4 min read
Lead qualification best practices
March 24, 2022
Welcome to our blog post on lead qualification best practices! If you're in sales or marketing, qualifying your leads is critical to the success of your business. By qualified, we mean that the lead has a high likelihood of becoming a paying customer. Not every lead will be qualified, but that's okay. Lead qualification is a numbers game - the more leads you talk to, the more likely you are to find one that's ready to buy. By using the best practices for lead qualification, you can ensure that you're targeting the right customers and making the most efficient use of your resources.
Why lead qualification matters
Lead qualification is the process of identifying which leads are the best match for your products or services. It is an important part of the sales process. By using lead qualification, you can ensure that you're making the most efficient use of your resources and that you're targeting the right customers.
Lead qualification allows you to:
Target your marketing efforts: By qualifying your leads, you can identify which ones are most likely to be interested in your product. This allows you to focus your marketing efforts on those leads, which will lead to more efficient use of your resources.
Save time: By qualifying your leads up front, you can avoid spending time on leads that are not a good match for your product. This saves you time in the long run and allows you to focus on converting the leads that are most likely to buy from you.
Improve your close rate: Qualifying your leads allows you to ensure that you're only selling to those who are actually interested in your product. This leads to a higher close rate and more sales for your business.
How to qualify leads
So you start off with a pool of leads. But how do you know which ones to pursue? The best way to qualify your leads to see if they're a good fit for your business is by asking them qualifying questions. But before you start the lead qualification process, you need to develop a criteria for lead qualification. This criteria will vary depending on your business and products, but there are some common factors to consider.
- Lead source: How did the lead find out about your company? If they came from a referral or organic search, they may be more likely to be interested in your product than if they were cold-contacted.
- Need: Does the lead have a need for your product? If they're not in the market for what you're selling, it's unlikely that you'll be able to convert them into a paying customer.
- Budget: Does the lead have the budget to make a purchase? If they're not able or willing to spend money on your product, you won't be able to make a sale.
- Authority: Is the lead decision-maker for their company? If they're not in a position to make purchasing decisions, you'll need to reach out to someone who is.
- Timeline: When does the lead need your product? If they have an immediate need, they may be more likely to buy than if they're just researching for the future.
Once you've developed criteria for lead qualification, you can start qualifying your leads. There are a few different methods you can use to do this:
- Lead scoring: Assign each lead a score based on how well they match your ideal customer. The lead with the highest score is the most qualified.
- Lead grading: Grade each lead as A, B, or C based on how well they match your ideal customer. A leads are the most qualified, while C leads are the least qualified.
- Lead tagging: Tag each lead with specific criteria, such as "budget" or "decision-maker." This allows you to quickly identify which leads are the best match for your products.
Best practices for lead qualification
These lead qualification techniques
Ask the right questions - Asking lead qualification questions will help you determine if a lead is ready to buy and save yourself time in the long run. Here are some lead qualification questions to help you get started:
- What is your budget?
- When do you need the product/service?
- Have you worked with a similar company in the past?
- What other options have you considered?
- How did you hear about us?
Asking open ended questions has a higher likelihood of getting you the information you're looking for. Also ensure the forms where you are asking these questions are optimized by implementing lead form best practices.
Define what a lead means to you - In order to qualify and disqualify leads, you need to be sure what you're looking for. Draw up a definition and make sure to review it regularly as your idea of the ideal lead may change along the way.
Focus on qualifying - Don't be tempted to steer the conversation into a sales pitch. Your goal is to qualify. Hand over to sales when the time is right.
Create a unique qualification criteria for each product line. This is obvious but as a simple illustration, something as basic as the prices of products or services differ. Therefore the budget your lead has won't be the same.
Test and adapt your criteria as you go - In general, succeeding in business requires flexibility. Be open minded and adapt your criteria as you go.
Use lead qualification tools - More on that over here.
By following these best practices for lead qualification, you can ensure that you're making the most of your resources and that you're targeting the right customers.
Qualifying leads can be a time-consuming process, but it's worth it in the end. By using these best practices, you'll be able to target the right customers and increase your chances of success.
Learn more about what we do at OnceHub here.