Return Rate for Annuity Leads

Discussion in 'Annuities Forum' started by Matthew King, May 21, 2015.

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  1. Matthew King
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    I have two questions. The first is on a 1,000 piece drop what is the percentage return on leads for annuities. The second is do most use another lead such as FE or Med Supp instead of straight annuity leads?
     
  2. KRobby
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    Depends on if you're talking about a lead that describes (or say) annuities or not.

    FE and Med Supp isn't a great demographic (unless med supp is idk) for annuities if annuities is the goal. But I know people sell them that way. Social security mailers return well if that's what you're talking about.. 3% range, but you have to help people for free to make it to the next step and talk about annuities.

    As far as what most do, lead wise, I don't know.
     
  3. axeman462
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    I believe most do dinner seminars for leads
     
  4. lifeagent13
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    Seminars, referrals, and cross selling.

    If there was a successful DM lead I would think more people would be mailing for it...
     
  5. KRobby
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    How do they get people to the seminar? Cold calls?
     
  6. BobbyR
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    My friend started doing dinner seminars in Sarasota,Fla and is kicking but. He worked out a sweet deal with a Imo and is making 60% of the commission with zero expenses. Since April he's run 9 seminars and Off 3-10 k invites as had around 19 people avg per seminar and is doing $250k a week of premium. The imo pays for everything and even pays for the office and helper who works the events and sets up all the appts. All he does is show up to do the seminars and work the appts in the office. He's nets $ around $13k a week commissions with zero expenses.He's bought the $150 annuity leads and they're awful as people won't answer the phone.
     
  7. Tahoe Ray
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    Nice one.

    ----------

    With that math...the IMO is making money on the agent comp in addition to their override.

    Sounds like a good deal for both.
     
  8. BobbyR
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    Ray they're doing Allianz. The imo is at 8.5-9% commish on the Index annuity. My friend is at 6%. The imo spends about $5k per seminar and provides the nice office and staff. He's ok with the imo making money as he has zero risk and stress.What do you mean making money on agent comp in addition to their override?I thought the imo would only make the difference between the 9-6%? Does the imo make other comp?
     
  9. Tahoe Ray
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    You said 250k week netting 13k. I assumed total agent comp is 8.66 (since it looked like he was making 5.2). I didn't realize that you were trying to figure out what the IMO is making too. If he's making street or even a little below, then it's a great deal. When you say 60% split, that would normally be based on agent comp...so:

    I guessed around 30k for the 9 seminars (mailing, helper, and dinner). So if he's done 1m plus, the imo has already recouped their costs, not including whatever override they would normally make. That's what I meant.

    It really does sound good for both.....no sarcasm intended.
     
  10. BobbyR
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    Those are just approximate #'s. The 9 seminars are from 3 different 12 k mailouts that give 3 dates so the dinners around $700 per seminar and each mailing is around $4200 as he pays 37 cent per postcard.The agent will eventually move to 7% commish and the imo over 9%. What I was asking is there any kickers for the imo over lets say 9% with Allianz. I think an imo can get up to 10% with them.Everyone's making money and happy.
     
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