Lead generation costs

[Paradigm]

Ive heard of consumers life and imerica. I dont represent them celtic or world. Some 2nd tier carriers are better than others. I personally have had great experience with american republic private label plan offered by Pinnacle Benefits. Also I think we all remember that Golden Rule was a 2nd tier product because it was acquired by United Healthcare

 

[somarco]

Consumer Life a subsidiary of Medical Mutual (Ohio). Chumps knows their parent.

Golden Rule has been a strong player, especially in the HSA market. Say what you will about them and UHC, but UHC (for all their faults) is and will be a dominant player in health insurance for a long time.

 

[The Rabbi]

Isn't it strange with all the negativity with PZ, I do great with them. The reason - liberal return policy. I buy shared senior leads statewide and sell MA and supps. Check out Hometown Quotes. They seem to be honest. Buying exclusive doesn't mean they haven't been to another site also. Might as well buy shared and be fast and know your stuff.

 

[agent4sail]

Thanks for the replies and information you have offered. I tried PZ for 4 months, earlier this year, and am truly grateful for their return policy. My experience, the replacement lead was always worse than the one I returned. Finally got so tired of spending productive hours with non productive leads, I shut them off.
I have been recently nominated as the care giver for an ailing parent and will be required to spend my time marketing on line, and less in my most productive F2F-B2B market. I'm not able to leave the house as frequently as I once could; and will be required to generate my business almost totally from web generated leads.
Having to purchase, invest in, whatever the proper terminology, the outlay is the same. I am trying to find out whether those, who are successful independent agents, are purchasing shared, exclusive, call transferred, telemarketed or ???? leads. Thanks to those of you who suggested alternatives to PZ. I have a really nice guy as my sales contact at PZ but find he is either terribly naive or a weaver of "wishes in wonderland" as he talks about the awesome PZ leads.
Do successful agents spend $100 or $1000 or more $$$'s per day, week, month? Is there a better ROI on one type of lead over another?
I have gathered so much valuable information here, and appreciate the help from you who reply.
I find myself in a position where I have added responsibility, less productive time to earn, and the additional expense of another family member. I'm proud of the fact I can do this for our family and am seeking direction as to the best way to accomplish my new goals. Your help, helps. Thanks.

 

[bcbroker]

I have recently taken on some added expense (caring for an elder member of our family), and am attempting to put together a realistic lead budget for the 4th quarter of this year. Any assistance or answers to the below questions will be appreciated.

These questions are for the posters who DO purchase leads.

How much do you spend on leads, daily, weekly, monthly?

How many leads do you typically purchase and how often do you purchase leads?

What type of leads do you buy, exclusive, shared, telemarketed, call transfer?

What % are interested now?

What % are bogus, trash?

What is the average close ratio for each type of lead?

Does one type of lead produce a better ROI?

on my retail side, I spend about $1300 per month on shared leads. I have been buying around that range since 2004.
I have my own lead company which is separate from the insurance agency. I have developed a particular strategy for buying leads in bulk, most of which I resell. Usually for about 3 to $4

 

[djs]

There is no magical number to spend on leads to make you successful. There is no magical number of leads to buy that will make you successful.

There are numbers.

Whatever the source, I recommend you have at least 10 'leads' per day that you work. This can be 10 internet leads, 10 telemarketed leads, 10 referrals, etc. 50 a week.

Out of those 10, you want to write 1 deal, 10%. This 10% can take a few months to achieve, but you'll hit an average over time. What I mean is that you won't get 10 leads today and write 1 deal today, maybe not even this week, but out of those 10, in 3 months, you should.

You should net 5 written deals a week, with at least 4 issued and taken. (yes, you can do better than this with proper screening).

4 deals per week, 50 leads. Make sure the ROI works for you.

Now, if I was John, I would add in:

50 leads x $8 a lead = $400
4 deals x $700 avg commish = $2800
Net profit = $2400 / week
What's not to love?

This isn't a secret sauce. You have to be able to close 1 out of 10, not everyone can, not every lead source makes this happen, not every sale results in $700 'commish', not everyone takes advances (if they are even available to you), etc.

To run 10 leads a day requires a LOT of organization. You have to know how to follow up, how to track the status of the leads, how to nurture the prospect into a client.

Of course, if you start a thread about the right way to followup with leads, you'll get a lot of answers, some good ideas, and you'll also find very few people do it well. Those who do are the successful ones. I admit, I get a bit sporadic on my followups, due to conflicts with other activities. It's easier when you don't do any face to face though (which is a huge time sink, though usually profitable).

Dan

 

[Paradigm]

I run between 25-50 internet leads a day 4 days a week. The only way to do it with an assistant is a crm sotware of some type. 400 for prophet which is integrated in outlook

 

[tobyb]

Hello BC,

Can you email me more about your leads?
Thanks Toby
[email protected]

 

[mickeyma]

on my retail side, I spend about $1300 per month on shared leads. I have been buying around that range since 2004.
I have my own lead company which is separate from the insurance agency. I have developed a particular strategy for buying leads in bulk, most of which I resell. Usually for about 3 to $4

BC: would you email me more details on your bulk leads. Thanks.

[email protected]

 

[agent4sail]

Paradigm, you previously posted, "I spend $875.00" weekly; Then you post "I run between 25-50 internet leads a day 4 days a week." Please help, 100 leads = 8.75 per lead, or 200 leads = $4.20/lead.
Are you purchasing 100 or 200 leads per week to achieve the 50K weekly AV? Please share the system you use to control such a large volume of leads.