Sales are one of the most crucial parts of any organization that keeps the lights on and the business running. So it’s natural that there would be some debate for ages about which part of the sales process is more challenging: lead generation or closing?
Some entrepreneurs might say that sales lead generation is the hardest part of running a business. Others might say that the last part is the hardest. Of course, generating leads is always challenging for sales teams, but is it more complex than closing the sale?
Both the sales processes are intricate in their own ways. For example, a sale cannot be made without a lead, and a lead cannot be converted into a customer without being closed. So which one is harder? Let’s explore both to know the differences and decide which is more challenging.
Sales Lead Generation vs Closing – Which is more complicated?
Lead Generation
Lead generation is vital to the success and growth of all businesses. It is identifying potential customers and creating a chance to sell products or services. Therefore, you need to be very creative in your approach, using various methods such as social media marketing and email marketing to reach potential customers.
This is why 61% of marketers say generating leads is their greatest challenge [source], and almost 53% of marketers allocate more than half of their budget for leads [source].
The key to successful lead generation is generating high-quality leads. Conversely, low-quality leads are a waste of time and resources. Therefore, you should focus on generating leads with a high likelihood of closing.
Related: What Are the 2 Main Types of Lead Generation Businesses?
Now, let’s take a look at the other side — closing.
Closing Sales
Closing is the final step in the sales process, where you ask the prospect to make a purchasing decision. Regardless of the different approaches, 30% of the sales reps say dealing with the decision-makers and closing the deal is the hardest part of the sales process. [source]
A successful closing always needs a delicate balance between convincing and pressure. Too much stress can scare away potential customers, while too little can result in lost sales. The key is to find the right mix of convincing and pressure to make the prospect buy without making them feel uncomfortable.
The key to a successful closing is having a solid understanding of your product or service and being able to read the customer’s needs and know their level of interest. If you’re not getting good vibes from the customer, it’s probably not worth trying to close them.
So, Which Is Harder?
There’s no easy answer here. Both lead generation and closing are challenging tasks that require a specific skill set. Which one is harder probably depends on your strengths and weaknesses.
If you’re good at generating leads but struggle with closing, you might find that generating leads is easier for you. Conversely, if you’re good at generating leads but find it challenging to generate leads, you might find closing easier.
For a business, you know that generating leads is necessary. But what to do after generating those leads? Closing them can be tricky – but it’s not impossible.
Here are some tips to make the process easier, from lead generation to closing.
- First, start by identifying your ideal customer. Who are they? What do they need? What are their pain points?
- Choose the best day and time to contact them. Don’t use their personal or leisure time.
- Be in touch with them through emails and make efforts to keep them warm.
- Be honest and transparent and build trust with your prospects. Let them know that you have the best solution for them.
- Offer valuable insights. Share your knowledge and expertise with prospects to show them that you can help them resolve their issues.
- Be persistent but not pushy. Keep in mind that people need time to make decisions.
- If you sense that a prospect is interested, follow up regularly without being too forceful.
By following these tips, you can make it easier for your sales team to have a seamless process.
It’s also worth noting that neither task can be accomplished without the other. For example, you need high-quality leads to close successfully and complete them to generate revenue. So, even though one might be harder than the other for you, they both still need to be given equal attention to be successful.
