In order to formulate your budget requirements, and to understand the extent of your marketing campaign, you need to calculate the amount of leads required to be placed in the customer conversion process. This understanding comes from an extrapolation of how many leads it takes to convert one customer. If you’re looking to acquire 100 new primary customers this year, and your conversion rate is averaging 10%, you’ll need approximately 10X that amount to reach your overall objective, i.e., 1,000 leads = 100 new primary customers. (If you’re wondering how you can increase that conversion rate, you’re in the same boat as the 69% of marketers who made it their marketing priority this year. More on this highly important factor in my next post).
I recommend you conduct an online search for a sales pipeline calculator to assist you in calculating your needs. You’ll find an abundance of calculators out there.
