Leads will always be one of the main factors that determine a home improvement businesses success. If you aren’t getting new leads and turning them into customers, it is much harder to achieve your growth goals.
Referral and word of mouth marketing still remains the best form of marketing, but what happens when those referrals dry up? This is why you need to get quality and consistent leads for your business.
Not All Leads Were Created Equal
Now not all leads are created equal, with some leads being a lot more ‘hot’ than others, in reality this comes down to the stage they’re at in the customer journey. In a previous blog post I talked about TOFU (Top Of Funnel), MOFU (Middle of Funnel) and BOFU (Bottom of Funnel), and these align with each part of the customer journey (awareness, consideration, purchase)
Obviously, Bottom of the Funnel leads are when they’re most likely to purchase and are thus more valuable, however it is important we don’t reject the value of top of the funnel leads especially in the home improvement industry, where a long nurture process is necessary. When the investment is so large, it’s a more difficult decision to make and therefore a longer time to make said decision, requiring greater nurture along the way, since prospects will be shopping around.
Identifying Your Top of Funnel Targets
Now to most efficiently target a prospect, it is best to identify and address either a desired state of theirs – locking down on their hopes, dreams and desires, OR to address the shortcomings of their current state, which is locking down on the prospects current pain points.
For most home improvement companies this could look like the following:
Hopes, Dreams & Desires
Maximise the value of your home
Trying to sell, but can’t
Wants to entertaining guests in style
Is embarrassed of how their home looks
Give a functional space to live in
Current house is dysfunctional or could be more functional
Provide a nice home environment to nurture children etc.
Lives in a small house, with no play areas for children
Space for pets
Yard not fit for a pet
This will not only shape your messaging in regards to the lead magnet but it will also shape the targeting you implement when advertising the magnet to your prospects.
These, along with capturing prospect interests and demographics will form your targeting across both social advertising and search advertising.
The Value Transaction
The entire purpose of doing lead generation is to get someone’s contact information and then aim to sell to them. Unfortunately it’s not always as simple as just asking for someones contact information, you’ll have to wave a carrot in front of them.
People are typically happy to provide information if they are receiving something of value in return. Think of it as a regular business transaction.
They are purchasing something of value, at the price of their name, contact number and email address.
In the home services industry, from builders to home improvement and beyond can turn into large sales which certainly makes up for giving a few people some ‘free’ value.
For example, a home builder could spend upwards of $1000 in designing and developing the perfect lead magnet, then spend another $2000 advertising it to get 100 leads. That equals to $3000 spent for 100 leads. If just one of these leads turns into a paying customer, this home builder would have made a whopping return on investment, paying for the practice multiple times over.
Building Your High Value Content Offer
Now that you understand the value transaction, it is worth exploring how you will build your high value content offer.
These are also known as lead magnets, a topic which I have written on previously.
These can include:
- Ebooks (most common)
And much more.
Some really good examples we have seen from clients are:
Alvarez Design has been a long term client of ours, initially coming on as a Facebook & SEO client, we have since taken over Google Advertising and begun a lead generation campaign across Facebook and Google.
Sergio and his team at Alvarez are very passionate about growing their business and are very hands on, as we partner together in growing Alvarez Design. After heavy consultation we worked together on developing a stunning ebook centred around adding value to your home (Hope/Dream/Desire) as well as adding luxury and functionality to a previously run-down kitchen (pain point).
An eBook is the most commonly used form of lead magnet/content offer. But it is not the only one.
Our client – Arco Double Glazing is a prime example of this with their energy saving calculator.
This directly ties into the hope/dream/desire of having a more energy efficient home and potentially helping them save on their energy bills.
Advertising Your Lead Magnet
There’s no use in having a lead magnet, if you aren’t going to use it properly or if nobody is going to see it. This means you have to make your magnet easily accessible and advertised.
There are many ways to advertise your lead magnet and make it seen, the first and most obvious step is to develop a landing page and have it visible from your website, using calls to action.
Using social media advertising and SEM, you should be able to drive plenty of traffic to this landing page and get your leads.
Another option is to use lead advertising on Facebook/LinkedIn with the platforms inbuild lead forms.
The beauty of these forms is that you can gain the lead without your prospect having to leave the platform you are advertising on, leaving far less room for wasted clicks not resulting in conversions due to a slow website, poor landing page or simply the prospect getting distracted by something else.
I recommend testing with landing pages, lead forms, social media advertising and search advertising to gather data and make informed decisions on the channels/methods moving forward that will get you the highest quality and quantity of leads.
Now you have the lead… What’s next?
There’s no use in getting a lead if you aren’t going to try and win them over to become a customer.
A simple lead from a lead magnet is not enough to win over a customer immediately, and nurture is CRITICAL. Here is some research to consider:
- “50% of leads are qualified but not yet ready to buy.” – Gleanstar Research
- “Companies that excel at lead nurturing generate 50% more sales ready leads at 33% lower cost.” – Forrester Research
- “79% of marketing leads never convert into sales. Lack of lead nurturing is the common cause of this poor performance.” – Marketing Sherpa
Now what does lead nurture actually do? It both educates your audience and sets the stage for sales. The best method for lead nurture is with a CRM.
How much do you have to nurture in your industry? Well it depends on the product/service traits that are most important for a customer.
For example, a cup of coffee on the way to work, the traits of the product/service are vastly different to that of a renovation.
For the cup of coffee, we would look at value for money, speed of service and to an extent, quality. But for any renovation done to your home you would want the brand to be trustworthy, timely, takes great care, is qualified, valuable, reputable and of a high quality.
It is worth building and testing a system using a CRM that can sell, to close more of the leads you worked so hard to generate.
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