In today’s digital world, attention spans are limited and trust is earned very slowly. More often than not, businesses are struggling to ask potential clients to hand over their contact information without receiving something meaningful in return. This is where a lead magnet can become a useful tool.
What exactly is it?
A lead magnet is a free tool, resource, or incentive that is offered to potential clients in exchange for their contact information and the detail most commonly asked for is an email address and secondly a phone number.
The term “magnet” states its exact purpose: to attract prospects and begin a relationship. Rather than asking someone to “subscribe to our newsletter,” a lead magnet provides something that is desirable and informative, it must address or solve a problem, and it is should be beneficial or very useful to them.
While it appears to be a simple concept, it can be very powerful. Your lead magnet is essentially a ‘teaser’ for your audience and can be used as a ‘hook’. You’re creating intrigue. You are offering something that is ‘free’, they don’t have to pay for it, but they can see that there is value in what you are offering and in return, you gain permission to continue communicating with them. This shift – from asking for attention to earning it – is what makes lead magnets so effective.
How it works
Lead magnets are usually presented on a landing page on a website. To access it, visitors will submit their email address, or you may ask for additional contact details, but it is important to note, no matter how compelling your content is, the more information you ask for, the less like you are to obtain leads. Once they have submitted their details, the resource is delivered automatically, and the relationship begins.
The real power of a lead magnet is not the free resource itself, but in what happens next. After someone joins an email list, you can nurture that relationship through follow-ups, whether that is by sharing informative content, educational emails, etc. Over time, trust builds. And trust is what ultimately drives the conversion from a ‘warm lead’ to a ‘client’ and potentially a ‘long-term advocate’ for your business.
Types of lead magnets
The types of lead magnets businesses use can vary widely; this all depends on who the audience is. The most common types of lead magnets are downloadable eBooks or in-depth guides that can help solve a particular problem, or even cheat sheets or one page guideline that is designed to deliver a quick win for the audience.
Lead magnets can be used throughout the year, however, a good example of when a lead magnet could be used is in the lead up to the end of financial year. Providing a checklist or one-page guide outlining various superannuation strategies could benefit a potential client. This is also a proven way to showcase your expertise and the value of your service. You are creating awareness, building your brand, addressing pain points. Tailoring your lead magnet to your audience means a higher change of engagement.
Some other topics that financial advisers may find useful for lead magnets are:
- Structuring an Estate Plan
- What you need to know about Aged Care
- Securing your financial future in retirement
- Developing an investment portfolio
It’s important to remember that this exercise is not just about collecting email addresses and other contact details, it’s about nurturing the relationship once you have received the information and turning it into a long-lasting client-adviser relationship.