Why is BANT (Budget, Authority, Need, Timing) so important in B2B Lead Generation?
In order to answer the question, first we need to understand what BANT means in the sales lingo and the role it plays in qualifying leads.
BANT is a process that helps qualify prospects in any lead generation process.
BANT is a combination of different processes that help in qualifying the leads in the sales cycle.
Budget: Indicates if the prospect is willing to spend on the purchase and how much
Authority: Indicates the key decision makers involved in the purchase-decision
Need: Indicates the need to solve a problem
Timing: Indicates the timeline required for a prospect to want a solution
Basically these four stages in BANT help sales teams to determine the buying stage or the readiness of the prospect in the buyers’ journey.
Here are few quick questions that each stage of BANT signifies:
B- Are they willing to buy?
A- Are they the only decision makers or influencers?
N- Is there an immediate challenge that needs to be addressed with a solution
T- Is the need immediate or it can wait
Let us see what each acronym means and the role that is plays at each stage of BANT:
Budget:
Only when the prospect is willing to spend a certain amount of money on the purchase; would he be interested in buying the product or service. This helps in early evaluation or in qualifying the lead at an early stage so that the sales people can decide whether or not the lead is worth the time and efforts.
Sales team asks budget related questions to determine whether the prospect is ready to buy and determine the probability of the same in the near future. This helps to evaluate the time required for the sales cycle. However, this could be the starting point and there could be reasons beyond the budget that the prospect may have before they arrive at a decision.
Authority:
This is a crucial stage, because it is the decision maker who is going to decide whether to purchase the service or product and when to purchase it. It is important that the right person gets to know your pitch and those that are aware of the value that your sales pitch and your service is capable of bringing to their business,
Often there are hierarchies when it comes to decision making so it is important to identify not only those decision makers who are going to sign on the budget; but also those in the managerial level who are going to convince the top level executives about the purchase decision. These are the influencers that one needs to target too when at the authority stage of the sales cycle.
Need:
Asking the right questions is extremely crucial at this stage as it can determine the need or help dig out the need for a solution. The answer to your questions can help you understand the pain points of the prospect and to what extent it is bothering the prospect and whether it needs an immediate solution.
Timing:
As important it is to determine the need of a solution; timeline plays a vital role in sales. The possibility of the need to resolve the issue and arrive at a solution could be now, urgent or in the nearby future. This helps determine the buying stage of the prospect and help the sales team to decide the steps and time needed to nurture the prospect.
Conclusion:
BANT can work wonders if deployed to add value to your clients business. Flexible and agile solutions can help sales team capture a lead and push the lead further up for nurturing instead of losing the lead at the very beginning. BANT is a crucial process in qualifying leads and the sales cycle too for particular leads.