Lead generation is like fishing for customers. You don’t just hope people find you—you actively attract them and guide them toward becoming paying customers.
Let’s break this down with a real-world example anyone can understand.

Example: A Coffee Shop’s “Free Drink” Lead Magnet
Imagine you own “Bean Dream,” a small coffee shop trying to attract more customers. Here’s how you’d use lead generation:
1. Create an Irresistible Offer (The Bait)
You decide to offer:
☕ “Get Your First Coffee Free!”
To claim it, customers must:
✔ Sign up with their name & phone number
✔ Join your text message club
Why this works:
- People love free things
- You get their contact info to stay in touch
2. Promote the Offer (Cast Your Net)
Now you need to get the word out:
📍 In-Store Sign: “Text BEAN to 555-123 for a free coffee!”
📱 Social Media: Post about it on Instagram/Facebook
📧 Email Existing Customers: “Bring a friend—you BOTH get a free drink!”
Where this reaches:
- Walk-by traffic
- Local social media users
- Past customers (who bring friends)
3. Capture Leads (Reel Them In)
When someone texts “BEAN”:
- They instantly get a reply with a coupon code
- Their number is saved in your text marketing system
- Now you can send them future offers
What you gain:
✅ 100+ new phone contacts in your system
✅ A way to bring customers back
4. Nurture the Relationship (Keep Them Biting)
Over the next few weeks, you send:
📲 Text 1 (Next Day): “Thanks for coming! Here’s 20% off your next pastry with coffee.”
📲 Text 2 (1 Week Later): “Try our new caramel latte—just $3 this week!”
📲 Text 3 (Holiday): “4th of July special: Buy 1 coffee, get 1 free!”
Why this works:
- Stays top-of-mind
- Encourages repeat visits
- Builds loyalty
5. Turn Leads into Regulars (The Catch)
Result after 1 month:
- 50% of free-coffee leads return at least once
- 20% become weekly customers
Your customer base grows without expensive ads
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