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Finding extra pipeline in demand gen channels

In the last 5 years, I've audited over 1000 technology, software and B2B companies and their marketing spend. One of the most common themes across the board is the amount of inefficiency. Each company is different and has different challenges:

-CAC Payback Periods more than of 24 months

-SQL to Close Rates below 25% (sometimes below 20%)

-Inefficient channels receiving the bulk of the marketing budget, while efficient channels receiving limited amounts

-Misattributing credit for pipeline and revenue to the wrong channels and activities by just looking at last-touch / first-touch models

-Misaligned marketing budgets because there is a fundamental misunderstanding of how much marketing support is needed to hit sales projections

Because most companies don’t look at the underlying data of their marketing spend, there is a lot of inefficiency to be found. This inefficiency means that a lot of budget is misallocated to channels and campaigns that are not very good at driving revenue.

There is at least 20-50% in additional pipeline and revenue to be found by following the framework below:

1) Audit existing spend and identify / stop investing channels and campaigns driving the most inefficient growth

2) Reallocate that budget to more efficient channels that are working well

3) Find additional budget to scale those channels until you hit an efficient frontier of growth and profitability

4) Explore and test new channels to uncover additional areas to invest. Then repeat the process.

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