“Download our free guide to financial freedom!”
“Join our mailing list and receive 10% off your first order!”
“Register now for this complimentary webinar!”
If you’ve spent more than five minutes on the internet today, you’ve probably come across a statement like the ones above. Known as lead magnets, these “freebies” are commonly used by marketers to get potential customers to give up their contact details in exchange for the proffered goodies.
And they’re quite effective.
What Is a Lead Magnet?
A lead magnet is a free resource or incentive offered in exchange for someone’s contact details — usually just an email address, although sometimes more. It’s a quid pro quo situation. The target gives you their info. You give them something they perceive as valuable in return.
A free white paper that explains a complicated topic. A discount code for an item you’ve noticed them noticing. Access to an exclusive webinar. All of these things are commonly used as lead magnets.
It’s all about providing value up front. Lead magnets help build trust, foster relationships, and grow your email list for future marketing campaigns.
Why Do Companies Use Lead Magnets?
It boils down to one thing: Companies want (and need!) to stay in touch with their audience — a difficult task when a business has no way to directly contact them. By capturing their prospect’s information, they’re able to stay top of mind by pushing out personalized updates, offers and information.
Here’s why it works:
- It’s cost-effective. Email campaigns are cheaper than ads and lead to much better results. (We generally believe email marketing is the single best marketing strategy you can use.)
- It builds brand loyalty. The more useful your content, the more likely your audience is to trust you.
- It drives sales. Once you’ve earned your audience’s trust, they’re more likely to do business with you.
Lead magnets offer a softer approach to marketing. Instead of a high-pressure sales pitch, they help ease a potential customer into the fold through conversation and reciprocity.
What Makes a Great Lead Magnet?
The best lead magnets are simple, valuable, and help solve a specific problem. Here are some of our favorite types:
- Guides and how-to resources are a great way to convey practical advice. For example, a financial services firm might consider developing a guide or infographic about saving for retirement and using that as a lure.
- Free in-person events or live webinars can help you vet and nurture potential leads while offering valuable information to your audience and beginning a dialogue.
- Discounts and coupons are among the easiest and most successful lead magnets. Plenty of people are willing to enter their email address in exchange for a 20%-off coupon.
- Free trials are a fantastic lead magnet for subscription-based services. Letting people try before they buy builds confidence and makes them more likely to become a paid user.
- Introductory consultations or demos give you a chance to engage one-on-one with potential clients or customers, get a feel for their needs, and show why you’re perfectly positioned to fulfill them.
Regardless of the type of lead magnet you use, there’s one hard and fast rule: It needs to be genuinely useful. If you promise a free guide and it turns out to be a thinly veiled ad, people will notice and lose trust in your brand. Focus on delivering real value every step of the way.
Lead Magnets Turn Browsers Into Buyers!
Lead magnets are among the most effective ways to grow your audience. They get something that will benefit them, and you get the information you need to connect with them down the road. Done right, everyone wins!
Do you need some help drawing in more business? Let Mischa Communications tailor a marketing strategy just for you! When can we get started?