Since the beginning of Socedo, we’ve built our company on the back of our own platform. Through Socedo, we can target people based on real-time social behaviors that indicate buyer interest. We’ve consistently found that Socedo-sourced leads close at a higher rate than leads from other sources.
While it’s good to know that Socedo leads close at a higher rate, the more valuable question to answer is this: does social media engagement help leads move faster through the buying cycle and convert at a higher rate?
Almost all companies today use social media in one way or another, but are these efforts truly moving the needle in terms of generating new leads and revenue? We decided to find out.
Earlier this year, we released a solution called Social Lead Monitoring, which enables marketers to track every single social interaction their existing leads have with their brand handle or specified keywords. Since then, we’ve been running some internal tests to see how well socially engaged leads truly perform against their non-social counterparts.
Here are the questions we asked of ourselves:
- Are the leads who’ve followed, mentioned or retweeted at one of Socedo’s Twitter handles moving through our sales cycle faster than non socially-engaged leads?
- Are these leads more responsive to our direct messages and calls-to-actions?
- What about the leads who didn’t engage with Socedo handles on Twitter, but engaged with keywords and hashtags relevant to our business? How do these leads perform?
Based on data from a 30-day time period taken from our own Marketo and Salesforce reports, we’ve found that socially engaged leads do move faster through our sales cycle and convert at higher rates.
Socially leads who engage with Socedo’s Twitter handles close at a higher rate and at a higher average selling price
To make sense of the results, let us first provide some background on our lead qualification stages. In our business, we send the leads to sales reps once they reach a stage called Marketing Qualified Lead (MQL). Once a lead is assigned to a sales rep, the rep reaches out to the lead to schedule a conversation. Once the lead accepts a sales conversation, he or she reaches the Sales Accepted Lead stage. If the sales reps identifies there is a real business opportunity, the lead reaches the Opportunity stage. As soon as someone signs an agreement, they become a Customer.
We found that leads who have engaged with our Twitter handle (follows, mentions and retweets) were 17.8% more likely to move into the Opportunity stage compared to leads who’ve had no interactions with our company on social media.
The socially engaged leads also move from the MQL stage to the Opportunity stage about half a day faster than non-socially engaged leads. Because we have a relatively short sales cycle, half a day represents a significant time saving for our sales team. It means that salespeople can cut down the time they spend following up with leads.
Finally, the socially engaged leads closed at a higher rate and they netted a 22% higher average selling price than their counterparts.
Social leads who engaged with select keywords perform even better than social leads who engaged with Socedo handles
If the data from leads who engaged with our Twitter handles is encouraging, the results from leads who engaged with selected keywords is out of the park. For this test, we selected nine highly relevant keywords that traditionally identify a qualified lead for our business, including #leadgeneration, #mktgnation, and demand generation.
We found that leads who tweeted or retweeted one of these keywords were 45.5% more likely to make it to the Opportunity stage and do so in two-thirds of a day sooner than non-socially engaged leads! Not to mention, the socially engaged leads closed won at a 23.3% higher rate.
Why are social leads more sales-ready?
While these results are exciting on their own, it’s important to dive into the causes behind them.
When people engage with your Twitter handle, they are warming up to your brand. Because they’ve already expressed interest in learning about you and have consumed some of the content on your social feed, chances are, they’re ready have a conversation when you reach out. Regardless of whether or not these leads opt-in to your email list, your first touch with them is not a cold touch.
When people engage with keywords that are relevant your industry or market, it’s a good time for you to reach out. Just like search engines bring relevant prospects to your website when they have a need, people who are already discussing your industry on social media are ready to enter your buying cycle. You can engage them just at the right time by sending them relevant messages and offers.
What do these results mean for your marketing team?
Based on these results, we are optimistic about using social media as a lead generation channel. If you’re not using social media for lead generation, you may want to consider:
- Using social media to identify new leads for your business
- Monitoring the social media activities of your existing leads to see if they’re already engaging with your brand or industry-specific content on key social networks
- Incorporating social media activities into your lead scoring model
- Reaching out to your existing leads who are active on social networks with tailored messages and content offers to accelerate the sales cycle
At Socedo, we enable marketers to use social networks to identify their best leads. Our search engine combs through relevant tweets, hashtags and networks of influencers to detect real-time buying signals. We also help marketers track the social media activities of their leads on a continuous basis to enable accurate lead scoring and lead nurturing, to generate more sales-ready leads. Find out for yourself with a free trial of Socedo.