Tales from the Sales Trenches - 2
Drowning in Riches
Like you, we don't like to leave good business on the table so when a prospective customer told us this story we decided to share an abridged version of it lest you fall into the same trap.
This SaaS company happens to be very good at raw lead generation, that's the good news.
The bad news is that they are very good at lead generation.
They are so good at lead generation that they generate on average about 12,000 raw leads per month.
Of those, they classify about 4,000 as "warm" leads defined as leads with just enough data in them to give the company some statistical clue to a higher probability of success. This sounds great so far but this is where the challenges start.
The company concerned only has business development representatives (BDR) to follow up on 30% of the warm leads which it self only 10% of the total monthly lead count.
Thus, out of 4,000 warm leads they can only follow up on approximately 1200 leads or 30%. Now, some might think that this is in the "good problem to have"category but it isn't at all. This company has an Average Contact Value (ACV) of $7,000 - $70,000 which is quite a wide range.
Their historical analytics have given them insight into the type, size and location of company that will buy a $7,000 subscription vs. a $70,000 one.
The logical conclusion is to figure out which of those leads are likely to yield the higher ACV range so the finite BDR resources focus on leads that meet the following criteria:
Statistically more likely to yield the highest ACV
Statistically more likely to close at the higher ACV
The problem with this is that they current have no way to prioritize their efforts because the leads don't have enough key data that are required to predictively prioritize them. They key data needed is:
Company size - Employees (optimal is 500+ employees)
Company size - Revenue
Job title and function of prospect
Location - specifically country and state
This data has to be appended before any prioritization can be determined. This is going to be true of any company that wants to classify, score, prioritize and route leads appropriately.
That's where we come in. We can fix leads as they arrive and not only validate data in the lead but also append the rest of the data required for scoring, routing and predictive tools to work properly. We do this with ContactPERSONA