Recently, I was contacted by a lead provider salesperson who announced they had the latest and the greatest lead program currently on the planet. Since I never turn down a good sales pitch, I asked the young man to enlighten me about this one of a kind program that, according to him, would ensure that my conversion rate would go through the ceiling.
Why They’re Different
Holding back my unbridled excitement, I asked the young fellow (he sounded very young) to explain to this old dog what they have discovered about lead generation that know one else has thought of before. “We financially qualify our leads” he replied. Somewhat interested, I asked him to tell me how they accomplish this. “Well, our call center staff calls each prospect and interviews them before we send the leads through our distribution network.” “We then assign a score to the prospect and price the leads based on that score rather than charging the same for each lead.”
The Expected Pivot
After hearing about this exciting new scoring technique, I was a little curious, so I asked the following questions:
- Do you ask about their credit situation? “Yes, we do.”
- Do you ask about their driving records? “Yes, we do.”
- Do you ask how many licensed drivers are in the household? “Yes, we ask that also.”
- For commercial prospects, do you ask about their D&B score? “Yes, we do.”
- For commercial prospects, do you ask about 1099 contractors? “Yes, we ask that.”
- For commercial prospects, do you ask about claims history? “Absolutely, we ask.”
To my surprise, they seemed to know most of the right questions to ask, so I asked one more question that I felt was very, very important. Do they tell you the truth? “Well, gee, that’s a very good question; we feel the majority of prospects give us accurate information.
We charge more because we can charge More
To summarize a rather long conversation (I wasn’t busy at the time) that I had with this young man, let me just put in all in a nutshell.
I explained that I wouldn’t be willing to pay additional money for a lead because they verbally interviewed the prospect. You see, I do that anyway, so why should I pay someone else to do it. I also repeated the sad old saying to him; Buyers are liars. There are very good reasons for running MVRs, credit scores, and loss reports and I would have to do that if the lead cost $10 or if the lead cost $50. Now, I’m certainly not declaring that every prospect misrepresents themselves and their business; I’m just saying that many people are forgetful. Know what I mean?
After getting my feelings about their program off my chest in a professional manner, I asked the young man why they feel like they can charge more for a prospect they’ve interviewed, and he simply replied; “We can charge more because we took the time and called them.”