution. Ask the prospect questions that describe the impact a solution like yours could have on the company.

Talking about impact during the discovery call helps you close deals. The ROI of your solution.

 

Bonus fact: use Storytelling

At the beginning of sales conversations, customers are more interested in how their team members or employees can solve their problems, rather than listening to a particular solution. That’s why it’s best to share a story that relates your customer’s situation and their pain, even better if it’s a person or position similar to the prospect you’re talking to.

The key is to make sure their story includes a relevant use case and a pain you just identified. The purpose is that when the meeting is over, your prospects will remember the stories much more than the facts and features.

Here’s a list of necessary tasks to complete.

 

Connecting the wagons: Get them to pick up your call again!

At this point, you should share how specific parts of your solution address each of the pain points your prospect wants to solve. Show how feature X will generate more ROI, or how Scorecard A will give them the visibility they need to solve their top priority.

When finished, ask them if all of their concerns have been addressed and if their end goal has been achieved. Note that we have called the meetings where we will discuss the business we hope to develop wagons, just a handy way of referring to the different blocks of information and their techniques.

Next, connect the wagons and schedule the next meeting. Consider asking, “Who else on your team would be good to attend our next meeting?”

 

Conclusion

It is said that practice makes perfect, that is true, but to guarantee success it is essential to take advantage of the techniques and tricks we have shared with you. Do not go blindly expecting the best results, preparation and experience are the real secret of the expert.

In the world of B2B sales, the BANT Sales methodology, more than a tool, is a lifesaver.In the world of sales, every “no” from a customer can feel like a direct blow to the heart. You might think that the product wasn’t to the customer’s liking or that they simply didn’t have the funds.

It all started in the 1960s, IBM (International Business Machines) changed the sales game with its revolutionary model for identifying potential buyers: BANT Sales. But what does BANT Sales really mean, what is it for, and how can it be effectively applied in today’s sales environment, especially in B2B sales?

BANT Sales acts as a criterion for identifying opportunities. In other words, it is an analysis that collects data to determine whether a lead is ready – or not – for the moment of purchase. But what does BANT really mean, what is it for, and what is the best practice for implementing it?

Today, years after its creation, is this method still effective in qualifying your leads? What role does BANT play in lead qualification in the world of B2B sales?

To answer these questions, we will first explain the meaning of this acronym, the effectiveness of this methodology today and why it is no longer so common to see it as a decision-making parameter.

Keep reading to find out!

 

BANT Sales, what is it and what is its origin?

The first thing we must be clear about is that BANT Sales was developed as a method to determine if the leads met all the necessary requirements to make a purchase. Therefore, the main objective of this method was to collect information to evaluate whether a specific prospect met the necessary criteria to purchase the product or service being offered. So, to carry out this assessment, IBM devised an acronym consisting of several stages that would indicate whether the “prospect” was ready to make a purchase.

That is, if the buyer did not meet the initial BANT criteria, the salesperson would guide the prospect through the buying process until he or she was ready to make a purchase.

Each time the customer affirmed one step of the method, he would advance to the next identification step, and so on, until he was fully prepared for the presentation of the proposal made by the company.

Now, let’s explore the meaning of BANT Sales and how salespeople used it in their work.

 

Budget

The budget is the first pillar in our BANT journey. Its purpose is to define whether the prospect has the financial resources to invest in your solution. There is nothing more disheartening than navigating through the entire sales process only to discover that your prospect is swimming in a sea of copper coins when you need a chest of gold.

Keep in mind that the goal of BANT Sales was to gather data to verify whether a given prospect met the specifications necessary to purchase the product/service offered. In the case of the budget, it is essential to show the potential customer if there was a necessary value for that investment, only then it is possible to move forward in a negotiation.

Authority

The next pillar is Authority. In other words, it involves locating the person in the prospect’s company who has the power to say “Yes, let’s buy this!”. In the B2B world, this pillar can be a little more difficult to locate. Sometimes, buying authority may be distributed among several individuals or departments. Don’t despair! With a little boldness and determination, you can find the right people.

For that, it is necessary to find out if the contact has the power to influence the buying process as a whole and if he/she gathers the necessary information to add value to the proposal to be presented. Talking to the decision maker is a key point even to understand if your solution will be efficient for your potential customer.

Need

The third pillar is the Need. This pillar exists for the purpose of understanding if your prospect has a problem that your product or service can solve. If the answer is yes, you are on the right track! If the answer is no, you may be navigating in the wrong waters.

For that you need to have technical skills to know if the value proposition of the service/product will be very important. Verifying whether you can meet the customer’s needs is critical to making the sale worthwhile.

Timeframe

The last pillar in our BANT journey is the Timeframe. This pillar refers to when your prospect plans to make the purchase. If they are ready to buy now, great! If not, don’t worry. With a little patience and follow-up, you can keep your prospect on your radar until they are ready to buy.

It is at this stage that you can project the potential pains that the implementation process may suffer. This tends to minimize the side effects of the defined timeframe between the parties. Closing the purchase is not enough, it is necessary to identify when and where the prospect is ready to buy.

Advantages of using BANT Sales in B2B lead qualification

Using BANT Sales in B2B lead qualification offers several significant advantages, here are the main ones:

Improves sales team efficiency.

By using BANT, your sales team can focus on the most promising leads, saving time and resources.

Increases the sales closing rate

With BANT, your sales team can identify and focus on the leads that are most likely to convert into customers, thus increasing the sales close rate.

Improve sales predictability

BANT can help your sales team more accurately forecast how many leads will convert to sales, which can be invaluable for planning and forecasting.

Challenges of BANT and how to overcome them

While it’s a useful strategy, it also has its challenges. Here are some of these challenges and how to overcome them:

Lack of flexibility.

BANT is an excellent tool, but it is not foolproof. Make sure your sales team is willing to be flexible and adapt to changing circumstances.

The need to adapt to market changes

The world of B2B sales is constantly evolving. Make sure your sales team is always up to date with the latest trends and changes in the market.

 

The importance of continuous sales team training

Ongoing training is key to keeping your sales team up to date with BANT best practices and other sales techniques.

BANT Sales and Lead Qualification, beyond a simple scale

The “B2B Lead Qualification Scale” is an essential tool for any sales team looking to maximize their efficiency and effectiveness. By using a qualification scale for each of the BANT criteria (Budget, Authority, Need and Time), sales teams can gain a clear and quantifiable view of the quality of their leads.

For example, let’s consider the Authority criterion. We could set up a rating scale as follows:

0: The prospect has no authority.

1: The prospect has no authority, but can refer to the person who does (intermediary).

2: Prospect has basic authority, but cannot make the purchase decision alone (influencer).

3: The prospect has authority and is sufficient to make the purchase decision.

4: The prospect has authority and it is greater than necessary to make the purchase decision.

Authority is an often controversial criterion because, unlike other criteria such as budget, which is clear and easy to measure, authority can be more difficult to determine. In many companies, the buying decision may be in the hands of several people, which means you will need to get approval from all of them before you can move forward in the sales process.

Once you have added up the values of the four criteria, you will get an overall score that will allow you to determine the lead’s qualification level. For example:

0 – 4: Disqualified

5 – 8: Poorly qualified

9 – 12: Qualified

13 – 18: Highly qualified

These rating ranges can be useful in determining what actions to take with each opportunity. For example, you might decide not to spend time with disqualified leads, as they are unlikely to make a purchase. Low-qualified leads may need to be nurtured to build their interest and address any gaps they may have. Qualified leads should be managed on a step-by-step basis, while highly qualified leads should be followed up immediately to capture them and prevent them from leaving with competitors.

 

Conclusion

In conclusion, B2B lead qualification using the BANT method is an essential strategy for any business looking to optimize its sales and marketing process. This method, created by IBM, allows companies to identify and rank leads based on budget, authority, need and time, allowing salespeople to focus on the most promising leads.

Using BANT in B2B lead qualification offers several advantages. It allows companies to save time and resources by focusing on the most qualified leads, improves the efficiency of the sales process by providing a clear framework for evaluating leads, and increases the conversion rate by ensuring that salespeople communicate with the leads that are most ready to buy.

In addition, implementing a rating scale for each of the BANT criteria can help companies establish how qualified a lead is overall. This scale can range from a lead that has no authority to make buying decisions to one that has more authority than necessary to do so. Although authority can be a controversial criterion, its consideration is crucial to the lead qualification process.

Finally, it is important to remember that lead qualification is a dynamic process that must adapt to the changing needs of your business. Therefore, it is essential to regularly review and adjust your lead qualification process to ensure that it remains relevant and effective.

In the business world, success is not an accident. It is the result of careful planning, a thorough understanding of the market and effective implementation of strategies. Two key concepts in this process are “target market” and “brand positioning”.

Target market refers to the specific group of customers a company wishes to reach, while brand positioning is how a company differentiates itself from its competitors and positions itself in the minds of consumers. Together, these two concepts form the foundation of an effective marketing strategy and can be the difference between success and failure in the business world.

In this article, we will explore these concepts in depth and provide guidance on how to identify your target market and position your brand effectively.

The fundamental dilemma: What are you selling and to whom?

 

Every business, regardless of size or industry, faces a fundamental dilemma at the beginning of its journey: what are you selling and who are you selling to? This is the starting point for any business and the foundation upon which all other strategies and decisions are built.

However, in the eagerness to capture market share, many companies fall into the trap of believing that their product or service is universally relevant. They think that their offering can appeal to everyone, without distinction. This mentality, while ambitious, can be counterproductive.

Rather than trying to be everything to everyone, the most successful companies are those that have identified a specific target market and have tailored their product, message and marketing strategy to appeal to that particular segment. They understand that not all consumers are the same and that different groups of people will have different needs, wants and buying behaviors.

Therefore, it is crucial to clearly define your target market. Who are your ideal customers? How old are they? Where do they live? What are their interests and needs? How can you meet those needs better than your competitors?

In addition, it is also essential to understand what you are selling. This goes beyond simply knowing the features of your product or service. It’s about understanding the value you bring to your customers. How does your product or service improve your customers’ lives? What problem does it solve? What needs does it satisfy?

By answering these questions, you can develop a more focused and effective marketing strategy, one that appeals to your target market and convinces them that your product or service is the best choice for them.

 

The need and importance of defining a target market

In the business world, defining a target market is an essential and critical step for growth and survival. A target market is a specific group of customers that a company has identified as the most likely recipients of its products or services. These are the consumers that a company believes are most likely to buy what it offers, and are therefore the focus of all marketing and sales strategies.

The first step to business growth is to find a niche or target market. A niche is a market segment in which a company can thrive and excel. This niche can be a specific demographic, geographic location, type of product or service, or any other segmentation that makes a group of consumers unique.

For example, it can be as simple as selling fresh produce to local neighbors. In this case, the niche is geographic and the target market is neighbors who value fresh produce and are willing to buy locally. On the other hand, it can be as complex as opening an export company to transfer fresh produce across European borders. Here, the target market could be European retailers looking for high quality fresh produce for their customers.

Choosing a niche is a strategic decision that can determine the speed and direction of your company’s growth. A well-chosen niche can provide a competitive advantage, allowing a company to stand out and appeal to a specific group of consumers. On the other hand, a poorly chosen niche can limit growth potential and cause a company to struggle to attract and retain customers.

Therefore, it is crucial to devote time and resources to market research and analysis to identify the right niche and target market. This may involve conducting surveys and focus groups, analyzing sales and competitor data, and consulting with industry experts. Once a target market has been identified, a company can develop a marketing and sales strategy that specifically targets these consumers, thereby increasing the chances of success and growth.

Starting the search for your target market

To find your target market, you must consider three things: your Target Addressable Market (TAM), your Serviceable Addressable Market (SAM) and your Serviceable Obtainable Market (SOM). These terms refer to the totality of the market you want to address, the segment of that market you can effectively serve, and the portion of that segment you can realistically capture, respectively.

 

Understanding the Target Addressable Market (TAM)

The Target Addressable Market, or TAM, is a term used to describe the total potential revenue that a company can generate by selling its product or service. Essentially, it is an estimate of the maximum amount of revenue a company could generate if it had 100% share of its target market.

To calculate TAM, a company must consider the price it can charge for its product or service and the total number of potential customers who would be willing and able to buy it. However, it is important to keep in mind that TAM is only a theoretical estimate. In practice, it is unlikely that a company will be able to capture 100% of its target market.

In addition, companies should be careful not to be too general when defining their TAM. Not every product or service has universal utility, and trying to sell to everyone can lead to a lack of focus and an ineffective marketing strategy. Instead, companies should try to identify a specific target market and tailor their product and marketing strategy to the needs and wants of that group.

 

Identifying your Serviceable Addressable Market (SAM)

The Serviceable Addressable Market, or SAM, is an estimate of the portion of the TAM that a company can effectively serve. In other words, it is the segment of the TAM that is within the company’s geographic reach and is accessible through its current or planned distribution channels.

To calculate SAM, a company must consider factors such as its production capacity, its ability to distribute its product or service, and the presence of competitors in its target market. For example, if a company sells fresh food, its MAR might be limited to customers living within a certain radius of its production or distribution facilities.

It is important to keep in mind that the SAM is a more realistic estimate of a company’s revenue potential than the TAM. However, even within the SAM, it is unlikely that a company will be able to capture 100% of the market.

 

Defining your Serviceable Obtainable Market (SOM)

The Serviceable Obtainable Market, or SOM, is an estimate of the portion of the SAM that a company can realistically capture. It is the segment of the SAM that a company can expect to obtain, given its current capabilities and market conditions.

To estimate SOM, a company must consider factors such as its current market share, barriers to market entry, customer loyalty to existing brands, and the effectiveness of its marketing and sales efforts. It is the most realistic estimate of a company’s revenue potential and provides a useful target for sales projections and marketing efforts.

In summary, understanding and calculating TAM, SAM and SOM can help a company define its target market, develop an effective marketing strategy, and set realistic goals for sales growth.

Moving forward: The importance of consistency in the target market.

Having the first sale in a business can generate adrenaline from the excitement, as you have just achieved success after a lot of hard work.

Businesses have to be consistent to reach their niche day in and day out, and success will come. Being a business owner can be stressful and exhausting, but finding a niche will slowly but surely lead you to diversify different customers around you and expand your business over time. Starting with what you are good at can give you and your company a lot of success in the future.

 

Conclusion

The journey to business growth is a road full of strategic decisions, and none is more fundamental than identifying your target market and understanding your brand positioning. This process, which begins with clearly defining what you are selling and to whom, is the foundation upon which all other business strategies and decisions are built.

We have explored the importance of defining your Target Addressable Market (TAM), Serviceable Addressable Market (SAM) and Serviceable Obtainable Market (SOM), and how these concepts can help you identify and understand your target market. We also discussed how to find your niche, a market segment in which you can thrive and stand out.

Do you have a product or service that is ready for sale? You think it will be very successful and you feel that the world is at your feet, but you find a problem: you are not generating the sales you expected. You are not creating any Leads. You haven’t done adequate research or implemented a marketing plan yet, and this is hurting your ability to find and keep customers. How do you solve it? By getting leads, and nurturing them through the sales process.

But, what is a lead?

A lead is any person, individual or organization with an interest in what you’re selling. They are potential future customers, and your best asset to achieve better revenue. Not only are they interested in what you’re selling, but they’re also the right type of person who is likely to buy your product. They are not just a simple possibility to click on your website, but they are also involved in learning more and going deeper into the purchase.

Marketers face the challenge of finding and nurturing quality leads. For too long, marketers preferred quantity over quality, finding every possible lead and wasting energy on each one. There was no personalization, no distinguishing which lead was most likely to follow through with the purchase. This was because they had no idea who they wanted their leads to be. They never defined their target market and never pursued leads accordingly. But now, understanding your ideal customers is an important role in determining what the potential needs may be.

 

Here’s an example:

Imagine your company is the newest aviation company being developed, trying to compete with Boeing, and your competitive advantage lies in the fuel-saving benefits of the aircraft you develop. Are you going to target customers who might be interested in buying an aircraft? Or will you be looking for a more specific segment, such as for commercial uses / government uses? If you want to target commercially, a possible description of the ideal customer could be “companies that are tired of spending most of their money on gas, want to be more competitive in their markets and need a new solution with reliable aircraft”. One company that could take advantage of this opportunity would be Southwest Airlines, because they already know the benefits of spending less money on fuel. If the relationship with Southwest is positive, you can use this experience to sell even more to other companies and generate even more leads.

 

Once you’ve defined your target, it’s time to generate leads

You can generate a lead in a number of ways, including: showing prospects the value you can add to their lives, solving a problem they are facing, or creating content that is easy and quick to digest. The first two points relate to what you plan to sell rather than marketing efforts, and the last one relates entirely to marketing and the ability to capture the attention of your leads.

Still, the first two relate to what content should be present in your marketing materials. For example, if we go back to the model above, the new aviation company’s marketing materials should be sure to include their competitive advantage (fuel savings plans) and how that would benefit the companies that bought from them (solving the difficulties they have been facing). In the end the main aspect of lead generation is to work all these elements together.

In the world we live in, there is so much data and information to sort through, it can seem overwhelming. For this reason, the content your company produces within your marketing materials should be easy to understand and visually appealing. If your ads only have paragraphs of information, they will be easily forgotten.

If they have images, color and are easy to catch the eye, they will be much more memorable. Anything that can slow down your ideal customer, make them stop in their daily activities while they analyze the large amount of information that comes to them, will be useful for your company.

 

Lead generation worked so well it was wrong

One group that figured out how to get attention and used it extremely well helped promote the Fyre Festival. This festival, planned in 2016, turned into a complete disaster, but one that thousands of people paid to attend. The person in charge explained that you only have 1-2 seconds of time to get someone’s attention on social media (if you’re lucky).

So, the marketing team had to find a way to stand out: an all-orange mosaic posted on influencers’ Instagram pages, with a link to a 1-minute video of a place that could be paradise. This was the entire advertising campaign, and it worked.

From there, they had a social media presence, and although the festival didn’t even happen due to horrible organizational errors, there was no denying that their marketing plans had worked.

Now, ideally, your company won’t be producing marketing content for a product or service that hasn’t been fully realized. Nor will you be taking millennials’ money. But, the lesson learned is clear: you need to find a way to stand out, or your efforts will be drowned out by the content surrounding your customers.

This is very valid in the B2B market, because for a long time it has been the biggest differentiator among competitors. Having materials that make them stand out in a positive and memorable way from the rest will be key to winning more business.