Magazine article CRM Magazine

Lattice Engines Helps Mindjet Identify Top Prospects: Software Collaboration Sales Team Focuses on Highest Quality Leads with Lattice's Predictive Lead Scoring

Magazine article CRM Magazine

Lattice Engines Helps Mindjet Identify Top Prospects: Software Collaboration Sales Team Focuses on Highest Quality Leads with Lattice's Predictive Lead Scoring

Article excerpt

As a supplier of collaboration software designed to inspire innovation, especially among teams that may not always be working face to face, the 15-year-old Mindjet offers 30-day free trials of its products, which 40,000 to 75,000 people take advantage of each month. But despite the high exposure, only 4 percent of the leads the marketing department was passing on to sales were converting. "We were exposing all the leads to the sales team, hoping they would get to them, when in reality they didn't get to seventy percent of them," Jascha Kaykas-Wolff, Mindjet's chief marketing officer, estimates.

Mindjet had two data scientists in house, and considered tasking them with improving the quality of leads passed to sales. But the company also wanted a solution that was quick to roll out. Lattice Engines' Predictive Lead Scoring outperformed its competitors in early Mindjet tests. It took only a few weeks to get the model up and running.

The company used the Predictive Lead Scoring tool to divide its leads into five quintiles. It revealed that the top decile of leads had a predicted close rate over 20 percent. The bottom 60 percent were barely converting, with a success rate just under 3 percent. The best leads in the top quintile had a conversion rate 4.4 times higher than those in the bottom. With this data in hand, Mindjet passed only the top two quintiles to sales. The rest would go back into marketing's nurture program.

With the salespeople now focused on the best-quality leads, they were able to close more deals. Their 4 percent conversion rate increased to 12 percent. The improved results also helped boost the confidence the sales team had in the marketing organization, Kaykas-Wolff says. "We've got a much tighter relationship with the sales team. They're more willing to spend time in areas we feel would be more efficient for them."

Predictive Lead Scoring uses Bayesian analysis, the same math that powers recommendations on Netflix or Amazon, Lattice Engines CEO and cofounder Shashi Upadhyay offers. These models had been used on Wall Street trading desks and among insurance brokers, "but it just hadn't happened in the world of traditional selling," he explains. That idea, of "using all the data in the world to drive value for end users," led to the genesis of the product four and a half years ago.

The algorithm's findings depend on having a rich amount of data to draw from, and that's one area in which Lattice distinguishes itself. …

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