Lead Closing Ratio: Captive Vs. Indy

[popeye35]

I am just curious. I am with State Farm, and the general consensus is that we close about 10% of our auto leads that we get. I am curious what kind of closing ratio you indy's have (I would assume it is better because you have several options). How about you captives with other companies?

(I am partly curious because I am debating whether to go indy or captive when I start my own agency).

 

[1manshow]

Where are the leads coming from ? online, telemarketing, call in

 

[popeye35]

sorry bout that, I meant to specify. Internet leads

 

[Tampa Bay Rep]

I am just curious. I am with State Farm, and the general consensus is that we close about 10% of our auto leads that we get. I am curious what kind of closing ratio you indy's have (I would assume it is better because you have several options). How about you captives with other companies?

(I am partly curious because I am debating whether to go indy or captive when I start my own agency).

If you are buying real time shared internet leads, 10% closing ratio is good.

 

[popeye35]

If you are buying real time shared internet leads, 10% closing ratio is good.

good for captive? If I am doing this on the captive side, could I expect an increase if I was indy?

 

[moonlightandmargaritas]

good for captive? If I am doing this on the captive side, could I expect an increase if I was indy?

There's just too many variables to be able to to draw any conclusions...

 

[popeye35]

I guess what I am trying to say is that in theory, if I am closing 10% on the captive side with only 1 company to choose from, shouldn't I expect to close a little higher percentage on the indy side since I would have multiple quotes to choose from?

 

[the mayor]

I guess what I am trying to say is that in theory, if I am closing 10% on the captive side with only 1 company to choose from, shouldn't I expect to close a little higher percentage on the indy side since I would have multiple quotes to choose from?

It depends on how competitive SF is in your area. You can have access to 20 carriers...but if they aren't competitive, you spent time submitting 20 duds.
Add in what SF ( or any carrier)is "good" at...sketchy drivers, age of vehicle, age of drivers, type of vehicle?

I do commercial auto, and have access to a bunch of carriers....but sometimes I have to send it over to a local captive who can write it much cheaper.That agent often sends me clients she can't write competitively. Win-win: client is happy....and both of us kept the client happy.

 

[Tampa Bay Rep]

If you go indendent you would have to purchase your own leads, so you would have to figure out what you would need to spend each week in leads to net at least what you are making now as a captive without any lead costs.

 

[markschneider86]

I close about 30 to 40 percent of my leads. I get my leads through referral, cold calling, and google maps and my website. Commercial is about 2 out of 10.