A well-maintained sales pipeline is critical to a business’s success. But what’s the best way to ensure a steady flow of prospects?
Business owners, sales executives, and marketing professionals are all familiar with the concept of a sales pipeline (or funnel). Regardless of terminology, keeping it full is essential for generating revenue and growing a company. Typically, marketing teams focus on lead generation to ensure sales teams have enough opportunities to close deals.
When it comes to filling the pipeline, marketers generally favor one of two approaches: casting a wide net or using targeted efforts. The truth is, there isn’t a definitive “right” or “wrong” strategy. The best choice depends on a company’s specific needs and sales goals.
Below, we’ll explore the pros and cons of broad outreach and targeted marketing, helping you determine which approach best suits your business.
The Broad Outreach Approach
Casting a wide net operates on the principle that the more people a company reaches, the more potential leads it generates. This method is often used in broad-reach marketing channels like television, digital ads, and social media. The advantage? Greater brand exposure. The more familiar buyers are with a brand, the more likely they are to engage and eventually convert into customers.
Have You Heard of the Rule of 7?
Studies suggest that a buyer typically needs to encounter a brand seven times before making a purchase decision. Additionally, many B2B buyers are already 57% of the way through the sales process before they speak with a sales representative.
Beyond boosting brand awareness, a broad outreach strategy can uncover new customer segments and revenue opportunities. It might even reveal unexpected market demands that sales teams hadn’t considered. This makes it a great approach for newer businesses or those launching a new product or service.
However, while a wide-reaching campaign may generate a high volume of leads, not all of them will be qualified. A large portion of these leads may lack a genuine interest or fit, clogging the pipeline with prospects unlikely to convert. This inefficiency can make it difficult for sales teams to focus on high-quality opportunities.
The Targeted Marketing Approach
On the other hand, a targeted approach focuses on reaching the most relevant and high-converting prospects. It starts with defining an ideal customer profile; often called a buyer persona. If a business doesn’t already have a clear picture of its target audience, analyzing existing customers is a great first step. Key characteristics of a B2B buyer persona may include:
- Industry
- Company size
- Revenue
- Decision-maker’s job title
- Geographic location
- Business challenges
- Organizational values
By honing in on a well-defined audience, sales teams can personalize their outreach, speak directly to the customer’s pain points, and use industry-specific language. This fosters stronger connections and builds trust, increasing the chances of closing a sale.
While targeted marketing generates high-quality leads, it can also limit the number of new business opportunities. To return to the fishing analogy; if a company narrows its focus too much, it may exhaust its pool of potential customers.
Which Approach Works Best?
There’s no single answer to this question. The most effective businesses blend both strategies to optimize their sales pipeline. To determine the right mix, consider:
- What are my business goals?
- Where is my company in its growth stage?
- What are my current sales objectives?
- What support do my sales teams need?
- Do I offer a niche product or service?
- What is my competition doing?
- What do my customers want?
- How strong is my sales infrastructure?
A broad outreach approach is often useful in the early stages of building brand awareness and exploring potential markets. Once a company identifies its most promising customer segments, it can shift toward targeted marketing to drive higher conversion rates.
Although marketing strategies are rarely one-size-fits-all, understanding the impact of these two approaches can help businesses maintain a healthy sales pipeline. Evaluating company needs, sales capacity, and market trends will determine the right balance between broad and focused marketing efforts.