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Lead Generation
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Online Lead Generation is a marketing term that refers to the creation or generation
of prospective consumer interest or inquiry into a business' products or services
online. Leads can be generated for a variety of purposes - list building, e-newsletter
list acquisition, building out reward programs, loyalty programs or for other member
acquisition programs.
A lead is a sign-up for an advertiser offer that includes contact information and
in some cases, demographic information. There are two types of leads in the lead
generation market: sales leads and marketing leads. Sales leads are generated on
the basis of demographic criteria such as FICO score, income, age, HHI, etc. These
leads are resold to multiple advertisers. Sales leads are typically followed up
through phone calls by the sales force. Sales leads are commonly found in the mortgage,
insurance and finance leads. Marketing leads are brand-specific leads generated
for a unique advertiser offer. In direct contrast to sales leads, marketing leads
are sold only once. Because transparency is a necessary requisite for generating
marketing leads, marketing lead campaigns can be optimized by mapping leads to their
sources.
Online pricing models
There are three pricing models in the online advertising market that marketers can
use to buy advertising and generate leads.
CPM (Cost-per-Thousand) Pricing Models charge advertisers for impressions — i.e.
the number of times people view an advertisement. Display advertising is commonly
sold on a CPM pricing model. The problem with CPM advertising is that advertisers
are charged even if the target audience does not click on (or even view) the advertisement.
CPC (Cost-per-Click) advertising overcomes this problem by charging advertisers
only when the consumer clicks on the advertisement. However, due to increased competition,
search keywords have become very expensive. A 2007 Doubleclick Performics Search
trends Report shows that there were nearly six times as many keywords with a cost
per click (CPC) of more than $1 in January of 2007 than the prior year. The cost
per keyword increased by 33% and the cost per click rose by as much as 55%.
CPL (Cost-per-Lead) advertising solves risk of CPM and CPC by charging only by the
lead. Like CPC the price per lead can be bid up by demand. Also like CPC there are
ways that providors can commit fraud by manufacturing leads or blending one source
of lead with another (example - search driven leads with co-registration leads)to
generate higher profits. In recent times, there has been a rapid increase in online
lead generation — banner and direct response advertising that works off a CPL pricing
model. In a Cost-per-Lead pricing model, advertisers pay only for qualified leads
— irrespective of the clicks or impressions that went into generating the lead.
click here to get started with webplore.
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Testimonials
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“This team was very sincerely and dedicatedly worked throughout the project and
has been able to provide us a solution to map our business. We look forward to a
long everlasting relation with Webplore. custom software development company Usa.”
Outsourcing Software Development Richard Engineer Head-IT,
Dallas TX, USA
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