Are You Focusing On The #1 Sales Lead Source?
September 5, 2017 4:11:48 PM | By Matt Benati
Our clients say there really is no better lead source than Old Client, New Company (OCNC). Here’s what you need to know about OCNC leads, and how LeadGnome uncovers the trigger event that allows you to leverage this opportunity ahead of your competition.
What Is OCNC (Old Client, New Company)?
CEO and Founder of ExecVision, Steve Richard introduced me to this acronym recently, and I realized it was a concept we talk about a lot here at LeadGnome, but under a different name. When an existing client (or lead) moves to a new company, you have a unique opportunity to “follow” them and continue building a relationship or doing business with them. If you gave them excellent service at their prior company, they are more likely to invite you into the fold at their new organization.
Think of the old rolodex notion of maintaining relationships because it just makes good business sense. Someday those old clients could become your clients again at their new companies, and they will view you as a trusted advisor they feel good about buying from.
“It makes sense,” says Richard. “Who is your best prospect? Someone who has already bought something from you in the past and used it. The trust is strong. The understanding of how to receive value is present. Perhaps you have a relationship. At our company we coined the term OCNC – old client, new company – as a separate designated lead source. OCNC leads convert to closed deals at 35-45% historically which is higher than any other lead source. When one of your customers moves to a new company follow them and be the very first email or call they receive when they get started in the new job. You are crazy not to. Even better get a system in place that notifies you automatically when marketing automation emails to existing customers bounce. This is the best signal of an OCNC lead.”Who is your best prospect? Someone who has already bought something from you in the past and used it. -- @srichardv Click To Tweet
But You Have To Act Fast!
The challenge is learning that your lead left the company in the first place. Many organizations may not know a lead is gone until they receive a hard bounce indicating an expired email address. Or, at renewal time when they touch base with their client and are told, “I’m sorry, she’s no longer with us. Is there anyone else that can help?” It’s a sinking feeling when you realize a client is gone and you don’t know when they left, or where they went. Did you lose a few weeks? A few months? In that time, your competitors could have already found out about the change and swooped in to take the business.
Remember, being the first in has some major advantages. CEO and Founder of SHiFT Selling, Craig Elias has found that the first in is 5 times more likely to win the deal. Not only that, but Elias says a new employee will be eager to make their mark and as a result, are about 10 times more likely to bring in new products or services. Those new employees with buying power also tend to make large purchases ($1M or more) within their first year, and often start exploring new vendors within the first 90 days of employment.
So if you really want to leverage OCNC, it’s critical that you learn that a lead has left the company FIRST.
Mine Your Reply Emails For LTCs To Be The First In
LeadGnome allows organizations to successfully leverage OCNCs by identifying Left The Company (LTC) trigger events in reply emails. In most cases, when someone leaves a company, a LTC auto-response is put into place to notify senders that the employee is no longer with the company. By mining the replies to your email marketing campaigns, you learn about a LTC in a timely manner and begin investigating your lead’s move right away.
While most LTC email replies will not tell you where your old lead went, it’s pretty easy to find out. Start by checking their LinkedIn profile for updates, or if you have a cell or personal email you can reach out and congratulate them on the new position and get the scoop. From here, you need to work fast to research their new company and frame your solution to meet their new needs.
The best part about a LTC is the timing advantage. If a lead leaves the company on a Friday and you send your weekly marketing email the following Tuesday, you will find out about the change immediately. If your competitors don’t have the time or resources to monitor their reply emails, they won’t find out about the change until they receive a hard bounce, which could be 6 months later (or more). Talk about having a serious head start!
Other Benefits Of Mining LTCs
In addition to following your old client to their new company, pay attention to the changes within the existing account as well. A LTC reply almost always contains a replacement contact. If the account is already a customer, the new person could be critical for holding onto renewals. Don’t wait until renewal time to reach out! Just as you’re following your lead, your competitor may have followed the new lead over to your account. Be the first in to welcome the newcomer and secure your renewal before anyone else has a chance to bring their solution to the table.
On the other hand, the contact may have been an influencer or a user and not directly capable of making a buying decision. Again, welcome them and begin nurturing them with relevant content and touches. More contacts means greater visibility into your accounts and a better chance of stirring up interest. As a newbie, the new person’s excitement about your solution could be just the ticket for taking the deal over the finish line.
OCNC (Old Client, New Company) is a new acronym for an old sales concept that’s proven effective: Sell to people you know. Buy from people you know.
See how to gain a significant timing advantage over your competitors when you find out about this type change using LeadGnome’s reply email mining service. Start your free trial today.