This video was taken during CLVboost’s recent presentation at the Microsoft New England Research and Development center in Cambridge, MA.
Any startup can successfully use the marketing automation, email and database marketing ideas I shared earlier this week when I had the pleasure of being a featured speaker at the Boston Growth Hackers – Spring Showcase Event at the Microsoft NERD Center in Cambridge. To this audience of entrepreneurs and students, I posed the same three questions I pose to every new business I work with:
- What are the CORE lead sources for your business?
- What is your customer lifetime value (CLV) by lead source?
- What is the ideal track of customer activity to maximize CLV?
Unfortunately, too many startups can’t answer these questions, which is partly to blame for the many failed marketing automation and database marketing investments I come across. Lots of startups, for example, aren’t acquiring leads from reliable sources. They then dig an even deeper hole for themselves by failing to segment, or parse, their leads appropriately. And then fail to engage with them frequently enough for eventual conversion.
I’m going to let the video from my presentation speak for itself, but here are the key points I shared with the Boston Growth Hackers:
- Not all leads are created equal. Startups should parse them into in to one of two major categories:
- Contextual Parsing – “I know what you want because you’re there in the first place.”
- Selected Parsing – “I know what you want because you tell me.”
- What are the handful of categories your prospects fit into? In this case, less is more, so four to six prospect categories is about the max you should work with, and
- Since each category of prospect is unique, a cookie cutter approach won’t workt. Each category will respond to a different buy button, so tailor the content, landing pages and emails if you really want to crank up your open rates, responses and sales.
I’d be interested in your thoughts on this approach, so fire and away and watch this space for more from the Boston Growth Hackers event.