When the economy is rough, it becomes increasingly important to nurture your contacts and connections to improve the chances of converting more leads into revenue. Focus has shifted from the top of the marketing funnel, where new leads are added, and it is now more focused on the bottom of the marketing funnel, where quality leads are being converted using effective lead nurturing. This is an effective strategy during a bad economy. In summary, lead nurturing can help a business in a bad economy.
Lead Nurturing Cuts Costs
In these lean economic times, every company should be trying to cut costs anyway that they can. Using lead nurturing has been proven to cut marketing costs significantly and companies that excel at lead nurturing generate 50% more sales ready leads at a 33% reduction in cost. Being able to bring in additional business at a fraction of the cost is the best strategy any company can have in a tough economy.
Nurture Savvy Consumers
Consumers are also looking to save money without the risk of bad service or future problems, which is why they are spending more time researching their options online. These savvy customers spend a significant amount of time online looking to be educated about their future purchases and that is where lead nurturing becomes essential. Quality content needs to be readily available to help point them in the right direction.
Lead Nurturing Builds Trust
Lead nurturing provides the consumer with free helpful content that gives them a better understanding of a product or service. It is not a promotional piece or a sales pitch, but something that establishes value or expertise. The essence of lead nurturing is to build trust prior to the sale and it is important the message is well received. Consumers are more likely to make multiple purchases with a company that has already earned their trust.
Lead Nurturing Takes Time
Consumers are not rushing to make purchase decisions since they are being more selective with how they spend their money. The first article or blog that is sent to a lead is most likely not enough to persuade them into making a decision. It takes a strategically planned marketing campaign that builds a relationship slowly over time. Once a consumer finds a company that they can rely on, they will be more likely to stick with that company for as long as they need the product or service. The time invested in converting the lead will be worth it for their future loyalty.
A bad economy needs to be taken seriously. Companies that actively look for ways to cut expenses, pursue new business opportunities, and strengthen their reputation are more likely to survive in tough times. Lead nurturing helps in a bad economy because it reduces marketing costs, increases the conversion rate of qualified leads, and builds lasting relationship with long-term customers and prospects that will be there when the good times come around.