4 Reasons Why Sales Leads Are Vital for Your E-Commerce Store's Success

Rob Elgar - Writer for Egnition
By Rob Elgar
Head and shoulders photo of Michelle Meyer
Edited by Michelle Meyer
Joel Taylor
Fact-check by Joel Taylor

Published July 3, 2024.

An eCommerce seller typing on a laptop with the word lead generation hovering above it

To develop your e-commerce business, you'll need a customer base—and you can't achieve this without generating leads.

Lead generation refers to the process of turning visitors into prospective customers by gaining their trust and interest.

So, this means that lead generation is the first step toward building a successful sales funnel for your e-commerce business. Below, I'll discuss some concrete ways in which sales leads contribute to your store's success.

1. Increases Your Profits

By generating new leads, you'll have a targeted customer base to sell to, ultimately increasing your sales. Visitors don't generate sales; leads do—and more sales mean more profit.

» Testing new products on your leads? Learn how to forecast sales

2. Targets Your Desired Audience

Lead generation means you'll be able to target more specific audiences and focus on their specific wants and needs. You can use data from your leads to edit, market, and sell your products according to your audience's location, age, gender, and preferences.

3. Creates Brand Awareness

Lead generation allows you to build a trusted name for your business. By interacting with your leads, you can showcase your expertise and build confidence in your product. And the more you interact with your leads, the more they'll talk about your business, contributing to your brand's awareness.

4. Shortens the Sales Cycle

By evaluating your leads, you'll be able to assess at what stage in the buying process they are and take direct and immediate action. Because you can identify and target the highest-quality leads, your sales cycle becomes significantly shorter—this will save you time and allow for more sales.

» Implement successful marketing incentives to retain your new customers

Set Your Business Up for Success With Lead Generation

By implementing a lead-generation strategy in my own store, I was able to see a steady increase in leads. Although it took some tweaking, this strategy made it easier for me to understand my customer base, who to target, and how. Through a more specific targeting strategy, these leads bring a significant increase in overall profits.

To ensure your store's success, it's best to rely on some proven strategies, like implementing loyalty discounts. For my own store, the Order to Discount app by Egnition greatly facilitated this process, strengthening my lead-generating strategy.

Order to Discount



» Learn more about Order to Discount in this comprehensive review

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