David Searns | Co-CEO
Do you know the 40-40-20 rule?
It’s about direct marketing. And how to maximize response.
And if you are looking to improve sales results, it’s a rule you need to know.
The 40-40-20 rule goes back to the 1960s, when marketing guru Ed Mayer developed a simple algorithm to help marketers determine where to focus their time and effort in direct response marketing.
The rule states:
- List: 40%
- Offer: 40%
- Creative: 20%
It’s that simple.
40% – The List 40% of your results comes from targeting the right people. In Mayer’s time, this meant buying the right mailing lists—but today, it means knowing your Ideal Client Profile (ICP) and having clean, accurate contact data.
Even better? If your list contains people known to respond to marketing. Yes—you can buy lists of responsive prospects.
40% – The Offer Next, 40% of your results are due to the offer.
Are you offering something so irresistible that people have to take action?
In today’s world, we call this the CTA, and it might include:
- Discounts
- Freebies
- Demos or trials
- Exclusive content
We actually tackled CTAs in detail way back in
SMART IDEA #5: The Art of the CTA (in case you missed it!).
20% – The Creative The final 20% of your results are from your messaging and presentation. This includes:
- Copy
- Fonts
- Colors
- Images
- Page layout
- Method of delivery.
In today’s world, creative will also include:
- Video
- Conversion paths
- Landing pages
- Automation
- Retargeting ads
- Social proof
Does the 40-40-20 rule apply to staffing sales?
In a word, YES!
It applies to your
- Website
- Social media
- PPC ads
- Automation campaigns
- Job ads
- Sales calls (yep, even these).
Think about it...
Let’s start with the list.
How much time do you invest to define your ICP (ideal client profile)?
How much effort do your salespeople put in to gathering the names of the most likely staffing buyers at each target company? And then developing profiles of these individuals?
Without a crystal clear ICP, and then building the right prospect list, you’ll waste a lot of time and money on ineffective prospecting.
How about offers?
How much effort do you put into creating compelling offers?
Do you have offers at all?
What could your sales team (or your company) offer to your ideal prospect that would be so irresistible that people would be insane to say no?
By the way, if you want a great book on this, read Alex Hermozi’s $100M Offers.
And then there’s creative.
To drive sales results (and recruit talent), you need to consider:
- Your company messaging
- Your value proposition (in this market)
- Your website – is it optimized to drive response?
- Your social media – are you telling the right stories?
- Your PPC ads – are they targeting the right people with the right offers?
- Automations – are they capturing attention and driving action?
- Sales collateral – is it conveying your value in the best way?
- Your sales and recruiting word tracks
- Job ads – are they effectively selling the jobs?
- Your nurturing campaigns – are you staying top-of-mind?
Beyond the 40-40-20 rule
In researching this article, I read a variety of posts about the modernization of the 40-40-20 rule.
Here are several other variables consider when designing a lead generation campaign:
Data. What data sources are being used to determine when, where, and how to reach your ICP?
Content. Are you consistently creating content that helps tell your story, support sales, and attract employers and job seekers to your website?
Distribution. Are you using the right channels to reach your ICPs? Are you using omnichannel marketing to “surround” the people you want to reach?
Alignment. Is your messaging aligned from marketing to sales to recruiting?
Reputation. Are you proactively managing your online reputation?
Trust. Do you collect and proudly share testimonials, case studies, performance metrics, and the names of well-known clients to demonstrate your ability to deliver?
Ready to put the 40-40-20 rule to work?
Step 1: Define your ICP and build target lists.
Step 2: Create irresistible offers—and test a few variations! Step 3: Map your conversion path—how will people respond? Step 4: Design creative that resonates—and plan for 16+ touches. Step 5: Launch. Monitor. Optimize.
Need help?
Reach out to the team at Haley Marketing.
We’re here to help you build campaigns that follow this framework—and drive real results. |