Direct Mail Lead Company or Go Through A Printer?

[Abrasax]

I found a local printer very close to me who sells 1,000 6.25"x9" cards for $300 plus postage, which is a tad bit on the high side but the volume discount could bring it down to $26/lead (assuming 1% response).

Are there good ready made designs I can use or buy or am I better off going through a lead company if I have no experience printing?

If a local printer is a good idea, can you tell me if I'm better off doing EDDM postage or has anyone tried using targeted lists and paying the extra postage?

Thanks for any help!

 

[Markthebroker]

I used to do direct mail. Then I got training on asking for referrals. I haven't advertised in years since nailing the process. I watch videos, practice, and I keep getting better at it. I get a few referrals for ever sale I get, then I go back and get more.

Direct mail - Expensive.
Referrals - Free.
Direct mail - Low response.
Referrals - High response.
Direct mail - Low close rate
Referrals - High close rate.
Direct mail - Harder sale.
Referrals - Easier sale.
Direct mail - Lots of work, no guaranteed sale, stress, expensive, etc.
Referrals - Lots of time vacationing, dirtbiking, 4wheeling, watching movies, hiking, and spending time with my friends and family.

If you enjoy spending money and having a low close rate, you should focus your energy on DM. If you enjoy a smooth sales process and making money, start watching videos on properly asking for referrals. It's your choice.

 

[Abrasax]

I used to do direct mail. Then I got training on asking for referrals. I haven't advertised in years since nailing the process. I watch videos, practice, and I keep getting better at it. I get a few referrals for ever sale I get, then I go back and get more.

Direct mail - Expensive.
Referrals - Free.
Direct mail - Low response.
Referrals - High response.
Direct mail - Low close rate
Referrals - High close rate.
Direct mail - Harder sale.
Referrals - Easier sale.
Direct mail - Lots of work, no guaranteed sale, stress, expensive, etc.
Referrals - Lots of time vacationing, dirtbiking, 4wheeling, watching movies, hiking, and spending time with my friends and family.

If you enjoy spending money and having a low close rate, you should focus your energy on DM. If you enjoy a smooth sales process and making money, start watching videos on properly asking for referrals. It's your choice.

Very good advice. I've seen good referral programs in place with FE though I've yet to implement one myself. Thanks for the reminder.

 

[Markthebroker]

It's not as black and white as DM, it takes some work and some practice, but boy oh boy when you get it down, you'll never go back.

I know this makes me sound like a bit of a jerk, but for the first year or so, I actually felt guilty at how easy it was to get business after refining the process.

 

[Abrasax]

It's not as black and white as DM, it takes some work and some practice, but boy oh boy when you get it down, you'll never go back.

I know this makes me sound like a bit of a jerk, but for the first year or so, I actually felt guilty at how easy it was to get business after refining the process.

Do you have a recommendation of where to learn a good process?

 

[myinsurebiz]

I found a local printer very close to me who sells 1,000 6.25"x9" cards for $300 plus postage, which is a tad bit on the high side but the volume discount could bring it down to $26/lead (assuming 1% response).

Are there good ready made designs I can use or buy or am I better off going through a lead company if I have no experience printing?

If a local printer is a good idea, can you tell me if I'm better off doing EDDM postage or has anyone tried using targeted lists and paying the extra postage?

Thanks for any help!

$300 + postage is a bad deal . . .

EDDM is saturation mail - no good for leads

 

[Markthebroker]

Do you have a recommendation of where to learn a good process?

What do you want to focus on?

 

[Alston]

If you enjoy spending money and having a low close rate, you should focus your energy on DM. If you enjoy a smooth sales process and making money, start watching videos on properly asking for referrals. It's your choice.

I hope this comes across with the respect I intend to give to Mark, but it's not a choice, IMO.

You can do both and may have to. Until you have enough people to talk to on a favorable basis you won't get enough referrals.

Also, you can use DM to get even more referrals.

The more referrals you get, the less you need to spend on DM and other marketing.

On the other hand, you can keep your ad spend constant and grow your book faster or hire other agents.

There might be an exception (maybe if you sell toilet paper), but I think you'll "always" do better with a targeted list.

I don't think there's an insurance product that can be sold equally well to everybody, especially if the creative is the same.

I think I'll always use DM, but I now rarely mail to people who haven't had contact with me beforehand.

My ultimate goal is to market like a dentist. The established ones can send out a crappy looking postcard every 6 months to their patients and not do much else.

Why does this work when the postcards are so uninspiring? The list is everything. They mail them to their patients, not to a purchased list.

But until you have a big enough list of people who know, like and trust you, you'll need to find the right demographics to mail to.

EDDM isn't likely to do well, IMO.

 

[Abrasax]

What do you want to focus on?

Final Expense referrals. I was assuming you meant in home.

 

[Markthebroker]

This is a good place to start.