It’s easiest to work your way into some things. You decide what you want your revenue goal to be. If you hit it, you’ll determine your growth. What’s the deciding factor? You need more customers.
If you’re using content marketing to acquire new customers, you’ve got to generate leads. More leads. Check. But how many more leads? Here’s a way you can figure this out.
Where did they really come from?
Let’s face it – all sales start online. Numerous studies show that consumers research anything they are planning to purchase thoroughly online before ever making contact with a company.
Knowing that, it’s likely that your website is where most leads go to decide if your product or service is a solution for them. They’re looking for education and perspective, which is what your content provides. It’s the engine of your inbound marketing efforts. Make sure, then, that the content on your website – as well as any landing pages – have a clear call to action (CTA).
Keeping this in mind, its’s a fair assessment to say that when measuring website lead generation ability, you’re actually calculating the ability of your online presence to nurture leads across all your marketing efforts. All roads lead to Rome – or in this case, your website.
Now that we’ve defined a lead, let’s take a look at how you can use this information to determine how many new leads you would need to reach a certain increase in revenue.
There aren’t many pieces to the equation to determine how many additional leads you’ll need to hit a future revenue goal, but you do need to get your hands on two important numbers.
- Website traffic counts: Most organizations utilize Google Analytics for this purpose. The search giant is considered by most to be the best analytics tool for measuring website traffic. The information you want to find and use is the “All Traffic” number.
- Leads: This number is determined by the number of people who provide you with a way to engage with them. It can be as simple as obtaining their email address.
You can calculate the percentage of people who become leads by dividing the number of leads by your total traffic and then multiplying it by 100.
- Lead conversion rate: This number is determined by dividing actual sales by the total number of leads, and then multiplying it by 100. Let’s say you generated 400 leads last month, which resulted in 27 sales. Dividing the sales you made by the leads generated and multiplying it by 100 tells you that you have a lead conversion rate of 6.75%.
We’ll do the numbers for you
You can rest easy once you’ve calculated your lead conversion rate. Now, head over to our Online Lead Generation Calculator. Armed with the lead conversion rate, the annual value of each new customer, and how much new revenue you want to bring in, you can use the calculator to instantly determine how many new leads you’ll need to hit that revenue goal.
Knowing the number of new leads is just the start of things, of course. You’ve got to find ways to either increase website traffic count, or turn more of those visitors into prospects by capturing lead information.
Or, you can look for ways to increase your lead conversion rate. Which is the best avenue for you? Start with our Online Lead Generation Calculator. We can help with our Maverick Sales Lead Generation System.