Lead generation is broken. And it's costing your business more than you think.

According to recent research, 51% of sales professionals struggle with finding and sourcing qualified leads—making it the #1 challenge in modern sales. But here's the thing: it's not just about finding more leads. It's about finding the right leads.

The average cost per lead is said to be around £160 according to Marketing-Charts and Cognism, and around 80% of sales inquiries never convert into contracts. That's not only a lead generation problem. That's also a lead qualification problem.

Let’s explore why lead sourcing is so difficult, what it's really costing your business, and—most importantly—how to fix it.

The Real Cost of Poor Lead Generation

Most businesses focus on the obvious costs: the time spent prospecting, the tools you buy, the marketing budget you invest. But the hidden costs are far more damaging.

Direct costs:

• Average cost per lead: £198.44
• Sales team time spent on unqualified leads: 40% of their week

Indirect costs:

• Burnout and turnover among sales teams chasing poor leads
• Missed opportunities because your team is chasing the wrong prospects
• Damage to your reputation when you pitch to the wrong fit
• Extended sales cycles because you're not talking to decision-makers

Research from HubSpot shows that sales teams spend an average of 21% of their time actually selling—the rest is admin, prospecting, and chasing unqualified leads. That's a massive waste of your most expensive resource.

Why Lead Sourcing Is So Difficult

The problem isn't finding leads. It's finding qualified leads—prospects who:

• Have a genuine problem your solution solves
• Recognise the cost and consequences of not fixing it
• Have to make a decision now for internal reasons
• Have the authority to say yes

Most lead generation efforts focus on volume. You build a list, you send emails, you make calls, you hope something sticks. While without a clear qualification framework, you're just throwing darts at a board and you may end up with too many of the wrong type of leads.

Salesforce research shows that 68% of lost deals are due to poor lead qualification. Not because the leads were bad—but because salespeople didn't qualify them properly before investing time.

Best Practice Solutions: How to Source and Qualify Leads Effectively

Here are five proven approaches to finding and qualifying better leads:

1. Define Your Ideal Customer Profile (ICP) along with your Ideal Lead Definition Then Stick to Them

Before you source a single lead, know exactly who you're looking for.

Your ICP should include:

• Company size (headcount and/or revenue)
• Industry or sector
• Geographic location
• Growth stage or business model
• Along with other criteria specific to your preferred type of client

Your ILD needs to include:

• Right pain: The specific pain points or challenges they're facing you can solve
• Right scope: The project size/duration or product(s) matches your typical engagement
• Right outcome: They want the measurable results your products and services produce
• Right commitment: They're willing to invest the appropriate time and resources
• Right stakeholders: You're talking to those who own the problem, authority and money
• Right trigger: There's a compelling business reason now

When you know your ICP and your ILD, you can target your sourcing efforts. You're not trying to sell to everyone and you are not trying to sell everything and anything—you're focusing on the prospects most likely to buy and most likely to succeed with your solution.

 

2. The Power of Your Existing Network: Your Hidden Goldmine

Here's the truth most sales teams miss: according to an article published in the New York Times approximately 65% of all new business comes from referrals. Yet most salespeople chase cold prospects instead of nurturing the relationships they already have.

The best leads come from referrals. Research shows that 92% of B2B buyers trust recommendations from people they know—far more than any marketing message.

Focus on building genuine relationships with your existing clients and contacts. Bob Beaudine's concept of "The Power of Who" captures this perfectly: you already know everyone you need to know. The challenge isn't finding new people—it's leveraging the relationships you already have.

Referrals convert at 58% compared to just 3-10% for cold outreach—way more effective. Remember though… referrals don't happen by accident. They're the result of deliberate relationship nurturing.

Here's how to make it work:

• Stay in touch consistently: Regular, genuine contact (monthly emails, quick calls, shared articles) keeps you top of mind—not sales pitches.
• Add value first: Make introductions, share insights, offer advice without expecting anything in return. People reciprocate naturally.
• Be specific: Don't say "send me anyone you know." Instead: "I'm looking to connect with operations directors in manufacturing companies with 50–200 staff dealing with retention challenges." Specificity enables help.
• Ask for introductions, not referrals: An introduction (where they connect you directly) is far more powerful than a referral (where they just mention you).
• Close the loop: Always follow up and say thank you. Let them know what happened. This keeps the door open for future referrals.

Your existing network is a goldmine of qualified leads available through people who already know and trust you. Stop chasing strangers and start investing in the relationships you already have. That's where your greatest opportunities lie.

3. Use a Structured Qualification Framework: PICKED

Not all frameworks are created equal. The best qualification frameworks go beyond simple checklists—they help you understand your prospect's business deeply and determine whether there's a genuine fit.

Be More Effective uses PICKED—a consultative qualification model designed for both the complex B2B sales as well as more general applications:

• P – Pain and Solution: What is their problem and its pain? How well does your solution address it? If the prospect can't clearly articulate their pain, or if your solution doesn't genuinely address it, this isn't a qualified lead.
• I – Ideal Customer Profile and Lead Definition: How closely do they match your ICP? Not every prospect is a good fit for you. How closely does the enquiry or opportunity match your ILD?  Not every problem is one you can solve.
• C – Cast of Characters and Champion: Who's involved in the decision? Map the entire Decision-Making Unit (DMU): Economic Buyer, End Users, Technical Buyer, Veto Power Holder, Primary Influencer. Most importantly, do you have an internal champion—someone who advocates for your solution when you are not there? Without a champion, deals stall.
• K – Knock-on Consequences: What's the full impact of their problem? Help them see the ripple effects across their business: turnover, lost revenue, missed opportunities, reputation damage. Many prospects understand their immediate problem and yet haven't thought through the broader consequences. When they do, urgency increases dramatically.
• E – Economic Impact: What's the financial case? Quantify the cost of their problem and the ROI of your solution. A good rule of thumb: your solution should deliver 3–5x ROI within 12 months. If the prospect can't articulate the cost of the problem, or the cost of doing nothing or if your solution costs more than the problem costs them, this isn't a qualified lead.
• D – Decision-Making Criteria and Process: How will they evaluate solutions? What's their timeline? What's their buying process? Is there a compelling event driving urgency? If there's no clear timeline or decision process, the deal may stall indefinitely.

The key insight: If you can answer all six PICKED elements clearly, you have a qualified lead. If you don’t have all the information; keep qualifying. If the ratings are low it is better to walk away from a poor fit than to waste months chasing a deal that won't close.

4. Use Data-Driven Prospecting on LinkedIn

LinkedIn is one of the most powerful prospecting tools available. Many people use it ineffectively—they send generic connection requests and canned messages.

Instead:

• Research your prospect before reaching out. Understand their business, their role, their challenges.
• Personalise your message. Reference something specific about their company or a recent post they've shared.
• Find common connections to reference
• Lead with value. Offer an insight, a resource, or a genuine question—not a pitch.
• Qualify as you go. Use your initial conversations to work through the PICKED framework.

The psychology of relationship-building applies here: people do business with people they like and trust. Take time to build that foundation before asking for the sale.

5. Implement a Lead Scoring System

Not all leads are created equal. Implement a simple lead scoring system that prioritises prospects based on fit and readiness:

• ICP score: How well do they match your ICP? (1–5)
• ILD score: How well do they match your ILD? (1–5)
• Pain score: How acute is their problem? (1–5)
• Cast of Character score: How many of the DMU are you talk with? (1-5)
• Impending Event score: How much of an urgent priority is this? (1–5)
• Decision Making score: How well do you know and fit with their Criteria and Process? (1–5)

Leads scoring 20+ are hot prospects. Leads scoring 10–19 are worth nurturing. Leads scoring under 10? Don't waste your time selling to them. Put them back in the marketing pot and revisit them in 6–12 months to see if their circumstances have changed.

The Be More Effective Approach

At Be More Effective, we've worked with hundreds of businesses across the UK—from owner-led companies to mid-market organisations. We've seen what works and what doesn't.

Here's what we know: the best lead generation strategy combines three elements:

• Clear targeting: Know your ICP and your ILD. Focus your efforts on prospects most likely to buy and most likely to succeed with your solution.
• Rigorous qualification: Use a framework like PICKED to qualify leads systematically. Understand their pain, their business, their decision-making process, and the financial case for change.
• Consultative selling: Build relationships based on genuine curiosity and a desire to solve problems—not just to make sales. When prospects feel understood and valued, they're far more likely to move forward.

As Bob Hayward, Managing Director of Be More Effective, puts it: "Lead generation isn't about volume. It's about quality and fit. When you focus on understanding your prospect's business deeply—their pain, their challenges, their decision-making process—everything else follows. You close more deals, faster, and with less friction. And you build relationships that last."

Key Takeaways

• 51% of sales professionals struggle with finding and sourcing qualified leads—it's the #1 sales challenge
• 80% of sales inquiries never convert, costing an average of £198.44 per lead
• 65% of all new business comes from referrals
• that 92% of B2B buyers trust recommendations from people they know
• 68% of lost deals are due to poor lead qualification, not poor lead quality
• Define your ICP and your ILD then stick to it—focus on prospects most likely to buy and most likely to succeed
• Use a structured qualification framework like PICKED to understand your prospect's business deeply
• Implement lead scoring to prioritise your efforts on the hottest prospects

Ready to Improve Your Lead Generation?

If you're struggling to find and source qualified leads, you're not alone. But you don't have to figure it out alone either.

At Be More Effective, we work with UK businesses to develop targeted lead generation strategies, build sales teams that close deals, and implement systems that scale. We've helped businesses across construction, manufacturing, finance, and beyond transform their sales performance.

Let's talk about your lead generation challenges. Whether you need help defining your ICP, implementing a qualification framework, building your sales team, or developing a go-to-market strategy, we're here to help.

Get in touch:

• Phone: +44 (0)1793 686512
• Website: https://www.bemoreeffective.com/
• Email: Contact us through the website

Let's build a lead generation strategy that actually works for your business.