FREE LEADS

[midwestbroker]

No, I am not offering free leads. However, a lot of FMO's are out there touting them.

Is this still a valid lure to move or sign a contract with an FMO? Yes, I represent an FMO on the training side, but I can tell you we get A LOT of agents asking for free leads or lead programs.

My question: Do free leads lure you? What do you look for in a lead program?

Thanks in advance!

 

[somarco]

Free leads most likely appeal to those who are new and under-capitalized. Who wouldn't want to start a business with little to no capital investment?

Unless they are changing lines of coverage, anyone who has been in the business for more than 6 months is probably not going to make it even with free leads.

My experience in the past, free leads are worth exactly what you paid for them.

 

[rousemark]

Often "free" leads are very expensive... If an agency "gives" free leads, they are going to cut your commission to offset their cost (and maybe even use them as a profit source)..

 

[germanwine1]

Never received free leads from my FMO and don't really want them if it means lower commissions.

 

[senior-advisor-indiana]

I have an FMO that gives me free leads every AEP. These are actual free leads(no commission cuts) and it keeps my contracts with them.

 

[Chazm]

I’m not sure what’s wrong with Free leads if you aren’t taking a cut in commissions.

My upline does a discount mailer which in my opinion is like giving me free leads and I don’t take a cut in comm. I happily stay with them because of it.

 

[DS4]

Do free leads lure you

no

What do you look for in a lead program?

I don't look. They all suck.

 

[johntrice]

I've worked free Mortgage Protection leads , but they were several years old. The broker had a bunch that agents hadn't called or never closed and the guy was willing to give them to me. The good news is that I wrote some but I hired a telemarketer to call through all of them to set appointments. Unless you've got a lot of free time, free leads can be a real time waster. That being said, if you are a guru at asking for referrals, those free leads that close can direct you to some nice cases. Your IMO might have old inventory leads, or even a few "A1" leads from an area with no agent. You can always ask.

As many on this thread have said: watch the contract level and your closing ratio. Often, you're better of buying you own leads at a higher contract. That's more upfront costs but much higher long term commissions.