LEADS vs PROSPECTS – the eternal discussion
How LEADS and PROSPECTS work in your CRM is entirely up to you. However, there are some principles to observe.
Prospects are a sub-category of CONTACTS in your CRM.
Generally however, LEADS are COLD and CONTACTS are WARM.
You can of course use your own rules, but almost every client has asked me on discerning, organizing and processing leads and contacts.
Accordingly, here is what I suggest:
LEADS have lower and CONTACTS have higher degrees of:
KNOWING THE DIFFERENCE IS CRUCIAL TO YOUR SALES
Definition of a Lead
An initial target early in the game.
– Someone you have NOT contacted yet.
– Someone who has not responded with interest yet.
– Applies only to people remotely within your target market.
– Someone you have just met and had a short conversation with.
– Someone who has visited your website and filled out a form.
– Someone who has come to your seminar or webinar.
– Information someone has given you on a person you may be interested in.
– Someone given to you by your marketing.
Definition of a Prospect
A Prospect, (also applies to a Client or Associate).
– A prospect; i.e. a lead that has been converted according to the points bellow.
– They are people that have shown a real interest in you and are worth pursuing.
– Has agreed to a meeting or longer scheduled call (basically anyone who will schedule a call).
– Client (active, dormant or any other status).
– Supplier or other people you deal with in your business. These you can enter right away as CONTACTS. All others you should enter in as LEADS first.
How to communicate with a Lead and a Prospect
– COLD CALL a LEAD (you do NOT cold call a prospect)
– FOLLOW-UP with a CONTACT (you do NOT cold call a contact)
– TOUCH BASE with BOTH (leads and contacts)
Entering a new contact in your CRM
Enter everyone in as a LEAD, always, if they are your target market.
Enter people directly as CONTACTS first only if they are NOT in the market. Suppliers, partners and others should be entered in as CONTACTS first. All others as LEADS first.
Converting a Lead into a Prospect
Convert a LEAD into a CONTACT as soon as you know they respond positively to your pitch or efforts.
As soon as you have a scheduled meeting, call or zoom (not just a random phone call).
Why it is important to separate Leads and Prospects
Because you’ll generally do up to 2 Follow-ups with LEADS (targets) before you leave them on a drip campaign.
You will do up to 8 Follow-ups with CONTACTS (prospects and clients) before you leave them on a drip campaign.
This is the main process which WILL triple your sales.
however, if you do not separate LEADS and CONTACTS you’ll be doing the wrong calls or campaigns to the wrong people and you will not be using the right information and process for that person which is made available in your CRM.
THIS IS JUST THE FIRST POWER. WE WILL DISCUSS MORE OF THESE POWERS IN OTHER EMAILS BUT AGAIN, IF YOU CAN’T WAIT CONTACT US AT?????? TO SCHEDULE A QUICK FREE 20 MINUTE CALL SO WE CAN ASSESS YOUR NEEDS AND TO SEE IF WE CAN HELP YOU. (IF WE CAN’T HELP YOU, WE WILL LOOK INTO OUR NETWORK TO FIND SOMEONE WHO CAN!)
Last week we talked about the Glengarry Glen Ross clip where Spacey’s character kept the premium leads from Jack Lemon’s character.
The whole purpose of those leads is for a salesman to FOLLOW-UP on their interest in the product or service. One of the major powers a business/entrepreneur has us the ability to contact people via email. It allows you to send bits of information to the lead to demonstrate the value you can bring to them. This puts you in control!
Get the Card! Then, instead of sitting and waiting on others to email you, you get to email them about your value!