Marketing qualified leads (MQLs) are common KPI metrics that marketers are measured against, and they’re quite simply the number of people we pass over to a Sales department as ready for a direct sales interaction.
There is only one real problem with MQLs; they’re currently bullshit.
The way that marketers can interact with potential clients has changed exponentially in the digital age. We can now attract and interact with significantly more people than ever before, but those interactions don’t – or at least, shouldn’t – qualify as an MQL. The issue is that far too often, they do.
Let’s look at the issue in context. Almost exclusively, when we are signed on by a company, it is because they want to increase revenue and growth. If they task us with generating as many MQLs as possible in any given month, we could easily provide them dozens if not hundreds of leads. But, if none of those convert into sales, then all we have done is reduce their sales department’s conversion rates, increased the ROI cost, and ultimately failed to improve the company’s position.
This is despite the fact that we did exactly as requested.
As an industry, we need to rethink how we approach MQLs and the sales funnel more holistically. Despite proclamations that the ‘secret to success’ is Marketing and Sales becoming more aligned, the two are measured on completely different metrics. This results in a poor customer experience, where Sales are chasing people not yet in the buying cycle, and possibly even pushing them away from the brand.
Let’s make ‘qualified’ mean something again, and focus on the quality of the leads, rather than the quantity. And this isn’t some ploy to reduce the numbers we measured against. Far from reducing the expectations on marketers, companies should be demanding more than the bare-minimum-cold-contact-acquisition that certain marketers provide.
A core concept of marketing is to present a solution to a customer pain point at the right time. It should be the role of marketers to foster a relationship with potential customers, building brand recognition and buy-in, and then, only when the customer is in the buying cycle, move them down the sales funnel. That nurturing of the contact to get them ready to buy, before they are approached by the sales team will significantly improve the likelihood of a conversion. Yes, there will be less MQLs, but the quality will significantly improve.
But how do we do this?
First, we need to more closely align sales and marketing. Ultimately, the job of both departments is to sell products and generate revenue, so we need to decide upfront what activity it is we’re doing that will generate revenue, and the best way for both teams to work together to deliver that.
Secondly, we need to be more considerate about the metrics we’re measuring. If you measure the wrong data, you get the wrong outputs. As argued, it’s pointless just aspiring to ever higher numbers of MQLs, as that will just result in increased CPA. Instead, metrics should be tailored to the campaign in question, but if we’re going to fixate on leads then attributed revenue would be a better model.
Finally, and most importantly for me, think about the customer journey. Your customer should be at the centre of everything you do, and if you’re not meeting their needs or expectations, you’re potentially losing out on a sale. Don’t rush straight into making the sale when the customer isn’t ready, as you’re not offering anything that meets their needs at that time. Nurture the relationship, keep them engaged with your brand, and then when they’re ready, you’ll be ready to help.
