Hubspot's take on the state of dealmaking
How’s your business been doing in terms of new deals recently,? To answer that question meaningfully, of course, you need a benchmark: a point of comparison, such as a historical value or an industry average. That’s why it’s interesting to take a look at recent industry benchmark data from HubSpot, which uses a January 2020 benchmark, pre-coronavirus.
The data only covers outcomes from companies that use HubSpot’s customer relationship management platform—and there are many other platforms, of course. HubSpot has more than 103,000 customers around the world, which is a pretty good data set. So, what does it show?
First, sales execs are working like crazy at the moment. Sales execs calls in February 2021, the last month in the HubSpot analysis, were up 49% compared to the start of last year, which was pre-coronavirus.
This intense sales activity seems to be yielding results in terms of lead generation, with a 32% increase in contact growth compared to January 2020. Additionally, more opportunities are being created in EMEA (Europe, Middle East and Africa) than in any other region. Deal creation is up 37% compared to a year previous.
Across the whole of the HubSpot universe, sales teams were supposedly creating 22% more opportunities this February than they were at the start of 2020. But—and here’s the real eye-opener—the level of deals being closed hadn’t gone up at all. It was at exactly the same level as in January 2020.
What we have seen at Europa might help to shed light on this picture.
Over the last year, we have seen how shifting work patterns under lockdown have made it easier for some prospects to show up as a qualified lead - a created opportunity - because they have downloaded a white paper, attended a webinar etc. BUT without actually being as engaged as you might think.
This means you can easily end up with what looks like a rich stream of prospects—but mining deals is much harder. Our experience has been that you are better off focusing on fewer, higher quality prospects and working harder on building relationships. To find out how we do it, contact us now.