Basically, nurturing leads means maintaining communication and sending additional content to bring the consumer closer to closing the purchase. In fact, e-commerces and companies of various types can invest in this strategy to achieve high sales performance .
Are you interested in this topic and want to know how to nurture leads and improve your business results? We have prepared some very informative content on the subject. Check it out!
First of all, what is a sales funnel?
Just to give you some context, before we get into the topic of “lead nurturing,” we need to talk about the sales funnel. This is because the concepts are completely intertwined.
You see, the sales funnel is a kind of treasure map. In this context, the methodology is based on a representation of the consumer's journey from the first contact with the brand to the actual purchase.
The design is that of a funnel — or an inverted triangle — where potential buyers enter through the widest part and end up on the narrowest side after making a purchase.
But look: not all consumers go through this entire process, you know? After all, not everyone who visits an e-commerce site actually makes a purchase, right? So, it's only natural that there are more people at the top compared to the bottom, you know?
In any case, the sales funnel is basically made up of three stages: top, middle and bottom. We explain each of these stages in more detail below. Take a look!
All of the funnel
The top of the funnel — also known as ToFu — is the gateway to the sales funnel. In other words, prospects generally start their journey at the widest part of the inverted pyramid. In the buying journey, this stage corresponds to the learning and discovery phases.
Therefore, there are all the potential buyers who have just become aware that they have a problem. In other words, at this point, the consumer does not really know what they want and need.
For example: imagine that your refrigerator has lost its cooling efficiency. At first glance, you think that a simple repair can solve the problem. However, after reading information on the internet and taking the appliance to a repair shop, you realize that it is worth investing in a new appliance. See how the learning and discovery phases work?
Middle of the funnel
After discovering a need, the consumer continues the journey in search of more information. This is where they enter the middle of the funnel — or MoFu.
Returning to the refrigerator example, this is when the potential buyer will research the appliance that best suits their needs. In this context, the user will analyze aspects such as: appliance capacity, finish, number of doors, freezer technology, extra functions, and so on.
In fact, generally speaking, this is when prospects become leads, okay? If you still have questions about this, don't worry, we'll explain what this means.
You see, a lead is a potential buyer who has provided contact information in exchange for a benefit. Do you know when you fill out a form with your name and email address to download an e-book? This means that you are no longer a prospect for that company and have become a lead. The same goes for registering your email address on an e-commerce site to receive discounts and freebies, first-hand offers, and so on.
In other words: a prospect is simply a potential visitor or buyer, while a lead is a person who has shown interest in your products in a more direct way.
And since these contacts represent business opportunities, you need to maintain closer communication to help them move through the funnel until the sale is completed. That's where lead nurturing comes in. But we'll talk more about this relationship later, okay?
Bottom of the funnel
When reaching the bottom of the funnel — or BoFu — the consumer already knows that they need a new refrigerator and is very familiar with the essential features for their day-to-day life.
However, at this point, the consumer still has doubts about the best supplier. This is when they enter the purchasing decision process.
So, at the bottom of the funnel, you get leads that germany business fax list are practically ready to make a purchase, you know? In fact, this is when leads can turn into customers.
In any case, to encourage purchases, it is good to show consumers that your company is trustworthy. It is worth putting together success stories , providing a field for satisfied consumers to leave their testimonials, opening up space for reviews and managing your reputation well on Reclame AQUI .
In short: the sales funnel is basically a representation of the consumer's purchasing journey within your company. But remember: although this scheme is very useful for optimizing your work, it is worth remembering that the consumer's journey is not always as linear as that.
Some customers may enter at the top and complete a purchase without even receiving a nurturing message. Others take days or months to mature their decision and have to go back and forth several times.
Worth reading: Inbound Marketing — much more than the sales funnel .
What is lead nurturing?
Now that you understand the concept of a sales funnel, it is easier to explain where lead nurturing comes into this context.
You see, nurturing leads means maintaining communication with potential buyers to help them move through the sales funnel. After all, through education and engagement, it is possible to bring the consumer closer to making a purchase.
Furthermore, the strategy is based on sending automated emails. In this context, the messages are sequential and refer to the content that the consumer initially showed interest in.
What are the advantages of investing in the strategy?
Think about it: is it easier to sell a cell phone to someone who needs a new device or to a random user who visited the page looking for a pair of sneakers on the e-commerce site? You don't even have to try very hard to reach a conclusion, do you?
That's right! Lead nurturing is more interesting because you'll be doing business with people who have already shown interest in your products, services or content. This way, you increase your chances of converting sales. Below, we'll explain in more detail the benefits of lead nurturing. Check it out!
Reduces Customer Acquisition Cost (CAC)
First of all, CAC is a KPI that shows how much your company spent to acquire a consumer. This package includes costs for events, marketing, advertising, gifts, content production, technologies used in the process, among others.
What is interesting to note here is that the further away the consumer is from the bottom of the funnel, the more expensive it is to attract and convert that user. This is because salespeople need to work harder to show the consumer that they have a pain point, show solutions, clarify doubts, demonstrate that the company is trustworthy, and so on.
When nurturing leads, much of this work is done through marketing automation. So when it comes time to actually negotiate, the lead is ready to buy.
Therefore, in addition to reducing CAC, investing in nurturing is a way to speed up the entire sales process. In fact, according to Market2Lead, nurtured leads have a 23% shorter purchase cycle compared to contacts that did not receive nurturing. Pretty cool, right?
Strengthen your relationship with your audience
We cannot deny that the main objective of lead nurturing is to get the consumer to move through the sales funnel and make a purchase. However, this close and constant communication has a highly valued side effect: a closer relationship.
Therefore, even if your lead is not ready to buy today, nurturing is a great way to generate authority for your brand and keep it alive in the consumer's mind. Later on, they may change their mind, and all the useful content that your company shared with them will be important for the decision-making process.
Take the opportunity to delve deeper into the subject: How to maintain a good relationship with your customer?
Increase the company's revenue
In addition to reducing CAC costs and optimizing the work of your marketing and sales teams, you can increase sales volume and the average ticket value with lead nurturing. In other words, with this strategy, your company can earn more. Here are some data that prove the efficiency of this strategy:
79% of leads do not buy because they were not nurtured (Hubspot);
nurtured leads generate 47% more sales than leads that did not receive brand communications (Annuitas Group);
lead nurturing can increase company sales by 50% (Forrest Research);
the average ticket for nurtured leads is 47% higher compared to contacts that do not receive nurturing (HubSpot);
Companies that nurture leads using marketing automation tools can see a 53% increase in conversion rates (Aberdeen Group).
Facilitates the measurement of results
One of the biggest advantages of digital marketing is how easy it is to track results. After all, you can know if a customer made a purchase after receiving the nurturing message, you know?
Having access to this and other numbers related to the strategy is essential to evaluate the results and make adjustments to the campaign when necessary.
