What's the best way to qualify a lead?
My industry gets a lot of tire kickers. It's heavily regulated, so most individuals give up before they open. I find prospects we existing business have a higher rate of getting into the biz. We've filtered some of these people by asking if they are a new or existing business and how many employees they have. I know it's petty, but spending too much time w/ companies that do not have money takes away from prospecting successful companies that have the money to pay you.
I guess the point is that I'm trying to qualify who I should do a 1-hour demo with and who I should send the brochure to. I guess I'm looking for feedback, more than anything.
1 Answer
Nothing wrong with getting their level of interest. Ask the following:
- Does the person have the permission to buy? If not, find out who does and try to speak to them. If you cannot get this person, they may be less serious.
- Do they have a budget for your product?
- What is the timeframe to implement? Are they thinking about it? I'd rather someone say next year than I don't know.
- Are they looking at other products? Gives you an idea if they are considering a direct competitor or an indirect competitor (We use a spreadsheet to track prospects instead of a CRM system).
Your goal is not to waste your time without them knowing that's what you're trying to do.
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You last sentence is funny.... and so true. As far as #1, we ask their title. This is usually a pretty good indication. Budget is a good one, but a little cocky. Time frame is definitely a good one. Good luck w/ #4. Anyway, really like your answer. – Sparagi 14 years ago
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@sparagi - you have to frame the 'budget' question into the time-frame question. It may not be there until next year or they need to spend the money now or lose it (non-profit kind of situation). – Jeff O 14 years ago
