5 Effective Lead Generation Strategies for Local Businesses

Small and local businesses are facing tough competition. With giants like Amazon ruling online shopping and Walmart dominating physical stores, it’s a challenge for local businesses to stand out.

Walmart aisles

The truth is: Physical stores are here to stay. Smart local lead generation strategies can be your secret weapon. While other digital marketing methods connect you globally, these strategies are laser-focused: They connect your business directly with your ideal customers. Here are five simple, budget-friendly, and highly effective lead generation strategies for local businesses:

  1. Leverage targeted Facebook lead ads
  2. Develop a localized lead magnet
  3. Organize a local contest or giveaway
  4. Build a localized landing page
  5. Explore offline opportunities

1. Utilize targeted Facebook lead ads

Thanks to its 2.41 billion users and unmatched targeting options, Facebook is a goldmine for local business owners to connect with their target audience. Imagine you’ve opened a dance studio in Seattle just before Valentine’s Day. Facebook ads let you specifically target men in relationships within the Seattle area. Your message could be as straightforward as, “Valentine’s Day is around the corner. Surprise her with the best gift ever!” It’s that easy. But what if your dance studio doesn’t start classes until April? You need to attract potential students now to fill those classes. That’s where Facebook lead ads come in. There are a couple of approaches when it comes to lead generation on Facebook:

  1. Run an ad with the “Conversion” objective and direct those who click to a landing page on your website where they can provide their contact information through a form.
  2. Opt for a Facebook lead ad. So, what exactly is a Facebook lead ad? Here’s what it looks like:
Facebook lead ad example

And here’s how it works: Step 1: A potential lead is scrolling through their Facebook News Feed and comes across your ad (for a Valentine’s Day gift of dance lessons). They click the call to action. Step 2: A form pops up within the ad, directly in the News Feed. The potential lead enters their contact information (based on the fields you’ve chosen). Step 3: The lead submits their information, which is automatically sent to your integrated CRM. Here’s an example of how a Facebook lead ad might appear in the Facebook Ad Manager for our “Seattle Salsa” scenario:

local Facebook lead ad example

The best part is, Facebook lead ads deliver results: nexus-security discovered that Facebook lead ads are 19.77% more effective at converting clicks compared to Facebook ads that direct users to a landing page:

Facebook Lead Ads vs. Landing Pages Data

Pro Tip: Maximize the effectiveness of your Facebook lead ads by connecting your Facebook ad account with your CRM for seamless and automatic lead transfer.

2. Craft a localized lead magnet

Lead magnets—incentives that encourage potential leads to exchange their contact information—are a top strategy for lead generation. However, if your local business operates in Hell’s Kitchen, you don’t need leads from Singapore (especially if you only serve your local area). Creating a generic lead magnet that tries to appeal to everyone is a waste of your precious time. Instead, focus on developing a lead magnet that specifically resonates with your target audience in your local area. Here are a few ideas for localized lead magnets:

  • The Ultimate Guide to Estate Planning in [Your State]
  • Everything You Need to Know About Buying/Selling/Flipping a Home/Condo/Apartment in [Local Area]
  • The A-to-Z Guide to Buying a Used Car in [Your State]
  • Get Your Car Winter-Ready in [Your State]
  • Plan the Perfect Road Trip/Holiday/Bachelor Party/Romantic Getaway in [State/City] You have complete freedom when it comes to the format of your lead magnets. Whether it’s webinars, videos, or downloadable PDF guides—any type of gated content will work. Here’s an example of a localized lead magnet:
localized lead magnet landing page example

Pro Tip: Email-gating your videos is a powerful lead generation technique. Consult with your developer to create a system that pauses (or prevents playback of) the video until the viewer provides their lead information.

3. Launch a local contest or giveaway

One of the most effective ways to generate exclusively local leads is by organizing a contest with a prize that’s relevant to your area. Contests, like lead magnets, offer a compelling reason for potential customers to share their contact information. The exciting twist? They get a chance to win a desirable prize. When it comes to local contests or giveaways, there’s one golden rule that makes all the difference: Offer a prize that directly relates to your product or service. Imagine you’re promoting a gym. If your contest offers a trip to Barbados or $1,000 cash, you’ll attract a massive number of leads. Everyone wants a luxurious vacation or extra cash. And that’s precisely the problem. Remember, a single lead who converts into a customer is far more valuable than 100 leads who don’t. Just like social media followers or blog subscribers, the sheer number of leads is ultimately a vanity metric. By offering a prize that’s directly tied to your business, you might attract fewer leads, but those leads will be much more valuable to your business. Here’s an example of what a local giveaway page might look like:

local contest landing page example

Image source This local contest page is a perfect example of simplicity and effectiveness. Here are some key elements to notice (and incorporate into your next local contest!):

  • The countdown timer. Countdown timers inject a sense of urgency into any promotion. Studies show they can increase conversion by an impressive 332%. They work wonders in contests because they’re real. Your contest has a definite end date, and participants need to enter before it’s too late.
  • The headline. Prominently displayed at the top, the headline clearly states the prize. Highlight the value proposition right from the start.
  • The prize value. Including a dollar value helps contest participants grasp the potential value of the prize, especially when it’s a product or service that might not have an immediately obvious value.
  • The form fields. This contest keeps it simple by only asking for a name and email address. In most cases, it’s best to limit the information you request to the essentials needed to contact your leads. Avoid unnecessary More form fields tend to equal a lower conversion rate on your lead generation page.
  • The call-to-action button. A high-contrast and attention-grabbing button eliminates any confusion about where to click to enter the contest.
  • The absence of external links. This contest page functions as a dedicated landing page, optimized for a single conversion goal. There are no distracting links that lead visitors away from the main objective. Struggling to come up with the perfect prize? Here are some local lead generation contest prize ideas:
  • A romantic date night package (even better if you collaborate with another local business)
  • A comprehensive “winterize your car” package
  • A professional home staging package
  • A fun-filled family photoshoot
  • A festive holiday-themed makeover
  • Energizing fitness classes and gear
  • A themed product giveaway
  • A pampering pre-wedding spa treatment Pro Tip: Boost the reach of your local contest or giveaway by incorporating social sharing. Add share buttons that encourage participants to spread the word to their network for extra entries.

4. Develop a localized landing page

If you’re targeting multiple local markets or have local branches, creating landing pages tailored to those specific areas can significantly enhance your local lead generation efforts. For instance, let’s say you manage a large law firm in Michigan with a main office in Detroit, and branch offices in Lansing and Grand Rapids. Your potential clients—your future leads—are far more likely to engage with their local branch. Here are two key points to consider:

  1. Prioritize local SEO. Your goal is to appear in search results when someone searches for “Grand Rapids personal injury lawyer” as well as “Lansing” and “Detroit.”
  2. Build a targeted lead generation campaign. Use tools like Facebook ads to target those specific areas and direct users to a landing page designed for their location, featuring relevant partners or attorneys. Let’s look at Cactus Club (an upscale Canadian restaurant chain) as an example. Here’s the localized landing page for their Yaletown branch:
localized landing page example

If Cactus Club were to run local Google Ads, directing users to their nearest branch (instead of the generic homepage) would significantly improve their conversion rates. Google’s geo-targeted ads empower marketers to reach their audience with incredible accuracy. Take a look at just how specific you can get:

Google AdWords Geotargeting Guide

For a deeper dive into local Google Ads, check out “The Ultimate Guide to Google’s Local Service Ads.”

5. Explore offline opportunities

In the digital marketing world, it’s easy to forget about the power of real-world interactions. “Shaking hands and networking” often takes a backseat to A/B testing and other online strategies. However, conferences and trade shows can be a goldmine for local businesses to generate high-quality leads and nurture valuable relationships.

stats about offline marketing working

Image source But it requires some effort. Here are a few offline lead generation tips to get you started:

  1. Choose your trade shows or conferences strategically. These events can be costly, so it’s crucial to select those that offer a positive return on investment and align with your goals. Start by testing one or two events before committing to more, and assess if the effort translates into profits. For a comprehensive list of trade shows categorized by industry, visit AbsoluteExhibits.
  2. Define your key performance indicators (KPIs). What defines success for your business? Are you solely focused on lead generation? Or are you also looking for wholesale suppliers, potential employees, product feedback, or other objectives?
  3. Bigger isn’t always better. Similar to our local contest example, it’s often more effective to participate in highly-targeted (read: smaller) trade shows or conferences, especially for local businesses. Identify the events where your target audience is most likely to be present.
  4. Offer incentives. Remember, this article is all about local lead generation. Offer incentives like branded merchandise or exclusive discounts in exchange for contact information to make the most of your interactions.
  5. Follow up promptly. Leads generated online are generally easier to contact than those gathered manually. Before heading to a trade show, set up an automated email sequence that encourages new leads to take the desired next step. Start with a simple message like, “It was a pleasure meeting you at [tradeshow name]. We hope you had a great time!” For more insights into local event and conference marketing, check out 11 Creative, Brand-Building Event Marketing Ideas.

Start capturing those local leads!

There you have it: five impactful local lead generation strategies that you can implement today. Here’s a quick recap:

  • Reach your local audience effectively with targeted Facebook lead ads.
  • Develop a localized lead magnet that’s highly relevant to your target market.
  • Create excitement and generate buzz with a local contest or giveaway.
  • Build a localized landing page for each of your brand’s branches.
  • Don’t underestimate the power of offline interactions to generate local leads face-to-face.

Don’t let the misconception that digital marketing strategies are only for international tech giants fool you. Your local business can achieve just as much success with these strategies as a high-flying SaaS company in Manhattan.

So, what are you waiting for? Get started today!

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