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 and 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 they are fruit importers in China.
- On the other hand, you can even try to attract the importers active in other industries and encourage them to start fruit import for the first time. However, an importer of irrelevant products rarely accept 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. Evidently, attracting the first group is so easier than the second one and has less risk and challenges.
That is why lead generation services like CUFinder focuses on preparing relevant and to-the-point leads.
Now it’s time to read a complete list of lead generation stats 2023 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?
Approximately, 85% of marketers participated in a research done by 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 view of marketers? Outbound or inbound marketing?
Outbound vs inbound marketing! Outbound marketing consists of the traditional methods of marketing, which includes all efforts like cold call, billboards, or cold emails; while inbound marketing are the non-traditional strategies such as social media marketing, content marketing, mobile marketing, or search engine marketing.
The recent reports of Hubspot shows 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 relation marketing (public speaking, editorials, etc.)
2. What is the most common lead generation strategy 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 generating leads, 73%. 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
Campaign Monitor reported that email marketing for lead generation drives
4400% higher ROIs than other marketing strategies.
4. What is the value of content marketing? Is it affordable?
As reported by Demand Metric, content marketing is 62% less costly for lead generation than traditional and outbound marketing.
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 every day. 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?
The importance of social media in lead generation encouraged marketers to investigate social media marketing more and the result is that around 95% of digital marketers know which social media generates more leads in their industry. The channel good for generating chemical buyers is not necessarily good for generating accessory designers!
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 that referral marketing is the best strategy for lead generation.
Lead Generation Cost Statistics
1. Marketers’ budget allocation
What percentage of a budget should be for marketing? Due to the importance of lead generation, 53% marketing teams spend more than half of their marketing budget for lead generation!
2. What is 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?
4. How much should I charge for lead generation?
5. What is the average cost per lead across all industries in the USA?
As mentioned in Hubspot, cost per lead across all industries is US $ 198.4 on average.
6. Average cost per lead by industry
As you can see below, on average, technology companies should pay the most money per lead, US $ 208! There is a significant difference with the second industry: healthcare, US $ 162.
7. Average cost per lead by lead generation strategies
According to Popupsmart, you need to pay the most amount of money for generating leads via tradeshows and events, US $ 811. As the second most expensive marketing strategy, traditional or outbound marketing needs US $ 619 per lead on average.
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 1st on the List Promotion, if a company’s annual revenue is over US $ 500 million, the highest cost per lead is needed, US $ 429! On the other hand, the companies with annual revenue less than US $ 1 million, should pay around US $ 166 par lead.
10. US lead generation ad spend in 2023
According to Statista, the US lead generation ad spend is predicted to reach
$3.24 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 via which the users can find the 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 comprehensivity 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?
According to APSIS, around 49% of businesses are using automation tools for lead generation to increase marketing efficiency.
4. Do marketing automation tools help boosting lead generation? According to APSIS, 80% of marketers that use automation tools for lead generation like email finders, URL finders, etc. drive more leads by over 451%!
Lead Nurturing Statistics
1. Lead nurturing meaning
Lead Nurturing is the process of turning leads to loyal customers. You need to engage your customers on time with producing relevant content, follow them persistently, and try to build trust.
2. Lead nurturing vs. 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 to customers and then turning them to 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 to 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?
You can reduce your marketing costs up to 33% if you nurture leads. (Marketo)
5. What is the positive influence of nurtured leads on sales?
As mentioned in DemandGen, you can produce 20% more sales if you focus on lead nurturing
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?
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.
9. Personalized lead nurturing
Marketers can increase engagement and conversion rate by 57% and 63%, respectively via personalized nurturing. (BrightTALK)