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Business-to-business lead generation is one of the
few times in life when you should start at the end
and work backwards.

Before you write a single line of copy or design a
single element of your direct mail package, sit down
with the sales people who close the sales. Find out
when and how they get prospects to sign on the line
that is dotted, and work backwards from there to
discover what you need to do to capture the
attention of these prospects in the first place and
get them into your sales funnel.

Here are some questions to ask the sales team:

1. What makes a prospect buy? (Is it price? terms?
   guarantee? after-sales service? quality?)
2. What customer objections will endanger a sale?

How do salespeople overcome these objections?

3. Do prospects need a lot of information before
   making a decision?

I am assuming that your clients’ B2B buying process
(and your sales process) consists of more than a few
steps. Usually, it looks something like this:

• Identify need
• Gather information on solutions
• Establish specifications
• Request proposals or quotations
• Interview top suppliers
• Make short list of suppliers
• Check references
• Test sample or demo product
• Select supplier
• Negotiate terms and price
• Sign contract
• Make first purchase
• Evaluate performance
• Make repeat purchases
• Remain loyal to valued, long-term supplier
• Drop supplier and start over again

Your goal with every direct mail lead generation
mailing is to figure out where prospects are in their
buying cycle and to target them there. The thing to
remember in all of this is that your goal in a multi-
step, complex buying process is not to close the sale
but to move the prospect to the next stage. Here
are some ideas:

If prospects are at the needs-identification stage,
offer them a white paper or similar document that
describes the customer problem that your product or
service solves.

If prospects are gathering information on solutions,
offer them a series of case studies or success stories
that demonstrate why your solution is superior.

If your sale involves many stakeholders, consider
mailing a different direct mail package to each person
who influences the buying decision. In complex high-
tech sales, for example, you can target the CIO
(offer ROI benefits), the CFO (offer cost-cutting
benefits) and the IT manager (offer scalability and
ease of integration benefits).

In many B2B lead generation efforts, you will need to
mail or contact leads more than once before you
generate a response and have a chance to qualify
them. That’s why starting at the end makes such
good sense. You’ll know how many steps you need to
take to reach the sale, and how many times you
need to mail each prospect (and what to mail) to
turn them into a customer.

About the author

Alan Sharpe is a business-to-business direct mail copywriter and lead generation specialist who helps business owners and marketing managers generate leads, close sales and retain customers using business-to-business direct mail marketing. Learn more about his creative direct mail writing services and sign up for free weekly tips like this at http://www.sharpecopy.com.

© 2005 Sharpe Copy Inc. You may reprint this article online and in print provided the links remain live and the content remains unaltered (including the “About the author” message).

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The challenge in business-to-business direct mail is knowing where to look for new business. You need a source of potential new clients that is reliable and affordable. A source that will give you the contact information you need to send a direct mail package to prospective customers who need, want and can afford what you offer.

At a minimum, any source of names should supply the following for each lead:

First name, last name
Job title
Company name
Address (sometimes on two lines)
City
Province or state
Postal code or zip code

Other details that are nice to know:
SIC Code (Standard Industry Classification)
Industry by name
Size of company (in number of employees or sales volume)
Telephone number
Email address
Business type (manufacturing, services, consulting)
Job function (engineer, owner, purchasing, management)
Purchasing authority
Budget
Geographic region (international region, country, state)

Where to find names of potential customers:

Associations
There is an Association of Legal Administrators. There is an association for social workers who specialize in helping people with cancer (Association of Oncology Social Work). There is an association for manufacturers of fasteners in the mid-west of the United States (The Mid-West Fastener Association).

If your target audiences is a niche market, the first place to look for potential customers is trade associations. These associations (local, regional, national, international) often rent lists of names of their members.

Trade publications
Most industries have a trade journal. You are familiar, of course, with Frozen Food Age, Industrial Hygiene News, Eyecare Business and Waste News. These trade publications and most others also rent the names of their subscribers.

Trade directories
You could look in the phone book. Or you could look in the Organic Export Directory, a compilation of contact names for companies that export organic food products. The more narrow the field, the more likely it is to have its own directory of companies in the industry. Some of these directories are in print, and some are online as well.

Trade shows and conferences
Another excellent source of names is industry events. These are usually hosted by trade publications and associations, but independent events also exist. Event organizers rent or sell the names of event attendees and exhibitors.

List brokers
List brokers are specialists who help one company use the list of another company. Their services include research, selection and recommendation of lists. A list broker, for example, would search on your behalf for lists that meet your unique criteria. There is a Hospitality/Travel Professionals list. And a Firefighters Bookstore list (people who have purchased from Firefighters Bookstore). And a Federal Student Aid Schools list (28,994 schools that provide federally financed aid to their attendees).

House list
Your best source of new business is your database of current and lapsed customers, otherwise known as your house list. Getting business from a current customer is always less expensive than getting business from a new customer.

Government
For some products and services, another excellent source of potential clients is the government. I have a number of clients who buy mailing lists from their state governments and use them to mail offers to businesses that are in their target audience. One client buys the names of dentists and dental hygienists whose licenses are about to expire, and mails those prospects a direct mail piece that promotes the client’s continuing education courses (which prospects need to take and pass to renew their licenses). Another client buys the names of garages in his state who conduct state-mandated vehicle safety inspections. He mails them direct mail pieces that promote his software product, which is designed specifically for these inspection stations.

Keep in mind that the most important part of any business-to-business direct mail lead generation campaign is the list. You can have a great product, a terrific offer and the best timing, but if you mail to the wrong people, well, you know what happens. So make sure you get the best list you can.

Alan Sharpe is a business-to-business direct mail copywriter, lead generation specialist and publisher of “Sharpe & Direct: The B2B direct mail marketing e-newsletter.” Receive a free report when you sign up at http://www.sharpecopy.com

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1. Personal
Unlike an advertisement in a trade publication, which can be read by anyone, your sales letter arrives at your prospect’s place of business as a piece of personal communication from your mind to his. Also, unlike any other medium, direct mail can be personalized (Dear Mr. Smith) and customized to each reader (”As an IT manager, you know that . . .”), showing your prospect that you know about him by name and understand his business in particular.

2. Cost effective
Advertising by its very nature is expensive. To reach a lot of people, you need to spend a lot of money. Direct mail, on the other hand, only targets the prospects you want to reach. Instead of pitching your product to a huge audience of potential buyers, you aim your sales message only at prospects most likely to buy.

3. Breaks through the clutter
Your ad can easily get lost among dozens of competing ads in a trade newspaper. Your sales message is also easily forgotten on radio or television unless you repeat it many times, which is expensive. But a simple letter, addressed to your prospect by name and arriving on her desk in the morning mail (which she must open), cuts through the media clutter and gets her attention.

4. Measurable ROI
Direct mail is one of the best mediums for measuring the return on your marketing dollar (or pound or yen). Simply code your business reply cards, and count how many return to you in the mail. Then calculate how many of those replies generate a sales meeting or a sale. Now you know immediatelyand exactlyhow effective your mailing has been. Direct mail numbers never lie.

5. Predictable
One advantage of knowing the success rates of your past mailings is that you can predict the success of future mailing. If you mail the same package with the same offer to a similar group of prospects at the same time of year, you can predict how many responses you will receive, and how many of those will translate into sales.

6. Can be improved through testing
Because you can measure your direct mail results, you can also test your mailings. Test one package against another, one list against another, one offer against another, and you’ll discover what works and what fails. That way you’ll spend your marketing dollars where they are most effective (without relying on guess work or hunches).

7. Immediate
General advertising builds brand awareness. Sales brochures inform. But a direct mail letter asks for action now. So if you need to generate sales leads, and don’t have time to wait for your ad to appear in “IT Buyers Quarterly,” send a direct mail letter and wait a week or so for a response.

Alan is a business-to-business direct mail copywriter and lead generation consultant. As President of Sharpe Copy, Inc. (http://www.sharpecopy.com), Alan specializes in helping businesses generate leads, close sales and retain customers, using cost-effective, compelling direct mail and email marketing. Alan also uses his direct mail advertising services to help charities raise funds and raise awareness of their causes, using fundraising letters.

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