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Marketing Problems

Why Am I Getting Bad Leads?

Leads take the shape of the ask. If the ask is easy and vague, the leads will be easy and vague. Here are the four places I look when the pipeline is full of the wrong people.

By me, Dave Scott, President of SAMG Inc. · 7 min read

Bad leads feel personal. You paid for them, you sorted through them, and every one of them wasted the time of the person on your team who had to work them. The reflex is to blame the ad platform, blame the lead source, or blame the market. The actual cause is almost always closer to home, and it's fixable without spending another dollar on media.

A lead isn't bad because the ad found the wrong person. A lead is bad because something in the chain between the ad and the appointment invited the wrong person in, or invited the right person in for the wrong reason. Fix the chain and the same channels start producing better leads.

The short answer

Bad leads come from one of four places: an offer that reads as a discount instead of a solution, a form that asks nothing of the person filling it out, targeting that optimizes for volume instead of fit, or intake that qualifies too gently. Any one of these floods the pipeline with people who never had a chance to buy. All four together will bury the business.

The rule I use

Leads take the shape of the ask. If the ask is easy and vague, the leads will be easy and vague. If the ask is honest and specific, the leads will be too.

Cause 1: The offer looks like a bargain hunt

When the visible offer on the site or the ad leads with a discount, a free quote, or the lowest price in town, the offer is telling the market it competes on price. Price shoppers respond to price offers. They convert at high rates on the form and low rates on the sale, because they were never buying the outcome. They were buying the discount.

Owners who complain about tire-kickers are almost always running offers that were built to attract tire-kickers. Rewrite the offer around the outcome the right customer wants and the same media dollars start bringing in people who care about the outcome, not the coupon.

Cause 2: The form asks for nothing

A form with three fields and no qualifying question is a door propped open to the street. Everyone walks through. That's what it was designed to do. The industry has been repeating the rule "shorter forms convert better" for a decade, and it's true, if all you care about is form fills. If you care about customers, the rule is the opposite.

Add one or two honest qualifying questions. Ask for the property address, the size of the project, the number of employees, the budget range, the timeline. Not every one at once. Enough to make the wrong-fit visitor either self-select out or answer honestly enough that your team can tell in ten seconds whether it's worth calling back. Form fills will drop. Booked appointments will go up. Cost per customer will go down.

Cause 3: The targeting is optimizing for the wrong number

Most ad accounts are optimized for whatever the platform can measure. Clicks. Landing page views. Form submissions. The platforms have no idea whether the leads that came in turned into money. They optimize for what you told them to optimize for, which is usually the top of the funnel.

The fix is to feed the platform the real number. Push actual closed-customer data back to the ad account and let the algorithm learn what a good lead looks like. Most owners aren't doing this, which means their ad account is spending to produce more of whatever it already produced, whether or not any of it turned into revenue.

Cause 4: Intake qualifies too gently

This is the one owners never see, because it happens on the phone. A lead comes in. The person who answers is polite, helpful, and afraid of losing the deal, so they book the appointment without asking any of the questions that would reveal whether this is the right customer. The appointment gets set. The wrong-fit customer shows up. The tech, the salesperson, or the owner spends an hour on someone who was never going to buy.

Good intake is polite and specific. It asks the questions that separate the right customer from the wrong one before the calendar time gets reserved. It routes the wrong-fit people to a different offer or a referral partner. It protects the calendar of the people who close deals. Most businesses treat intake as a receptionist function. In reality, intake is where the lead becomes a customer or becomes a waste of a day.

The diagnostic I run on bad-lead complaints

When an owner tells me the leads are bad, I ask five questions before I look at anything else. The answers usually tell me exactly where the leak is.

  • What is the headline on the page or ad the lead came from? Read it out loud. Does it lead with an outcome or a discount?
  • How many qualifying questions are on the form or in the intake call? What are they?
  • What percentage of leads that came in last month became paying customers, and what percentage were disqualified inside the first two minutes of intake?
  • Is closed-customer data being fed back to the ad account, or is the platform still optimizing on form fills?
  • Who answers the phone or replies to the form, and what are they instructed to ask before they book anything?

Nine times out of ten, one of those five answers is the whole problem. The other one time, the offer is aimed at a customer that doesn't actually exist in the market, which is a bigger conversation.

What good leads actually look like

A good lead is a person who knows what they need, has the budget to solve it, and reached you at a moment they can act. That person converts at a rate the ad platform can't see, because the platform stopped measuring at the form fill. If your close rate on inbound leads is below 20 percent, your lead quality is the leak. If it's above 40 percent, your marketing is probably underspending, not underperforming.

The bottom line

Better leads don't come from better ads. They come from better offers, better forms, better feedback loops, and better intake. Fix those and the same media budget stops producing tire-kickers.

Related reading

Questions business owners ask me

Why are my ads generating so many unqualified leads?

Usually because the offer leads with a discount instead of an outcome, the form asks nothing that qualifies the person, the ad platform is optimizing for form fills instead of closed customers, or intake is booking appointments without asking any qualifying questions. Any one of the four floods the pipeline with tire-kickers.

How do I get better quality leads without spending more?

Rewrite the offer around the outcome the right customer wants, add one or two honest qualifying questions to the form, feed closed-customer data back to the ad account so the algorithm learns what a good lead looks like, and give the intake person a short script that qualifies before it schedules.

Is my lead quality problem an advertising problem or a business problem?

Both, but the fix usually starts inside the business. The ad account can only optimize on what you tell it to optimize on. If nothing in your offer, form, or intake is filtering for fit, the platform will keep sending you more of whatever converted last time, which is almost always the wrong-fit lead.

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