2008 February 16 — Inspirational Blog for Business-Minded Moms

Does Paying for Lead Lists Work?

Does Paying for Lead Lists Work?

Various people in professions such as direct sales and network marketing depend on leads.  These leads may come from many sources, including their own advertising and lead generation.  Some people do choose to buy leads from outside companies, and new home business owners who come into these types of businesses wonder if they should buy leads, too.

Here are some benefits of buying leads as well as some of the reasons that lead lists may not be the best solution:

Buying leads can enable a new business to launch quickly: When someone is starting a new business and needs to have leads to call, buying leads which are delivered relatively quickly can help  gain a jump start.

Buying leads can help alleviate the need to create one’s own advertising: There are many creative people in the world who can write great ads and create great graphics.  Not everyone has these gifts, and for those that view advertising as a chore.

Word of Caution:

Buying leads is something that should be done with caution, however, as it can get very expensive.  If someone is buying a high quantity of leads without seeing a worthwhile return on investment, then it would be wise to find another lead source.

  • Some lead companies have unethical ways of gathering leads and the lead may not know anything about “requesting” any work-at-home information. 
  • The lead may have actually been filling out a survey or some other form in the hope of winning a prize.  Yes, the lead company may have included some very small print about a work-at-home opportunity, but the lead was probably only thinking about winning the flat screen television that was printed in big print.

The only way to tell if buying lead lists works for your business is to carefully track the cost of the leads and the results that came from the leads.  It may be helpful to enter this information into a spreadsheet.

When you are able to see how much money was spent on the leads and if any of those leads joined the company or purchased products, it can make the decision of continuing to buy leads a lot easier.

One last note:  I always advise that generating your own leads is the best option.  However, if you want to purchase leads, you may also want to work with several companies and compare the various results to find where your money will best be spent.

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