Why is quality of lead selection important?
More clients per target-list does not necessarily mean more
revenue from the campaign.
Good quality target-lists include larger percentage of likely buyers and improve overall campaign success though increasing of total volumes sold, whilst lowering the total campaign costs.
Good quality of target-lists also prevents loss of client attention and enables continuity of long-term results.
‘More campaigns: more volumes sold… and more subsequent profit’ is a fair statement. However, more leads in each campaign do not necessarily provide the same effect.
If we excluded the quality and price of the actual offer and external influences such as market conditions and competition, the short-term campaign success mostly depends on two factors:
- 1) Optimal utilisation of available capacities – to increase the total volume sold
- 2) Optimal management of campaign costs – to increase overall profits
Both of these heavily depend on quality selections. There are many examples which illustrate either point, the most obvious are: (1) the overloading of Call Centre with too many leads which results in not contacting likely buyers due to time constrains; (2) unnecessary cost occurred in printing and mailing brochures to many unlikely buyers.
Long-term campaigning results are even more reliant on each campaign’s quality selection. Simple ‘bombardment’ of clients with all available offers inevitably results in client attention decay and treatment of bank’s communication as a form of ‘spam’. Such ‘spamming’ will harm all future efforts as clients would ignore all offers, even those which suit them - simply because they would not even attempt to understand the communication.