Unlocking the secret to limitless traffic. And exploring the transformative effect of channel compounding.

1. Exploring the transformative effect
of channel compounding.
LEAD MASTERY

2. OUR JOURNEY
● What we’re going to do
● Why we’re going to do it
● Core metrics
● Channels
● Audience targeting
● Getting their attention
● Relationship building

3. WHAT WE’RE GOING TO DO

4. THE GOAL
Increase revenue by attracting more opportunities.

5. CHANNEL COMPOUNDING
More channels is better than one.
Assembling channels that build on each other
is even better.
We’re going to focus on the basics.

6. 3-PRONGED STRATEGY
We’re going to structure our marketing processes to…
● Get laser-focused on who our audience is (and
where you can connect with them),
● Capture their attention, and
● Build win-win relationships with them

7. STEP #1: AUDIENCE TARGETING
More to come in The Machine
Ensure you are attracting the most-appropriate
audience.

8. STEP #2: GET THEIR ATTENTION
More to come in The Machine
Get them to become aware of you and curious
to learn more.

9. STEP #3: RELATIONSHIP BUILDING
More to come in The Machine
Get them to know, like and trust you.

10. WHY WE’RE GOING TO DO IT

11. EXPONENTIAL LEVERAGE POINT
Greatest impact for
the least amount of
work.

12. WHAT IT CAN DO FOR YOU
Greater resilience via diversification.
More opportunities for sales via additional traffic
streams.

13. WHERE IT FITS
Increase
Margin
Expand
Products
Boost
Conversion
Compound
Transaction
s
More
Leads
Optimize up-sell, reactivation,
and longevity strategies.
Optimize profit and
positioning strategies.
Optimize closing strategy.
Get more traffic.
Offer more solutions.

14. CORE METRICS

15. WE’RE GOING TO...
Define
● Lead
● Channel
Calculate
● Total number of leads
● Cost per lead (Average)
● Leads per customer (to
acquire)
● Per Customer Acquisition Cost
● Cost per revenue dollar (%)
● Lead to customer conversion
time
We want to calculate each metric
as:
● Overall total, and
● Unique channel

16. WHY DIFFERENTIATE METRICS BY
CHANNELS?
Leads from different channels are not created equally. They differ by:
● Cost per lead
● How well they convert
● How much people buy on average
● Sales cycle time
● Testing ability
For example…
Channel X brings in leads for $2 that convert at 7:1, for a cost per customer of $14
Channel Y” brings in leads for $3 that convert at 4:1, which means cost per customer of $12
Which would you rather have more of — if you can get more of them?

17. First, the definitions...

18. LEAD
A prospect that has:
● ‘Raised their hand’ (said they are interested), and
● Provided you with some form of contact
information
Leads can be new or existing traffic (e.g. new product).
We never stop battling for attention.

19. WHERE ‘LEAD’ FITS IN
Visitor Prospect Lead Customer
Anonymous
person
browsing
website or
landing page
Member of
target
audience
browsing
website or
landing page
Have opted
into at least
one list
Have
purchased at
least one
product
Opportunities
Paid traffic
Organic traffic

20. CHANNEL
A source of business that can provide:
● Opportunities (inbound), or
● Sales (outbound)
We’re going to focus on Inbound Channels...

21. EXAMPLE INBOUND CHANNELS
Online
● House email list
● Affiliate X’s list
● Banner traffic
● Facebook Promoted Posts
● Google Display Network
● Google Search Ads
Offline
● Postcards to purchased list X
● House customer address list
● 3rd-party distributor
● Joint Venture partner
● Magazine
● Mailing list from list broker
I also use ‘subchannel’ — e.g. a single Facebook Video Ad

22. WHERE ‘CHANNEL’ FITS IN
Business
EngineInbound Channels
(leads)
Outbound Channels
(sales)
Channel is the only place I differentiate offline vs. online

23. Back to the metrics...

24. TOTAL NUMBER OF LEADS
We need it in the form of:
● Total for all channels combined (business wide),
and
● For each channel

25. COST PER LEAD
C.P.L. = Total money spent on lead generation / Total
number of leads
C.P.L. per channel = Money spent on a channel / Leads from
that channel
Cost per Lead
Total amount spent on this lead source
Number of leads
Amount Spent / Number of Leads
Cost per Lead = $

26. LEAD-TO-CUSTOMER RATIO
How many leads does it take to acquire one new
customer?
L.P.C.C. = Total number of new customers / Total number of
leads
L.P.C.C. per channel = Number of new customers from a
channel / Total number leads from that channel
The equation can also be inverted (and rounded up), e.g. ‘4:1’

27. (CHANNEL) CUSTOMER ACQUISITION
COST
C.A.C. per channel = Number of leads to acquire a
customer from a channel x Cost per Lead for that
channel
Cost per Customer
Total amount spent on lead source
Number of Customers
Amount Spent / Number of Customers
Cost per Customer = $

28. (LEAD) COST-TO-REVENUE RATE
How much does it cost (from a lead generation
perspective) to earn new revenue?
Expressed as a percentage (%) of the revenue dollar.
C.P.R.D. = Total lead generation cost / Total revenue x 100
Cost per Revenue Dollar
Total amount spent on this lead source
Total revenue from this lead source
Amount Spent / Revenue
Cost per Revenue Dollar = $

29. LEAD-TO-CUSTOMER CYCLE
How long does it take to go from ‘lead’ status to
‘customer’ status?
L.T.C.C.T. = Date of initial sale - Date of initial opt-in
L.T.C.C.T. per channel = Date of initial sale from a
channel - Date of initial opt-in from that channel

30. CHANNELS

31. POP QUIZ
How many legs does it take to
hold up a stool?

32. ANSWER
The more the merrier.
● 1-legged stools cannot stand up (without floor bolts, etc.)
● 2-legged stools don’t do much better
● 3-legged stools are stable but tip when you lean in the wrong
direction (useless if a leg breaks)
● 4-legged ones are better but can still tip
● 5-legged (or more) ones are rock solid

33. MOST BUSINESS ONLY HAVE 1 OR 2
LEGS
Most businesses are built on just 1 lead
channel — and are prone to failure.
e.g. Google-slap
Sustainable businesses are based on several
different (non-synched) lead channels...And
continue adding more.
I target 7 a minimum of channels.

34. LEAD SOURCE CATEGORIES
● Customer Referrals / Word-of-Mouth
● Existing (House) Lists (can be: email, social
followers)
● Joint Ventures / Strategic Alliances
● Search (SEO) - can be: Social
● Paid Traffic / Ads
● Affiliates
In order of preference.

35. HOW TO FIND CHANNELS
Where Your Prospects...
● Do business
● Spend their time
● Seek information
● Mingle with colleagues
● Seek entertainment
● Vacation
● Relax
● Shop
● Spend money
What Your Prospects...
● Read
● Listen
● Watch
● Already purchase
● Hang out with
Another Consideration...
How do other businesses (non-competing and competing) reach the same people in your
market? Can you use any of these same avenues?

36. ONLINE CHANNEL IDEAS...
● Natural web search (S.E.O.)
● Pay per click
● Social media sites
● Joint Ventures / (S.A.)
● Email marketing (house list)
● Email marketing (O.P.L.)
● Banner ads
● Press releases
● Industry / Hub sites
● Ezine advertising
● Classifieds (e.g. Craigslist)
● Paid Links / Text ads
● Free Links
● Article sites
● Webinars
● Directories
● Affiliates
O.P.L. — other people’s lists

37. OFFLINE CHANNEL IDEAS...
● Direct mail
● Postcards
● Lumpy / Dimensional mail
● Space advertising
● Classified advertising
● 2‐step classifieds
● Radio advertising
● TV advertising
● Infomercials
● Place‐based advertising
● Telemarketing
● Phone blasts
● Salespeople
● Seminar marketing
● Teleseminars
● Public speaking
● Trade shows
● Press releases
● Bylined articles
● Point of purchase displays
● Directories
● Bottom of receipt
● Bag stuffers
● Sponsorships
● Coupon marketing
● Rack / Counter cards
● Strategic alliances
● Endorsed mailings
docs.google.com/spreadsheets/d/1yfNf3ATUq_UIAPlfNysBgRXoOQBN3biFjx2wcH9tNFM/edit

38. COMBINE TACTICS
Online + Offline
I track additional metrics — e.g. ‘Offline vs. Online Mix’
Some customers convert better on one side or the other

39. Lead Source # of leads
Total Cost of
Campaign
# Individual
Sales
Total
Revenue
Cost Per
Lead
Cost Per
Client
Lead
Conversion
Ratio
Return On
Investment
(A) (B) (C) (D) (B) / (A) (B) / (C) (C) / (A) (D) / (B)
1
2
3
4
5
6
7
8
Total Lines 1-10 and
calculate averages
LEAD CHANNEL ANALYSIS
docs.google.com/spreadsheets/d/1U2wyC2e-6JkEgqkc1vsitIw3r_lgGijw9yeiJvbfzcg/edit

40. AUDIENCE TARGETING

42. TO QUALIFY OR NOT TO QUALIFY?
Absolutely, qualify.
Qualify early and stop wasting time and money.

43. THE ‘IDEAL’ QUALIFICATION
Prospect must:
● Have a need (or a ‘committed’ want)
● Have the money (or can get it)
● Can make a decision
● Can articulate a clear return or benefit
● Has a reason to act now

44. HOW TO QUALIFY IN SEO
● Title meta tag
● Description meta tag
● Opening paragraph

45. HOW TO QUALIFY IN PPC
● Negative keywords
○ No “Free”
○ Differentiate homonyms *
● Use price in ads
● Use local targeting
● Use time of day targeting
* — Same spelling/sound, different meanings, e.g. business [coach] vs. sports [coach]

46. HOW TO QUALIFY IN COPY
● List price up front (prominently visible)
● Clear benefit statement
● State who it’s not for (“Not for newbies…”)
● Make it crystal clear what you’re about (‘Start With
Why’)
● Speak in a way only they can hear (‘Dog whistle copy’)
● Use urgency triggers
○ O.T.O./L.T.O.
○ Scarcity
○ Price increases

47. QUALIFY BY ROLE
● Decision maker
● Recommenders
● Financial buyer
● Technical buyer
● End user
Example: Gaming Console
Decision-maker Mom
Recommenders
Financial buyer Dad
Technical buyer Son
End user Whole family
Market to them uniquely.

48. GETTING THEIR ATTENTION

50. WHERE ARE THEY?
Pick a channel.

51. THE ‘FRAME OF MIND’ FACTOR
Keep in mind, different channels will have your
prospects in different mindsets.
Must have Message-to-Channel match.
e.g. People are in a ‘business mindset’ on LinkedIn
vs. a ‘personal mindset’ on Facebook

52. THE ‘I NEED HELP’ SEQUENCE
Goal: Get their attention and have them enter the next
stage (relationship building) thinking: “Yes, I need
help. Tell me more about how you can help me.”
● Step #1: State their ‘B.A.P.’
● Step #2: Validate the problem with 3rd-party data
● Step #3: ‘Twist the knife’
● Step #4: Show them a ‘light at the end of the
tunnel’

53. RELATIONSHIP BUILDING

55. MESSAGING 101
● Describe your target market and target prospects (preferably in
story)
● What are their current problems and why can’t they solve them? *
● How can you help and why is your solution is unique?
● Restate your solution as your USP, your guidelines, and your
must-haves to crystalize your solution
● Provide proof
* — If you can describe your prospect’s problem better than they can, you got ‘em

56. HELP THEM GET FROM ☹ TO
Step
#1
Step
#2
Step
#3
Step
#4
Step
#5
Step
#6
Stress-Free
Abundance
Stress
Step
#7
Step
#8
Step
#9
Where they are today The result you’ll help them get
We want ‘win-win’ relationships!
Help them win their desired result,
and they help your business win.

57. ACTION INCENTIVE
Also called ‘ethical bribe’ or ‘lead magnet.’
Designed to overcome the friction of having your
prospect take the action you want them to take.
Ideally, it is…
● Something they must have
● Something they can’t get from anyone else

58. EVER-DEEPER RELATIONSHIPS
Keep prospects cycling through this stage
until they buy.
Including different campaigns for different products.

59. MARKETING CALENDAR
● Add systematic discipline to your lead generation
efforts
● Schedule your efforts and your costs ahead of time

60. CALENDAR WORKSHEET
Start Date End Date Event Name Planned Results Projected Cost
Who
Accountable
Comments

61. CLOSING

62. CLOSING THOUGHTS
1. Calculate Number of Leads Needed — Number leads needed to reach
revenue goal (based on average first-year revenue)
2. Plan Lead Generation Time — Work backwards from year-end to establish a
cut-off date for leads
3. Calculate Lead Conversion Ratio — Percentage of leads that convert to
actual sales to get your lead conversion ratio
4. Select Marketing Tactics — Select appropriate mix of lead-building tactics
based on goals, budget, and sales cycle
5. Establish Optimization Process — Establish tracking and optimization
process to continually run sample tests, calculate impact, and optimize the
plan
6. Build Marketing Calendar — Build marketing calendar and roll out the Lead
Generation System

63. THANK YOU
Chris Mohritz / chris@mohritz.co
A
B
O
U
T

64. UNLEASH YOUR BUSINESS
EMBRACE EXPONENTIAL
10xeffect.com