Regardless of the type of agency (branding,
direct, PR, or on-line) most, but not all, are universally afraid of
proving the return on the client's money put at risk. Granted some
are kept at arms length and regardless of their efforts to talk
about actual results, the client demurs, hedges, hesitates, backs
away, avoids, passes up, circumvents, evades, steers clear of, shuns
and just plain hides from any discussion about ROI.
The agency that wants to keep its client base,
especially in tough times when marketing dollars are cut, had better
ask the tough questions of its clients. For instance:
1. When we create these inquiries, how soon
will they be distributed to the sales channel?
2. Are business rules in place for 100%
follow-up by marketing, the sales channel or both?
3. How are you qualifying the inquiries we
create so that the salespeople are aware of the "Leads" from the
non-buyers?
4. Does marketing have a system in place to
measure the return on investment for the lead generating dollars
we spend on your behalf?
5. May I see reports that show the sales
that result from the demand we create?
Tough questions, but agencies that have
courage (and want to keep working) will force their clients to face
the reality that it isn't enough to create demand, you have to prove
the results. Results are why clients spend money with agencies.
I asked Robert Moreau, VP of Sales &
Marketing of the Rubicon Marketing Group, Inc., how they manage to
convince their clients to embrace the best practices in inquiry
management. He said:
"At Rubicon we believe the lead management
process is the foundation for successful lead generation. Marketing
accountability is the primary objective for many of our VP/CMO level
clients and, to that end, maximizing lead generation is critical.
Our clients are keenly aware that unless Sales and Marketing efforts
are aligned, many leads are left undiscovered, neglected and
ultimately dollars are left on the table. In addition, many of our
clients are using (or are in the process of considering) marketing
automation to improve efficiency, effectiveness, and pipeline
visibility to both Marketing and Sales teams within their
organizations.
Of course, automation technology is only as
good as the process it is automating and to ensure our client's
success, an important part of the Rubicon Way involves collaborating
with our clients to establish a rigorous foundation. Our clients
have been delighted with the success that they have realized both
immediate and over time in generating, maintaining and maximizing
lead generation."
From another perspective, Gary Slack,
Chairman and CEO of Slack Barshinger said,
"There is no lack of desire on our part or
our clients' part to measure success: there is more often than not a
lack of funds to do so or a lack of knowledge as to how to do it.
What we first do is offer our clients our expertise in how to adapt
their current infrastructure to measure results or, if this is not
possible, create external measurement infrastructures that we can
manage for them. That said, measurement costs money. It is
absolutely worth the investment, but make no mistake that it is
labor-intensive work and budget dollars must be dedicated to make it
happen.
To help clients justify this investment, we
show them the kinds of information we can provide through reporting
and measurement to help them visualize what they will able to do
with the data and how that data will improve the performance and
perception of performance of marketing."
Some Agencies Make the Effort!
There are some agencies that embrace
accountability, which translates into having the best sales lead
management process that is available. These agencies have the
courage of their convictions. Agencies I have known that attempt to
manage what they create for their clients include: Babcock & Jenkins, The Kern Organization, Rieches Baird, Rubicon Marketing Group, Inc., Slack Barshinger, Young Company, Vantagepoint and Hacker Group. I am sure
there many more agencies, but their numbers are few.
The Challenge for Agencies
At SLMA we challenge agencies to step up and
help clients prove the return for every dollar put spent on behalf
of their client. If you are an agency and you have a good story
about how you prove the ROI for your programs, sent us a 250 word
story about how you proved the ROI for one of your clients'
campaigns and we'll print it. Send the article to: [email protected].
James Obermayer is a principal in Sales Leakage Consulting, Inc., an
Orange County California based sales and marketing strategy consulting
company, and a principal of Cerius Consulting. He specializes in
helping small to medium-size companies identify sales and marketing
leakage issues that stifle sales growth and waste valuable marketing
dollars.
Obermayer is also an author of "Managing Sales Leads, Turning
Cold Prospects into Hot Customers" and "Sales & Marketing
365". He is also co-author of "Managing Sales Leads, How
to Turn Every Prospect into a Customer". In addition, he
has written more than 80 articles on sales and marketing management.
He is a frequent speaker at conferences and training seminars for such
organizations as the Direct Marketing Association and the American
Marketing Association and at corporate sales meetings.
Obermayer speaks on range of topics from Marketing ROI to stimulating
salespeople to follow-up sales leads. Read
more.