Are you still not convinced your agency needs a niche? Are you tired of spending your time on free consultations that don't convert? Converting a lead into revenue for your agency requires careful planning. If you want to convert and retain more clients, beware of these common mistakes.
In this episode, we'll cover:
- 5 most common lead generation mistakes.
- Overcoming lead generation mistakes for digital agencies.
I talked with Bob Sparkins, Sales and Marketing Manager for Leadpages. Known as "Bob the Teacher," he provides instruction to agency sales teams through podcasts and webinars. Bob has a ton to share about the biggest mistakes he sees agencies make when it comes to lead generation.
1. Failing to Specialize
If you've heard it once, you've heard it a thousand times: Find a niche for your agency. Bob says many new agencies make the mistake of believing they can do all things for all people. However, Bob says beyond the benefit of doing work you are passionate about, specializing in one industry or service offering will actually help increase revenue and attract more clients. Why? Because most clients don't come to your website looking at the big picture of all the solutions you provide. They come looking to solve a single problem with their marketing plan. If you specialize in solving that sort of problem, then you have a foot in the door to provide additional solutions to the client in the future.
2. Overpricing or Underpricing Your Services
Bob says determining a fair price for the services provided is a common problem for most agencies. Some agencies underprice their services in the hopes of attracting a client looking for a deal. While others set a higher price without having built the trust and proving the service is worth the investment. The problem with underpricing your services is you're not communicating the value of your team's skill set. Overpricing can lead to making promises you can't keep and could cost you the client.
3. Offering a Free Consultation
Bob encourages agencies to remove the free consultation from their website. "A person off the street should not be able to stumble on your website and get access to your calendar," Bob explains. The problem with free consultations is they only have about a 30 percent conversion rate. What this means is when you provide free consultations for ten people, only three of those people will return for more information. That equals a lot of time spent on conversations where the prospect is more likely to say no than to say yes.
4. Ineffective Lead Magnets
Instead of providing free consultations, Bob encourages agencies to convert leads to clients through the use of lead magnets. An effective lead magnet is one that considers the context of why the lead is on the web in the first place. Providing a short video or article with information on how to accomplish a task, along with a call to action for more information, is much more effective than simply advertising your services in the traditional way.
"Teach people the steps that are involved in doing what you do," Bob says. But, also show them that the task demands a level of knowledge and expertise that you can provide.
5. Holding Your Clients Hostage With Their Website
One mistake Bob sees agencies often make after they've worked with clients is holding deliverables hostage. This is particularly true with creative and design agencies. They keep all the information and work under lock and key. If the client leaves, they lose the work.
"You need to evaluate if that is really in service to your client," Bob says. He notes allowing a client who wants to leave access to the work they paid for and to exit with a positive vibe provides a better chance of getting a good referral. Additionally, you leave the door open if the client wishes to return.
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