Lead Generation is all about creating a database of leads using different marketing techniques to generate revenue for your firm. An intelligently devised lead generation strategy can attract potential buyers and provide them with the information they need when they want. It also tells your visitors how and when they can contact you.
So let’s get into the specifics of a lead generation budget. One thing that you need to note is, these specifics can generate leads for anyone from property investment leads to a marketing agency leads.
Five steps to planning a lead generation budget
There are five major steps that you need to follow to be able to plan a successful lead generation budget –
1. Know your lead goal
The first step that you must follow while deciding a lead generation budget is setting specific goals so that you can measure your goals against them.
And to be able to set goals, you should know about these following things –
- Revenue goal – monthly
- Per cent of revenue from Marketing goal
- The average size of the deal
- Sales close rate, if you don’t know, the standard is 6%
2. Landing Page Visitors and Conversion Rate
Capturing the leads through a form on a landing page is one of the most important aspects of lead generation strategy. On filling the form, the visitors must get access to a resource that serves value for them. Your goal should be to drive all of your visitors to these landing pages.
One thing that you should know is, the average conversion rate for a landing page is 2.35%. So start by assuming that your landing page will reach at least this average conversion rate, then you need to determine the number of people you need to drive to your landing page to achieve the goal.
3. Cost of web traffic
Now that you have a specific number of visitors that should be your goal, the next step is to plan out the costs. There are following factors that you need to take care of –
- People – you might be executing your lead generation yourself, or you are probably hiring someone, but you do need to take into account the time you spend doing the job.
- Process – in this step, you need to take into account the cost of driving traffic to your landing page, for example, influencer marketing, advertising, etc. If you are not sure about this cost, then it would be a good idea to estimate how much money you would be comfortable spending.
- Technology – This involves tech used in producing and executing the lead generation strategy, a marketing automation software, for example.
Add the cost of people, process and technology to find the total cost of the lead generation program.
4. Check your ROI
This is the last step to check ROI, also, ensure that your lead value is more than the cost per lead. If this is the case, then you should be able to find some room to experiment with the budget. You might even hire someone to execute this strategy for you if you have enough room.
However, if your lead value is less than your lead generation budget, then you might want to adjust it again by cutting a few costs here and there.
