Lead Types, Options, Myths and the Tested Fundamentals
Dear Franchise Professional,
We've been talking, studying, analyzing, and generating leads since 2004. Over the past 16 years, we've seen many changes and many things that remain the same--with the same predictable outcome. We work with Brokers, Coaches, and Consultants from all walks of life, networks, and we are always studying the pro's and con's of different types of leads. Below is an overview of the main sources for leads for Referral Partners (Brokers, Coaches, Consultants, etc.).
LinkedIn Leads: These are generated from contacting people on LinkedIn and suggesting that they might be a great fit for a franchise based on the information that they provided on their LinkedIn profile. These people may or may not have had any preexisting thoughts on franchise ownership, but may just be curious and willing to listen. They may also be happy in their current job. The challenge with these types of candidates is their time frame to take action--again, they haven't expressed any interest in franchising, or making an investment but instead simply agreed to listen.
Broker Quote: "These leads require a lot more time and effort because they never asked for information on anything to start with--they just agreed to learn more and they are currently employed. I use them as part of my overall lead mix."
Resume Mining: Job sites like Indeed, Monster, Ladders, etc. These sites are for people who are looking for a career change or a job. In today's job market, many, many people who are unemployed are receiving unemployment benefits or are waiting for their benefits (with back pay) to start. These are job seekers primarily and may be receiving an unemployment check from their state along with a $600 weekly bonus from the Federal government through the stimulus plan. And there is plenty of speculation about additional stimulus as well as a possible "back to work bonus". In short, many of these people are currently be paid between $800 and $1,000+ per week with potential additional payouts on route. This steady stream of income (in many cases it is more than their previous 40 hour take home pay) is going to impact their timeframe to act.
Social Media Leads: These are leads generated while someone is surfing Facebook, Instagram, etc. These too are people who may have never even thought of being an entrepreneur before, but based on age, what they've read in the past, etc. an ad shows up in their social media feed. (No, it isn't magic--we see certain ads because they are really good at watching our online activities!) We all know that social media is important, but relying solely on these sources can be difficult as these campaigns need to be properly crafted, maintained, and updated daily. And it is very easy for potential leads to respond to an ad, which can cause a "Did I ask for information?" response. Typically the easier the response mechanism is, the less qualified the candidate can be.
Broker Quote: "I use FB leads for some of my overall lead flow. I like to mix it up and certain ads do well and some just won't convert at all. Some ads produce good leads and others just attract casual browsers."
Call Verified Leads: These leads have been contacted by someone to "confirm their interest". Brokers sign up for these programs with the hope that the lead understands the Broker's overall placement process and that the lead is eager to jump right in. When in most cases, the lead has merely been contacted and the basic information that they entered online is confirmed. Over the past 16 years we have seen many of these programs come and go. The expense and perceived value of these programs often don't align with what many seasoned Brokers need. Many successful Brokers appreciate steering their client relationship from the very first interaction. Some have the expectation that these types of leads are waiting by their phone and are ready to engage in their qualifying process, when in fact all they've done is speak to a telemarketer who often has zero franchising experience. The telemarketer is a commissioned salesperson who often only gets paid when they can confirm that the data entered is correct.
Broker Quote: "For the amount I paid for these leads I was expecting them to be ready to talk and be eager for my call, but in the end, I paid 4 times the amount to meaningfully engage with the same % of my leads. Often when I did, they weren't any different from the people I called myself. Some were even worse despite having agreed to take my call."
Branded Leads: These are leads generated for franchise brands that specifically work with Brokers, Consultants, etc. These leads have initiated their search (on their own) for a franchise without being prompted or called by a commissioned telemarketer--they started their search on their own and have expressed an interest in a specific-franchise brand. Leads for franchise brands can give the Referral Partner some insight into the candidate.Their initial search online and what they've selected can say a lot about the lead themselves--what is their motivation? What do they initially like and why? These can be particularly effective when you're working with a brand that you already know, trust, and really like. Brokers like these types of leads because they are for brands that the Broker knows, likes, trusts, and feels confident about--this can make a big difference-especially when you refer your ideal candidate to them!
Broker Quote: "I know what the lead read about and where their heads are before I even call on them. It's a lot easier to engage with someone when you know that they are choosing a brand that you already like and feel good about"
Sorry for the long note, but we continue to see confusion among the Brokers and lead providers relying on that confusion to sell leads, which is nothing new, unfortunately.
We welcome your comments, feedback, and questions. Seriously, we are happy to discuss the pro's and the con's of all these approaches, so don't hesitate to hit reply and we'll set up some time to talk.
We've been talking, studying, analyzing, and generating leads since 2004. Over the past 16 years, we've seen many changes and many things that remain the same--with the same predictable outcome. We work with Brokers, Coaches, and Consultants from all walks of life, networks, and we are always studying the pro's and con's of different types of leads. Below is an overview of the main sources for leads for Referral Partners (Brokers, Coaches, Consultants, etc.).
LinkedIn Leads: These are generated from contacting people on LinkedIn and suggesting that they might be a great fit for a franchise based on the information that they provided on their LinkedIn profile. These people may or may not have had any preexisting thoughts on franchise ownership, but may just be curious and willing to listen. They may also be happy in their current job. The challenge with these types of candidates is their time frame to take action--again, they haven't expressed any interest in franchising, or making an investment but instead simply agreed to listen.
Broker Quote: "These leads require a lot more time and effort because they never asked for information on anything to start with--they just agreed to learn more and they are currently employed. I use them as part of my overall lead mix."
Resume Mining: Job sites like Indeed, Monster, Ladders, etc. These sites are for people who are looking for a career change or a job. In today's job market, many, many people who are unemployed are receiving unemployment benefits or are waiting for their benefits (with back pay) to start. These are job seekers primarily and may be receiving an unemployment check from their state along with a $600 weekly bonus from the Federal government through the stimulus plan. And there is plenty of speculation about additional stimulus as well as a possible "back to work bonus". In short, many of these people are currently be paid between $800 and $1,000+ per week with potential additional payouts on route. This steady stream of income (in many cases it is more than their previous 40 hour take home pay) is going to impact their timeframe to act.
Social Media Leads: These are leads generated while someone is surfing Facebook, Instagram, etc. These too are people who may have never even thought of being an entrepreneur before, but based on age, what they've read in the past, etc. an ad shows up in their social media feed. (No, it isn't magic--we see certain ads because they are really good at watching our online activities!) We all know that social media is important, but relying solely on these sources can be difficult as these campaigns need to be properly crafted, maintained, and updated daily. And it is very easy for potential leads to respond to an ad, which can cause a "Did I ask for information?" response. Typically the easier the response mechanism is, the less qualified the candidate can be.
Broker Quote: "I use FB leads for some of my overall lead flow. I like to mix it up and certain ads do well and some just won't convert at all. Some ads produce good leads and others just attract casual browsers."
Call Verified Leads: These leads have been contacted by someone to "confirm their interest". Brokers sign up for these programs with the hope that the lead understands the Broker's overall placement process and that the lead is eager to jump right in. When in most cases, the lead has merely been contacted and the basic information that they entered online is confirmed. Over the past 16 years we have seen many of these programs come and go. The expense and perceived value of these programs often don't align with what many seasoned Brokers need. Many successful Brokers appreciate steering their client relationship from the very first interaction. Some have the expectation that these types of leads are waiting by their phone and are ready to engage in their qualifying process, when in fact all they've done is speak to a telemarketer who often has zero franchising experience. The telemarketer is a commissioned salesperson who often only gets paid when they can confirm that the data entered is correct.
Broker Quote: "For the amount I paid for these leads I was expecting them to be ready to talk and be eager for my call, but in the end, I paid 4 times the amount to meaningfully engage with the same % of my leads. Often when I did, they weren't any different from the people I called myself. Some were even worse despite having agreed to take my call."
Branded Leads: These are leads generated for franchise brands that specifically work with Brokers, Consultants, etc. These leads have initiated their search (on their own) for a franchise without being prompted or called by a commissioned telemarketer--they started their search on their own and have expressed an interest in a specific-franchise brand. Leads for franchise brands can give the Referral Partner some insight into the candidate.Their initial search online and what they've selected can say a lot about the lead themselves--what is their motivation? What do they initially like and why? These can be particularly effective when you're working with a brand that you already know, trust, and really like. Brokers like these types of leads because they are for brands that the Broker knows, likes, trusts, and feels confident about--this can make a big difference-especially when you refer your ideal candidate to them!
Broker Quote: "I know what the lead read about and where their heads are before I even call on them. It's a lot easier to engage with someone when you know that they are choosing a brand that you already like and feel good about"
Sorry for the long note, but we continue to see confusion among the Brokers and lead providers relying on that confusion to sell leads, which is nothing new, unfortunately.
We welcome your comments, feedback, and questions. Seriously, we are happy to discuss the pro's and the con's of all these approaches, so don't hesitate to hit reply and we'll set up some time to talk.
