Here we go again . Stamps 68 to 73 cents in July . Up 48% since 2019

[tippingpoint]

Many of these calls are going to be to the same numbers

Yeah, that makes sense and it's probably on a dialer.

 

[GMDM100k]

There are several extra layers to consider.
1. They need to PICK UP the phone
2. They need to not IMMEDIATELY hang up when they realize its a sales call
3. If the IMO has Prequalifiers for banking/medical DNQs/etc, they would need to have to get past the prequalifier, and not hang up during the process.
4. THEN they would be subject to the agents closing ratio

Many of these calls are going to be to the same numbers. They are not calling 1.5 million individual people, they are calling a smaller number of people multiple times in a calling rotation. It might make 4 daily attempts the first few days and then 1-2 a day for the rest of the month. Depends how they have it set up. Even if they get a sale on the 20th attempt, the 19 previous calls are still in the total

So if you redo it:
1. If 10% of the 1.5 million are picked up, you are down to 150k calls
2. lets say 75% immediately hang when they know its a sales call-now its 37.5K
3. Lets says 80% either hang up during the PreQs presentation, or do not qualify-now its 7500
4. At $900 AP that's 500 sales, the closing rate is would be 6.6%. At $800 AP-562 sales- closing would be 7.5%

Now I made up all those values, and you can fiddle with the numbers and they would adjust everything down the line.
if only 7% instead of 10% pick up, then the closing ratio is over 10%. but I think when you consider the other layers it seems more reasonable/possible

Yes. This about how it works out. I belive she mentioned they have to dial the numbers on average about 12 times to get a pick up.

Closing ratios on actual phone numbers to sales were 2 to 4 percent. I don't know the ratios of actual dials to sales. But I do know that having enough data to fill all day long is an obstacle

 

[DonP]

Over the last two years my agency has transitioned from working 90 percent direct mail leads and 10 percent web leads. To 80 percent web leads and 20 percent direct mail leads.

Persistency has been the same so far but the closing ratio dropped about 1 to 2 percent.

The biggest issue with web leads that my team has is the shelf life. You have to work web leads immediately. Within 3 days to get the best closing ratio. Direct mail leads are good for months.

Direct mailers are like tv leads used to be. Direct mail is on the way out. Web is in.

Especially with the changes that are being made in regard to buying and selling names to generate leads.
The most compliant and safest way to generate a lead will be by the consumer seeing an ad online and requesting info directly from the carrier.

They days were a lead vender can buy a mailing list and solicit them for leads are going to be behind us.

About 5 years ago I believed that direct mail would be nearly non existent in 10 years. And I started to plan accordingly.

I still sell face to face though. Web leads can not sustain the volume that is needed for telesales. And the changes coming up are going to make it really hard to get the thousands of names you'll need to get to sell over the phone the way they do it currently.

There is a telesales agency that works with my imo and does about $450k a month in ap. They make over 1 million phone calls a month. About 350,000 a week. In the 4 years they have been in existence they have made enough calls to call every person in our market 100 times over.

This is not a sustainable way to do business.

Some of your pts i agree with. I agree it's getting tougher and tougher on dm as far the cost . But on the other Side as fewer and fewer people do dm maybe returns actually rise over the coming yrs . But the days of just skimming the Cherrys of dm are over . To make it work you must diligently door knock all the leads . I'd say a min of 50% of dm will never pick the phone up. Obviously telesales is working for some as tons of agency's doing it . The question becomes how many of these people filling out ads are filling 3-10 ads out? There's got to be tons of serial fillers of ads . Like you said the saturation of that is near. Also you mentioned a million phone calls . Throw that in with the 100's of millions of Medicare calls. It's none stop . I was eating the other day and a lady answered the phone . She goes is " this life ins and hug it up"

 

[Rearden]

They would do better selling Facebook leads than FE.

My agency's March 2023 Numbers - Out of 199 Writing Agents:
-30 wrote $20k+
-13 wrote $30k+
-8 wrote $40k+
-5 wrote $50k+

-29 of the 30 who wrote $20k+ are telesales
-Here's the kicker... 18 or 19 of the top 30 agents... are getting free leads.

 

[Rearden]

F2F v Phone

How do the premium amounts and persistency compare?

Hard to tell the difference, honestly.

I can tell you the chargeback issues I've had over the past few years aren't from failing agents, but from fraud agents writing BS business and leaving chargebacks behind.

 

[jdeasy]

My agency's March 2023 Numbers - Out of 199 Writing Agents:
-30 wrote $20k+
-13 wrote $30k+
-8 wrote $40k+
-5 wrote $50k+

-29 of the 30 who wrote $20k+ are telesales
-Here's the kicker... 18 or 19 of the top 30 agents... are getting free leads.

Never said pimpin was easy!!

 

[DonP]

My agency's March 2023 Numbers - Out of 199 Writing Agents:
-30 wrote $20k+
-13 wrote $30k+
-8 wrote $40k+
-5 wrote $50k+

-29 of the 30 who wrote $20k+ are telesales
-Here's the kicker... 18 or 19 of the top 30 agents... are getting free leads.

You had 56 of 199 agents write $20 k or more ? Are 30 total agents wrote $20 k plus and you broke the levels down more ?

 

[DonP]

Never said pimpin was easy!!

Jd I wrote 4 life for $4100 premium today . I got very upset when you told me I write little life .lol.

 

[GMDM100k]

My agency's March 2023 Numbers - Out of 199 Writing Agents:
-30 wrote $20k+
-13 wrote $30k+
-8 wrote $40k+
-5 wrote $50k+

-29 of the 30 who wrote $20k+ are telesales
-Here's the kicker... 18 or 19 of the top 30 agents... are getting free leads.

I'm curious on how much it's cost you as an agency manager to do the free leads? How much did your agency spend on the dialer? How many leads did your agency work?

I believe i wrote a bit less than you did last month. I had about 440k in ap.

I had 56 producing agents last month and our entire agency worked about 1852 leads. All my agents combined spent about 70k on leads.

 

[jdeasy]

Jd I wrote 4 life for $4100 premium today . I got very upset when you told me I write little life .lol.

Except I didn't say that.

You only work a half day?