RSS feed Get our RSS feed

News by Topic

BizReport : Advertising : June 30, 2020

How to improve lead-gen during COVID-19

As marketers continue to react to COVID, store closures, lockdown initiatives, and more many are finding the old ways of doing things simply aren't working. From ecommerce to lead generation and back around to email messaging, there are new ways for brands to engage and build revenue. They key, says one digital expert, is to focus on performance marketing initiatives. Here's how.

by Kristina Knight

Kristina: Why is traditional lead-generation not a good fit for marketers and brands in 2020?

Frans van Hulle, CEO, PX: The traditional lead-generation process has never been a good fit for marketers. Relying on 3rd parties for either buying or generating a company's leads has created a serious lack of insight, leaving marketers guessing where they were generated, if the user experience was positive, if they were real time, and worse yet, if they were gathered in a compliant manner. Additionally, advertisers have been buying leads from what I call a "black box," providing no visibility in the sales funnel, leaving them no way to gather key data in order to improve on their results. For many, they've essentially employed a "whack-a-mole" strategy--hit or miss, you're still spending money.

According to our 2019 State of the Industry report, 82% of lead buyers said they were not hitting their target ROI and 44% believed leads were over-priced. Even in 2019, marketers started to express their frustrations with the status quo and are ready for something better.

Kristina: What should brands be doing instead?

Frans: Our current situation has shown a key need for performance-based marketing. Unlike traditional marketing models, performance-based strategies charge advertisers once a specific KPI has been delivered upon. These strategies help marketers spend their valuable advertising budget on things that produce clear results and allow companies to easily see the progress in their sales funnel. In essence, performance-based strategies allow marketers to effectively buy customers instead of leads.

Kristina: When COVID-19 began shuttering physical stores, many brands jumped to focus on eCommerce, but now that physical stores are reopening, what should the focus be?

Frans: Consumers have experienced the convenience of online shopping and working remotely in our new normal. I believe this will be one of many lasting impacts from the pandemic. My advice to brands would be to push for smart hybrid models of online and in-person shopping, scaling down their physical stores and creating a more robust online presence. There are great opportunities for businesses to leverage their brands in the current environment and provide their customers a better experience than those who are in-person or online only companies.

Kristina: What does performance marketing do that more traditional strategies can miss?

Frans: Traditional strategies lack insight, give little to no control over the outcome and charge upfront for an outcome that my not come to fruition. Performance-based marketing provides marketers a direct correlation between the money spent on their strategies and revenue. This provides teams more control over their budget, a better look at the effectiveness of their strategies, and the ability to pivot their tactics quickly. Overall, performance-based strategies keep marketing partners more engaged, allow them to spend their next dollar better than their last, and provide tangible ROI.

Kristina: How can businesses begin developing a performance-based strategy?

Frans: The first step for businesses looking to build out a performance-based strategy is to define their definition of success for each step of the sales funnel. These goals can be a bit more novel than traditional strategies might have allotted for--virtual walkthroughs to quote a home security installment, real-time call center appointments, etc. Next, search for platforms that provide end-to-end attribution to your sales funnel and provide you the ability to buy the types of "leads" you're looking for. Lastly, and most crucially, define your CPA. It can be tempting for a team to only allot a small amount of budget to a performance-based strategy when starting out, but providing enough spending to a tactic is important to properly rate its success and adjust for better ROI down the line.

Tags: advertising, advertising trends, covid-19 marketing, lead gen tips, lead gen trends, lead generation, PX

Subscribe to BizReport



Copyright © 1999- BizReport. All rights reserved.
Republication or redistribution of BizReport content is expressly prohibited without the prior written consent.
BizReport shall not be liable for any errors in the content, or for any actions taken in reliance thereon.