Quantify Long-Term Benefits

What is the payoff?

Whenever a lead requests literature, our recommended response is that you'll send literature as long as they will accept a follow-up phone call.  While there is a lot of variation, due mostly to varying sales cycle, most of our leads are literature, and the rest are straight appointments.

The long-term benefits of the program depend on your close ratio on the leads and the lifetime sales value of a customer.  Only you can estimate this based on your experience with talking to prospects with problems you solve.

Here's an example that might help*.

    Normally our customers expect a long-term close ratio of about 20% of their appointments and 5% of their literature leads.

    So, an appointment every 6-12 hours and a literature lead every 2-4 hours result in a sale every 12-30 hours of calling.  These long-term results assume an effective lead tracking program that allows you to be there when they buy.  Since our leads tend to be very early in the sales cycle, the time between lead generation by us and sale closing by you could be anywhere from next week to several years from now.

    If each sale is, say, $5,000, and each new customer can be expected to buy five times over the life of your relationship, then each hour of calling results in a $25,000 lifetime value, or $800 to $2,000 per hour of database building.

All this depends on having a lead tracking structure that allows you to be there when they need you.  You can't do that until you know who "they" are and when they will have a need.  That's where we come in!

If this general discussion is not detailed enough, feel free to contact us for information that might be more relevant to your situation.

*This discussion is for illustrative purposes only and is not to be construed as a guarantee or warranty of results.