Lead Organization vs Lead Management
Organizing leads and managing leads are not the same thing. Organization is simply one part of lead management, but managing leads is an ongoing process that needs to be done properly in order to close sales effectively. It is important to understand the difference between the two – and to know when you’re not doing one of them properly. In this article, we’ll take a look at how you can organize and manage leads.
Think about your office desk. If you are like most people, you probably straighten up your desk every week or so. This can be considered the “organization” part. Until then, however, you need to have space to work. That’s where “management” comes into the picture. Various documents, invoices and papers that come in must be placed in designated spots, and you must actively deal with each one in turn. This ensures that your workflow won’t be affected by clutter because a standardized process has been put into place. It is an ongoing procedure.
Lead management is really just about creating a system wherein the details of prospective customers are entered, stored and accessed. The leads can be labelled as “in process,” “approved” or “rejected” to make sure that they can be filtered in the system quickly.
Why Does Lead Management Matter?
There are three main reasons why lead management matters to your business. In the insurance industry, insurance leads are at a premium. Each and every one is potential revenue, so it is important to handle the leads effectively.
- Cost of Acquiring Leads: Whether your leads have been generated from a call, a website or purchased from a lead provider, there is no question that leads are expensive. Leads represent a cost to your company and, as such, they should be treated as company assets. Managing them can help make sure that they will generate a return on your time, effort and investment. In essence, lead management creates a process that turns leads into customers. It transforms simple spreadsheets into cash.
- Faster Response Time: It is an accepted fact that the speed of agent response determines the company’s conversion rate. Leads who hear back within 24 hours are 50 percent more likely to buy than those who hear back after 24 hours. In addition, people tend to stick with the first company that they got in touch with when it comes to buying insurance products. By having an effective lead management system, it becomes possible to manage the workflow to ensure that every prospect will hear back from your company quickly. The end result is higher sales.
- New Sales Agent Training: The other reason why lead management is important involves the training of new sales people. In many cases, people who have not worked in a sales role before require “real-world” practice to sharpen their skills. They might burn bridges along the way because they may not know how to sell. If your company is training new sales people, it is essential to maintain a balance between training the new sales staff and maintaining a list of high-quality leads.
Using Lead Management Systems
Lead management can best be done with the help of technology. There are a variety of web-based tools that are available at affordable prices. These can give independent agents and small agencies the same advantages as larger companies. The system should be able to store the lead’s contact details and categorize them into different sections. The tool can assign the right agent to the correct lead so the company won’t miss any sales opportunities.
It is important to remember that technology can only go so far. Sales agents and managers should also take action to ensure that contact is made with the customers in a timely manner. A lead management system will help the workflow of your company, but it won’t replace it. So in designing the system, think of the result you want: high conversion, increased contact and a standardized process. It’s all possible with the right tool.
Another benefit of lead management systems is that it identifies the superstars of the company. It lets you find out who is making the grade by putting in the effort to reach out to new leads and who is letting the company down with minimal customer contact. The right lead management tool can drive your sales people to improve on their past performance as well as outpace the performance of their peers.