Lead Scoring is a term used in sales processes and CRM software. It helps understand the potential value of a lead and how ready they are to be sold to. On this page, we’ll discuss what lead scoring is and why it’s so important in modern sales.
What is Lead Scoring?
Think of Lead Scoring as a way to measure the value of our prospects. Some prospects are worth a lot; they may represent big potential deals that are likely to close. Other prospects are unlikely to buy from us - or may represent small deals. As leads, they have less value.
Lead scoring helps different teams prioritize and respond to leads. For example, highly valuable leads may warrant an Account Executive’s immediate and focused attention. Low-value leads may only warrant automated follow-up sequences that don’t involve a human operator.
Why is Lead Scoring Important?
Markets markets are full of potential customers. Lead Scoring is your compass, ensuring you don't drift aimlessly. It helps you focus in on the most promising leads, making sure you seize your biggest opportunities without focusing on low-value ones.
Lead scoring also helps you rank how ready leads are to be sold to. For example:
- Information Qualified Leads who are ready to learn about our offer.
- Marketing Qualified Leads who are ready to be marketed to.
- Sales Qualified Leads who are ready to be sold to.
This kind of categorization helps you orchestrate marketing messages and sales efforts. This, in turn, reduces customer acquisition costs and lost opportunities while driving revenue.
Making the Most of Lead Scoring
Effective Lead Scoring is about understanding and responding to data in the best possible way. Here are four ways to do that:
Act Fast with Top Scorers: When a lead's score hits a defined threshold, act quickly to keep the momentum up. This could mean following up immediately (for SQLs) or initiating a new marketing sequence (for MQLs).
Cross-Departmental Collaboration: Sales and marketing should join forces to determine what makes a lead valuable to the business. Insights from both teams can make your lead scoring better (and more valuable) to the business.
Adaptability: The market's always moving. Keep tweaking your scoring model to keep up with changes in trends. Make sure to use CRMs and marketing tools that can adapt to your preferences.
Use Your Tech Intelligently: Use CRM and automation tools to score leads and keep them engaged. But remember, software is only as good as the information that it is given. Ensure that you track leads’ actions - and your own interactions with them - accurately.
