5 maart 2024

The cost-saving power of duplicate leads: A deep analysis

In the world of marketing, everything revolves around generating leads – potential customers who have shown interest in your products or services. But what happens when these leads occur in duplicate? Is it worth pursuing them?

Duplicate leads are not a waste

Traditionally, duplicate leads within a certain time frame are often seen as unwanted and a waste of money. Especially if these leads are purchased from external suppliers. However, the reality is not as black and white as it seems.

It is important to understand that duplicate leads are no longer synonymous with resource waste. In fact, they can play a crucial role in improving the ROI of your marketing campaigns.

Here are some reasons why following up on duplicate leads can indeed be meaningful

Cost-saving: First and foremost, it is important to address the perception that not taking duplicate leads from an external party saves costs. The idea that you are better off when only taking unique leads is understandable but not entirely accurate. The price per lead is always determined by the total costs for generating the leads, divided by the number of leads that can be delivered to the customer.

If you do not take duplicate leads, the price per lead you pay to a bureau will automatically be higher than if you do take the duplicate leads. The total costs for generating the leads remain unchanged in both cases. 

Let’s take an example

Imagine you have a lead provider who generates leads and charges an average lead price of €10 each. The total cost of generating leads is €1,000.

Scenario 1: Not taking duplicate leads
You decide to only take unique leads.
The lead provider can deliver 100 unique leads for €10 each.
So, you pay €1,000 for 100 unique leads, which is €10 per lead.

Scenario 2: Taking duplicate leads
You decide to take both unique and duplicate leads.
The lead provider can deliver 120 leads, of which 20 are duplicate .
You still pay €1,000 for these 120 leads.

However, now you pay €1,000 / 120 = €8.33 per lead, because the costs are spread over a larger number of leads.

In both scenarios, the total costs for generating leads are still €1,000. However, in the second scenario, where you also take the duplicate leads, the price per lead is lower. This is because the costs are spread over a larger number of leads.

So, even if you take duplicate leads, you ultimately do not pay more than if you were to only take unique leads. This makes taking duplicate leads a logical choice, as you are already paying for generating leads and thereby increasing the chance of a higher ROI.

Buying signals

Duplicate leads can be a sign that a prospect has shown interest multiple times. This may indicate a higher level of purchase intention and involvement with your product or service. By nurturing these leads and approaching them with targeted marketing, you can increase the chance of conversion.

Higher ROI

Although it may seem counterintuitive, duplicate leads can actually lower your cost per sale. By taking advantage of leads that are already known, you can spread the costs of lead generation over a larger number of conversions. This results in a lower average cost per lead and a better ROI.

Avoid image damage

Ignoring duplicate leads can not only lead to missed opportunities but also to image damage. When a prospect shows interest multiple times by filling out a form but does not receive a response, this can lead to frustration and distrust. Consistently and carefully following up on double leads can prevent this and strengthen the credibility of your company.

Conclusion

In other words, taking duplicate leads can improve the efficiency of your marketing efforts without increasing the total costs. By embracing and utilizing these leads, companies can not only reduce their cost per lead but also increase their overall revenue and profitability. This demonstrates that duplicate leads can be a valuable asset in every marketer’s toolbox, rather than just an expense.