Insurance Agent Forum

[IndyAgentIDTMY]

I have been reviewing my numbers for the last few months. Currently, I'm focused mainly on individual health and a little life. After speaking with a few other local agents, I think it's time to start getting more leads coming in.

Currently, I have about 15-20 new leads coming in per week, which does not seem to be nearly enough. Perhaps I will double that to 30-40 per week, but first I wanted to get your feedback.

How many new leads do you need coming in every week?

[CHUMPS FROM OXFORD]

The number of leads you "need" depends on a number of factors...such as...

* Your budget...How much can you spend?
*How many leads is your website (if you have one) generating?
*Your ROI on your leads. If it is not up to par, you need to change lead companies, or change your approach. You don't want to buy more leads if your ROI is 1.5-1.
Are there other methods of prospecting you haven't tried that might offer a ROI equal or higher to the ROI your leads get you?

[djs]

I assume you are talking internet leads? I guess it doesn't matter, but different lead types have different efforts involved and closing patterns and ratios.

So the real answer is a question. How much do you realistically want to make? With your current ROI, how many leads do you need to work to make that money?

Make sure you account for the time it takes to work leads. You can't simply get 40 a day and expect to close the same ratio, there isn't enough time to work them thoroughly.

Make sure you are realistic on what your closing ratio is. It will probably go down slightly when you have more leads, hopefully not, but if you double the amount of leads, you will probably not work each lead as much.

Dan

[myinsurebiz]

Forget the number of leads. Instead focus on the freshness, the exclusiveness and the cost.

If you can get a 4/1 ROI being new - that's fantastic return on your advertising / marketing investment.

As you get better at "building relationships" and providing a service to the end user - you should expect to increase your ROI to 5/1 or even 6/1.

It just depends on what you are selling and how much you want to make.

If you want to gross $2000 a week - spend $500 to $600 a week in leads.

The key is a constant flow of quality leads and then as your base grows - referrals will start rolling in ( well, if you ask for them ).

Good luck,

Tom

[djs]

If you want to gross $2000 a week - spend $500 to $600 a week in leads.

Don't ever worry about gross. Always think net. If you allow yourself to think in terms of gross, you could end up losing money. Okay, this is probably a bigger risk if you have employees, but still, the gross check doesn't pay the household bills, the net check does.

Dan

[EFLTEACHER]

Originally Posted by djs

Don't ever worry about gross. Always think net. If you allow yourself to think in terms of gross, you could end up losing money. Okay, this is probably a bigger risk if you have employees, but still, the gross check doesn't pay the household bills, the net check does.

Dan

While that may be true, when you are running a business and doing the accounting, you always subtract your overhead from your income to get that net.

Obviously we live on the net, but to say "don't ever worry about the gross" is just not a prudent thing for a businessman to say.

[IndyAgentIDTMY]

I was really just trying to get a feel for what others are doing... regardless of your source, how many new prospects do you need in your pipeline per week to keep you going? 20? 30? 40? Higher?

My current ROI is good; somewhere around 5.5/1. I have been buying mostly internet leads, with a few dialer and referrals thrown in to the mix.

Later, I may attempt some other methods, but for now I don't want to try an re-invent the wheel so I will try 10 more internet leads per week and track the results. I just want to pump up my income as I plan on adding another line (and maybe a part-time Admin Assistant) by January.