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What is Lead Management?

Lead Management

What is Lead Management?

What Is It?
Lead management optimizes the actions taken between the time someone responds to your communication until they “buy or die”. Lead management’s value to you is less cost, more revenue and higher ROI.

Marketing Leads Are Expensive

Marketing spends vast amounts of time and money to generate leads. Most sales departments are reported to ignore 80% or more of those leads. Why? Sales and marketing alignment issues mean sales don’t believe those leads will turn into revenue in a reasonable amount of time if ever.

Why Should The CEO Care?

A good lead management program will have the following impact on the marketing and sales efforts of most companies:

  • Reduces the cost to generate leads
  • Decreases customer acquisition expenses
  • Increase the average lifetime value of new customers
  • Shorten the sales cycles
  • Convert more leads into sales
  • Measures  and increase the ROI and effectiveness of marketing automation campaigns

Leaky Pipe
A perfect lead management program turns 100% of all sales ready responders into leads sales will follow-up on and turns them all into happy customers. The worst lead management program yields zero sales follow-up and no closed sales. Most of us are in between with some leaks that we’d like to patch.

Fixing Leaks

Fixing leaks reduces costs and improves revenue.  It’s fairly simple. It’s often inexpensive. So why do so few businesses do it? Hang on, we’ll get to that.

Opportunity – Typical Leak Locations

  • Appropriate list segmentation
  • Full market campaign coverage
  • Full key player set coverage
  • Right message to market match
  • Capturing inquiries
  • Scoring leads
  • Nurturing leads
  • Correct qualification definitions; sales qualified, sales ready, sales accepted, sales rejected
  • Lead qualification quality
  • Passing leads to sales
  • Recycling leads sales rejects

Each item in the list above is an opportunity to reduce costs and enhance revenue. For example “capturing inquiries”; if you use progressive profiling instead of full static profiling you can sometimes get 50% of your inquiries to take the next step in the process. The impact on revenue is often huge.


If you can’t see it you can’t manage it. Process visibility through proper reporting puts the “management” into lead management. Many lead management reports don’t provide the insight to enable effective visibility and management of the process. You want to:

  • Report on what’s happening in the lead management process; see gaps and leaks
  • See which who is working the leads and how they are progressing.
  • Measure which strategies and tactics are working and determine what the program ROI might be.
  • See where you are making progress, stalling or staying stable.
  • Forecast how much revenue will likely come out of the lead management process.

Fixing Leaks

Lead management will never be perfect. Leaks in your lead management process mean otherwise valuable prospects don’t become customers because of a flaw in the lead management process. Regular and scheduled interaction between sales and marketing can usually identify most of these leaks and devise ways to fix them. At times leaks occur that the internal team can’t fix; this is when you may want to call a consultant.


  • Better leads
  • Larger average sale value
  • Shorter sales cycles
  • More sales people achieve quota
  • Better margins
  • More revenue
  • More profit
  • Higher ROI
  • Happier partners and channel members
  • Better process control
  • Better investor relations
  • Better inventory management
  • Better forecasts
  • Better competitive positioning

Why is Lead Management important?

Because good lead management is the single best thing you can do to improve revenue after improving your data management in marketing automation and lead generation.

Are you ready for better lead management? Contact Eric at 503-635-2319 or

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