Lead generation is only half the battle when it comes to growing your business. The other critical component is converting those leads into paying customers. This can be challenging if you don’t understand what motivates people to take action. In this blog post we discuss some key principles that drive decisions and action and could help improve your lead conversion rates.

The buyer’s journey

While the buying journey is unique for every customer out there – and it’s rarely the same twice – nevertheless it is possible to group motivators and typical responses. Creating an effective marketing campaign that resonates with your target audience requires a basic understanding of the Problem – Agitate – Solution (PAS) process.

Step 1: Identify the problem your product or service solves.

Step 2: Identify the typical pain a person with the problem will experience.

Step 3: Identify the pleasure your customer or client will have when the problem is solved.

Step 4: Create content and messaging that addresses each of these while offering your product or service as the ideal solution

There may be a range of pains and pleasures/reliefs your customer experiences. Pick the most common of each and focus on them – you can alway tweak a successful campaign to speak to the others later on.

What’s in it for me? (WIIFM)

Commercial relationships naturally tend to be transactional. That doesn’t mean you don’t like your customers or they you, but the relationship is based on the exchange of money and value. Essentially your customer is giving you money for something they value more than the money it costs. And the money they pay is more valuable to you than the product or service they’re getting.

So each party are asking themselves ‘what’s in it for me?’ (WIIFM). You need to be able to answer that question for both yourself and your customer.

Fear of missing out (FOMO)

Scarcity is a potent tool for persuasion. Offers that are restricted or have limited availability can create urgency among prospects by stoking fear of missing out (FOMO).

This concept is commonly deployed to improve lead conversion through time-sensitive or limited quantity offers e.g. discount codes valid for 24 hours, Black Friday sales, limited stock, etc. It is also used for One Time Offers (OTOs), usually for upsells after the initial purchase is completed.

Beware! False scarcity may work short term but will come back to bite you in the long run

Lead Conversion Through Social Proof

Social proof is now an essential factor in lead conversion. Prospects are more likely to trust and do business with companies that have positive reviews from satisfied customers. Leverage this by:

  • displaying customer ratings on your website;
  • sharing success stories on social media; and
  • asking clients to post testimonials on review sites like Yelp or Google My Business.

This will help you build credibility and will lead to increased sales.

Emotional intelligence and empathy

Emotional intelligence and empathy are essential for successful lead conversion, sales and building strong relationships with customers. We base our buying decisions on our emotions and justify them with logic. Identifying and understanding the emotions driving your customers’ decisions allows you to ‘meet them where they are’ and ‘speak their language’. This fosters trust.

Conclusion

Converting leads to customers requires a basic understanding of what motivates our buying decisions. Follow the buyer’s journey and use

  • Problem – Agitate – Solution (PAS)
  • What’s In It For Me? (WIIFM)
  • Fear of Missing Out (FOMO)
  • Social proof

Engaging your emotional intelligence and being empathetic will help you to communicate effectively with your prospects and customers, building trust and strong relationships that lead to business growth and increased sales.