When you get ready to launch your final expense insurance agency, one of the first things you’ll need to do is find your customers. Sure, you can put out advertisements and start a Facebook page, but those aren’t always the most effective methods of generating sales. Instead, you’ll want to get and work a healthy stream of final expense leads.
There are a number of different ways for you to get leads for your final expense insurance agency. Read on to learn what you can expect from this process and how to make the most of your leads.
Importance of Leads in Marketing
Before we dive into the different ways you can get final expense leads, let’s talk some about why leads are important. When you use social media marketing and traditional advertising, you’re shooting blind. You have no way to know if your message will reach customers who are actually interested in your services.
Working with leads allows you to custom-tailor your marketing to reach only customers who you know are more likely to have an interest in your company. This allows you to make the most of your marketing budget and get the biggest possible return on your investment. You can also avoid many sales calls with people who do not qualify to buy your services for one reason or another.
Benefits of Buying Final Expense Leads
There are a number of different ways to get strong leads, and we’ll discuss some additional methods of lead generation later on. But buying leads can be a great investment for your company, especially when you’re first getting started. The organic methods we’ll discuss can take time to turn into steady lead streams, and in the meantime, your business needs to be making money.
Buying final expense leads can get you the start you need to give your business a solid footing. You can get strong, qualified leads who are more likely to convert to a sale for your business. And while you will need to invest some money upfront in these leads, the return on your investment will be more than worth it for your business.
Direct Mail Leads
One of the older forms of lead generation is through direct mail. In general, you get these leads by reaching out to a mail house and having them send marketing materials to qualified leads in an area you want to reach. You’ll likely have to purchase these lead lists by the thousand, and in most places, you’ll pay between $450 and $480 per thousand.
It’s no secret that direct mail tends to have a somewhat lower return rate, at between 1 and 1.5 percent. This means that for every thousand pieces you mail out, you’ll likely get between ten and fifteen qualified final expense sales leads. This leaves you with an average cost of between $28.67 and $43 per lead, and agents are seeing these costs rise.
Responding to Direct Mail Leads
Once you have those ten to fifteen qualified leads, you need to make sure you follow up on those leads and make that investment worth it. Spending $43 to get a lead may seem steep, but think how much money you’ll earn back if you convert that lead to a customer. There are a few methods agents use to respond to their direct mail leads.
Some agents choose a very hands-on approach and go knock on the doors of the leads they get back from their direct mail campaigns. Others call ahead to schedule appointments with their potential leads, and still, others do a little of each. In many cases, agents can expect to convert somewhere between 15 and 20 percent of these leads.
Exclusive Telemarketing Leads
Another popular method of lead generation is through exclusive telemarketing. We’re all familiar with the concept of telemarketing, and it can be a fantastic way to reach out to your leads, whether purchased or organic. But exclusive telemarketing provides you with leads who have already been primed to hear from your agency.
During the lead gathering process, companies who provide these leads will record a lot of information. They’ll get the lead’s name, address, phone number, insurance needs, potential beneficiaries, and even whether they smoke or use tobacco. They’ll also mention your name several times during this initial call, setting you up for more success when you do contact the lead.
How Leads Are Selected
There are several criteria lead gathering companies use when they’re filtering out who to reach out to for this exclusive telemarketing lead generation process. First, they start by focusing on a specific geographic region you want to focus on, just as with direct mail leads. Then they narrow down their target group to adults between the ages of 50 and 80 in that area.
Most lead generation companies will also put an income limit on their target group, excluding any households making less than $15,000 a year. They then run this smaller list through the Do Not Call Registry so they make sure both they and you remain compliant with national telemarketing laws. Once they get the new filtered list back, they begin contacting remaining leads on your behalf.
Quality Control on These Leads
Good quality lead gathering companies will also perform some quality control checks on your leads before they pass them on to you. The higher you can get your lead conversion rate, the more of a return you’ll see on your initial investment. This starts with better-quality leads and having a company that filters out any nonviable prospects before they send the list to you can save you a lot of time and effort.
Before a lead gathering company sends your leads to you, they will confirm that each one wants you to contact them about final expense insurance. This means you shouldn’t have any hang-ups or disinterested parties on the other end of the line. Going through this extra step allows lead gathering companies to provide you with a closing ratio between 20 and 25 percent, much better than direct mail options.
Other Methods of Getting Leads
Of course, there are a variety of other methods you can (and should) use to generate leads for your company. First of all, always be sure to work your organic networks, focusing in particular on word of mouth. Talk to people in your networks, both personal and professional, about anyone they may know who could use final expense insurance.
You may also want to consider setting up an incentive program for current customers who refer other leads to you. This sort of word-of-mouth marketing can be tremendously effective and may give you a better chance at closing a sale. You could offer a discount on services or other such perks to clients who refer a friend who makes a purchase with your business.
Keeping the Right Mindset on Buying Leads
When you’re trying to get your company off the ground, spending money on leads may seem incredibly frustrating. You may feel like you’re spending money before you earn it or that you’re wasting money on things you could get with organic leads. But it’s important to keep the right mindset about this money when you buy leads.
Buying leads isn’t spending money on nothing – it’s investing in the future of your agency. Even one or two good leads can become a source of steady income for your business, and those leads can help you to build your organic lead flow. This investment will start to more than pay for itself before long, and the better the quality of the leads you’re buying, the more return you’ll see.
Realistic Lead Expectations
It’s also important, however, to keep realistic expectations when working with leads. The truth of the matter is not every single lead you work will convert to a customer, no matter how skilled you are. Some people simply aren’t interested in making a purchase, while others may be looking for something different than what your company offers.
You may only convert two or three out of every ten leads to a customer. The time you spend pursuing those leads still isn’t wasted, however; for one thing, your business now has more recognition in your local market. But nurturing these leads is also the best way to make sure your agency keeps a thriving, loyal customer base.
Get the Best Final Expense Leads
There are a number of different ways to get leads for your final expense insurance agency. But buying leads, especially exclusive telemarketing leads, can be a fantastic way to get a strong return on your investment. Make sure you always follow up with any of your leads and remember that this is money you’re investing in growing your business.
If you’d like to discover more tips for working your final expense leads, check out the rest of our site at Final Expense Sales Leads. We’re you’re go-to final expense leads and Medicare supplement leads provider. Buy leads today and discover why we’re at the forefront of generating quality final expense, Medicare supplement, and mortgage protection leads at affordable prices.