MQL: what is its value, and how can you increase ROI?

What is an MQL?

Literally, MQL stands for Marketing Qualified Leads.

This is a person who has shown interest in what an organization has to offer based on qualification criteria established by the marketing department, which take into account any form of interest.

However, the level of engagement determines the quality of the MQL, and this is often where the problem lies when it comes to collaboration between marketing and sales.

Marketing says it's great, and sales says, "Not so much."

What is a good conversion rate?

According to User Pilot, the average conversion rate from MQL to SQL is 13%.

This means that about 1 in 8 sales interactions leads to an SQL.

However, there are different types of MQLs, and therefore different conversion rates.

For example, a lead list has a conversion rate of only 2.5%, but a referral has a conversion rate that is 10 times higher.

We follow the rule of thumb that 1 out of every 10 MQLs should lead to an SQL if the salesperson is performing well and personalization is a key focus.

3 Criteria That Determine the Quality of an MQL

The conversion rate of an MQL is determined by various factors.

Consider factors such as the level of interest, how the lead was generated, and the persona who showed interest.

Below is a brief explanation.

Intent: The reason why a potential buyer has shown interest in certain content or has reached out.

Is it informative, important, or urgent?

Source: Did the lead find your organization, or was it the other way around?

And how did you get in touch?

The source largely determines the quality of the lead. See the overview below – Source, Plezi 2020

Persona: Can you speak directly with the champion of a potential project, or is this someone who has little influence within the organization?

The challenge with MQL selection is, by definition, that there has been no point of contact to validate interest.

This is one of the reasons why lead scoring has become so important in recent years.

For example, lead scoring makes it possible to better quantify quality by assigning points to an action and intent.

For example, the score for a one-time download is many times lower than that of someone who returns to the provider’s website multiple times—adding video to the process makes it easier to measure intent.

This is because, for example, view time is taken into account, which makes it easier to measure the level of engagement.

This is in contrast to, for example, downloading content where only the transaction can be measured.

What is a reasonable price for an MQL?

In B2B, the price of an MQL ranges from EUR 50 to EUR 500 and therefore also depends on the criteria mentioned earlier: intent, source, and persona.

However, the difference is so significant that it is important to use some kind of conceptual model to justify the price per MQL.

Examples Based on Intention

1 – There is a fleeting moment of contact without understanding the intention behind the action.

This could involve downloading a white paper that discusses a topic that might be considered uncharted territory.

A download could indicate a lead’s intention to learn more about a specific topic—moving from “unaware” to “aware.”

Intent: Awareness

Lead source: Paid search via Google

Value: Between EUR 50 and EUR 100

2- A white paper was downloaded that discusses a solution-oriented approach to a specific problem.

The assumption now is that anyone who has downloaded this white paper is interested in the topic and is aware of the issues.

The point of purchase is unclear, because qualification generally does not take place before the download— this is a way to increase white paper conversion.

Intent: Interest

Lead source: LinkedIn video ad

Value: Between EUR 100 and EUR 200

3 – Someone filled out a contact form on the website requesting that we get in touch.

This contact form was filled out on a product or services page by someone who has influence over the purchasing process.

Intent: Consideration

Lead source: Our own website or a purchased lead

Value: Between EUR 200 and EUR 500

Advice

The quality of the MQL increases as the quality of the content improves.

These days, no buyer is going to fall for the trick of entering their email address just to receive a 4-page white paper—only to then get a call from a salesperson.

Give 20% more value = Receive 20% more value

The purpose of content is to demonstrate value by sharing a unique perspective or answering the buyer’s questions.

Next, determine how to turn these into answers. This can, of course, take the form of a blog post, white paper, podcast, or video, but don’t create content that stems solely from research. Ask salespeople to contribute their ideas by asking them what questions they receive from buyers. This will improve the quality of the content and increase salespeople’s commitment to following up on MQLs as well.

Adding video is another way to improve lead quality, because measuring view time makes it immediately clear whether the buyer has taken the time to learn more. This will give the salesperson the confidence that following up is worthwhile.

The quality of the MQL determines the quality of the follow-up by salespeople, and this will boost the MQL-to-SQL conversion rate.