Wednesday, January 27, 2010


Lead generation modeling made simple

Too many marketers don't model how many leads they actually need to hit their organization's sales goal. Those who do model often overdo it.

But you've got to do the math. Most of the time it boils down to answering just two questions:

Let's leave out sales cycle length for now, to keep things simple. Let's just look at leads-to-opportunities-to-sales.

To build the model, you need a handful of inputs:

If you don't know these figures explicitly, come up with a reasonable but somewhat conservative guess. With this input, you can build a model telling you:

And with that model, if the inputs are isolated and the lead/opportunity/sales figures are calculated with simple formulas, you can make adjustments to the inputs to see what the sales and/or revenue impact would be if you:

Start simple, but build this model and share it with your team. Discuss it with sales management. Get on the same page, and execute with more confidence that what you're doing is leading directly to sales success.


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