1. Start with a lead.
How to precisely define a quot;leadquot; before marketing begins
Brian Carroll, CEO InTouch and
author of Lead Generation for the Complex Sale

2. Sales and Marketing Alignment Research
• 80% of marketing expenditures on lead generation
are are lost, ignored or discarded by sales.
• 10% of companies have lead definition consensus
• 30% have consensus on ideal customer profile
Sources: Aberdeen Group, InTouch Inc, CMO Council

3. 5 Reasons for Lead Generation Failure
1. Most inquiries are not leads!
2. Leads aren’t qualified and prioritized
3. Sales organization isn’t held accountable
4. The baton gets dropped during hand off
5. Closed loop process missing
Bonus tip: Improving how you qualify inquiries is
the fastest way to increase ROI.

4. Shared Vision for Lead Definition
• Culture –treat leads as a valued asset
• Teamwork - equal dependence on each part
• What’s your job?
– Marketing is the supplier
– Sales is the client
– Both are stewards of the company’s resources
• Alignment of expectations

5. Define Your Ideal Customer Profile
• Sweet spot – ideal fit
• Most common criteria:
– Industry code
– Revenue
– Employee size
– Trigger events
– Sphere of influence

6. Basic Ideal Customer Profile
Lead Profile
Economic VP Marketing, VP Sales, CFO
Decision maker
Influencers
VP Customer Relations, Help Desk Manager
•Sales
•Finance CFO or VP Finance
•IT CIO, CTO, VP IT
Company Size > $50 Million and > 150 Employees and > 10 Sales people
Vertical Markets High tech Manufacturing, Telecommunications, Pharmaceuticals
SIC CODES (5100, 5120, etc.)

7. Ideal Customer Profile
– Who do we serve?
– What problem do they face?
– What do we enable them to do?
– What does that mean to them?

8. Define Your Sphere of Buying Influence
Champions
for your
solution?
Influencers
for your
solution?

9. Trigger Events

10. Your Database is a Valued Asset
Target Company Best Buy
Company Lead Classification
Industry
Identify Employees
Sales
Firmographics &
Assigned Rep
Compile Notes Company Notes
Company Web URL
Minneapolis New York Dallas Las Vegas
Identify Site Type Site Type Site Type Site Type
Headquarters & Site Address Site Address Site Address Site Address
Site Site Site Site
Sites Qualification Qualification Qualification Qualification
Site Web URL Site Web URL Site Web URL Site Web URL
Brian Carroll Michelle Passe Pat Lorch
CIO Dir. eBusiness VP, Supply Chain
Identify & Qualify Lead Classification Lead Classification Lead Classification
Contact Info Contact Info Contact Info
Contacts Conversation Notes Conversation Notes Conversation Notes
Qualification Responses Qualification Responses Qualification Responses
Qualification Comments Qualification Comments Qualification Comments
Contact History Contact History Contact History

11. Develop Your Database
• Build database of companies
– Leverage ideal customer profile
– Use contact management system or CRM
• Sources
– Sales team’s wish list or key accounts
– www.jigsaw.com
– www.infousa.com
– www.dnb.com
– www.hillsearch.org

12. Spectrum for Sales Lead Definition
A response from an individual to a marketing campaign, or
Level 1 someone who has taken proactive steps to demonstrate
interest in your message, product or service.
A meaningful interaction (via phone or email) with an individual
Level 2 meeting the requirements of a fully qualified company and
audience.
Ready
Level 2, plus the individual demonstrates a specific need for
for Sales Level 3 and interest in your product or service.
Pipeline
Level 3, plus the individual is in the process of defining a
Level 4 requirement for your product or service.
Level 4, plus the individual has the responsibility, budget
Level 5 and a defined timeline for purchase.
Source: SiriusDecisions Lead Spectrum 2006 Lead Metrics Study (used with permission)

13. Your Universal Lead Definition
• Allow leads to be scored and prioritized
• Defines the degree of sales readiness
• Requires buy in from sales and marketing

14. Hot Lead
• Talked with VP of sales (economic decision maker)
• In sweet spot (meets ideal customer profile)
• Clear business need/initiative for what we sell
• Wants to fix the problem
• Purchase decision made in less than six months
• Has a formal budget of X or can find a budget; and
• Ready to speak to a sales consultant.
Bonus tip: Lead definition should always include BANT

15. 6 Steps to “Sales Ready” Lead Definition
1. Meet
2. Ask
3. Meet again
4. Expose
5. Close the loop
6. Edit and republish

16. Lead Grading with Shared Language
• Common methods
– A, B, C, D
– Hot, Warm, Future
– Priority 1, 2, 3
– Scoring or ranges (0 – 100)
• Different for each company
• Must be written and disciplined
Bonus tip: publicize your sales lead definition internally.
Sales/Marketing must use the same language.

17. ERP - Scoring
CONTACT (Must be willing to talk to DSM)
Executive level Mgmt: CEO, Pres, Owner, COO, CIO, CFO, 10
Senior level Mgmt: VP or Director of MIS, Mfg, Operations, Finance;
8
Controller, Highest level Financial, General Manager
Mid Mgmt: Matls Mgr, MIS Mgr, Plant Mgr, Project Leader, Consultant 5
2
MIS/Mfg staff, Purchasing, quot;Info Gathererquot;
Excellent 100-86
EVALUATION PROCESS & TIMEFRAME
Formal evaluations in process (list indicators), decision <90 days 25
Good 85-75
Formal evaluations in process (list indicators), decision 90 –120 days 20
Informal evaluations now (list indicators), decision in 6 months 12
Fair 74-65
10
Early stages of evaluations - decision in 9 months
10
Evaluation Narrowed with competitor(s) “INTERCEPT”
Needs a system or “Always Looking” or start evaluations in 6 months
DISQUALIFIER
SIZE & BUDGET
=>$7M or 70 employees:
>$75k budget approv’d by Corp/Parent/Highest Level (in formal eval) 20
>$75k budget approv’d locally, needs higher level apprvl (in formal eval) 15
>$75k budget to be set for selected system (informal eval or less) 10
$5-$7M or startup with $50K-$75K preliminary budget number 6
<$5M with lower or unknown budget 2
MANUFACTURING FIT & NEEDS
Primary SIC 20, 28, 30, 34, 35, 36, 38 or 2nd SICs; wants full MRPII/ERP
MFG STYLE +10
Mixed Mode, MTS, REP, MTO, ATO, CTO or Process
POOR FIT -10 ea
1.Job Shop (buys material to job, no inventory, actual labor) 2.Job Costing
3.Actual Costing 4.Project Mfg 5.Progress Billing 6.Multisite – one
database. 7.Continuous Flow
TECHNOLOGY ENVIRONMENT
15
Wants Microsoft-centric, NT and SQL (Strong bias toward)
11
Wants NT and moving to SQL (bias towards)
8
Considering NT or Novell or other options
5
Has Other System in place but may consider replacing w/ NT

18. Consulting Firm - Hot Lead
• Decision maker identified
• Clear initiative or defined project < 6 mos
• Documented need/pain
• Ready to speak to sales consultant
• Include information regarding
– Time frame for project start/finish
– Budget status (set, waiting approval, no set budget)
– Other vendors being used
– Identified other decision makers or influencers?

19. Effective Lead Management
Teleprospecting, Events, Email Campaigns, Podcasts, Website
Inquiries (Level 1)
Not a Fit
Marketing Nurturing (Level 2)
Pipeline
Returned
Level 3,4,5
Prospects
Leads
CRM
Closed Loop
Feedback
Handoff
Sales
Sales Ready Generated
Leads Leads
Existing
Sales Clients
Pipeline
Measure ROI
Customers

20. Handoff From Marketing to Sales
• Like a relay race
• The handoff – agree on the process
– Must ask “do you want speak to a sales rep?”
– Match readiness of buyer with expectations of
your sales team
• Don’t drop the baton
– Who owns the lead now

21. 9 Ways to Ensure Sales Follow-up
1. Get buy in from sales team on program
2. Provide qualification information for each sales lead
3. Qualify and Distribute sales ready leads immediately
4. Communicate hand off to sales person
5. If lead not followed up it will be pulled / reassigned
6. Regularly close the loop
7. What gets measured gets done
8. Sales management must audit and track rep follow-up
9. Make compensation depend on sales follow-up

22. Closing the Loop – Where Are Leads Now?
Current Lead Disposition
Stage Status Count % of Leads
Active Contract 4
Active Contract 4%
Proposed 1
Sales 1%
Prospect 1
Sales 1%
Qualifying (Sales) 8
Sales 7%
Nurturing (Sales) 19
Sales 18%
Follow Up (Qual.) 24
Lead Generation 22%
Nurturing (Qual.) 1
Lead Generation 1%
Qualifying 14
Lead Generation 13%
Rejected (Qual.) 1
Lead Generation 1%
Duplicate 1
Inactive 1%
Lost Opportunity 1
Inactive 1%
Not a fit 32
Inactive 30%
Total 107 100%

23. Measuring ROI
Regular pipeline analysis
• # Of inquiries? (Weak)
• # Of leads? (Okay)
• # Of leads in sales process? (Better)
• # Of closed deals? (Best)
Sales reporting
• Conversion rates by sales stage
• Closed loop feedback
• Calculate investment per sale

24. Tracking ROI Based on Closed Deals
ds
le a
nc s
i ng
d
s
ad le a
al l
d
ea
va
of
of
lL
Sales Process Stages
%
%
Al
Leads - Hot, Warm, Cool 107
Sales - Qualifying 70 65.4% 65.4%
Prospect 35 32.7% 50.0%
Profiled 25 23.4% 71.4%
Proposed 18 16.8% 72.0%
Active Contract 7 6.5% 38.9%
Bonus tip: Jointly review your definition of a sales
lead frequently to ensure it stays relevant

25. Marketing to Do List
1. Develop universal lead definition with sales team
2. Develop internal lead qualification process
3. Pass only qualified leads to sales team
4. Provide regular reports on the number of prospects available
(by segment, by market, etc.)
5. Get input from sales on target companies and names
6. Get sales team input to co-develop campaigns
7. Connect sales and marketing data in CRM
8. Regular close the loop meetings

26. Sales To Do List
1. Develop universal lead definition with marketing team
2. Provide marketing target companies and names
3. Pass back leads that are not active in your active pipeline
4. Regularly update lead records in your database/CRM!
5. Define how you will close the loop with the marketing team
6. Provide feedback to marketing regularly on your leads
7. Develop a lead nurturing plan (with marketing)
8. Regular close the loop meetings

27. Benefits of Universal Lead Definition
• Higher qualified, sales-ready leads
• Sales force has less frustration
• Increased sales effectiveness
• Better funnel management
• More accurate and consistent ROI metrics

28. Thank you
Brian Carroll
CEO
InTouch
651.255.7700 x640
Bcarroll@startwithalead.com
Other lead generation resources:
www.startwithalead.com
www.leadgenerationbook.com
http://blog.startwithalead.com