Businesses spend heavily to generate leads, but many enquiries do not result in an immediate sale. Some businesses therefore review their existing customer relationship management (CRM) records to identify people who may still be interested.
A lead list is often judged by the number of new enquiries received each month. Yet it may also contain people who asked for a quote, downloaded a guide or booked a call but did not proceed at the time.
These contacts may not be ready to buy when they first enquire. Their timing, budget or priorities can change, and a record may become inactive when follow-up stops.
What the numbers say
Research published in 2011 by Harvard Business Review examined how 2,241 US companies responded to web enquiries. The study reported that 23% did not respond and 24% took more than a day. The findings illustrate how delays in follow-up can leave enquiries without a timely response.
Reactivation campaigns contact people who previously enquired, using messages relevant to their original request. LeadsNow, an agency working in lead generation, has reported the following results from its own client campaigns:
- 4.4% average conversion from a dormant lead to a booked discovery call
- 8.9% peak on its strongest campaign to date
- Roughly 220 to 440 booked calls for every 5,000 contacts reactivated
These figures are company-reported results and should not be treated as a guarantee of future performance. At a 4.4% booking rate, a list of 20,000 contacts would produce about 880 booked conversations if the same rate applied. LeadsNow has also described client engagements involving 1,522 sales meetings booked and another firm reporting approximately $180,000 in monthly cash collected from previously inactive leads. Outcomes will vary by list quality, audience, offer and follow-up process.
Why it is cheaper than new acquisition
| Paid new lead acquisition | Database reactivation | |
|---|---|---|
| Media spend | Typically incurred to attract leads | Already paid, often years ago |
| Awareness | Prospect may not know the brand | Prospect already enquired once |
| Data | Starts from nothing | Name, contact, original request on file |
| Main cost | Ads plus follow-up | Follow-up only |
With database reactivation, the original cost of acquiring the enquiry has already been incurred. Additional costs may still include staff time, messaging tools, data cleaning and campaign management.
Where it works best
Reactivation may be relevant to businesses that have records of people who made a specific enquiry but did not buy, including:
- Home services and trades. Unconverted quotes for roofing, kitchen projects or solar installations may represent customers whose plans have changed or are still underway. Reviewing past enquiries can help businesses decide whether a relevant follow-up is appropriate, including through home services lead generation
- Property and finance. Buyers and borrowers re-enter the market on their own timeline. A message that reaches them when they are ready lands as service, not spam.
- Coaching, education and professional services. Enquiries that stalled at the price conversation can often be revived with a new offer, a new intake date or a payment option.
How a reactivation campaign actually runs
A reactivation process commonly includes several steps:
Audit the CRM. Remove duplicates and invalid contact details, and exclude people who have opted out. Check that outreach complies with applicable consent and privacy requirements.
Segment by original intent. A person who requested a quote may need a different message from someone who downloaded a guide.
Plan contact frequency carefully. Email, SMS or other permitted channels should be used only where appropriate, with reasonable spacing and a clear way to opt out.
Re-qualify before booking. Confirm current needs, budget and timing rather than assuming the original enquiry is still active.
Update the CRM. Record replies, bookings and opt-outs so the sales team has an accurate, current record.
Businesses planning their own process may consult this practical guide to how to run a database reactivation campaign, which includes examples of reactivation messages and list-hygiene considerations.
What to watch
Reactivation is not a way around consent requirements. It depends on relevant outreach to appropriate contacts and can perform poorly when records are outdated or messages are indiscriminate. Businesses should respect opt-outs, tailor messages to the original enquiry and assess results using meaningful measures such as qualified conversations.
Before investing in additional lead sources, businesses may want to assess whether their existing database contains enquiries that merit a timely, relevant follow-up.
Sources: Oldroyd, McElheran and Elkington, “The Short Life of Online Sales Leads,” Harvard Business Review (2011). The reactivation conversion figures cited above are reported by LeadsNow from its client work and have not been independently verified in this article.
