We have gathered many must-to-know lead generation statistics that will blow your mind!
Before that, let me define lead generation in simple words:
Lead generation is the process of finding and identifying qualified and valid leads for your business via manual or automatic methods. By manual, I mean Googling, web searching, and outbound marketing methods; by automatic, I mean inbound marketing strategies like email marketing, SEO marketing, etc.
Imagine you are the exporter of fruits to China:
- You can work on prospects who did not purchase any product/services from you previously but are fruit importers in China.
- On the other hand, you can even try to attract importers active in other industries and encourage them to start fruit import for the first time. However, an importer of irrelevant products rarely accepts your request, but a foodstuff importer who did not import fruit before may accept!
Number one points to potential buyers and the latter talks about the people with no experience in your field. Attracting the first group is so easier than the second one and has fewer risks and challenges.
That is why lead generation services like CUFinder focus on preparing relevant and to-the-point leads.
Now it’s time to read a complete list of lead generation stats for 2024 to see the worth and significance of the prospecting process in marketing success.
- Lead Generation Importance
- Lead Generation Strategy Statistics
- Lead Generation Cost Statistics
- Lead Generation Automation Statistics
- Lead Nurturing Statistics
Lead Generation Importance
1. Why is lead generation important in marketing?
To elicit the interest of potential buyers, you need to focus on up-to-date lead generation techniques. It means that you need to use the latest prospecting tools and methods; otherwise, you will lose the competition.
2. What are the 2 main goals of marketing?
Most experts and marketers believe that lead generation and brand awareness are the main goals of marketing.
Approximately, 85% of marketers who participated in research done by the Content Marketing Institute said that lead generation is their primary goal of marketing.
3. How many leads do organizations generate on average per month?
On average, organizations generate 1,877 leads per month. (Exploding Topics)
In addition, Hubspot reported that medium and large companies generate less than 5,000 leads per month.
4. What is the biggest challenge of marketing?
Over 60% of marketers know “lead generation” as their first challenge. If marketing teams don’t find relevant and qualified customers for their products/services, all other efforts of their companies are abortive! Look at the chart below, which shows the various challenges of marketers based on degree of importance.
5. Which is more significant in the view of marketers? Outbound or inbound marketing?
Outbound vs inbound marketing! Outbound marketing consists of the traditional methods of marketing, which include all efforts like cold calls that still work, billboards, or cold emails.
In contrast, inbound marketing is non-traditional strategies such as social media marketing, content marketing, mobile marketing, or search engine marketing.
The recent reports of Hubspot show that only 18% of marketers believe that outbound marketing can boost lead generation and provide quality customers.
Lead Generation Strategy Statistics
1. What are lead generation strategies?
- Direct mail marketing (postcard, letter, etc.)
- Website marketing (SEO, PPC, RSS, etc.)
- Content marketing (video, podcast, etc.)
- Email marketing
- Social media marketing
- Phone marketing (Cold call)
- Event marketing (seminar, conference, etc.)
- Branding marketing (ads, newsletter, etc.)
- Referral marketing (word of mouth)
- Public relations marketing (public speaking, editorials, etc.)
2. What is the most common lead generation strategy in 2023?
Around 78% of businesses know “Email Marketing” as the first way they use to generate leads (APSIS). This study also showed that “Event Marketing” is their second choice for 73% of generating leads. The third place is related to “Content Marketing” which is selected by 67% of marketers for lead generation.
However, many other marketing gadgets are used for lead generation today such as social media, but still email marketing is used more than others.
3. Email marketing ROI
Mailmodo.com states that email marketing yields a $42 return on every dollar. However, various reports offer differing figures, such as:
- Porchgroupmedia.com claims a 3600% return, translating to $36 per dollar.
- Campaign Monitor reports a 4400% return, equivalent to $44 per dollar.
- Mailercloud indicates a range between 3600% and 4200%, which equates to $36 to $42 for each dollar invested.
4. What is the value of content marketing? Is it affordable?
Statista’s data suggests the worldwide content marketing sector’s income stood at $63 billion for 2022. It also indicates that its value will rise to $72 billion by 2023, with expectations to achieve $107 billion by 2026.
5. Can we generate leads from social media?
Sure! The fame of social channels caused millions of people to sign up and use these networks daily. Therefore, they are perfect choices for advertising and generating leads.
The study done by Social Media Examiner showed that 66% of marketers use social networking channels for prospecting.
Another research reported that 38% of businesses plan to spend over 20% of their advertising budgets on social media marketing. (Reve Chat)
6. Do you know what is the best channel for lead generation in your industry?
Some of the most effective channels for lead generation include:
Content Marketing
Employ articles, videos, and informational guides to cultivate relationships with your target demographic while enhancing your brand’s digital footprint. This approach benefits search engine optimization (SEO) endeavors as well.
Email Marketing
An economical strategy for engaging with prospective clients, showcasing your offerings, and nurturing brand loyalty. The key to effectiveness lies in assembling a robust list of email subscribers.
Social Media Marketing
Platforms such as Facebook, Twitter, LinkedIn, and Instagram serve as pivotal channels for generating leads and elevating brand visibility.
Influencer Marketing
Partnering with notable personalities or sector authorities to advertise your offerings to their followers can be remarkably effective.
Search Engine Optimization (SEO)
Focus on refining your website to rank higher in natural search results, thereby attracting more visitors.
7. Is LinkedIn good for lead generation?
As reported by Oktopost, nearly 80% of leads provided via social media channels are generated by LinkedIn in B2B marketing!
8. Is cold calling still effective?
Yes, cold calling is still important and an effective method for lead generation. Over half of decision-makers like to be contacted over the phone.
9. Does SEO lead generation work?
Marketing Charts reported that around 59% of B2B marketers believe that SEO has the biggest influence on lead generation.
10. Referral marketing
Ruler Analytics reported that approximately 14% of digital marketers believe referral marketing is the best strategy for lead generation.
Lead Generation Cost Statistics
What will be the cost of lead generation? Let us talk about numbers now.
1. Marketers’ budget allocation
What percentage of a budget should be for marketing? Due to the importance of lead generation, 53% of marketing teams spend more than half of their marketing budget on lead generation!
2. What is the Cost Per Lead?
Cost Per Lead (CPL) includes all costs you pay to generate leads and customers for your business like the money you pay for email marketing, content marketing, etc.
3. How do you calculate cost per lead?
To calculate the cost per lead generation, you divide the total cost of your lead generation efforts by the number of leads generated during a specific period. The formula is:
Cost per Lead = Total Cost of Lead Generation / Number of Leads Generated
For example, if you spent $5,000 on various lead generation activities (such as advertising, content creation, and marketing campaigns) and generated 500 leads, your cost per lead would be:
Cost per Lead = $5,000 / 500 leads = $10 per lead
This calculation helps businesses evaluate the efficiency and effectiveness of their lead generation strategies and determine the return on investment (ROI) of their marketing efforts.
4. How much should I charge for lead generation?
It depends on your business industry, target audience, company size and revenue, and the lead generation and marketing strategies you use. It may vary from US $ 30 to over US $ 208!
5. What is the average cost per lead across all industries in the USA?
As mentioned in Hubspot, the cost per lead across all industries is US $ 198.4 on average.
6. Average cost per lead by industry
The average cost per lead (CPL) varies by industry, company size, and other factors. Here are some average CPL benchmarks by industry:
- Non-profits: $31
- Retail: $34
- Telecom: $45
- Education: $55
- Marketing: $99
- Consumer products: $105
- Travel & tourism: $106
- Media publishing: $108
- Business services: $132
- Manufacturing: $136
7. Average cost per lead by lead generation strategies
According to Popupsmart, you need to pay the most money for generating leads via tradeshows and events, US $ 811. As the second most expensive marketing strategy, traditional or outbound marketing needs an average of US $ 619 per lead.
Pay attention to the lead generation channels that need the minimum cost per lead including online retargeting, SEO, and email marketing in first to third place.
8. Average cost per lead by company size
The more employees a company has, the more cost per lead is needed! (1st on the List Promotion)
9. Average cost per lead by company annual revenue
According to clickfunnels.com, the average cost per lead (CPL) by revenue in 2023 is:
- $500+ million revenue: $429.01
- $10-500 millionrevenue: $179.48
- $1-10 million revenue: $184.64
- <$1 million revenue: $166.01
According to a 2022 HubSpot study, the average CPL for B2B companies is around $200. However, the cost per lead can vary depending on the industry and the level of competition.
The formula for CPL is:
CPL = Total cost spent on a digital marketing program / Number of leads coming from the program
Other factors that can affect the cost per lead include:
- Lead generation channel
- Company size
- Company Revenue
- Lead generation strategies
- Marketing budget
According to DashThis, a good cost per lead is just as much (or ideally less) than your gross profit per sale
10. US lead generation ad spend in 2023
According to marketingcharts.com, the US lead generation ad spend is predicted to reach $5 billion at the end of 2023.
Lead Generation Automation Statistics
1. What is Lead Generation Automation?
Using AI tools for generating leads automatically is known as lead generation automation, such as CUFinder lead generation services. Through these services, users can find a detailed list of relevant leads and their contacts in detail.
2. What is lead automation software?
Via lead automation software, marketers have access to the data of prospects. The type of data you get, its accuracy, validity, price, and comprehensiveness are different based on the quality of the lead generation tool you choose to work with.
3. How many percent of companies are now using automation tools for lead generation?
As of January 2024, Adam Connell reports that 44% of enterprises employ marketing automation for lead generation, encompassing 55% of B2B firms.
4. Do marketing automation tools help boost lead generation?
Marketing automation tools provide numerous advantages, enhancing your lead generation approach significantly. Implementing such technologies facilitates the streamlining of operations, effective nurturing of potential clients, and prioritization of top-tier prospects. Additionally, it leads to the acquisition of crucial insights and a boost in general productivity.
Lead Nurturing Statistics
1. Lead nurturing meaning
Lead Nurturing is the process of turning leads into loyal customers. You need to engage your customers on time by producing relevant content, following them persistently, and trying to build trust.
2. Do marketing automation tools help boost lead generation?
Lead generation is the process of finding qualified and relevant leads for your business.
Any lead you find will not necessarily turn to customers! Lead nurturing is the process of converting these leads into customers and then turning them into loyal and long-term clients.
Remember that around two-thirds of leads aren’t ready to purchase your product! (Marketing Sherpa)
3. Why is lead nurturing so important?
Around 79% of leads will not ever turn into sales! (Next Leap Strategy) It is a hard job to convert them to leads but if you focus on lead nurturing, the story will change!
4. What is the positive impact of nurtured leads on marketing costs?
Marketing automation tools offer many benefits, significantly improving your strategy for generating leads. The adoption of these technologies facilitates the optimization of processes, efficient care for potential customers, identification of high-value targets, gathering of essential data, and an increase in overall efficiency.
5. What is the positive influence of nurtured leads on sales?
According to sapbwconsulting.com, studies show that well-cared-for leads are 20% more likely to turn into sales than leads that aren’t cared for. Taking care of leads helps build trust and makes people remember your brand when they’re ready to buy.
6. What is the best tool for lead nurturing?
As reported by Hubspot, email has higher CTRs for lead nurturing.
7. Do B2B companies focus on lead nurturing?
B2B companies often use lead nurturing programs to establish themselves as thought leaders and improve customer engagement. MarketingSherpa reported that 22% of B2B companies nurture leads weekly.
8. How much time is needed for converting leads to customers for the first time?
Marketing Donut said that around 63% of leads that are seeking for your business data won’t be converted to customers until 3 months.
According to a Harvard Business Review report, the average response time for online sales leads is 10 minutes. After that, the likelihood of converting the lead drops significantly.
9. Personalized lead nurturing
Marketers can increase engagement and conversion rates by 57% and 63%, respectively via personalized nurturing. (BrightTALK)