How do you make the most of your lead generation?
Generating leads on new business at your brokerage is one thing, but how brokers act on those leads can make the difference between a cost-effective brokerage and a brokerage spinning its wheels.
Here are some tips to help brokers turn generated leads into profits for the brokerage.
Speed is key
If brokers use a lead generation service, they will receive leads in real time. Sometimes the leads are directly integrated into their broker management systems, sometimes they aren’t. Either way, good brokers will strive to be all over that lead within a minute.
For some brokers, acting within a minute is not realistic. But brokers who let the leads sit around for two or three hours are just going to get lost.
Also, brokers should know their return on investment (ROI) by keeping stats on lead generation.
Return on Investment
“Know your ROI,” said Anthony Prugo, sales and operations manager for getinsurancequotes.ca. “What I like to say is, not every lead that you get is going to close. But you don’t need to close every lead to be profitable. Brokers have to look at what they are spending, and what their other alternatives are.”
Some form of ROI calculator can help. Using a calculator, brokers can keep track of how many leads they have, the closing percentage for those leads, and the value of closing those leads relative to the cost of producing the leads.
Another thing to consider is whether a lead generating service will make for a more targeted – and hence less expensive – approach than relying on a mass email or printed mailout.
Further to this, brokers should make a point of asking clients how they heard about the brokerage. The broker should know from which direction their business is coming, be it the Yellow Pages, online, or through a lead generator. If the broker doesn’t know this, they will not be able to place their ads cost-effectively.
Follow-up
When brokers receive a lead from a service, they are receiving a lead on a consumer who has a 60-day window in which to shop for insurance. Generally, if the opening phone call doesn’t yield an answer, the broker should follow up with an email. If there is still no reply within a couple of days, then a gentle reminder may help. If there still is no response, the broker may want to “cool it down for a little bit” before trying again, keeping in mind the 60-day window.
Think long-term
Brokers who sign up with a lead generation service and get 20 leads over the course of a couple of weeks may not see the full value of the service. For brokers who have used the service for a year, they will have the contacts entered into their broker management systems (BMS) and will be able to pull up the information when it’s time to remarket during the next year’s renewal season.
