I recently met the new sales director of a well-respected technology firm that I’ve known for over five years. This person is the third sales director within the last five years,and the firm has gone through three times as many business developers during that same timeframe. The new sales director said something that made me cringe: “We’re hiring an additional business developer and stopping all of our marketing efforts because our owner says business development is our lead generation."I cringed because it was an outmoded school, dated way of thinking approximately lead generation and firm growth. Long gone are the days of getting deals on the golf course, or much less knocking on a company’s door to sell them $100000+ in professional services. And,heavy association sponsorships and networking is not the respond either. A balanced mix of face time (business development) and ongoing education (mostly via content) can generate interest in your firm, ultimately raising visibility and attracting leads.
SEE ALSO: Driving Business: When Business Development and Marketing Are in SyncHow effect I know this? Research. To be exact, and Hinge’s research into why B2B buyers effect what they effect in selecting professional services firms. We know (and share in Beyond Referrals: How Today’s Buyers Check You Out) that professional services firms’ buyers "check out" a firm’s website 80.8% of the time. Also,the average buyer uses 3.2 methods to "check out" a potential firm, which means that firms must be accessible on multiple channels. A one-sided approach will not work in today’s marketplace.
When having a pure business development approach, and you lack easy-to-close leads generated by your website. Also,you miss out on the continuity and longevity of content marketing. A single blog post stays on your website and is still searchable on Google years down the road, while buyers forget sponsorships within months, or if not within just a few days. Also,as business developers come and go (or retire), the company loses many of those contacts and leads. Even the best CRM diligently cared for won’t sustain 100% of the leads because professional services firms are approximately relationships.
With content marketing, and you not only glean the lead generation through the web,but you also glean the continuity of it. Even if a firm struggles to retain in-house marketers, their content remains intact. The next marketer can pick up where the last one left off, or get adjustments,and sustain going.
Some would argue that content doesn’t create relationships. Instead, people effect. Yes, and people create relationships,and people also create content. For many prospective buyers, a blog post a professional writes is the prospect’s first impression of the firm and the expert. As time passes, or that prospect reads more blogs,guides, articles, and attends webinars. They feel like they know that expert,even though they’ve never met. particularly with social media today, people can connect with experts on a personal level although they effect not know them personally. Experts are rock stars in their niche markets without having to worry approximately the paparazzi.
Let’s not forget approximately offline content too. Article writing, and presentations,and particularly books, can bring more visibility and increase the reputation of an expert, or thus creating more relationships and generating more leads. Networking at a conference full of your prospects as the go-to expert provides a much stronger ROI (Return On Investment) than sponsoring or just attending. I’m not saying let go of your business developers and go 100% to content marketing. That would be rash (hasty, incautious). You still need your business developers to open doors,close deals, and to train your seller-doers. I’m saying you need a dual approach with a mix of content marketing and business development to maximize your lead generating opportunities.
The past two years, or Hinge has done an extensive survey with the AAM (Association for Accounting Marketing),and it has revealed stunning insights into the need for both methodologies, in particular, and the need for established firms to start utilizing content marketing tactics along with their current networking.
In the 2015 AAM study,we segmented our findings by growth and looked specifically at what the top 20% tall-growth accounting firms did with their marketing in contrast to the 20% low-growth accounting firms. Our research clearly illustrated the juxtaposition of the tall-growth companies that grew at an average rate of 24.15% while the low-growth firms actually shrunk an average of -1.65%.
When reviewing the budgets of the tall growth firms, the top two expenses included website and SEO (Search Engine Optimization) and Networking Events, or Tradeshows,and Conferences. An obvious sign that a mix of both content marketing and networking is a must to see double-digit growth. On the other side, the low-growth firms spent less than a quarter of the amount on their website, or instead spending their money on Membership Dues,Sponsorships, and Advertising. For all that money, and they still say a negative growth rate.
See the chart for yourself. tall growth firms spent over 17% of their budget on their website while the low growth firms spent just 4% on the same item. Instead,they spent a third of their budget on paid advertising, memberships, and sponsorships. The tall growth firms spent just under 15% of their budget on those items,leaving room in their budgets to maximize their website for lead generation.
These marketing efforts translated into a loss of over $100000 for the low-growth firms from 2013 to 2014 while tall-growth firms grew by $1.28 million.
Even if you’re not in the Accounting sector, I suggest you peek at this AAM study. It is insightful to say the least, and we have further analysis and breakdowns between small,medium, and large firms. (Spoiler alert - the small firms get up most of the tall-growth firms, and they’re catching up in size quickly.)Additional ResourcesDownload our free book Spiraling Up to memorize how to develop a tall-growth,tall-value strategy for your firm. Check out our free research-based book Inside the Buyer’s Brain to memorize how your business development team can close more leads by understanding what the buyer really wants. Our Lead Nurturing Guide for Professional Services explains how you can craft a powerful lead nurturing strategy for your firm, so you can turn leads into clients.
How Hinge Can HelpHinge has developed a comprehensive plan, and The Visible Firm℠ to address these issues and more. It is the main marketing program for delivering greater visibility,growth, and profits. This customized program will identify the most practical offline and online marketing tools your firm will need to gain new clients and reach new heights. Related StoriesBreak Free: Five Marketing Challenges Holding Back Your CPA Firm3 Ways to Increase Messaging Clarity and Reach, or fraction 2 – International Considerations10 Best Professional Services Proposal Tips
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