B2B lead conversion is an essential metric for businesses aiming to turn potential customers into paying clients.
At its core, the B2B conversion funnel guides lead potential customers through the following stages:
- Awareness
- Consideration
- Conversion
- Action
We’ll be exploring common reasons why B2B leads aren't converting and provide actionable insights to create a more effective funnel.
The lead isn’t low enough in the B2B funnel
If your leads are still in the awareness or consideration stages, they’re not yet primed for conversion. Without sufficient education and nurturing, pushing them to act prematurely can lead to lost opportunities.
How to address this:
- Develop nurturing campaigns: Use email sequences, webinars, or personalised content to guide leads further down the funnel.
- Provide targeted content: Offer whitepapers, case studies, or comparison guides to help leads weigh their options effectively.
- Implement lead scoring: Identify where a lead is in the funnel by tracking their engagement with your content and adjusting your approach accordingly.
Aligning your outreach with the lead’s position in the funnel can improve their readiness to convert and boost your overall B2B conversion rate.
People don't want to spend to convert
A tale as old as time. Economic hesitation is a significant barrier in the final stages of the B2B conversion funnel. Decision-makers may baulk at committing to a purchase, particularly for high-value or long-term investments.
How to overcome this:
- Showcase ROI: Use case studies, testimonials, and clear cost-benefit analyses to demonstrate the value of your offering.
- Offer trials or demos: Free trials, pilot programs, or ‘try-before-you-buy' options reduce perceived risk and build confidence in your product or service.
- Flexible pricing options: Introduce tiered pricing or payment plans to make the investment feel more manageable.
By proactively addressing cost-related concerns, you can nudge prospects towards a confident decision to convert.
Reviews and testimonials are a key driver here as:
- 64% of B2B buyers use them during the awareness stage
- 68% use them during the consideration stage
- 54% use them during the decision-making (conversion) stage
Companies including Ricoh, Nisbets and Invopak have found this in their Feefo experience – with Invopak not only displaying reviews to validate purchasing decisions – but also using the feedback to make proactive and positive changes to the business.
Poor brand reputation
Your brand reputation directly impacts trust. Unaddressed negative reviews or lack of social proof can discourage leads from choosing your business.
How to build trust for your B2B brand:
- Highlight reviews and testimonials. Positive feedback reassures potential customers about your credibility. Platforms like Feefo make it easy to showcase verified reviews.
- Respond to negative reviews: Acknowledging and addressing issues publicly shows accountability and a commitment to customer satisfaction.
- Build authority: Publish industry insights, collaborate with reputable partners, and maintain a strong online presence to establish credibility.
A strong, trustworthy brand inspires confidence, making it easier to convert leads into loyal customers. Indeed, 92% of B2B buyers are more likely to purchase after reading a trusted review.
You're targeting the wrong customers
Misaligned targeting is a common yet avoidable issue. If your messaging or offerings don’t resonate with the audience, even the best B2B conversion funnel won’t drive results.
How to refine your targeting:
- Analyse customer personas: Regularly review and update your buyer personas to ensure they reflect your ideal audience.
- Use data-driven insights: Invest in analytics tools to understand who’s engaging with your content and where they’re dropping off in the funnel.
- Optimise ad targeting: Ensure your campaigns are devised to reach the right decision-makers within relevant industries.
Targeting the right B2B audiences with tailored messaging increases the likelihood of generating leads that convert and improving your lead-to-conversion ratio.
Final Thoughts
Improving B2B lead conversion requires a strategic approach to nurture leads, build trust, and deliver value at every stage of the B2B conversion funnel.
Addressing these common challenges will help your business turn more leads into long-term clients, boosting your bottom line.
Invest in better targeting, reputation management, and nurturing strategies to create a seamless experience that converts leads effectively.
To understand how Feefo works with and benefits B2B companies like yours, contact our team.
