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  • The 3 Cs of Lead Generation

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    Lead generation is a numbers game and a momentum game.

    Lead Generation TrioGenerally speaking there is no one magic way to generate a tons of leads. Granted, for some businesses there are more effective ways, but on the whole long-term effective lead generation comes down to a combination of advertising, public relations and a systematic approach to referrals – the lead generation trio as I like to call them.

    It’s my belief that you need to employ all three approaches in order to generate the right kind of know, like and trust building that will attract your ideal customers. (I was reminded of this notion recently by one of my Duct Tape Marketing Coaches, Cidnee Stephens in Calgary.)

    In order to better understand why this blended approach makes such sense let me introduce the 3 Cs of lead generation: Cost, Credibility, and Control. Each of the lead gen trio offers you some advantage in one or more of the 3 Cs. By using them all, you get the perfect mix.

      So here’s the matrix of sorts:

    • Advertising – potential high cost, often lower credibility, high, in fact ultimate, control – turn the ad on and off when you choose – control is the best part about advertising, you can launch a promotion on the day you want or need more leads and then turn it back down when you don’t
    • Public Relations – cost can be low, credibility is high – often a tiny mention in a publication can bring more leads than a full page ad in the same publication – readers love the third party endorsement, control can be low – you can’t really dictate when and if you will get any pub
    • Referrals – again, cost can be very low, credibility a little dependent on the source of referral but often high, control also out of your hands and based on your ability to educate sources properly.

    Each of the members of the lead generation trio has pros and cons, but employed as a unit they have the power to help you create the kind of marketing momentum that builds long term success.

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    Posted by: John Jantsch on May 29, 08 | 4:04 am
    Category: Advertising, Lead Generation, Public Relations, Referral Marketing | Tags:

    Comments
    • I'd like to add another C to the mix, and that is Continuum. All three disciplines need to coexist. I see too many businesses treating each one separately rather than developing an over arching strategy to connect adverising, PR and referrals. Planning how they connect will amplify the results.
    • John Jantsch
      @Howard - great point, although those two uus together in that word freak me out.

      It is the connection that adds the consistency and continuity to the concise, comprehensive, correlating compendium.
    • ryan
      BtoB Magazine has a great special issue out all about lead generation, it's got some great info and case studies in it.

      http://www.btobonline.com/apps/pbcs.dll/article...
    • Scott
      Excellent view of lead generation.

      Another principle that is perhaps "baked into" all three components of the matrix is that of education-based marketing. I am a firm believer in leveraging marketing initiatives as filter - so that you end up with truly qualified prospects.

      Great post!
    • I think the key phrase is "a systematic approach".

      Most business owners would agree that generating referrals is a good idea - as are PR and advertising. What makes one business successful over another is their ability to put these into practice as a whole and consistently over time.
    • There's an obvious way to generate leads that nobody seemed to think about before we started WrapMail: the regular emails sent by employees every day. WrapMail is a server-based interactive letterhead system that adds an interactive letterhead AFTER the employee hits the send button - the email (whether to friends or business connections) now arrived with the corporate branding, promotion of products/services and embedded links that take recipients to the senders website. As recipients click the report generator fills up with data - sysetm also has an "Instant Click Alert" bascially telling the sender who's where on their website right now - talk about "Instant lead alert". Everybody else in email marketing focuses on blasts, WrapMail focuses on the daily person2person emails that are being sent anyway (and go to a captive audience). Should emails be forwarded the corporate branding now goes viral.

      I know I'm touting my own horn here but what's more obvious than using the real estate available around the email you're sending anyway? We also have clients who sell advertising to 3rd parties in their wrap - now the wrap becomes a revenue generator - our latest client - the American Airlines Center in Dallas probably will solicit their sponsors to advertise in their various wraps.
    • John, you "C" laden response had me laughing.

      Scott, this response backs up your comment on education based marketing.

      Another credibility booster is offering Classes, or seminars. Especially for local professional service firms such as cosmetic surgeons, Accountants/ CPAs, Real Estate Professionals, Investment firms, even Banking Institutions...

      Of course, your 3 C's apply, Cost, Credibility and Control.

      To fill the seminar or class, one must advertise (the cost element), but often such a method will bring in lots of qualified leads, and one's credibility and control in such a venue are fantastic. (provide one provides great relevant content.

      Seminars can also be a decent referral tactic, as many times, people will want to bring a friend or colleague to validate the information.

      David Rachford, CPA
    • John Jantsch
      @Rolv - not only are you tooting your own horn you're off key - your comment doesn't seem to be on topic
    • John Jantsch
      @David - you gotta have a little fun with this stuff or you go mad
    • 3 Cs of Marketing:
      Content, Contact, Community

      3 Cs of Lead Generation:
      Cost, Credibility, and Control

      3 Cs of John's Blog:
      Cool, Concise, Cutting-Edge

      Keep it up!! Are these Cs going to be on a test someday????
    • Great post John. I would add another C to your list which is “Consider.” Consider means to think or study carefully. I come from a B2B background and I realize that many of your readers are selling B2C.

      That said, as simple as it seems, thinking effectively (considering) is vital to developing a solid lead generation strategy. Our mindsets ultimately influence our strategic choices. Investing in lead generation means you are proactively initiating a relationship with a potential customer.

      Consider relationships. Good lead generation identifies, initiates, and nurtures relationships with the right people, until they are sales-ready leads. Lead generation is a conversation, a dialogue; it is not a series of campaigns. Again, companies don't buy; people do. This mindset can open up a whole new set of possibilities.

      Consider multi-tactic. For strength and stability, a table requires all four legs. To lose one is to become less sound, less secure. So too with lead generation. Do you rely on a minimum of tactics, maybe to save a dollar? Or do you proceed with a strong and stable base?

      Consider your value proposition. Is your lead generation strategy tailored, relevant and meaningful to each person involved in the buying process? It is important to note, too, that thinking in terms of multiple modalities for lead generation allows marketing and sales to retrofit revised messaging whenever knowledge about the prospect’s position in the buying process is updated.

      Consider white space. Not copying your competition. What worked yesterday doesn’t necessarily today or tomorrow. Frequently, lead generation programs don’t allow for contingency plans. Or adequate feedback mechanisms that would foretell the need or opportunity for alteration in the first place. If a tactic fails to deliver, be ready to modify it or replace it.

      Resist the temptation to follow the crowd that's reacting to each hot new lead generation tactic. Rather, think critically about your unique situation and what make senses for your organization. Focus on developing the optimal mindset first, then strategies, and finally tactics. Consider (i.e. Think.)
    • Randy, I like your 3 sets of C's! Of course, as a real estate agent, my favorite will always be referrals. My 3 C's...Consistency in Client Contact.
    • PPC
      Hi John, when people mention the C's it usually has something to do with Diamonds, the 4 C's of diamonds but then I guess we are all looking for the diamond clients.

      The best other then you is Marketing Twins.

      Objective
      Catch, Cool, Customers (Clients)
      Sales Process
      Choose, Close, Credit

      There are a lot of great C's that work with customers.

      Thanks for the thought provoking post.
    • After all the comments it was a bit dizzying to remember what the original post was. I agree that the three elements of promotion: [paid] advertising, [generally] nonpaid public relations and personal referrals are sound, time-tested methods of promotion, and all three can be done the old-fashioned paper/ink, phone, face-to-face way, and now via the internet through blogs, squidoo lenses and social networking sites. I think everything else mentioned above fits into one of the three listed in the post. Just my thought - LindaBusiness
    • Hi John, (Re: control of referrals) I feel that small business owners have an opportunity to be more proactive when it comes to igniting the referral process. There are a few things that small business owners can do to assume more control:
      1. Exceed expectations. This will give customers a reason to talk about you.
      2. Make it a point to ask for referrals.
      3. Always say thanks! (I like to send clients a personalized gift card to a local restaurant when they send me a referral).
      Thank you for the great post!
    • Great logic to lead generation. Maybe yet another C to add to the list is Creativity. No matter what advertising or PR you undertake the investment will stand a far better chance of giving you the return you want if it is well executed amd fully commands the attention of your targets.
    • CHECK WHAT YOU EXPECT!!! We've been developing custom and retail hybrid lead generation systems for years. The biggest mistake I see people making is not actually testing the source or new campaign in real life before investing all their money in it. A quality lead generation will fit all 3 C's and the others mentioned as far as that goes, however, if one settles for ok, great, it works, and not strive to dial in the best, then thousands of dollars are at risk in lost revenues, retention and referrals, OH, was that the 3 R's of "Check what you Expect?" :)
    • Great Post. The prospect that comes to you is infinitely more qualified than anyone you can approach.
    • My interest is peaked by the other trio you mention; know, like, trust. You've written in another post that people want to skip over the middle steps. Your trio gives me a good concept to look at when I'm planning my own marketing strategies.
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