I currently run infomercials in about 20 states . I close about 20-30% of the leads all done over the phone . I get too many calls and sometimes the leads sit and get lost in the influx of new leads. If I were to start selling calls would do you think would be a fair price ? I was thinking around $45 - $50 a call selling them in batches of 25. Credits would be given only for wrong numbers and initials calls would be record through our system to verify credits. I DO NOT WANT ANY CONTRACTS just want to sell the leads so let me know if the $45 -$50 range is too high. The calls would be coming from people who are seeing and add and calling in which then rings directly to you cell phone....thx
Final Expense Leads
- Thread starter philly012
- Start date
- 1,912
Too expensive.
Infomercial leads on the open market can be bought for $35 a piece. Cheaper with cash buys.
- Thread starter
- #3
- 4,015
Is your goal to recoup investment on the leads you can’t get to? Or are you looking for another profit center? Either way, the basis is what the average cost per lead is for you. If you want profit, add in a percentage for the costs of processing & handling, etc. Then a percentage for profit. Then see if you’re competitive with similar offerings. But beyond the price of the lead itself, if I’m buying leads, I’m also buying the customer experience. If the leads are high quality, and you have a pretty user friendly system, they’re worth more. But if not, then they’d better be cheap!
On pricing in general, be competitive (as I said above), be profitable, and be reasonable! If your price is too high (which your initial suggestion definitely is, IMO), agents will turn away in favor of other sources, or may even try to DIY by copying your methods.
On pricing in general, be competitive (as I said above), be profitable, and be reasonable! If your price is too high (which your initial suggestion definitely is, IMO), agents will turn away in favor of other sources, or may even try to DIY by copying your methods.
- 4,678
$55 leads need a higher closing % than $25 DM leads with all other variables the same. Or $55 leads would need to produce more deals per hour than than the $25 DM leads to justify this more expensive lead.
- Thread starter
- #7
Yes it would be to make a profit as I am not doing this to collect contracts. After looking at the numbers this morning I would say for every thousand I spend I make between 4-5,000 back. A bad batch of 25 would still generate between 2 to 3k. The difference I run in for infomercials that run for hours at a time. Typically when you get the lower-priced TV leads they are running spot commercials which only run for 15 or 30 seconds and that’s when you get a lot of the lower quality calls. With the infomercial they are calling with more of a purpose Because they typically are watching the commercial for a few minutes before they call.
- 1,912
I agree.
Informercials are hands down the best lead in the industry.
You could still make a profit at $50 a lead, Im simply pointing out that an agent could generate the same lead for less with other vendors.
- 913
So infomercial leads are different 30 or 60 second spots?
- Thread starter
- #10
In theory spot and infos are the same but after 16 years in this space I have seen them all. What these other lead vendors all they do is run spots as it is cheaper than an infomercial that runs for 30 + mins. The spot may only be a 15 sec or 30 sec ad on TV. With spot calls you get more or people just trying to save number in their phone or people who were not really sure what they were calling in for. With infos they watch the ad for a few mins and are calling with more of a purpose. The good lead vendors charge a lower price for spot and a premium for infos. I was there from the beginning when my agency partner started BIG LOU those tacky ads on XM. They cost a fortune but we would get CEO's ,VP'S etc....calling in to those ads and our average premium was around $3-$5k per policy. Those leads break out to around $80 per lead. We would write around half the leads that called in so we were making 4-6 times our investment. With FE the premiums are much lower so $80 per lead would never work on XM. I left that agency to focus on FE but the BIG LOU guys still funnel me cases for FE if health issues etc... I tried plenty for lead vendors and just could not take all the BS with the leads. now listen sometimes I get crap calls but the good def outweigh the bad ones. Tried ALL WEB LEADS which is a scam as you have to pay $65 to get a live transfer and getting credits is tough after you blow through your promotion money. I want to sell quality leads and focus on that as I write around $150-$200k in FE . I want to model this lead company off of how the guys run BIG LOU.
