Tag Archive for 'start-up strategies'

Lead Nurturing Strategies for Start-ups

This is the most critical and heart-breaking part of acquiring customers. It can sap even the most persistent. But there is no alternative if you want to convert your qualified lead to an invoice. In the first place, consider yourself lucky you have a set of qualified leads. Most start-ups do not enjoy that luxury. Now it’s only about how you grab this opportunity with both hands and push and prod them to a decision.

Having said that let me tell you there is no ‘best’ or ‘sure fire’ way of nurturing leads. You have to feel your way through. But remember, whatever you do be consistent.

What is Lead Nurturing? It is the consistent process of keeping the lead engaged with a series of focused and relevant content that is both informative and educative about your domain and its impact on the prospect’s business.

Please note, this engagement may very well be just one-way. The lead may or may not respond. But you can rest assured that the information you are sharing is being read, assimilated and filed away for future reference. More important, you are in the process establishing high recall for yourself and your company. The idea of lead nurturing is to get you the inside track in a highly competitive environment where there is a surfeit of information and try and evoke a reaction, be it a step towards a decision or start a conversation or just a response, with the kind of content that you present.

What is the kind of information you should share with the prospect? This is something most sales people ask me when we discuss lead nurturing. Having understood the target segment from where the lead has emanated, you need to come up with content that is relevant to the prospect and adds value to the prospects business and decision-making process. The content could be anything like Blogs, Customer Use Cases and Testimonials, New Customer Acquisitions, a New Use Case, White Papers, Company Newsletter, Webinars, new product development or enhancements etc. You could also share links to relevant blogs on other sites which could help to improve the prospect’s knowledge and intellectual property. Share lists of customers in their line of business or located in their part of the woods. This could help as most customers suffer from ‘herd mentality’. If someone from their domain or region or locality has taken that leap of faith with you, then you must be ‘Ok’. So share as many such confidence boosters.

Another innovative way would be to visit their website, understand their business, the processes they could be following and try and build a possible Use Case specific to their business where the benefits from using your product or service could be better highlighted. I find this a very powerful method as nothing will convince the prospect more than transplanting an idea in their environment and making a point.

If you start to think out-of-the-box I am sure you will come up with many more innovative ways of keeping your prospect engaged. Keep ideating and coming up with new ideas of how to keep your prospect engaged. Trust me, pressure of targets brings out the ‘Einstein’ in most sales people.

What is ‘consistent’ engagement? I am often asked how often should one write to the prospect. How consistent is consistent? How often is too often? It all depends on where you had reached in your interactions with the lead. That will help you to judge the level of communication you need to employ with the prospect.

  • If the lead has visited your website and filled a form to download some resource and you have sent a ’Thank you’ and ‘Introduction’ mail to which there has been no response, then in the initial couple of weeks from first contact you should keep sending some information once every week. If there is still no response, then thereafter slow it down to once a month.
  • If the lead has either taken a product walk-through on your site or you have connected and given a product demo and thereafter drops from the radar, then keep pushing a lot of product information and customer use cases. Again keep up the pressure once a week for a month or so and thereafter taper off to once a month. During this time you could also volunteer some special price schemes to elicit some reaction.
  • If the lead disappears after a demo and price discussion then in all probability they are studying competitive products and/or going through the internal process before a decision. This is when you need to share more information on business benefits and ROI. Information that would help the user get the necessary approvals. The follow-up should be intense, probably once every 2-3 days for 3-4 weeks. Follow-up should also include telephone calls.

The above is only to give some directions on the approach you could adopt to take a lead to closure and not necessarily the only way. Your actual interaction with the prospect will determine your line of action.

During all of the above or wherever you may be in the sales process it is important to get the prospect to give some indicative timeline at the very least. Understand his use case and reasons he is even thinking of your product. If you know why he is out shopping, you then have the opportunity to tailor your communication accordingly. All this is part of the lead nurturing process.

But remember, don’t lose wind. Keep up the efforts. Not all will actually close. But such lead nurturing has yielded closure rates as high as 45-60%. That should encourage you to keep pegging away. Results will surely follow.

The author, Srikanth Vasuraj, is a Business Consultant focused on helping start-ups to grow. He can be reached at +91-98454 78585 or srikanth@nodiva.co.in . For more information please visit www.nodiva.co.in .

What is the role of a Product Manager?

When hiring, I have quite often seen people confusing the Product Manager’s role with that of a Product Development Manager. These are two distinctly different roles and it is important to clearly understand these roles to avoid confusion and heartburn.

The product manager is the owner of the product and plays a pivotal role in bridging the gap between the product and customer needs. His role includes:

Identifying Customer Needs: Understand the existing processes, pain points and the reasons, what it is costing the customer and what would help to establish that customer delight in terms of measurable business benefits.

Translating needs into product functionalities: Work with the development team to help them understand the functional processes and features that would help to address the pain points and establish business benefits.

Testing: Conducting product POC’s and customer trials to help fine tune the product and make it more customer- relevant

Marketing: Developing the customer conviction stories and enumerating the business benefits. These would include product presentations, white papers, case studies etc. to help sales.

Product Pricing: Understand what the customer would be willing to pay, with first understanding the business benefits that the customer would derive from the product and convert these into measurable financial metrics and thereby build the ROI. It is only ROI that would help to determine what the customer would be willing to pay.

Competitive Analysis: Understanding competitive products and help build the competitive barriers. 

Building the product road-map: Constantly interacting with customers to gauge product experience and track changes in requirements to help product development team to manifest the changes in time and stay ahead of the curve.

The Product Development Manager manifests the product definitions into a set of functional features. This person will work very closely with the Product Manager in the development and evolution of the product through its entire life cycle.

Being a crucial role in a product company, the product manager should ideally have deep domain knowledge and a feel for customer’s business processes.

The author, Srikanth Vasuraj, is a Business Consultant focused on helping start-ups to grow. He can be reached at +91-98454 78585 or srikanth@nodiva.co.in . Please visit www.nodiva.co.in for more information.

Cold-calling is a necessity for start-ups. But how do you go about it?

Having worked hard to get that MVP (Minimum Value Product) in place, most start-ups struggle with getting those first set of reference customers that would help them validate their assumptions and scale their business. Most of the first-time entrepreneurs have not done any selling their entire life and are now expected to go out there and find customers. This is easier said than done. Given below is a brief step-by-step ‘How-to-do-it’ that could help you.

Step 1: Building the database

This post presumes that you have identified your target segments. Make a list of about 40 -50 names of companies from your target prospect base. You can achieve this by – (a) paying and availing a database. Many people advertise the same, but beware these are notorious for outdated and defunct data; (b) Use other databases like ‘Just Dial’ to get more accurate, industry-specific names; (c) You could also use LinkedIn to search and build your database. This is probably the most updated and accurate source of information. While building this list of prospects you should also know who your actual customer is – the CFO, the Marketing Head, the CEO or someone else.

Step 2: Validate the database

Make that first call to all the company board numbers to validate accuracy of person name, designation and contact details. You could use one of many reasons to wheedle out this information. One such reason could be “We are going to conduct a seminar and would like to invite (either the person by name or designation) and would appreciate it if you could please give me his/her email id, to send a request”. Try asking for the mobile number, but nine out of ten times you will not get it. But people are willing to share email id if the request appears genuine. That is a start to atleast reach out.

Step 3: Devise a Direct Mail campaign

It may not be advisable to straight away call a stranger and try asking for a meeting. Better to send out a mail first to establish that first contact and create awareness for yourself. Some important tips for building an email campaign:

Introduction Mail:

The idea is to ensure your mail does not get deleted as spam and is read by the person concerned.

  1. Please DO NOT send mails using a generic mail service like ‘Gmail’ or ‘Yahoo’ or some such service. It will get pushed to Spam. Register your domain and send it using your domain name.
  2. Have a subject line that will make the person open the mail. Please let it not be something like ‘A Solution to help you SAVE Money’ or some such corny line, which is a dead giveaway that this is spam. It will straight hit the recycle bin. I have found that a ‘Request for a Meeting’ normally intrigues people to atleast open the mail. To this you may add some specifics like ‘Request a Meeting – To discuss how you could reduce process steps to on-board a new employee’. Such a subject line also talks of possible, quantifiable benefits.
  3. Address the mail to the relevant person. A lot of people send such mails to the CEO, where it is sure to get discarded. Identify the relevant person for whom your product/solution could be of interest and address him by name, ‘Dear Mr. XYZ’, and not ‘Dear Sir’. Brings in a personal touch. I know I may be pointing out the obvious, but trust me I receive a lot of such mails with ‘Dear Sir’.
  4. The first line should definitely touch on the potential pain point, your solution, the benefits it can deliver and all this in not more than two or three lines. This is what will make the person read the rest of the mail. Eg. ‘Typically companies take anything between 6 – 18 hours to successfully on-board a new employee. Our (use your company name) solution, (give solution name) can enable the same in just 45 minutes through process automation’.  If this is addressed to either the HR Head or the CTO, you can rest assured he is going to read the rest of the mail.
  5. Next para should quickly list the key features and benefits.
  6. Thereafter a brief introduction to your company and lastly a Request for Meeting.
  7. MOST IMP: The entire mail should appear in one single window. That means the person should not need to scroll and can view your entire mail and your signature in one single view. The moment the reader feels the need to scroll, chances are the mail may not be read.

Follow-up Mail:

This mail should be sent 3 days after the introduction mail and should be a brief 3-4 liner referring to the earlier mail and a short reintroduction of your product as a reminder. The subject line can remain the same.

Step 4: First Call

This call should be made again 3 days after the follow-up mail. The critical factor here is your introduction pitch. In two sentences or in 30-40 seconds you should be able to introduce yourself, your product, what it does and the benefits that it can deliver. This is not easy and will need some practice. It would help to write this down to ensure the messaging is right. These first 30 – 40 seconds will determine if the person is going to give you another minute and thereafter hopefully a meeting. You screw up this elevator pitch and you may have lost an opportunity.

If you get a meeting on your first call you should be doing back flips. Most often you will be asked to call back and even then you may need to repeat the process a few times before you actually get that meeting. This is the hard part and most of us tend to give up. You may end up feeling frustrated, insulted, angry and disappointed. But don’t get discouraged. Remember the old saying, no pain … no gain. Think of the times when some sales person called you and how you reacted. So, this is absolutely normal. Afterall, you and your company are unknown entities to that person. Why should he entertain you? But, as with everything else in life, perseverance and developing a thick skin will go a long way.

All that I have related are based on my personal experience and I have benefited from the experience. This is a small attempt to share that experience with you and help you to develop that prospect list. Hope this helps.

The author, Srikanth Vasuraj, is a Business Consultant focused on Mentoring and Advising start-ups. He can be reached at +91-98454 78585 or srikanth@nodiva.co.in . For more information please visit www.nodiva.co.in .