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Abstract
The client referenced in this study engaged Winn Technology Group, Inc. for an annual program of demand generation. At mid–program, the potential return on investment for the client was 23 times the cost of the campaign.
Background
This Winn client provides integrated enterprise resource planning, customer relationship management, e–business and business intelligence solutions that meet the unique business demands of small–to–medium size manufacturers and distributors. With a commitment to specific vertical industries where it has proven experience and success, the client leverages industry–specific knowledge and functionality to deliver a flexible and affordable enterprise business system — without requiring expensive software modifications or extensions.
Objectives
This client chose Winn Technology Group as its marketing partner to implement a year–long outbound demand generation program. The program consisted of lead generation and nurturing, and ultimately, delivery of highly qualified leads to the client's sales team. Prior to implementation of the program, the client and Winn determined the criteria for success in terms of the number of "A" and "B" leads delivered to the client each quarter, the development and cultivation of the sales pipeline, and the return on investment of the outbound program's costs versus the client's sales.
Methodology
The client and Winn both contributed significant data to this program for small to mid-sized North American manufacturing and distribution companies. Targeted contacts were CIO, CTO, Vice President of IT, CFO or Vice President of Finance, and COO or Vice President of Operations or General Manager. The program was formulated for implementation in four quarterly configurations. Lead criteria, as defined by the client, is as follows:
| A+ Lead |
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Vendor decision in less than 3 months |
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Project is budgeted or has executive buy–in |
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Prospect requests a follow–up call |
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| A Lead |
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Vendor decision in 4–6 months |
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Project is budgeted or has executive buy–in |
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Prospect requests a follow–up call |
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| B Lead |
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Vendor decision in 7–12 months |
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Project may or may not be budgeted |
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Prospect requests a follow–up call |
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| C Lead |
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Vendor decision in greater than 12 months |
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Project may or may not be budgeted |
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Prospect requests a follow–up call |
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| D Lead |
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Vendor decision in greater than 12 months |
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Project may or may not be budgeted |
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Prospect requests additional information |
Results
At the six–month mark of the annual program, the results clearly showed a very successful demand generation program in progress. A total of 60 "A+" through "B" leads were delivered to the client. In addition, a strong pipeline of over 150 leads was created, and these leads were nurtured based primarily upon factors such as budget approval and timeframe for decision. Lead nurturing ensures the client remains visible until their prospects are ready (and able) to buy. And new leads are continually being added for qualification and nurturing.
At the same point in time, the client announced it had converted three of 60 leads to sales and several more are on the cusp. Current actual ROI is 2.7 times the program cost. The client calculates its expected ROI at 8 times its expenditures and the overall potential, based on sales proposals presented to prospects, indicates a potential ROI at over 23 times its expenditures for the demand generation program.
More importantly, these ROI figures do not include calculations for the remaining six months of the program. Based on the lead conversation rate in the first six months, it is expected that a minimum of an additional 50 "A+" and "B" leads will be delivered to the client from the 150 leads that have been created and are currently undergoing the nurturing process. And additional prospects will be continually identified and added for nurturing.
Industry best practices have continually shown that demand generation is most successful, in terms of overall ROI and the number of leads generated, as a long–term effort. This client's demand generation experience is an excellent example of best practices at work.
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About Winn Technology Group, Inc.
Winn Technology Group is a privately–held marketing solutions company headquartered in Palm Harbor, Florida. Focusing exclusively on the technology marketplace, Winn has earned the respect of over 600 technology companies, many of whom continually subscribe to its B2B marketing services including Demand Generation, Event Marketing, Database Solutions, and Channel Marketing. For more information, call 800–444–5622 or visit www.winntech.net.
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