A hot lead is a marketing lead interested in a brand's product. They realize the competitive advantages of your product, and have the budget and authority to make a purchase. These leads are at the bottom of your sales funnel.
In this article, you'll learn the difference between cold, warm, and hot leads and how to convert hot leads. So, stay tuned!
The Difference Between Cold, Warm, and Hot Leads
These three types of leads represent the way a user comes through to become your customer. They have different intents and needs, so they require different approaches. Let's take a closer look at the features of each type of lead.
Cold leads are at the top of your sales funnel. They may not know that your brand solves their problem, or they may not be interested in your products yet. Your sales representatives could collect their contacts via cold calling or cold emailing. You need to develop a step-by-step lead nurturing strategy to convert a cold lead into a customer.
Warm leads are in the middle of your sales funnel. They are familiar with your brand. Warm leads could have subscribed to your email newsletter, followed you on Facebook or Instagram, or visited your website. They realize that your brand provides a possible solution to your problem but are not ready to buy yet. They may have doubts regarding the product or have no authority to make a buying decision. You need to implement a personalized approach to make them choose your company.
Hot leads are your most valuable prospects because they are at the bottom of your sales funnel. These leads know much about your company and realize the benefits of your product. They're highly qualified leads. They have both desire and authority to buy, but they need a final push. Sales reps should act immediately not to lose such a deal. The more time you think about how to approach a hot lead, the faster it will turn cold.
Now that you know how cold, warm, and hot leads differ, it's time to move on. We'll share some practical tips that will help you convert hot leads into customers.
How to convert hot leads?
Hot leads have a whooping conversion rate. In addition, you don't even need to nurture them. Your task is to remove the last obstacle which prevents them from becoming your client. So, we'll share our experience in converting hot leads into customers.
- Identify the sources of acquisition and engagement. This information is essential since it helps you determine your leads' needs. You'll get insights into their customer journey and discover their interests. You can get this information in your CRM or Google Analytics if you haven't nurtured the leads on your own. SendPulse provides a free CRM which adds leads automatically after they perform targeted actions on a landing page, chatbot, live chat on your website, email campaign, subscription form, or make a payment. So, once they click "Order," they will be added to your CRM. For more details, read this guide. You'll get to know which products they're interested in and which channels bring you more profits.
- Provide the necessary marketing support. Although hot leads know pretty much about your company, they may need the final push before making a purchase. Never treat your cold, warm, and hot leads with the same content and offers. Discover your leads' hesitations and obstacles to provide the necessary collateral when it comes to a purchase. You can share your most successful case studies and testimonials, offer a demo, or give a discount.
- Use personalization and segmentation. These tools reinforce your personalized approach to every lead. People appreciate brands caring about their individual needs and preferences, so don't miss a chance to become such a brand. With personalization, you can send the same email but include dynamic content, which varies depending on the data you have. Segmentation allows you to divide your leads into segments based on common characteristics and appeal to them with relevant offers. With SendPulse, you can send personalized and segmented emails for free.
- Offer a free trial. Although hot leads spend much time on research and realize the benefits of your SaaS product, it may be difficult for them to buy a plan in advance. Let them evaluate its features and competitive advantages with the help of a free trial. You can enable leads to use all the advanced features of your product during a week, and if they like it, they will buy. Ask your customer care agents to support leads this week to help make the most of your product.
- Use a CRM system. With a CRM, you can keep track of all your deals, monitor how they move from the top to the bottom of the sales funnel, and communicate with them in the most appropriate channel. SendPulse provides a free CRM that will help you effectively manage your sales process and communication channels in one place. You can collect and store customer data, launch marketing campaigns, add new deals, and connect with leads from a single platform. Allocate the deals among your sales reps and reward those who perform better.
Congrats, now you know how hot leads differ from cold and warm prospects. Get inspired by our tips and register with SendPulse to bring communications with your customers to the next level!
Last Updated: 30.06.2023