Hiring LOAs this year, looking for feedback on my offering

[azmedsupagent]

Goal this year is to hire, train and motivate at least 1, and as many as 3 high producing LOA agents and give them a path to full vesting and an independent agent contract. Looking for feedback on my offering.

FREE Leads
Sales Training/mentorship
Secretarial Support
CRM with fully built out automated SMS/Email and direct mail client engagement/retention campaigns.
Website and reputable branding/social media presence
Consumer facing plan quote/comparison website

60/40 Commission Split on FY and Renewals
3 years fully vested
Option to move to independent contract with my agency after 3 yrs.

I want to bring people up and leave them better off then when they met me. The goal is to have these agents making well into 6 figures after 3 years in renewals alone with a book they own. My first mentor in this business completely changed the course of my life, now its my turn do the same for someone else.

 

[sshafran]

W2?
Any Salary during ramp up?
Or just the straight 60/40?
In your office or remote?

I've not done this so I don't pretend to know what works best. I have thought about it.

 

[azmedsupagent]

Im considering a 500 per week draw but havent decided on that yet. I like the idea of a ramp up period, maybe a draw for the first 90 days?

I guess it depends on how green they are, if they have zero experience then it could be a month before they make their first sale. This is definitely somethinf to consider.

The idea is to have them very busy working fresh leads. I want them to be hungry and working those leads aggressively and I worry that a salary would take the fight out of the dog. The goal is 20 to 30 apps per month at least per agent working 20ish new leads a day and following up on pipeline prospects.

Would be in the office to start, once theyve proven success remote is definitely option.

 

[DonP]

Im considering a 500 per week draw but havent decided on that yet. I like the idea of a ramp up period, maybe a draw for the first 90 days?

I guess it depends on how green they are, if they have zero experience then it could be a month before they make their first sale. This is definitely somethinf to consider.

The idea is to have them very busy working fresh leads. I want them to be hungry and working those leads aggressively and I worry that a salary would take the fight out of the dog. The goal is 20 to 30 apps per month at least per agent working 20ish new leads a day and following up on pipeline prospects.

Would be in the office to start, once theyve proven success remote is definitely option.

Your obviously talking 20 social media / Facebook leads a day? Your talking a very high mix of dual/lis type lead . Very low persistency doing telesales on those type leads . Even if they write 30 a min of 7-10 will be replaced in 3-6 months . I replace 8 plus telesales apps a week . I’m adamant dual/lis must be face to face . So doing 300 apps a yr and they keep 220 apps at year end . After 3 yrs they might have 400-450 on books . On a 60/40 split that’s around $75k a ye renewals after yr 3 .

 

[fed up]

Who pays the chargebacks?

 

[azmedsupagent]

Not all fb leads are created equal. If your ad is leading with "see if you qualify for a monthly grocery allowance and money back" you will get lots of dsnp. Our ads dont use that kind of language. Also, when your audience is large enough you can filter who sees your ad by income.

If you dont stay engaged persistency suffers. This where direct mail automations come into play. Our clients are touched several times per year with custom direct mail, sms and phone calls. They get know us quite well over time.

Any thoughts, on the loa offer?

 

[azmedsupagent]

Who pays the chargebacks?

Chargebacks will be deducted from agent commissions based on the 60/40 split. I think thats fair and will help keep them honest about the quality of their apps. If they didnt have to worry about chargebacks there may be more temptation to submit shady business.

 

[DonP]

Not all fb leads are created equal. If your ad is leading with "see if you qualify for a monthly grocery allowance and money back" you will get lots of dsnp. Our ads dont use that kind of language. Also, when your audience is large enough you can filter who sees your ad by income.

If you dont stay engaged persistency suffers. This where direct mail automations come into play. Our clients are touched several times per year with custom direct mail, sms and phone calls. They get know us quite well over time.

Any thoughts, on the loa offer?

I’ve heard this argument before about fb ads . But we also know that higher income people fill out fb ads in far lower vol than lower income people thus the cost will be far greater . Your telling me in off season like now you can generate 20 non low income leads a day ? How will you handle the 48 hr soa next yr ? How many people do you think will fill out the soa with a stranger right then and reanswer the phone in 48 hrs ?

To answer your question about the loa .How much does it cost to per lead to generate t-65 non dsnp type leads ? What if it doesn’t work out will you have a non compete agreement ? If they leave in a yr are they vested ? I’ve studied some very successful agencys who have loa’s . A few questions . What’s your override per mapd ? That’s very important as the 60/40 split on the base mapd comp will be $175 in 2 months and dropping $25 each month . Overides are paid for the yr . Who gets the $60 to $100 health assessment fee ? Are they going to be selling any auxiliary products like hospital indemnity, cancer , fe , annuity’s ? Are they w-2 or 1099? Some loa’s do very well .

 

[azmedsupagent]

I’ve heard this argument before about fb ads . But we also know that higher income people fill out fb ads in far lower vol than lower income people thus the cost will be far greater . Your telling me in off season like now you can generate 20 non low income leads a day ? How will you handle the 48 hr soa next yr ? How many people do you think will fill out the soa with a stranger right then and reanswer the phone in 48 hrs ?

To answer your question about the loa .How much does it cost to per lead to generate t-65 non dsnp type leads ? What if it doesn’t work out will you have a non compete agreement ? If they leave in a yr are they vested ? I’ve studied some very successful agencys who have loa’s . A few questions . What’s your override per mapd ? That’s very important as the 60/40 split on the base mapd comp will be $175 in 2 months and dropping $25 each month . Overides are paid for the yr . Who gets the $60 to $100 health assessment fee ? Are they going to be selling any auxiliary products like hospital indemnity, cancer , fe , annuity’s ? Are they w-2 or 1099? Some loa’s do very well .

Lots of great points to consider!

Yes during lock in we can generate 20 t65 leads a day easily with just social media at an avg cost of $14 per lead. Doing business in 23 states gives us a large pond to fish from.

Like I mentioned previously income filters help immensley with reducing low income leads. Filtering out incomes below 25k. We see about 1 in 4 leads that are going to need a dsnp plan. All mapd business requires lots of hand holding and we do that very well. Thats how you keep the business.

We primarily focus on turning 65 all year. So FY 60/40 is more 360/240. Yes ancillary will be available to cross sell at the same 60/40 split. They will be 1099, dont see a need for a non compete since we do business in so many states.

48hr soa next year will be done in a 3 stage sales process. I think the key to success in telesales next year is going to be providing enough value and staying engaged to keep the customer committed to you during the 48hr wait.

Stage 1 initial contact: complete soa, discuss medicare basics and in depth customer needs analysis and establish rapport. Collect doc info, Rx info and find pain points to determine coverage needs. Advise customer that you will need some time to conduct a plan analysis based on this info and schedule appt 48hrs out.

Stage 2 48hr engagement: Send automated SMS/email to include a coverage needs survey, a link to a video where I describe what we will cover in our next call and an appointment reminder spread out over the 48hrs.

Stage 3 Second call: discuss plans, conduct sales presentations and complete enrollment.

Ive been thinking about this since the proposed rule came out. This is my general plan.

Thanks for the critical feedback i appreciate it, it helps me to strategize and work out the kinks in my plans.

 

[DonP]

Lots of great points to consider!

Yes during lock in we can generate 20 t65 leads a day easily with just social media at an avg cost of $14 per lead. Doing business in 23 states gives us a large pond to fish from.

Like I mentioned previously income filters help immensley with reducing low income leads. Filtering out incomes below 25k. We see about 1 in 4 leads that are going to need a dsnp plan. All mapd business requires lots of hand holding and we do that very well. Thats how you keep the business.

We primarily focus on turning 65 all year. So FY 60/40 is more 360/240. Yes ancillary will be available to cross sell at the same 60/40 split. They will be 1099, dont see a need for a non compete since we do business in so many states.

48hr soa next year will be done in a 3 stage sales process. I think the key to success in telesales next year is going to be providing enough value and staying engaged to keep the customer committed to you during the 48hr wait.

Stage 1 initial contact: complete soa, discuss medicare basics and in depth customer needs analysis and establish rapport. Collect doc info, Rx info and find pain points to determine coverage needs. Advise customer that you will need some time to conduct a plan analysis based on this info and schedule appt 48hrs out.

Stage 2 48hr engagement: Send automated SMS/email to include a coverage needs survey, a link to a video where I describe what we will cover in our next call and an appointment reminder spread out over the 48hrs.

Stage 3 Second call: discuss plans, conduct sales presentations and complete enrollment.

Ive been thinking about this since the proposed rule came out. This is my general plan.

Thanks for the critical feedback i appreciate it, it helps me to strategize and work out the kinks in my plans.

Good strategy on the soa . Again that will work with the higher income non dual/lis . On lower income 80% will never answer your call again and off to another agent . On the 1st call I’d have them put your name and # in their phone so it’s not blocked . Also on the first call send a pic of your business card and license # to establish credibility. Loa is a very powerfull revenue stream for the owner including your mga overrides. I calculated my fmo including new overrides and renewal overrides makes $140 k a year on my now in my 3rd yr . I’m willing to go along with that as I get around $50 k of marketing money a yr from them . So outside gas and hotels now and then I have no exp’s . If that were loa he might be in the $200 k area .