We typically see 15-20 Internet leads in a busy month – and of the 30% who eventually close it is usually only after decent nurturing (newsletters, web seminars).

However when they close it’s rarely in a bid situation and price is almost never a consideration.

It has proven to be an exciting and rewarding change in our world. We have not completely perfected it, but we are committed to it.

Wayne comments on the winning percent from the internet requests is similar to what we experience as well. I don’t feel bad about our win or lose rate on these prospects. We just try to learn from each of them.

70% walk away – disappear – we never hear another word from them after we provide an estimated price!

That’s because they’re doing exactly what you describe – and looking for a low bid. In essence they self-filter themself as not being a candidate to become someone we’d want as a client.

I kinda like that self-filtering even though it seems like our “win” rate is low.

I’ve found that price shopping Internet customers are disloyal, don’t appreciate your knowledge, argue nearly every bill and usually aren’t worth the time.

I’m ok that 70% of them never get back to me when I provide them with an honest assessment of what a start to finish price will be for the project they’re inquiring about.

The other 30% who become clients? They’ve usually (as you correctly point out) already experienced a less capable consultant or had some other issue.

I also find that developing some type of relationship with the prospective clients first is a great help in landing the 30%. We do that through informative newsletters and posts on our web sites.

Good posting. I found this in a tweet, by the way, which tells me that social media tools are effective ways to get our message to a much wider audience!

The metaphor of going where the ball will be is an appropriate one. The problem as I see it, based on my 5 years of selling ERP, is that customers don’t always follow the ball. Many are stuck in the same routine of looking for a lower price, which is often the hourly bid. Customers who’ve been through an implementation before and were burned in the process appreciate the value of a fixed-fee approach.

I think it comes down to an education process that has to happen during the sale cycle, don’t you? The customer has to be made aware of the risks involved with the hourly approach versus the less risky fixed-fee approach. And that the perceived premium they pay for a fixed-fee will actually prevent them from getting bled to death with never-ending hourly billings.

Dave