Regardless of the life insurance market you choose to work activity is the key to success. Meaning having people to talk too is what we all need, and the more the better. Understanding how lead campaigns work will maximize your income and reduce your expenses.
Those people are generated from leads be they referrals, purchased, or both. They are generated through lead campaigns which include seminars, directmail, telemarketed, internet, pre-approach letters, and your skills at gaining referrals.
Understanding how each of those lead generating campaigns work and how to work them will let you know the activity they will generate. As well as how many you should incorporate to generate the activity you need staying within the marketing budget you have.
By far the least out-of-pocket and most qualified life insurance leads are referrals. They are generated through your network, people you talk to everyday, and asking for them at every presentation you give be that in-house one-on-one or at seminars.
The next most qualified is directmail when the chosen market is Mortgage Protection, Final Expense, or Med Sups. These leads are offered either fresh or aged. The amount of work necessary to close directmail leads is directly affected in the cost of either lead.
Fresh are the most expensive and close the highest on a per-lead basis. Aged leads, while much less expensive, take more work to close, therefore, you’ll need more of them, especially if these are going to be your sole avenue of lead generation. Picking up a 100 A- or B leads weekly should generate $2000 to $3000 in premium a week.
Seminars, albeit the most expensive campaign type, are the way to go for the IUL sales market. When compared to the low returns from directmail for IUL, seminars generate the highest returns and most qualified. Internet leads for this market is growing but, it’s still in its infancy.
For Mortgage Protection and Final Expense, next in line is Telemarketed and internet leads respectively. Like aged leads, you’ll need a fair number of leads to generate enough sales. They also have a very short shelf-life…you need to contact them within a few hours of receiving these leads or they’re most likely lost.
Now let’s take a step back and look at the broader picture of your activity. If you are working Mortgage Protection and/or Final Expense markets and your income goal is $12,000 to $20,000 a month with a limited marketing budget, then incorporating different campaign types at the same time is the way to go.
For example, you like the closing ease of working fresh mail but the cost is prohibitive based on your budget resulting in coming up short of your income goal. Combining the less expensive aged leads in the same area at the same time can add more appointments and added sales.
The same can be said combining limited fresh leads with telemarketed or internet leads. Having a standing order of say 15 fresh leads a week adding 100 aged or 20 telemarketed/internet leads can get you to your income goal without braking the bank.
If you are just starting out in the industry or had to dip into your marketing budget for one of life’s unexpected emergencies, working aged leads is perfect! Just understand they do take a little extra work and you may need to door knock them as well.
If door knocking is something you want to add to your mix, then picking up pre-approach letters is the way to go. You can grab a 100 for $10. Imagine the activity you can generate for $50 having 500 names and addresses of a targeted list with pre-approach letters to door knock.
Combining more than one life insurance lead campaign at the same time will give you the activity you need to realize your income goals. Understanding how each campaign works and how to work them gives expectations. Now, the only question to ask yourself is, how much money do you want to make and how hard are you willing to work to get it?