We invited Michael Ferree from Lead Generation World to do a deep dive into multi-sell within lead generation. We cover the basics - what is it and how does it work? And then we go deeper into some of the subtleties and nuances.
In short we try and answer the question, does it invite more problems? Or is it a better solution?
This article was adapted from an episode of the B2C Lead Gen Podcast. You can catch the entire show by following the links at the end of the article.
Michael, let’s start with the basics. How does multi-sell work?
Michael Ferree: Well how it works and how it should work is sometimes probably a source of the problem with what the impression of multi-sell really is. But in the States it’s a very normal process, where somebody fills out a lead generation form - let’s just say for a remortgage - and they are told they are going to be matched with multiple banks for a quote.
At that point the lead is distributed to three or four banks. The consumer is then called by those banks. The consumer then gets to decide which offer is the best. That’s the simplest form of multi-sell that we see here in the United States and it works, to some extent.
And when you say to some extent…
I think it doesn’t work when a lead becomes oversold. And that’s the key.
It absolutely works because human behaviour and human economics have proven out, test over test over time, that we like choices and we like easy choices actually. If we don’t have a choice at all, and have only one option, we’re more likely to not make a decision. When we have a clear comparison between offers, it’s much easier. We’re in a straight mindset of choosing which one is better, and will then make a selection.
As humans we have issues with complex decisions, and no decisions at all. So when it works really well, when there’s two or three options that are easily definable, they will make a decision.
A lead being sold multiple times sounds like evil, to some lead buyers, but the fact of the matter is it’s good for them. It’s good because now they have a consumer that’s in a position to analyse and make a decision.
The buyer’s job, or the brand’s job, is to make sure that they are the obvious decision. Whether that means the agent on the line being personable or strictly it’s a better offer, lower rate, or a host of things.
But the problem is when it becomes too much of a complex decision for the consumer to make. That’s being oversold.
You mentioned before about the difference between how multi-sell does work and how it should work. What does multi-sell look like when it’s working well?
So imagine a scenario where instead of selling a lead for £40 to one person I sell it for £15 to three people. Now I, as a lead seller, am making more money off of the lead, right? I’m also creating a shopping experience that is better for the consumer. And the lead buyers get a legitimate shot at somebody who is in market decision and has all the right options with them. They are going to make a decision.
But now I can take additional revenue, continue to buy high traffic, and maybe better traffic with keywords. I am actually raising the raising the boat of everything because now the lead generators are making more money off of that one lead. And everybody’s winning.
I know it sounds like a perfect world but really it helps the consumer, the lead buyer, and the lead seller to improve the process and marketing of what’s happening.
Daniel HopewellHead of Marketing
Daniel has worked with huge brands all over the world, in the Fashion, Music, and Tech industries. He specialises in creative direction and helping cool brands grow. He is the co-host of the B2C Lead Gen Podcast where he aims to give the show structure and orchestrate topics of conversation; he largely fails at this job as the podcast tends to meander all over the shop…
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