How to quantify the cost of your B2B lead and demand generation on social?
I was inspired by Andrei to write this short post about the underlying costs of lead gen through social
🥰The cost of potential interest (CPI)
CPI= cost of time spent/amount of leads
I create content usually alone through my Linkedin profile/email.
It takes around 2 hours to write a post.
On average it brings me 2 people who show interest.
Let’s assume that an hour of my work is 200 USD.
💲The cost of Potential Interest is 200 USD.
😍 Cost of Interest (CI)
CI = CPI/Conversion Rate (%) + cost of time spent
From 4 potential interests, 1 becomes sales qualified
I spend an overall of 1 hour on communication.
💲CI = 1000 USD
🤗Cost of Deal (CD) or Customer Acquisition Cost
On Average ¼ of leads become clients. Plus there will be 2
hours from Vadim/Bradford.
CD= CI/Conversion Rate (%) + cost of time spent
💲CD = 4300 USD
Cost of Acquisition usually is counted along with Lifetime Value
A good rate is when LTV is three times higher than CAC.
Then, we can call it a business :)
Continues in the first comment
#leadgeneration
#socialselling
#kpi
#personalbrand