What is lead distribution and how does it work

What is Lead Distribution and how does it Enhance the Sales Process?

***Patricia* *Fripp rightly quoted, “You don’t compete on price. You compete on relationships.”.***

Lead generation is also about bringing in people to establish long-lasting relationships. You pool in people, make them interested in everything that your business sells, and maintain your relationship with the customer until he or she comes back to you.

Now, lead distribution falls somewhere in the middle of the process. It is a crucial step where you assign your leads to salespeople, who will follow the leads and nurture them. It doesn’t happen automatically or by following your gut. You need a comprehensive lead distribution strategy to make things happen. Let us tell you how. But first, brush up on some basics.

What is lead distribution?

In simple words, lead distribution is tagging your leads to specific sales reps in your company. You can do it using plenty of techniques, but most of the companies assign leads to reps who are most likely to convert them. For instance, a sales rep who has worked with plenty of Martech companies is the perfect person to convert a lead inquiring about a Martech tool or a CRM.

Did you know 67% of the sales are lost only because sales reps cannot qualify leads before taking them through the entire sales process?

Let us help you save your sales by touching on some lead distribution strategies here.

How does a well planned lead distribution process enhance the sales process?

Lead distribution is important because it helps you drive and generate more sales. Why? Because lead distribution assigns leads to sales reps who are most likely to convert them, A fool-proof lead distribution system will result in more leads turning into customers.

Lead distribution increases customer satisfaction and boosts conversion rates because leads are nurtured and followed up on at the right time.
Lead distribution also helps in balancing the workload of your sales reps, resulting in more productivity and morale.
Automated lead distribution also helps you track and measure the performance of every salesperson. The insights can be further used for coaching and improvement.

Key Steps Involved in the Lead Distribution Process

When you plan to distribute your leads, there are certain key steps you must follow. Here are some common steps to take note of:

Lead generation: Everything starts with lead generation. It is a crucial step to bring in fresh leads to distribute among your sales representatives.
Screening leads: Once you have generated new leads, the next step is to figure out which ones can be qualified to go to the next step. Not every lead you generate is worth following.
Setting criteria: As you filter your leads, you must set some criteria based on which you can assign leads to your sales reps. You will need a lead distribution strategy at this moment.
Communicating with sales reps: At the final stage of lead distribution, you will communicate everything with your sales reps. Not only will you assign them leads, but you will also give them all the data they require to convert the leads.

What are the different lead distribution methods?

As a marketer, you have the liberty to distribute the leads however you like, but there are certain established lead distribution methods and strategies to consider. Let’s go through them here:

1. Manual

Manual lead distribution is a simple and straightforward method, but it demands more involvement. Here, you need to understand the pain points, interests, and needs of each sales rep on your own and assign them to the sales reps.

2. Round Robin

The round-robin lead distribution method evenly distributes leads across all your sales reps. The leads are assigned randomly to each sales rep without considering any factors, such as industry, company type and size, and so on.

3. Shotgun

Another approach to lead distribution is the shotgun method. Here, you divide your sales reps into groups based on their strengths. You assign leads to specific groups rather than to individual sales reps.

4. Region-specific

As the name suggests, in this method, you distribute lead generation based on the region the sales reps are serving. Sales reps working in a dedicated region receive leads based on their assigned region.

Software Tools for Lead Distribution

All the methods and strategies we discussed above can be partially or fully automated using lead distribution software. For instance, you can use automated lead distribution software to assign leads to your sales reps serving a specific region.

CRMs are considered the best when it comes to distribution leads for sales reps. There are plenty of tools available on the market to choose from, such as HubSpot, Zapier, Nutshell, etc.

Wrapping Up

Lead distribution is an effective strategy that not only enhances your sales process but also boosts employee productivity and company revenues. However, manually distributing leads is tedious and time-consuming. As we are embracing automation, it is the right time to automate your lead distribution strategy to make more out of your buck.