Uncovering Hidden Revenue: The Overlooked Problem in Sales Processes
In my six years of sales consulting, I’ve noticed a recurring theme across nearly every company I’ve worked with, regardless of the industry they operate in—whether it’s software, professional services, or manufacturing. It’s a simple yet profound issue that continues to frustrate me: businesses are fixated on generating more leads while simultaneously losing money from the leads they already possess.
Just last month, I collaborated with a company whose CEO lamented, “We need more traffic to our website; our lead generation is failing.” Intrigued, I decided to take a closer look at their existing lead management process.
What I discovered was alarming:
- The average response time to new leads was a staggering 23 hours—when it should ideally be under 5 minutes.
- They followed up with leads twice and then abandoned them, despite the fact that most prospects require 7 or more touchpoints to convert.
- Proposals were left languishing in email for weeks, without any follow-up.
This situation made it abundantly clear: the company didn’t require an influx of new leads; they needed to address the ones already in their pipeline. After making some straightforward adjustments to their response time and follow-up strategy—nothing fancy, just fundamental practices—the results were significant. Within three months, their revenue skyrocketed by 34%, all without a single dollar spent on new lead generation.
I’ve seen this scenario unfold over 40 times in my career, and the pattern remains consistent. Companies often gravitate toward the allure of the latest marketing techniques while neglecting the foundational elements that drive revenue growth.
Here’s my tried-and-true approach to remedying this issue:
- Week 1: Identify where leads are slipping through the cracks.
- Weeks 2-3: Address the most significant leak, which is typically related to response time or follow-up processes.
- Week 4: Analyze the changes to measure improvements.
This methodology may not be glamorous, but it works consistently. Many companies sit on a potential revenue increase of 30-50% with their current leads, overlooking this opportunity because they’re too focused on the top of the funnel.
It’s a bit like trying to fill a bucket that has holes in it—pouring in more water won’t solve the problem if you don’t deal with the leaks.
I can’t be the only one noticing this trend. It sometimes feels surreal
