Many small and mid-size enterprises outsource B2B lead generation to obtain long lists of names and emails. For some, this strategy has worked. I’m okay with the cost-effectiveness of outsourcing data collection or having a robust collection of potential lead data for your industry. However, as someone who has worked with purchased lead data in smaller firms, I’ve witnessed issues with this approach.
Firstly, the criteria for lead inclusion were too broad. Secondly, the long lists posed a challenge for a small marketing or sales team to utilize before they became outdated. Lastly, limited resources and time hindered effective data segmentation and personalized communication, resulting in broad content delivery. To establish meaningful connections with customers, understanding their needs and scaling down data into manageable sizes is crucial. This empathetic approach can enhance conversions and drive long-term marketing success.
Acquiring names, though, is the easy bit as they are everywhere: your work phone address book, customer databases, Rolodexes, and trade industry press. LinkedIn is a whole BUNCH of names.
Small or mid-sized B2B companies with limited marketing resources should pursue lead gen strategies that result in more than one return on investment. These results may include developing in-depth lead knowledge, informing demand generation content strategy, and creating new product offerings. This holistic approach forms a lead ecosystem, where potential customers are found, segmented, and served as a coherent data source.
Smarter lead gen outsourcing
To illustrate this idea, let’s take a look at a typical RFP for lead generating that I found today on a popular marketing freelancer marketplace site. The job post comes from a German-based B2B company:
“You need to find German companies or international companies with offices in Germany that are car dealers or manufacturers of car parts.
Number of employees – from 11 to 500 people.
Positions – Director of Operations, Loyalty Program Manager, HR Manager/Specialist, Sales Manager, Head of Sales, Project Manager, Brand Specialist, Senior Marketing Research Manager, Marketing Research Consultant, Head of Marketing, Marketing Director(s), Marketing and Communications Manager.
It is necessary to find 5 contacts per company.
For a start, 500 contacts will be enough.”
Of course, before working on this, there would be a discovery call where further details would be discussed. But just on the surface level, these are some very common criteria for lead gen services. Some issues I have with this request are:
- Car dealerships and car part manufacturers are two very different businesses. As are foreign and domestic companies.
- A company with 11 staff does not have the same problems as one with 500 employees.
- Positions such as loyalty program manager and senior marketing research manager do not occur in 11+ staffing level
- Maintaining contact with five representatives per company runs the risk of not building a credible relationship with any of them
Developing a lead ecosystem
I said earlier that a lead ecosystem might better suit smaller B2B companies rather than outsourcing an email list and then sending five thousand cold emails instantly.
Returning to my sample lead gen job proposal, rather than gathering 500+ email addresses, they could:
- Develop a lead rating system
- Segment 100-contact list of car dealerships, 100-contact list of car parts manufacturers
- Identify the customer needs of these two lead groups
- Design separate campaigns for each lead group
Focusing on much smaller groups of leads allows you to better meet the needs of potential customers especially if your company only has a small marketing staff or budget. You can still be successful with a small pond of potential customers if you are a big fish. I’ve been working with a client whose primary lead list starts with just thirty or forty customers. In the whole of Europe. At this level, the amount of focus on each lead is intense and each communication is critical.
