Why do some B2C companies grow quickly while others struggle? This is a question I'm excited to delve into as we look at data from 500+ of US-based EO companies that have participated in the Growth Research project with myEO. Let's look at B2CLead Generation (read the B2B Lead Gen article) and here are few key insights come to light that you can apply to your business today.
B2C Lead Generation
What do B2C companies do to generate leads for their business? Here are the different methods used looking at All respondents, High Growth companies growing over 20% YOY and those in decline, flat or under 20% YOY growth.
Lead Generation Effectiveness
Now let's look at the High Growth vs. Low/No Growth segments as represented in the charts below. The chart measures 3 different things.
Lead Generation Effectiveness: On the X-Axis (bottom) is a rank from 1-to-5 on how effective different lead generation methods are. The farther right, the more effective, so the numbers represent the following:
Not Effective - 1
Slightly Effective - 2
Moderately Effective - 3
Very Effective - 4
Extremely Effective - 5
Lead Generation Method Frequency: On the Y-Axis (Left) is the % of respondents that use a lead generation method.
Top Revenue-Generating Lead Generation: The size of circle is based on how many respondents said the lead generation was the top revenue generating method. These are also segmented and color coded based on Top, Middle, Low or None in terms of how many respondents selected their top method.
What do High Growth B2C Companies do differently?
1. High Growth Companies rely on Channel Partners.
Channel Partners is the top lead generation method for High Growth companies, and it is often scalable and repeatable. On the flip side, only 5.8% of low growth companies selected this method.
Low Growth's top selected lead generation strategies were PPC (18.84%) and SEO (10.98%).
When asked what one lead generation method are you most interested in learning more about, high growth companies were interested in Channel Partners (15.79%) and SEO (10.53%) while low growth companies selected Content Marketing (13.41%) and Influencers (11.59%) which most did not consider very effective.
2. High Growth Companies are more likely to do their lead generation in-house
3. High Growth Companies are more likely to have Sales & Marketing Leaders
Significantly more Low Growth companies are the Sales & Marketing leader in their company compared to High Growth companies.
4. High Growth Companies Invest more into Sales & Marketing
Sales & Marketing Budget: High growth companies spend 15% of their revenue on Sales and Marketing compared with 10.6% of low growth companies.
5. High Growth Companies are more Marketing than Sales Oriented
Sales Employees: High growth companies said 24.7% of their employees worked in sales compared to 38% of low growth companies.
Marketing Employees: High growth companies said 5.8% of their employees worked in marketing compared to 2.3% of low growth companies.
As mentioned before, our next theme will focus on MONEY. So look for a new survey coming your way but until then more great content on GROWTH is coming your way.
I am excited for us to learn from each other as mentioned, our chapter seeks to increase member-to-member value through curating and creating valuable content that you care about. GROWTH is the first theme that will be unpacked for the next several months but over the year we will focus on 4 themes GROWTH, SCALING your operations, creating a winning STRATEGY and MONEY.
Feel free to reach out to me if you have questions!