Conventional marketing of insurance products and services through referrals, direct marketing, and conventional advertising, still promulgated by dinosaurs in training by insurance companies, now gives way to new progressive methods of marketing insurance agencies and brokerages – Internet Insurance Leads.
Starting slowly a decade ago, its snowballed into a main stream source of new business, transforming small mom and pop agencies into super producers with multi-state sale operations and multimillion dollar premiums and revenues.
As consumers get more adept to use of the internet to shop or research products and services, while saving money and time in the convenience of their homes or offices, internet insurance leads becomes a more and more prominent source of new business.
As newcomers to the insurance business, or those switching from traditional marketing methods venture into buying leads and, they must adapt to new techniques and learn selling insurance over the phone, versus old belly to belly, eye to eye local selling, because this can make or break their business.
It’s important to understand that selling insurance off of internet leads is a numbers game. Instead of focusing on the lower cost of leads, focus on closing ratio. If you buy 10 leads at $10 per lead and spend $100 and make 2 sales with an average $250 dollars in commission, annualized, or upfront, you are making a 500% profit. If you hire more agents and buy more insurance leads, your profit will multiply by number of agents.
The key in high closing ratio, aside from good selection of products, salesmanship and professionalism, is a follow-up. Remember most internet shoppers are researching their options at first, so don’t give-up if they don’t answer or buy right away. You may close most of them in a week, two, or even months later, so be patient and follow-up, follow up and follow up.