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Lead Engagement
Lead Scoring: Why it’s Important in Your Engagement Strategy
Lead Scoring: Why it’s Important in Your Engagement Strategy

by: Stephanie Lanik

Strategic Marketing Coordinator
Lead scoring is an essential part of lead management, allowing you to track your prospects’ behaviors and activities to determine if their level of interest in your solution is worth pursuing. It’s also a critical function in every lead engagement strategy, enabling you to segment your sales pipeline and more effectively engage with sales leads.
Effective lead scoring is more than just a means of ranking leads. It’s a contact between sales and marketing. It’s a mutually agreed-upon process for defining lead quality, sales follow-ups, and cross-departmental collaboration. When done poorly, lead scoring is just another data point that doesn’t drive action.
So, in order to implement an efficient lead scoring strategy for marketing and sales teams, you need to understand what exactly is lead scoring? Why it’s so important for engagement strategies? And how to get things rolling?
Let’s get started.
What Exactly is Lead Scoring, Anyways?
Lead scoring is valuing your leads based on their demographic, firmographic and behavioral data. Simply put, it’s designed to help you rank prospects and identify high-quality leads, based on whether or not they fit your persona or your target audience.

Business development and marketing teams use this system to assess a lead’s interest based on the frequency and consistency of their engagement with your business (their response to your email campaigns, their activities on your website, etc.), and their position in your sales cycle.

Understanding which leads are more likely to convert will help you save time, and ultimately improve your bottom line. Unfortunately, statistics show that most organizations struggle to manage their leads effectively (HubSpot, 2017):
  • 79% of marketing leads never convert into sales.
  • 57% of B2B organizations say that converting qualified leads into customers is their top funnel priority.
  • However, 79% of B2B marketers also have not established a system for lead scoring.
So think about it, if lead conversion is a priority and marketing leads are failing to convert, why not implement a lead scoring system?

Here’s Why Lead Scoring is a Critical Part of a Strong Engagement Strategy

Lead scoring is more than just a marketing strategy. It can make your entire business more effective and can help to align the many different teams within your organization. According to a lead scoring survey by DemandGen Report, 41% of respondents saw improved conversion rates among leads using lead scoring. That same survey also reported:
  • 53% of respondents said they experienced improved marketing and sales alignment
  • 43% discovered qualified leads that might otherwise be overlooked
  • 43% saw an increase in the number of marketing qualified leads
  • 32% saw a rise in sales-ready leads
If implemented correctly, lead scoring can have the following impact on your engagement strategy and on your company as a whole:
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Stronger Marketing and Sales Alignment (a.k.a. Smarketing)

As mentioned before, in order for lead scoring to be successful, sales and marketing need to collaborate and agree on the scoring system. This is perhaps the least measurable, but the most viable advantage of lead scoring.

In fact, according to Hubspot research, 61% of B2B marketers send all leads directly to sales, but only 27% are qualified — this is a great example of a major contributor to misalignment between sales and marketing.

Lead scoring helps strengthen the bridge between the two departments, by successfully implementing a process by which they can both work together to enhance the quality and quantity of leads generated through their marketing efforts.

Quantity and Quality: How Your Sales Team Can Be More Effective

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Enhanced Customer Experience & Follow-Up Actions

Effective lead scoring is the route to creating an enhanced and unique customer experience, by creating a personalized UX (user experience) for each lead based on their interests, behaviors, and readiness to make a purchase.

With lead scoring in place, the sales department can prioritize which leads to follow up with first without any delay, which means fewer opportunities lost. However, according to a Gartner study, 70% of leads and sales are lost due to poor follow-up… That’s not good!

Furthermore, reaching out to qualified leads in a timely manner impacts revenue significantly — Sales studies consistently show that anywhere from 35 to 50 percent of all sales go to the agent who makes first contact (InsideSales.com). So, it’s safe to say that without the sales team doing their part, lead scoring will fail! It’s crucial to use this method as a way to prioritize your leads so that follow up is better executed and no hot leads fall through the cracks.

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Improved Funnel Efficiency & Productivity

Incorporating a lead scoring system into your engagement strategy is a great way to improve funnel efficiency. For example, any businesses with efficient funnels are able to attract and close the right customers quickly. Doing this helps businesses lower customer acquisition costs (CAC).

Additionally, it can ensure that your sales team uses their time and resources efficiently by focusing only on leads that are likely to become paying customers. A study from Marketing Sherpa found that companies who implemented lead scoring mechanisms had a 77% boost on their return on investment (ROI) for lead generation activities over those not using scoring.

Meaning, higher lead ROI — Less time spent and better quality leads translate to high return on time invested.

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Increased Marketing Effectiveness

Lead scoring helps improve lead nurturing. By identifying the campaigns and channels that result in high-quality leads, you can then tailor your marketing strategy to generate more qualified leads. It also helps in identifying where your prospects are in the buying cycle, which then you’ll be able to send targeted content that is most relevant to them.

Providing information that customers want and need is one of the best ways to build trust. And when your customers trust you, you have the ability to grow your business and have clients for life!

streamline your business with
Evolution of Lead Scoring
BANT (Budget, Authority, Need, and Timeline) — associated with lead scoring — Is a common definition developed over the last decade to identify a qualified lead.

But times have changed. Buyers have evolved. They start researching and gathering information way before they decide things like budget and timeline. Even if these factors are in place, buyers are unlikely to reveal this information to you (the salesperson) at your very first interaction. Instead, buyers rely on the internet to gather relevant information. They have access to download numerous case studies and whitepapers, connect with their peers to validate their information, and they also rely heavily on social media to crowdsource experience. Because of this, salespersons have no visibility into these behaviors.

In order for them to keep up with the changing buying process, the system of scoring leads needs to advance at a similar pace and use various other data (such as job title, industry or revenue) to understand the quality of their leads. But the key to understanding their true interest in buying is their behavioral or implicit information about the buyer.
Focusing on the digital behaviors of your leads can easily determine their interest level in your company and the content that you offer. Nevertheless, according to the recent trends, you need to focus on certain behavioral aspects like the frequency of interaction of your prospects with your company and the content you provide. It is done because often the behavior can be a better indicator and often more accurate for scoring leads than data that is collected through the internet or phone.
Ready to Get Started?
Lead scoring does not have to be overly complicated. For most, the hardest part of lead scoring is getting started, not because it’s too complex or time-consuming, simply because it requires some specific knowledge to kick things off. It does take a significant amount of work to build and time to refine and measure the process as you go, but we assure you – once you’ve implemented a lead scoring system, your whole organization will become more productive, more effective, and your entire engagement strategy will flourish.
If your organization is ready to take the leap into the world of lead scoring, but your not sure where to start, let’s talk!

We can help streamline your lead flow, productivity, and efficiency between marketing and sales to simplify processes so your team can focus on what they do best! Visit www.techtonicsale.com or contact us at info@techtonicsales.com or simply click the button below to learn more!

Written by: Stephanie Lanik
– Strategic Marketing Coordinator at Techtonic Sales –

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