LEAD GENERATION – Finitegs

What is a Lead Generation Business?
As mentioned earlier, a lead generation business acquires leads for clients who could then sell a product or service to these leads. Your clients pay you a fee since you are able to direct intended demand towards their products and services.

In the B2B lead generation business, clients pay for each lead generated if they meet the criteria given by them. You don’t have to wait for your leads to make a purchase before you get paid. In other referral models, like affiliate sales, you need your lead to purchase before you can get paid.

Clearly, there are a lot of potential clients to sell leads to. When this is combined with getting paid for each lead generated, the lead generation business becomes a very attractive opportunity.

Who are the best clients for a lead generation business?
Many different industries can benefit from lead generation services, but not all clients fit well.

The best clients for lead generation businesses are those that have low customer acquisition costs, which allows them to profit from higher volumes.

You should consider getting clients in some of these industries:

Recruiters and headhunters
Marketers and salespeople
Advertisers wanting to create custom Facebook audiences
B2B businesses
Call centers
Insurance companies
So how do you go about building a lead generation business? Let’s explore that next.

How to Start a Lead Generation Business?
Learning how to start a lead generation business isn’t very straightforward. To build a successful lead generation company, you must consider several factors.

How do you actually generate these leads?
How do you ensure these leads are likely to buy from your client?
How much do you charge your client?
How do you even get clients in the first place?
We have covered every aspect of starting a lead generation business throughout this guide.

6 steps to start a lead generation business from scratch
Step 1: Pick a niche and geography

Step 2: Develop client relationships

Step 3: Finalize commissions and fee structure

Step 4: Plan and build marketing assets

Step 5: Nurture leads before handing off

Step 6: Track results and optimize

Step 1: Pick a niche and geography
As the first step, you want to pick a niche or category of products or services you broadly plan to sell. In order to succeed in business lead generation, you must select the right service to offer.

Here are some things you need to take into consideration, as you decide onto a niche:

How much do you know about the market
Economics — how much can your client make in margins and LTVs (Long Term Value) from your leads
How competitive is it?
Is the market itself saturated?
These are listed as per the priority – so the first thing you should consider working on is to list out all the markets you can see yourself becoming an expert in. Off these, you can pick the ones that are the least competitive, that aren’t yet saturated, and could make you the most in commissions.

Also remember, narrower the niche, bigger the opportunity. For example, narrow down from Finance into a subcategory, like Insurance, then further narrow down to pet insurance. This will improve your chances of success as a lot of these small categories have minimal competition in lead generation services.

Step 2: Develop client relationships
Strong relationships with clients are another essential part of the success of the lead generation business. Once you have identified your niche, start building relationships with prospective clients who might need lead generation services. Much like generating leads, you will have to sell your leads (or future leads) to your clients at the right price.

You can start by making a list of companies operating in the niche you wish to work with. Then using networks like LinkedIn, you can find people in Sales and Demand Generation roles that could be approached to sell leads.