It's A Mistake to Treat All Leads Equally. Here's Why...

We all know that it’s important for any growing business to develop repeatable, predictable processes. This is especially true for revenue-generating teams - having strong processes will give you the ability to have more discussions and drive faster revenue growth. But those processes become a liability when it’s built as a one-size-fits-all because not every lead source is equal.

You may have a great market database to work with or SEO results that are driving traffic to your website, but the way you approach those prospects should be VERY different. It's crucial for you to distinguish between "targets" and "leads" when formulating your strategy for generating new business. While these two terms are often used interchangeably, they require different approaches in the sales process. Knowing the difference can help your company refine its approach and increase your chances of success.

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What Are “Targets”?

?A "target" refers to a prospective client that your business wants to work with. These are the companies or individuals that fit your ideal customer profile, based on factors like industry, size, location, or potential needs that align with your offerings. They may not know your company exists, and they may not yet have shown any interest in your solutions—but they’re exactly who you want to reach.

Many companies leverage general databases like Apollo.io , ZoomInfo, or LinkedIn Sales Navigator to lead them to their ideal customer. Others will leverage industry database services like Definitive Healthcare, ConstructConnect, and others. I’ve worked with a number of companies that have integrated these databases with their CRM system to help them execute on their outreach strategies.

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What Are “Leads”?

?On the other hand, a "lead" is a prospective client that has already shown interest in your business. Whether they’ve clicked on a marketing email, signed up for a demo, or attended one of your webinars, these prospects are aware of your company and have demonstrated at least some level of engagement. Many would consider these to have entered the early stages of the buying process.

Of course, you have the ability to decide whether these “hand-raisers” are the right fit for your product, and qualifying these prospects should be a part of your process.

(Funny note: More than once, I’ve had one of these “leads” actually turn out to be someone’s Grandmother using her iPad on her couch filling out a demo request thinking she was entering Publisher’s Clearinghouse!)

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Why the Difference Matters

Understanding the difference between targets and leads is essential for developing a comprehensive strategy that addresses both groups. Here’s why:

1. Tailored Outreach: Your communication with targets needs to be different from your communication with leads. With targets, you’re in the awareness stage—trying to get their attention and show them the value of your solution. With leads, you’ve got a short period of time to make contact, qualify them (make sure they’re not Grandma), and give them enough value to interest them in a discovery call or demo. According to InsideSales.com , 35-50% of sales go to the vendor that responds first. If you miss that opportunity, leads should go into a marketing nurture campaign.
2. Resource Allocation: Targets may require more time and resources to nurture and convert into leads, whereas leads have already raised their hand. In many cases, leads would be considered “warmer” and therefore should take less effort to convert than targets. There is a role for marketing and BDRs to play with both, but the allocation of time and energy should look different.
3. Measuring The Right Goals: The goal of your outreach to targets is to have them show interest in your solution, essentially converting them into a lead. The goal of outreach to a lead is to convert into an opportunity to sell your solution. All of your lead sources, including your target databases, should be tracked so you can understand the ROI on your investment. It’s important to understand what sources have the best rates of converting to opportunities and closed business.

Crafting a Strategy for Both Targets and Leads

To maximize the impact of your lead-generating efforts, it’s important to approach targets and leads with distinct strategies:

• For Targets: Build a strong marketing presence that positions your company as a thought leader in the industry. Use tools like targeted ads, whitepapers, and webinars to get in front of your target audience. Establish credibility before they even consider engaging with your brand. Many successful B2B companies also leverage business development reps (BDRs) to hit the phones in support of the awareness campaigns.
• For Leads: Once you have a lead, the focus shifts to qualification, education and conversion. To sell the value of your solution, it’s important to understand their current situation and pain points related to your offering. Now is the time to offer product demos, case studies, or consultations that address their specific needs. Tailor your communication to show how your solution fits into their goals and can drive success for their business.

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Wrapping Up?

Recognizing the distinction between targets and leads is crucial for creating an effective growth strategy. While targets represent potential future customers, the path to a sale is longer and requires their awareness of your brand and solution. Leads are warmer because they’re already engaged and closer to making a buying decision. By developing a plan that addresses both, you’ll ensure a steady pipeline of new business, while also nurturing those who are already interested.

Midgame Consulting clients have had great success with The Lead Optimization Roadmap program. Lead management includes using data sources (internal & external) and the CRM system to capture prospect information, score it, assign it, and ensure the reps have a formalized process to maximize conversion.

The Lead Optimization Roadmap starts with a detailed traceability analysis and provides a tailored roadmap for improvement. We will understand the current state within our Lead Generation Framework and then provide a roadmap for you to get the greatest ROI out of your leads.

If you’re interested in learning more, message me or call me at (813) 738-3365 now so you can take advantage of this limited offer.

This is a massive opportunity that could be slipping through your hands.

Get started now to maximize the impact on 2025!

Additional Resources:

• Top 10 Lead Optimization Strategies to Maximize ROI (Bonus - A whitepaper PDF version of this is available. Just DM me for your free copy!)
• The Costly Missed Opportunities In Your Lead Generation