This obviously requires a more or less substantial budget , depending on the objectives in view and the actions to be undertaken. Measuring the resulting ROI already makes it possible to assess the economic benefits of the campaign in question. It can also indicate whether or not changes or improvements are needed in its marketing strategy to get more results.
The ROI literally means Return On Investment or ROI. It is Seychelles Email List return generated by one or more actions which required an economic investment on the part of the structure. In e-commerce, the definition of ROI varies depending on the context. In lead generation in particular, this is the revenue generated by the leads thanks to the budget invested in a leadgen campaign. In other words, these are the gains obtained as a result of actions taken by a brand or structure in terms of lead generation.
Generating leads has become a common practice, even essential in digital marketing. In marketing, a lead is defined by a contact who may, following a few actions, become or not a prospect and then a customer, in accordance with the conversion funnel.
Measure your acquisition cost
It is a commercial lead that has voluntarily filled out a form on a blog, on a website or on a landing page of a given company or brand. However, he may have become one by replying to an email from a brand or by submitting his information at a trade show. In fact, in a B2B context, a lead becomes one by seeking specific information or to learn more. He has thus shown in one way or another some interest in a service or product of a company. In return, he simply communicated his contact details.
In BtoB lead generation , ROI can be calculated in various ways. One of them is based on the expenses and income generated by the lead generation campaign. In the numerator, we will thus have the difference between the total revenue generated by the leads and the total expenses of the lead generation . And the denominator will take the total lead generation expenses.
These are obtained by multiplying the number of leads by the CPL or cost per lead . Another method is to consider the Customer Lifetime Value (CLV) as well as the acquisition cost.customer or CAC (Customer Acquisition Cost). We will therefore have in the numerator the difference between the CLV and the CAC against the CAC in the denominator. In all cases, the results are expressed as a percentage.
Set cost per lead targets
To properly define the budget to be allocated to a lead generation campaign , it is necessary to identify all the necessary expenditure items. The cost of acquiring a lead is one of them. In digital marketing, this represents the cost to get a contact. Of course, it is rather assessed after a certain time, once the actions have been carried out.
However, evaluating it upstream of a marketing strategy and in particular of a lead generation campaign is important because it allows you to already assess whether the ROI will be interesting or not. The acquisition mix makes it possible to reach the best conclusions. Generally speaking, the acquisition cost is estimated by dividing a planned marketing budget by the number of expected leads.
By setting up an inbound marketing and therefore lead generation campaign , the decision makers of a company necessarily have cost per lead objectives in mind . The idea is to invest a minimum to generate a maximum. These managers therefore take into account the context in which the company finds itself, in particular the sector of activity.