Web Lead Evaluation and Scoring Study
The Artemis Group and KnowledgeStorm, Inc.
March 2006
Increased Marketing ROI
In This Report
•
About This Study
•
Study Demographics
•
Key Findings
•
Conclusions
•
About KnowledgeStorm
•
Other Thought-Leadership Initiatives from
KnowledgeStorm
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
2
Increased Marketing ROI
About The Web Lead Evaluation and Scoring Study
•
Business Objectives:
– Identify the characteristics of Web leads that maximize sales
opportunities
– Identify how specific content generates Web leads at various stages
of the sales cycle
– Debunk myths and theories around what makes a “good” or a
“qualified” sales lead
– Help KnowledgeStorm customers (B2B technology vendors) continue
to enhance their lead follow-up strategies around their online
marketing campaigns
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
3
Increased Marketing ROI
More About This Study…
•
Methodology:
KnowledgeStorm and The Artemis Group, an independent data analytics
firm, conducted an in-depth analysis of 15,452 Web leads generated by
KnowledgeStorm.
–
Conducted on Web leads gathered from June – December 2005
–
Data was gathered through phone contact with the Web leads (consisting of business
and IT professionals researching technology solutions and topics online)
–
Data set included demographics, activities, behaviors, calling history and call outcomes
of Web leads
–
All of the Web leads were North American and were generated for technology vendors
on KnowledgeStorm’s Lead Assessment Service
•
To our knowledge, this is the largest study of business-to-business
technology Web leads ever conducted.
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
4
Increased Marketing ROI
Study Demographics
•
Company Size by Employees
1 to 20
26%
2001+
31%
21 to 100
15%
101 to 500
15%
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
501 to 2000
13%
5
Increased Marketing ROI
Study Demographics
•
Job Title/Role
CEO, President, Owner, Principal, Partner
CFO, Controller, Treasurer
CIO, CSO, CTO
Consultant, Specialist
Customer Service Professional
Engineering Professional
Executive VP, General Manager
Financial/Accouting Professional
Human Resources Professional
Industry Analyst
Investment Professional, VC
IS/Technology Professional
Manufacturing/Production/Operations
Marketing/Advertising Professional
Media/Press Member
Other (not listed)
Privacy Officer
Product Development/R&D Professional
Purchasing Professional
Sales Professional
Student
VP, General Business Professional
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
12.4%
1.3%
3.0%
11.2%
1.2%
3.9%
3.0%
2.3%
1.2%
1.1%
0.2%
29.4%
2.1%
4.2%
0.2%
8.9%
0.2%
3.1%
1.2%
3.6%
1.2%
5.2%
100.0%
6
Increased Marketing ROI
Study Demographics
•
Purchasing Involvement
Research Only
20%
Determine needs,
gather requirements
20%
Conduct detailed
evaluation
11%
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2005 KnowledgeStorm, Inc. All rights reserved.
Authorize Purchases
for multiple
departments
9%
Authorize Purchases
9%
Select Providers or
Vendors
12%
Recommend
Purchase
19%
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Increased Marketing ROI
Study Demographics
•
Industry
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2005 KnowledgeStorm, Inc. All rights reserved.
Aerospace and Aviation
Agriculture and Forestry
Automotive
Banking and Finance
Computers and Technology
Education and Training
Engineering, Construction and Scientific
Entertainment, Travel and Hospitality
Food and Beverage
Government and Public Administration
Healthcare
Insurance
Legal Solutions
Manufacturing Industries
Media and Information Publishing
Natural Resources
Nonprofit Organizations and Trade Associations
Other Industry Specific (not listed)
Pharmaceutical
Professional, Scientific and Technical Services
Real Estate
Retail and Wholesale
Telecommunications
Textiles and Apparel
Transportation and Shipping
Utilities
1.9%
0.3%
1.3%
7.8%
27.5%
3.5%
2.2%
0.7%
1.0%
5.5%
7.0%
3.9%
0.7%
7.2%
1.7%
0.3%
1.6%
8.3%
1.4%
5.1%
1.0%
2.8%
4.1%
0.2%
1.3%
1.6%
100.0%
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Increased Marketing ROI
Key Findings Summary
•
Web leads identifying themselves as “Recommenders” produce a higher
percentage of qualified sales prospects than leads claiming they “Authorize
Purchases”
•
Functional or professional titles edged out C-level and executive titles by
several percentage points when measuring the number of leads with
projects in place or budgets established
•
Pairing product content with research increases the likelihood of positive
lead outcomes by 50% (the best Web lead generation results are achieved
with a balance of research and product content)
•
Product-related content generates 2x the amount of Web leads that are
further in the buying cycle compared to white papers and other research
content
•
With white papers and other research assets, minor details such as title
choice and messaging have a major impact on quality of Web leads and
outcomes
•
Reaching a Web lead within 4 business days significantly increases the
likelihood of that lead becoming a sales prospect
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2005 KnowledgeStorm, Inc. All rights reserved.
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Increased Marketing ROI
Key Findings
•
“Recommenders” produce the highest percentage of Web leads that are
further along in the buying cycle
– Web leads stating their acquisition involvement as “Recommend Purchase”
edged out all other groups including “Select Providers” and “Authorize
Purchases”
– Good content will make it to the C-level and other executives through the
recommenders
• Don’t dismiss the power of the “recommender” in the decision-making
process; “recommenders” have access to the C-level executives that
technology vendors covet
• Technology vendors need to reach out to the people who are actually
doing the research on different products, educating others and making
recommendations — this group is quicker to respond and it is easier to
gauge their interest level.
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2005 KnowledgeStorm, Inc. All rights reserved.
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Increased Marketing ROI
Key Findings
•
Functional or professional titles, on average, become the best prospects—
even more so than C-level or executive titles
– Functional or professional titles such as Operations, HR professional,
IS/Tech Professional and Finance/Accounting professional outscored C-level
and executive titles
• This is the group of people tasked with finding out if the solution can
really do what the company needs it to do
• They are critical as they will “recommend” a solution based on their
experience with it
• Technology vendors cannot rely solely on past relationships with a
company or its subsidiaries to get a recommendation for their solutions;
vendors need to market and sell to everyone in an organization’s
decision network
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2005 KnowledgeStorm, Inc. All rights reserved.
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Increased Marketing ROI
Key Findings
•
Content details, such as title, have major impact on Web lead outcomes.
– Qualitative analysis confirmed that content titles and approaches
significantly impacted results.
• For example, a white paper using a title such as “News and Views…”
produced far fewer Web leads ready to engage in discussions with the
vendor versus a white paper with a call-to-action title such as “Creating
More Business Value with…”
• Web leads further along in the buying cycle often come from advanced
keyword searches because the technology buyer knows exactly what
solutions and information they are looking for
• It is important to evaluate the effectiveness of online content early in a
campaign, as well as, throughout a campaign, in order to maximize ROI
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
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Increased Marketing ROI
Key Findings
•
Reaching a Web lead within 4 business days significantly increases the
likelihood of that lead becoming a sales prospect
– Web leads showed high levels of engagement when reached within 4 business
days
– Web leads need timely lead follow-up because they go cold more quickly than
other types of leads — this is due to the immediacy of information exchange
through online vehicles and user expectations
– Timely lead follow-up translates into a positive brand association with Web
leads and the technology vendor’s company
– After 7 business days, the opportunity to engage with a Web lead when
initially reached dropped 20% — a similar finding as reported in
KnowledgeStorm’s previous Web lead study with the Artemis Group detailed
in the whitepaper The Fine Art of Lead Follow Up
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
13
Increased Marketing ROI
Key Findings
•
Technology vendors with a good balance of product (or service) specific
content as well as educational content (such as white papers and
Webcasts) generally produce the best results
– Top vendors in the study (those with the most Web leads further along in
the buying cycle) had ratios of product-specific content to educational
content that were 1:1 and higher
– Technology vendors use educational content to educate and evangelize
their products as well as build brand awareness and influence the buyer’s
“short list” of chosen vendors.
– Audience attention is different at the various stages of the buying cycle; it
is important to have the right type of content available for all stages to
make sure buyers have access to the right information, at the right time
• Educational content engages buyers at the initial phases of the buying
cycle as well as throughout long buying cycles
• Product-specific content facilitates buyers further along in the buying
cycle
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2005 KnowledgeStorm, Inc. All rights reserved.
14
Increased Marketing ROI
Key Findings
•
Product-specific content generates Web leads that are further in the
buying cycle
– Product-specific content, as compared to educational content,
generated 2x the amount of Web leads that were ‘defining
requirements’ or ‘had a specific project in place’
– Technology buyers viewing solution-specific content often know more
about the parameters of their projects, including budgets and timelines
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
15
Increased Marketing ROI
Conclusions
•
While marketers typically target the C-suite and under-value
professional and functional titles, the reality is that the latter
have a better chance of becoming qualified prospects and sales
opportunities.
•
Another common pitfall in lead evaluation involves the priority
given to leads claiming ultimate purchase authority versus some
level of purchase involvement. Our study reveals that Web leads
claiming to be “recommenders” in the purchase process are more
often converted to qualified sales opportunities than those
claiming they “authorize purchases.”
•
An effective lead scoring process should place the most weight on
lead behaviors, engagement time and the content engaging the
lead. Lead demographics should be a secondary data point.
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
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Increased Marketing ROI
Conclusions
•
Not all content is created equal. Leads created from one content
asset or event should not be valued or scored the same as leads
created from a totally different asset. Quality and outcomes of
leads need to be tracked regularly for all lead generation assets.
•
Quality research content, such as a professionally written
whitepaper or analyst report, can be a very effective lead
generation tool when properly positioned. However, programs
that combine research with well written, detailed product
information consistently produces more qualified sales
opportunities.
•
Immediate, personal communication with Web leads is critical for
achieving positive results. Initial follow-up activities occurring
beyond one week automatically lower chances of successful
contact by 20%.
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
17
Increased Marketing ROI
About KnowledgeStorm
•
KnowledgeStorm is the Internet’s top-ranked search resource for
technology solutions and information.
– KnowledgeStorm provides vendors with the most opportunities to
reach business and technology buyers on the Internet and to
convert them into Web leads.
– KnowledgeStorm makes it fast and easy for business and IT
professionals to find the information they need as they research
technology solutions and topics on the Internet.
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
18
Increased Marketing ROI
The KnowledgeStorm Process
•
KnowledgeStorm is an online site that aggregates content from B2B technology
vendors. This content includes white papers, Webcasts as well as information about
specific technology product and service offerings.
•
When KnowledgeStorm users (business and IT professionals) are researching
technology solutions and topics on the Internet they can search by specific
keywords or browse by topic seeing a list of relevant search results.
– When the user chooses to view specific content on KnowledgeStorm, they
are asked to register.
– Once the user has registered, they become a Web lead.
– Web leads flow into KnowledgeStorm’s lead management system, where
technology vendors can have immediate access to them.
– KnowledgeStorm Lead Assessment is an optional service where initial
contact with the Web lead is made by KnowledgeStorm on behalf of the
technology vendor.
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
19
Increased Marketing ROI
Other KnowledgeStorm Thought Leadership Initiatives
•
Lead Generation and Management: Online Strategies and Best Practices Webcast presenting research from SiriusDecisions, Summer 2004
•
The Fine Art of Lead Follow Up - white paper with research from Sirius Decisions and lead
analysis by The Artemis Group, June 2005
•
IT Executive Outlook: Key Tactics to Improve Your Marketing Results Webcast and analyst report from MarketingSherpa, Fall 2005
•
Define What’s Valued Online - survey conducted with the CMO Council, Fall 2005
•
How Savvy Technology Marketers Can Improve Results with an Intelligent
Content Strategy - whitepaper, October 2005
•
What Technology Buyers Want You to Know About Online Content – whitepaper,
December 2005
•
2006 Email Trends: B2B Data and Tactics to Improve Your Email Results Webcast in conjunction with MarketingSherpa survey data, January 2006
•
Search Engine Marketing: Maximizing Results for Technology Vendors whitepaper, February 2006
Copyright 2006
2005 KnowledgeStorm, Inc. All rights reserved.
20
For more information, please contact:
Amber Reed
Public Relations Manager
KnowledgeStorm
areed@knowledgestorm.com
678-597-5910