Hiring a Telemarketer

[padthaiforlunch]

Thanks guys. Sounds like I would be better off having a telemarketer calling businesses and appointment setting for group pension plans.

 

[somarco]

appointment setting for group pension plans.

That is (usually) a VERY long gestation period.

If they don't have a plan, you can work for a year or longer waiting on the owner to decide.

If they have one, you most likely have an existing relationship with a trusted advisor to overcome.

 

[padthaiforlunch]

Yeah, that might not be the best opener. Perhaps voluntary benes, although I'm not very keen on getting too wrapped up in health ins.

 

[somarco]

that might not be the best opener

Refresh my memory.

What is your target market? What are you doing now to generate leads?

 

[James]

What kind of conversion rate can I reasonable expect from life leads (let's assume exclusive)?

Also, what are the typical policies sold if I hire someone like Gary?

Do this, plan on 1 out of 10 life sales, reasonable expectations. With practice you might get better at it, or play it safe and figure 1 out of 15 or 20. If the cost is around $10 per lead and it takes 20 to make a sale, that sale cost you $200. Now if you are maketing to the 35-40 crowd and selling lets say AIG Term and your average sale expectation is around 500 grand, which equals around $700 on a twenty year term. Now you should get 100% contract, meaning using some really conservative (extremely low expectation) you make $500 per sale, well after lead cost that is.

Question is, can you manage 40 leads a week and will a take home of around 50 grand a year to start off with be suitable? Of course if you can pick up more WL or UL sales you make more.

 

[somarco]

$700 gross commission vs. $200 acquisition cost is a very low ROI. Factoring in all business costs, you might be lucky to net $300 on each sale.

 

[James]

$700 gross commission vs. $200 acquisition cost is a very low ROI. Factoring in all business costs, you might be lucky to net $300 on each sale.

Yea, its not the best but that is base on really low results. Which most beginners should be able to accomplish.

1 out of 20 leads closed, not shared leads.

Average 500 grand DB with 20 year term at good rates.

With some work and decent sales skills 1 out of 10 would be achieveable, meaning your ROI is now nearly double to $500 dollars with a $100 acquistion cost and about $100 other cost. Just as good as any health deal out there. Now kick in some WL and UL sales along with Term sales (maybe 1 WL Policy out of ten sales) and the ROI goes thru the roof. Remember with Telemarketed leads you can market directly too those that can afford the insurance as in business owners, self employed, professionals etc etc..

 

[Crabcake Johnny]

Another factor is premiums are higher marketing to small biz owners as opposed to the average younger age for internet leads. For internet leads my average health premium is $3,200 - for telemarketed leads my average premium is $4,100.

 

[djs]

Yea, its not the best but that is base on really low results. Which most beginners should be able to accomplish.

1 out of 20 leads closed, not shared leads.

Average 500 grand DB with 20 year term at good rates.

With some work and decent sales skills 1 out of 10 would be achieveable, meaning your ROI is now nearly double to $500 dollars with a $100 acquistion cost and about $100 other cost. Just as good as any health deal out there. Now kick in some WL and UL sales along with Term sales (maybe 1 WL Policy out of ten sales) and the ROI goes thru the roof. Remember with Telemarketed leads you can market directly too those that can afford the insurance as in business owners, self employed, professionals etc etc..

I'm not sure where you find exclusive life leads for $10 that have any quality in them. You are probably looking more at least at $20 if you want to come close to closing one in 15-20. Of course, I might be a bit skewed on this, I tried selling internet life leads for about 2 weeks once, found it wasn't something I did well, went back to leading with P&C. Okay, actually I did okay with the life leads, even though I didn't sell a single life policy, but I did end up selling several P&C policies out of it.

I realized quickly that the dynamics of internet life leads was wrong. What makes somebody suddenly think, 'Hey, I need to shop for life insurance today' unless it's something that makes them ineligible for life coverage. Oh, there are a few things, such as job change, but its a lot like people shopping for health coverage because they need to go to the doctor right now.

Exclusive telemarketed leads you might be able to do better with. Then again, I'm sure some people do very well with internet leads, but I didn't.

Dan

 

[James]

Exclusive telemarketed leads you might be able to do better with. Then again, I'm sure some people do very well with internet leads, but I didn't.

Dan

Exclusive Targeted Telemarketed leads is what is being discussed as in the title of the thread. Wow, a new abbreviation! ETTL, "Exclusive Targeted Telemarket Leads" I agree, shared internet leads suck, at least that is my expierence also.

You can rent one of ours also.
We can do campaigns by the hour or you can rent one of our qualified tele-prospectors. We average about 4-6 leads per hour for health and 2 leads per hour for life. Our system allows us to put your caller ID on the phone call so it looks like they are calling local. We average 125 calls per hour. We train and manage the telemarketer on a continual basis. Also, Talked to John P. about 3 days ago and he said that he is going to be using ours the first of the year.
Gary
marketingcampaignsolutions.com
912-944-2540
800-660-6863

Okay, ten dollars may not be accurate but a general price I was working on since the exact cost per hour was not disclosed.