Leads

[TwiLight]

I've seen many FE mailer trends come and go on this forum. First it's popular for the lead to not say life insurance. Then it's popular to say life insurance. Then it swings back. Some mail to only women. Some mail to only diabetics. Some mail to only veterans. Some use pink cards. Others use only green cards. The trends come and go.

But racial profiling to exclude Caucasians is all new to me. It might be regional but plenty of Caucasians are buyers around here. But you might be on to something. Maybe Chris will do set price leads for less than $20 if we exclude those free-loading, non-responder caucasians.

Well we are working on a second 25,000 piece sample in another area now and the trend IS working and it astonishes me how much higher the response rate is and believe it or not, placement is higher (95%). without racial exclusion the placement rate is 87%. Placement stats for us is those that pay without NSF of the first premium resulting in a non-taken policy.

The higher response rate is not the same in Urban areas where the population is 90%+ of the Targeted Group. Works in small to medium size (25k-200k population) cities and the general area.

One other funny thing. More of the graded/guarantee issue plans are 90% Caucasians.

 

[Rearden]

Well we are working on a second 25,000 piece sample in another area now and the trend IS working and it astonishes me how much higher the response rate is and believe it or not, placement is higher (95%). without racial exclusion the placement rate is 87%. Placement stats for us is those that pay without NSF of the first premium resulting in a non-taken policy.

The higher response rate is not the same in Urban areas where the population is 90%+ of the Targeted Group. Works in small to medium size (25k-200k population) cities and the general area.

One other funny thing. More of the graded/guarantee issue plans are 90% Caucasians.

My worst-performing business segment has always been blacks, despite responding exponentially-higher to lead card send outs.

I had a campaign locally about a year ago to the black neighborhoods in Chattanooga, where I got a return of 3.7% on State-Regulated Plan cards.

While the response was great, the results were horrid. There was an inordinate amount:

A) Thought it was "Mutual of Obama."
B) No-Showed, and
C) Maybe 80% of what I sold lapsed within the first 6 months.

Basically, "Garbage In, Garbage Out."

Additionally, this is not an isolated reality, as there are several agents on the Forum who have shared the same results but aren't necessarily as vocal about it as I am.

I think this is mostly "Poverty Mentality" which is rampant in "Da Hood."

The only way I'd specifically segment for non-Caucasians is if I was working rural-only areas, as the persistency and quality of business from non-Caucasians is markedly higher than in "Da Hood."

Still -- I have harked in every other post about the importance -- especially for new agents -- to "get out of dodge" and work rural/small towns.

There ARE different markets where agents get different results, and many who claim to work an "urban market" have no clue what a real hood is like, and how bad the business is, as the worst thing to convey to a green agent is that there is no difference between the markets.

 

[John Galt]

My worst-performing business segment has always been blacks, despite responding exponentially-higher to lead card send outs.

I had a campaign locally about a year ago to the black neighborhoods in Chattanooga, where I got a return of 3.7% on State-Regulated Plan cards.

While the response was great, the results were horrid. There was an inordinate amount:

A) Thought it was "Mutual of Obama."
B) No-Showed, and
C) Maybe 80% of what I sold lapsed within the first 6 months.

Basically, "Garbage In, Garbage Out."

Additionally, this is not an isolated reality, as there are several agents on the Forum who have shared the same results but aren't necessarily as vocal about it as I am.

I think this is mostly "Poverty Mentality" which is rampant in "Da Hood."

The only way I'd specifically segment for non-Caucasians is if I was working rural-only areas, as the persistency and quality of business from non-Caucasians is markedly higher than in "Da Hood."

Still -- I have harked in every other post about the importance -- especially for new agents -- to "get out of dodge" and work rural/small towns.

There ARE different markets where agents get different results, and many who claim to work an "urban market" have no clue what a real hood is like, and how bad the business is, as the worst thing to convey to a green agent is that there is no difference between the markets.

Yep, what he ^^^^ said, gets it right every time

 

[TwiLight]

My worst-performing business segment has always been blacks, despite responding exponentially-higher to lead card send outs.

I had a campaign locally about a year ago to the black neighborhoods in Chattanooga, where I got a return of 3.7% on State-Regulated Plan cards.

While the response was great, the results were horrid. There was an inordinate amount:

A) Thought it was "Mutual of Obama."
B) No-Showed, and
C) Maybe 80% of what I sold lapsed within the first 6 months.

Basically, "Garbage In, Garbage Out."

Additionally, this is not an isolated reality, as there are several agents on the Forum who have shared the same results but aren't necessarily as vocal about it as I am.

I think this is mostly "Poverty Mentality" which is rampant in "Da Hood."

The only way I'd specifically segment for non-Caucasians is if I was working rural-only areas, as the persistency and quality of business from non-Caucasians is markedly higher than in "Da Hood."

Still -- I have harked in every other post about the importance -- especially for new agents -- to "get out of dodge" and work rural/small towns.

There ARE different markets where agents get different results, and many who claim to work an "urban market" have no clue what a real hood is like, and how bad the business is, as the worst thing to convey to a green agent is that there is no difference between the markets.

I think the big difference is that we are using an extremely qualified lead... where Life Insurance is all over the lead and still mailing $15k-$50k of income. The quality and desire to buy is different than a Free Info Lead.

 

[Newby]

I think the big difference is that we are using an extremely qualified lead... where Life Insurance is all over the lead and still mailing $15k-$50k of income. The quality and desire to buy is different than a Free Info Lead.

Does it have large red type on it that says "When we say Life Insurance, we don't mean FREE or pennies per month life insurance. We mean the kind you pay for. "

Other than that, the words life insurance don't seem to be filtering out too much.

 

[Rearden]

I think the big difference is that we are using an extremely qualified lead... where Life Insurance is all over the lead and still mailing $15k-$50k of income. The quality and desire to buy is different than a Free Info Lead.

Good point and I concur.

Both a targeted filter to exclude the projects, and a lead that makes it clear you are soliciting for life insurance, makes a dramatic difference, compared to the Mutual of Obama state-regulated plan mailers.

How dramatic is the difference with the same lead and income filter between whites and non-whites?

 

[TwiLight]

How dramatic is the difference with the same lead and income filter between whites and non-whites?

It is huge with non-whites. More money to spend on Life insurance. My monthly premium is much higher.

Also, whites seem to have the most health issues. More Graded and GIWL.

Whites with higher incomes seem to be broke all the time..... I swear they are more overextended and bitch about $30/mo because they got $50k of insurance in their 30's and think it should still cost the same.

 

[term1]

Problem is twilight in many states like ga, fla and Texas that might only get back 3-5 leads per/1000.At $440/1000 that's a big risk to take with such a small return.

 

[TwiLight]

Problem is twilight in many states like ga, fla and Texas that might only get back 3-5 leads per/1000.At $440/1000 that's a big risk to take with such a small return.

If you mail to urban areas, I agree. Look more to the areas away from major cities and you will get 1-2% consistently.

 

[WinoBlues]

I live in a City of about 500,000, in a county of almost a 1,000,000. So the zip codes and income vary a lot.

I am doing my first leads in about 20 years. Not out of need so much as a filler to other stuff I have going on. So I do not need as many returns as I want quality.

What do you guys think of this Zip code - 93726

Thanks,

Lee