I am starting on my second year in the P&C captive business. Like everyone else I am trying to come up with different ways to generate more referrals. Our prices are great right now so that helps tremendously. I was going to implement a gift card referral program, which I know has been talked about on here before. My question is: for those of you agents who currently do this what do you feel like is an adequate dollar amount to give away on the gift cards? I was thinking about $10, but didn't know if that was enough to entice people to send over referrals? Also not sure about whether to just get Visa cards, Wal-mart cards, restaurant cards, etc. Any advice from agents currently using this program would be greatly appreciated.
Gift Card Referral Program
- Thread starter cjones
- Start date
- 124
Be sure to check with your DOI to see what the rebate laws are in your state, there might be limits as to what you can give or you might not be allowed give gift cards at all. Other than that there is no right or wrong on amounts just do what you can afford.
- 1,310
I'm in a slightly different field - Medicare Supplements and Final Expense policies to seniors. I have been using the Send Out Cards automated follow-up system since about August of last year and the referrals that it generates are awesome. The cards ask for referrals on a periodic and systematic basis where I set it up once and can forget about it. They go out automatically, and the referrals come in like clockwork. It also never forgets their birthdays or their policy anniversary and triggers a card to go out for both of those, too.
As for those that DO refer new clients to me, I never entice them up front by offering a gift card. I send it after the fact and it's always a surprise to them. In other words, they're sending me referrals based on the promptings of my cards asking them to do so and from the comfort they feel from my constant, personalized-looking follow ups they get all year long. It's not because I'm offering to send them a gift card.
When I do get referrals, I pull up the name of the person who sent it to me and add them to another campaign that has a pre-selected card thanking them for the referral and then I pick a gift to send to them. Using their system I can send a gift card from a number of sources, but I like Wal-Mart and Target the most for these clients. The positive reinforcement snowballs and they continue to talk about me.
If you'd ask my clients, I'm the best agent in the world because of my follow up. It would be akin to and old fashioned agent getting a new client and sitting down and writing out 10 cards to them up front. Then stuffing, stamping and waiting to send them all out just at the right timing.
This system does all of that for me after I've put together my "campaign" just one time for all; but it doesn't forget to stuff, stamp, and send them on time every time, and I have zero trips to the post office. Oh, and the cards are .62 each - much cheaper than even dollar store cards.
You can see how the campaigns work for insurance agents here.
Hope it helps.. it sure has helped me.
- 1,310
We use $10 gas cards to all referrers, $50 gift card for a monthly winner and $500 cash for annual winner...referrals are up over 100% from a year ago so it's either working or someone let it slip what a great guy I am
That's a great idea!
black knight
Expert
Thanks for the tips all, there were some good ideas here.
Nothing beats a referral!
Nothing beats a referral!
JimmiDrums
Expert
Are you guys giving gift cards, or any things of value, to homeowners clients purchasing HO policies in connection with new purchase transactions???
If so, you may be violating federal RESPA regulations, more commonly known by the real estate and lending communities.
It seems like this may be a common practice in insurance which I was looking into as well, but this may be an issue.
Anyone have any experience or input on this subject?
If so, you may be violating federal RESPA regulations, more commonly known by the real estate and lending communities.
It seems like this may be a common practice in insurance which I was looking into as well, but this may be an issue.
Anyone have any experience or input on this subject?
- 8,707
Wow your state does not have a cap on the amount of a gift that can be given? I'm limited to $25 and can not use gift cards because they have a cash value.We use $10 gas cards to all referrers, $50 gift card for a monthly winner and $500 cash for annual winner...referrals are up over 100% from a year ago so it's either working or someone let it slip what a great guy I am
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