Identifying Site Bottlenecks for SEO

The First Step

There will always be a way to measure engagements and find data on your website’s happenings, regardless of the website building platform used. Identifying Site Bottlenecks and conducting deep internal research on pain points is the first step to ensuring a time-efficient and optimal website development and SEO. By identifying where the site is losing performance/and or user engagement, will also be developing targeted solution delivery.

Google Analytics

Google Analytics can be directly connected to any website, allowing a site administrator full access to the website traffic data by audience breakdown, user behaviors, and conversion pipelines. With Google Analytics, a site administrator can find data on which pages are causing site-wide problems, such as high bounce rate, high site drop-off rates, and slow site loading speeds. 

Search engines rank websites in order of relevance to searchers by using quantitative algorithms to create the ranking. If aesthetic design impedes SEO ranking, then the aesthetic elements need to be reevaluated.

Google CHROME DevTools

Another useful tool for individuals with more HTML/JavaScript or coding skills is Google Chrome DevTools. To access the DevTools, right-click on a webpage and select “inspect.” This will launch a slew of developer tools. The “Network,” “Performance,” and “Audits” tabs are the most important.

Next Steps

With the plethora of tools accessible to web developers, site administrators, and SEO specialists, identifying site bottlenecks is a mix of deep analytical research from a user standpoint, to simulating test situations. After identifying the key issues within the webpage/website, the next step is to start implementing solutions and testing to see what configurations create the best results. 

  • To learn more about SEO and identifying site bottlenecks, click here.

The Elements of a Growth Marketing Stack

The Growth Marketing Stack

With so many tools to choose from for your marketing stack, creating an effective growth marketing strategy might seem daunting. It takes a lot of research and resources to build a strategy that will deliver revenue growth for your company. To make it simple for you, we’ve provided an overview of the six essential elements of a growth marketing stack below.

Website & SEO

Your website provides users with a window into your company. As they browse your website, potential buyers should find everything they need to know about your company and what you have to offer. This might seem obvious, but it’s important—your website is the foundation of your company’s marketing efforts. It is essential to make your website informative, user-friendly, and visible to attract more customers.


Search engine optimization (SEO) is how you increase your website’s visibility. SEO is the process of optimizing your website so it ranks higher on the results page of any relevant search query. Because most online traffic starts with a search on a search engine, companies must use SEO to ensure that their websites rank highly. A crucial element of SEO is high-quality content—which brings us to our next point.

Blogs

Blogs are like free samples—a quick, bite-sized preview of what you could receive from an establishment as a paying customer. A key feature of any successful blog is accessibility, both in terms of content and online visibility. Potential customers must be able to find and understand your blogs for them to be effective.

Blogs are an excellent tool for brand-building. With each blog you post, you create a new indexed page on your website that can be ranked using search engine algorithms. This increases the relevancy of your website, while also providing more informative content to a broader range of audiences. 

Email Marketing

Newsletters, product announcements, blog postings—these are just a few examples of content you can share in your email marketing campaigns. The goal of email marketing is to nurture prospects and gradually convert them into leads that are ready to start a conversation with sales, also known as Conversation Ready Leads (CRLs).

To reach this goal, you must ensure that your emails are highly relevant and personalized to the needs of each recipient. Remember that your email marketing content goes directly into your potential customers’ inboxes, right alongside work memos and other important information. Make sure it is useful, concise, and visually appealing. Potential customers should be rewarded with information upon opening your emails—this is what will convince readers to seriously consider contacting sales.

Social Media Marketing

Social media is not only for B2C marketing campaigns, and that’s not just because the lines between B2C and B2B are blurring. Like everyone else, B2B buyers make decisions based on a variety of factors, including their personal experiences, goals, and preferences. Buyers care about the human element of the company they’re buying from. 

Social media is your opportunity to make genuine connections with your audience. Through your posts, you can show what your company prioritizes, what makes you stand out from the competition, and how you relate to the individuals in your audience. This element of humanization is important to any marketing campaign today.

Search Engine Marketing

Search engines are the go-to resource for anyone looking for information online—but how do you ensure that users can find your company through these platforms? Search engine marketing (SEM) is one way that companies can use paid advertising to ensure that their business ranks highly on search engine results pages. These ads are displayed based on the keyword a company has chosen.

SEM puts your ad at the top of the search engine results page, guaranteed. The keyword-based approach ensures that buyers will find your product as they’re searching for solutions. This is one effective way to increase your brand’s online visibility.

Display Ad Marketing

Display ads are another form of paid advertising that targets specific demographics of users, often based on factors like their identities or their interests. Display ads use images, videos, or text elements to advertise a product on third-party websites, wherever the user happens to be browsing.

Display ads are an important tool in any growth marketing stack because they can quickly and effectively convey a brand’s message, which increases brand awareness in the long term. However, companies should use this strategy thoughtfully. Some display ads can be disruptive enough to negatively impact the user’s online experience. When used with thoughtful intention, they are an effective brand-building tool that will familiarize users in your target demographic with your company. 

Next Steps

The tools we described above are just one part of a complete growth marketing strategy. To implement them effectively, you must have a strategy in place to provide a solid foundation for success. This is what your in-house marketing team should focus on—developing and fine-tuning a growth marketing strategy that works.

3 Prospecting Strategies and Why They’re Effective

High Performance Prospecting Strategies  

Prospecting is how companies find new business—it’s the process of searching for potential buyers for your company. But you’re not looking for just any customer. Prospecting identifies buyers who would be a good fit for your products, which increases the effectiveness of your sales and marketing efforts. This is crucial for any company’s success.

Read on to discover the three key steps to high performance prospecting. 

Planning

Start by determining your goals for your prospecting efforts. What concrete results do you want to see? Set a quota that you want to reach, and then make a concrete plan detailing how you will reach that quota.

Create a short, 1-2 page GOSPA (Goals > Objectives > Strategies > Plans > Activities) to solidify your plan to reach your prospecting quota. You must directly connect Objectives with Activities using realistic numbers and ratios. 

By creating a detailed and concrete prospecting plan, you lay the foundation for your success. This process ensures that your prospecting efforts will deliver demonstrable results.

Intriguing 

Now that you have identified your likely buyers, it’s time to catch their attention. This step involves your company’s value proposition, which identifies your unique offering to customers. What do you have to offer? What can you do better than everyone else? What’s your specialization? This is what your value proposition should explain.

Sales calls are one of the most effective ways to intrigue buyers. They’re quick, easy, and they give you the chance to connect with buyers as individuals. Plus, responses to sales calls demonstrate more interest than responses to emails. So, you receive higher quality leads from your sales calls, which is exactly what you want your prospecting strategies to deliver.

You might be wondering, what if they don’t pick up? If your call is sent to voicemail, that’s no problem—just leave your 10-second value proposition as a voicemail. A well-crafted value proposition will generate interest in any format.

Qualifying and Scheduling

All the processes you’ve completed up to this point work toward the ultimate goal of making a sale. Now, you must ensure that your planning and hard work will pay off.

Create a clear qualifying process that prioritizes the most important, must-have criteria for your leads before the nice-to-haves. You want your prospecting strategies to result in highly qualified leads who are motivated to schedule appointments with sales. Keep this goal in mind as you determine your qualifying criteria.

Prospecting: Final Thoughts

Planning, intriguing, qualifying, and scheduling: these are the key ingredients for your high performance prospecting strategy. Throughout each step, remember your ultimate goal of increasing sales—this will substantiate your decision-making as you build your prospecting strategy. When done right, prospecting strategies will increase the efficacy of your marketing campaigns and deliver more qualified leads to your sales reps. 

To read the complete guide to high performance sales and marketing, download this playbook

5 Ways to Reach Your High Performance Marketing Goals

High Performance Marketing

The key to high performance is to focus on building depth in a select few areas of excellence while leaving no vulnerabilities in other areas. You want your company to stand out for its ability to perform at a higher level than anyone else—this level of specialization is a key factor that will encourage buyers to work with you. At the same time, you don’t want to neglect all of the other functions that are important to your business.

Take marketing, for example. Marketing is a process that includes several unique and correlated functions that must be performed at a high level to ensure success. Below, we will discuss how you can optimize these areas to achieve your high performance marketing goals.

1 – Targeting

Targeting is all about finding the right buyers for your company. You’re looking for your niche—the people who are most likely to purchase your product. 

Successful companies target a narrow market full of prospects that are more likely to purchase their product. On the surface, casting a wide net that covers more people might seem like a good idea. More people should mean more sales, right? In reality, this approach means that you will spend more of your limited marketing budget on reaching less motivated buyers, on average. It’s more effective to focus on likely buyers in the first place.

By targeting the right market, you can tailor your marketing messages on a more individualized level. Since today’s buyers are looking for individually tailored solutions, this will make your company stand out as a potential vendor.

2 – Messaging

The next step is to communicate what your company can offer to your target market. Since you’ve focused on a motivated target market, your messaging will be more effective at communicating your company’s value directly to the potential buyer. 

Your messaging must distill your company’s value proposition into an easy-to-understand format. It must be able to communicate this value in a variety of media and across platforms to reach customers where they’re searching online. 

To start, you should identify your value proposition in your own words. Then, refine that value proposition to emphasize the key points you want buyers to consider as they encounter your product. This process will make your value proposition stand out.

3 – Captivating

Catching a prospect’s attention is no easy feat. Every day, consumers are faced with thousands of marketing messages, most of which they automatically tune out. Your job is to captivate potential buyers, even if they’ve never heard of you before—you must break through the noise and catch their attention.

This step is all about creating compelling advertising. Your messages should be eye-catching, unique, and tailored to the unique interests of your prospect. Ensure that your messaging is valuable by speaking to the individual pain points your prospects face. It’s not easy to produce high-quality advertising, but it will make a world of difference when it comes to reaching your target market.

4 – Acquiring

Now that you’ve captured the interest of your prospects, it’s time to convert that interest into leads. Your advertising should have led them to low-barrier content that demonstrates the value you provide to their company. The next step is to drive them to long-form content that is even more valuable, to the point that they’re willing to share their contact information to access it. Once you have their contact information, you’ve successfully acquired a lead and you can begin the next step—converting them to sales.

5 – Converting

The final step of the marketing process is to convert these leads into Conversation Ready Leads (CRLs)—leads that want to talk to sales. Your marketing efforts should produce a steady stream of CRLs for the sales team to work with. This process involves nurturing your prospects, which can include targeted email campaigns, behavior automation, and social proof to encourage leads to seriously consider purchasing. 

Choosing Trusted Partners for High Performance Marketing

So far, we’ve introduced 5 essential steps to reaching your high performance marketing goals. Seeing the tasks required at each step, it might seem like you’ll need to hire quite a few employees to accomplish everything. However, this approach is costly.

To maximize your company’s growth rate, you should focus on delivering your strategic differentiator—whether that’s in the realm of sales, marketing, or something else—and leave everything else in the hands of trusted partners. Your partners should deliver their strategic differentiators. This way, you can focus on developing the functions that are the most important to your success, while ensuring that all other functions are still in good hands. This is how you can achieve your high performance marketing goals, without committing to the cost of a full-time team. 

To read more about how to reach your high performance marketing goals, download this playbook

Align Sales and Marketing for High Growth

Align sales and marketing for high growth

In the new B2B sales paradigm, marketing and sales must be numerically aligned to facilitate a high revenue growth rate. 

Too often, marketing strategies are implemented without defining the specific revenue goals they aim to achieve. Valuable time, energy, and resources are wasted when marketing is not aligned with sales—in fact, 60% of respondents to a 2020 LinkedIn survey agree that misalignment could damage financial performance

Especially as more of the buying process is completed online before sales reps get involved, misalignment could have increasingly disastrous consequences for the revenue growth of a company going forward. Fortunately, a strong alignment can help a company generate 209% more revenue from marketing

Sales and Marketing: Better Together

Sellers must be aware that 75% of sales should come from leads generated by marketing. This number makes intuitive sense—revenue-driven marketers know that the point of marketing is to generate and nurture leads that will result in sales.

With greater alignment between sales and marketing, both teams are better equipped for the sales process, which results in increased revenues. Marketing will have a greater understanding of which leads to nurture, which to pass along to sales, and which sources and content are the best for their purposes. Plus, sales will increase their understanding of each lead, which will improve sales outcomes.

Bear in mind that the journey of today’s buyer is complex—buyers are increasingly looking for sellers that will provide customized solutions for their individual needs. For this reason, it is increasingly important for sales and marketing to be in conversation with one another to establish a shared understanding of the needs of each customer.

How to Achieve Sales and Marketing Alignment

As discussed in depth in the Four Funnels Framework, all revenues start in marketing and end in sales. But the planning starts with sales. 

First, a company must define its revenue goals. From there, the company can work backward to determine how many inbound and outbound leads will be required to reach those goals. By rooting the marketing strategy in revenue outcomes, the company can align sales and marketing in pursuit of a shared goal: revenue growth. With both teams equally responsible for facilitating revenue growth, the alignment between sales and marketing increases—and so does revenue. 

It’s not enough for sales and marketing to operate in separate silos anymore—in the new B2B sales process, sales and marketing must work closely together to maximize revenue growth.

SOMAmetrics is a revenue-focused marketing agency, delivering high-quality leads that close faster and at a higher rate. Our proven process identifies the best targets, defines the most compelling messaging, and runs highly targeted, digital campaigns—for about 35% of what it costs clients to do internally.

Download the white paper that shows you how to tightly align Sales and Marketing for High Growth.

Choose the Right Market Focus for Revenue Growth

choose the right market focus for revenue growth

Choose the Right Market Focus for Revenue Growth

For a B2B company seeking to increase its revenue, the first step is choosing the right market. Market focus is the single most important factor impacting revenue growth.

There has been a shift in expectations for B2B marketing departments in recent years. Today, nearly 70% of CEOs expect CMOs to lead revenue growth for their companies. In order to facilitate revenue growth, today’s marketers need to increase their understanding of their customer bases and better anticipate customer needs. In today’s world, marketers who fail to work toward the goal of revenue growth will fall behind their competitors.

This means that today’s B2B marketers have to take things back to basics and reevaluate the fundamentals of their marketing strategies in order to maximize revenue growth—and this process starts with defining the right market.

Choosing the Right Market: Broad vs. Narrow

When it comes to determining a target market, many companies make the mistake of defining their market in the broadest possible terms. This might make sense at first glance—one could rationalize that a broader market definition will include more potential customers—but in reality, this is the wrong approach for revenue growth.

With a broad target market, marketing content will have to appeal to a wide variety of individuals with differing needs and motives for purchase. This makes it difficult for a company to demonstrate its depth of understanding of a potential client’s needs and the workings of the client’s specific industry. In addition, with an unnecessarily broad target market, marketers risk wasting resources on customers who are unlikely to purchase the product. In the end, with a broad market definition, marketers will encounter difficulties when it comes to differentiating their business from competitors.

On the other hand, a narrower market segmentation is often correlated with an increase in revenue. Instead of trying to reach a large audience with a vague and general message, marketing content will be much more effective if it is geared towards one specific customer’s needs. 

This might seem like a counterintuitive marketing strategy—how can a business be successful by targeting a single customer? It’s important to remember that companies within a market segment are in conversation with one another. By providing solutions to one specific company at the center of a market segment, marketers can simultaneously appeal to other companies with similar needs and goals. 

Putting Market Focus Into Practice

To make this concept more concrete, let’s consider an example in the form of a hypothetical company that provides software for the healthcare industry. According to marketing expert Geoffrey Moore, there are three elements of a B2B market segment: industry, role in that industry, and geography. With this in mind, the target market segment for this company could be defined as Hospital Administrators in the United States.

A specific number of potential customers will fall into this category, which can be expanded to include more potential customers or narrowed even further, as demonstrated in the table below. 

Segment

A. Hospital Administrators in California

B. Hospital Administrators in US

C. Healthcare Professionals in US

Estimated Number

400

2,200

128,000

Key Competitors

4-6

70-120

200-300

Message

Managing value-based reimbursement

Managing value-based reimbursement

Regulations in healthcare

Conferences

3

17

211

As discussed previously, it might initially seem like a good idea to target the broadest possible market—Healthcare Professionals in the United States—because of its 128,000 potential customers. But it is vital to consider the perspective of the buyer—will this software company provide value to all 128,000 US-based Healthcare Professionals equally? In addition, what messaging and strategies will be effective to reach all of these professionals with varying job descriptions, including Doctors, Nurses, and Hospital Administrators, to name a few? 

At this point, the company faces a difficult decision: It can choose to go shallow and wide, or invest exorbitant amounts of money in building expertise in each specific profession. Most companies choose to go shallow and wide, rather than investing in a focused market—and they are ultimately beaten out by companies that choose to go narrow and deep—which explains why the costs of sales and marketing rise faster than revenues.

However, there is another option—companies can choose to go narrow and deep in one segment at a time. This is the best option for increasing revenues.

Evidence has shown that with a narrower market definition, marketers can maximize revenue growth. Instead of burning through resources to compete with hundreds of other software providers, the software company can simplify the marketing process by honing in on Hospital Administrators in California, for instance. With significantly fewer competitors and fewer conferences to attend, marketers can increase the depth of their content and differentiate their company from the competition more effectively. Plus, it is more feasible for sales reps to become experts on the issues faced by this smaller market. 

When it comes to increasing revenue growth, choosing the right market is the single most important factor for marketers to consider. With the right market, B2B marketers can use their resources more effectively to increase revenue growth.

SOMAmetrics is a revenue-focused marketing agency, delivering high quality leads that close faster and at a higher rate. Our proven process identifies the best targets, defines the most compelling messaging, and runs highly targeted, digital campaigns—for about 35% of what it costs clients to do internally.

Removing Sales Friction in B2B Sales

Group of friendly business men and women shaking hands with no friction

Factor 2: Sales Process is Buyer Process

Research by McKinsey & Company, Bain & Company, and the sales force training firm The Rain Group all show the same thing: Buyers now prefer to work with sellers who align their process to the Buyer’s process. A seller that does not comply is one that complains about unreturned phone calls and emails—hence increased marketing and sales cost.

The New Buying Process

The studies show  that Buyers prefer to conduct their own research and determine who gets invited to work with them to further refine a possible solution.

The buying process starts internally, typically when some pain becomes no longer acceptable, driving a new initiative to address it. The head of the business or functional unit (the business driver) who is responsible for the resolution of the issue now heads this new initiative. She typically assigns someone on her team to conduct preliminary research and report to her with findings and recommendations.

This is the beginning of the “Buying” process. At this point, no seller is aware that the buying process has started.

The team member assigned to this task now begins the research by entering keywords in her preferred  search engine. She thenreviews the search results and begins tagging the promising ones.

Later, she will go deeper into each result to determine  which will make her final cut. At no point has she called any company—this is all digital content review.

A few days later, she returns to her boss to report and make her recommendations. The business driver then makes the decision of who they will review—in other words, who makes the short list. She then tells her researcher to contact the short list and schedule meetings with the vendors’ representatives.

The New Selling Process

Marketing

Since the buying process starts with research, the first thing that a Seller must do is make sure the seller’s website has deep and relevant content that addresses the issues that its market typically faces.

If the Seller has a focused market as described in Factor 1 above, then not only can it stay abreast with changes in its chosen market, but it can actually be ahead of them with thought leadership. The Seller can anticipate trajectories in regulations, changes in norms, shortages of key supplies, etc.

Because it specifically focuses on a single market and because it has depth, the Seller’s content will surface  among the many sources examined by the Buyer’s researcher. The Seller’s chances of making the short list is pretty high, and it will likely be invited to present.

Lead Generation

In addition to having highly search optimized content that drives inbound leads, if the seller also has outbound lead generation campaigns, then it is virtually guaranteed to make the short list of vendors that get invited. Its emails are likely to be opened as their message is directly relevant and always refreshing its subject matter. Its voicemails are right on and are likely to generate call-backs.

Download the white paper that shows you how to improve your sales operations better

Selling

When invited to meet the business driver, the Seller must recognize that this is a collaborative event and should invite the buyer to fully participate in defining the problem as well as the solution. Read about Factor 3: Sales and Marketing.

This is exactly what buyers today are looking for since their needs are complex and will need customized solutions rather than ready-made ones. . They want Sellers who are willing to work towards customizing a solution that functions perfectly for them.

The Problem with the Old Selling Process

Lets compare the new selling process with the old. The Old Selling process consists of  “blasting” a huge list with irrelevant emails and “dialing for dollars” in hopes that someone picks up. If through sheer persistence, the sales rep gets an appointment, the chances it will get canceled are high.

And if the rep actually gets the meeting, the rep typically will blow it off by forcing a process the buyer does not find useful—first I am going to tell you about me. Then I am going to ask you about you. Then I will show you my product. Then I will send you my proposal…

The old seller driven and seller biased way no longer works. Sellers must understand that Buyers are looking for committed partners.

The Operations that Lead to Success in B2B Sales

Work group of men and women high five over the discussion of B2B sales

Success in B2B Sales: Putting It Together

When assembled, the entire system consists of three very distinct but related processes, each feeding the next with the right kinds of leads for success in B2B sales.

Marketing’s job is to deliver the necessary number of highly targeted MQLs that the Prospecting team will use as its funnel.

The BDRs will then call, qualify, and schedule appointments, thereby delivering the necessary number of SQLs that the sales team needs to build its sales pipeline.

As we have stated, it takes 25-40 dials to reach someone, and you want to make sure that after all that effort, the person reached is the right person. We can’t emphasize enough the need for a highly targeted campaign.

You will notice that the top of each funnel is slightly bigger than the bottom of the preceding funnel. This suggests that each operation must also “make” its own required qualified lead. Prospecting must find its own MQLs in addition to what Marketing provides, and Sales must find its own SQLs in addition to what the Prospecting team delivers.

Finally, this is a closed loop. Not every appointment will happen, and Sales will ask the Prospecting team to reschedule the prospect (lead). More importantly, Sales may find that a prospect is not quite ready to buy and will place the prospect back into Marketing nurture, with a task for Prospecting to try another appointment— say, in six months. Your systems must be well integrated in order to automate this “send back” to the previous funnel.

The overall concept is fairly straightforward. However, given the differences in the three operations— as well as the need for different systems to manage each operation and the need to integrate these systems—the execution part is not that easy.

The key to success in B2B sales is in clearly understanding the Critical Success Factors (CSFs) that will make or break these operations. There four CSFs are: Content, Content Distribution, Automation, and List Management. Read about the first CSF here.

The Physics of High Growth

What it takes to send a Rocket to the Moon

Imagine what it would take to safely send three astronauts to the moon

saturn rocket

and back. There is the weight of the astronauts, their life support system, instrumentation, the capsule they are in, and some way to land

on the moon and explore. That comes to around 22,550 lbs. total.

What it takes to get that payload to the moon and back is something totally different. It turns out that the total weight of the rocket that is needed is about 6.5 million lbs.

In other words, 99.65% of the total weight is required to

take that net payload of 22.5K lbs. to and back from earth. As crazy as that sounds, NASA actually came up with an ingenious design to reduce the total weight to that. The Saturn V rocket has three stages, with each stage focused on accomplishing one thing, and then basically being discarded to reduce the remaining payload. Here are some fascinating numbers:

Stage 1

  • Weight: 5.1 million lbs. or 78% of the total weight
  • Approximately 72% of the fuel and 78% of the total weight was to carry the payload 5% of the distance.

Stage 2

  • Weight: 1.06 million lbs. or 16% of the total weight
  • Approximately 22% of the total fuel is used in this stage to take the remaining payload 19% of the way

Stage 3

  • Weight: .262 million lbs. or 4% of the total weight
  • Approximately 6% of the total fuel is used in this stage to take the remaining payload 75% of the way

soma-rocket-fuel-consumption

Think about this for a minute:

  • 94% of the entire fuel is used up to take the astronauts only 25% of the way. That’s what it takes to overcome inertia and achieve the necessary escape velocity so as to actually reach the target.
  • But once escape velocity is reached, only 6% of fuel is needed to make 75% of the journey!

What this has to do with Revenue Growth

What we saw in the example of the rocket ship is Newton’s first law of motion at work:

“An object at rest stays at rest and an object in motion stays in motion with the same speed and in the same direction unless acted upon by an unbalanced force.”

In the case of an existing business that is growing at a certain pace a year, it will continue to grow at that pace unless something different happens—“ an object in motion stays in motion with the same speed and in the same direction unless acted upon by an unbalanced force.”

The First Law of Motion tells that it will take a significant amount of effort to change speed and direction of a business. An “unbalanced force” is necessary to change that. Let’s see how much of new force we need.

The Funnel Math of High Growth

The principle behind the launching of a rocket ship holds true for growing revenue. The calculations are however, different. And fortunately, they are simpler.

SOMAmetrics uses a Four Funnels approach to define the marketing, prospecting, and sales efforts needed to achieve a new level of sales.

SOMAmetrics Four Funnels Framework

 

Some assumptions are made to illustrate the funnel math calculation:

     
 Parameter Value Remarks 
 Current Revenue ($)10,000,000  
 Targeted Revenue ($)12,000,000  
 Net growth needed ($)2,000,000  
 Average Deal Size ($)50,000  
 Avg. No. Won deals needed4040 wins @ $50,000 average = $2million net new 
 Avg. closing ratio20.0%  
 Sales Opportunities needed200Opportunities needed to close 40 deals 
 Prospecting conversion ratio10.0%Number of opportunities converted from calling efforts 
 Marketing conversion ratio2.0%Number of opportunities from 
 Blended conversion ratio6.0%Average conversion ratio of marketing and calling 
 Marketing/Prospecting Leads needed3,333Total prospects needed to reach target 
  Avg. touches per prospect 20 Calls and emails per 
 Total touches needed66,667Total touches needed to reach target 
     

The above chart tells us the effort required to generate $2million in net new revenue.

  • We will need about 40 closed deals, each an average size of about $50,000.
  • At an average closing ratio of 20%, we will need 200 sales opportunities.
  • In order to get those 200 sales opportunities, we will need to touch around 3,333 prospects each about 20 times, or a total of 66,667 touches in a year. That’s a lot of emails and calls.

As in the case of the Saturn V rocket, we need a lot of effort (66,667 calls and emails) to get to some result (produce 200 sales opportunities for the sales team).

However, once we get things going (achieve escape velocity), it takes less effort to gain more revenue. These 40 customers may end up spending $500,000 or more each over their lifetime. They may give us other referrals, and that will come at lower cost and effort than going after a new customer from scratch, and their testimonials and case studies would make it easier to get new customers.

Yes, once we achieve escape velocity, it will take a disproportionately small amount of effort to get larger amounts of revenue (6% of fuel to go the rest of the 75% of the journey).

The big question is—where do we get the resources to achieve that escape velocity? Where will the 94% of fuel come to get us started on our cruising speed?

You can acquire a number of automation tools, not to mention hire a dozen new expert and mangers for them. In other words, build your own spacecraft to go to the moon.

Or, you can focus on your core business and leave the rest to a partner that already has made the necessary investments. Buy a ticket for a ride in a rocket moon.

After all, what you really want is to make sure that your sales reps have a full pipeline of high quality leads so they can focus on closing as many as possible. By working with a partner that has already made the investment, you can make your limited resources count for more and begin realizing results much sooner than you would if you had to setup the whole thing yourself.

Please contact me if you have question.