The Truth About Leads Agents: Get To Work

By | February 15, 2019
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Insurance sales is a paradigm. On the one hand an agent can earn a very good living if he can get on a steady flow of leads each week. The opposite side of that is if he doesn’t, he won’t last long in this business.

The problem is that it is very hard to get good leads each week. In order to meet enough quality appointments each week, you have to have a steady flow of leads. Now there are what I would call “good” leads and “bad” leads.

Referrals are the best leads around. These come from someone who knows you and can vouch for your work. The next is when you either purchase or receive leads from your Insurance company that are actually qualified through demographics. For example, a good quality piece is sent to a prospect which takes into account their age, gender, family size, current health status, income size and whether or not they own a home. Leads that come from this source stand a chance of being a sale for the agent.

Conversely there are bad leads. These are leads sent to everyone with no consideration for demographics and yet are charged to the agent. It’s a shame and a total waste of time for an agent to get leads and waste his time on them with no hope of converting them into a sale.

A good concept to keep in mind is this; you are paid to sell, not prospect. The more time you can spend in front of people who are open to listening to your presentation and purchase your products, the more money you will make. Many agents spend 75-80% of their time prospecting and wondering why they cannot make a great living in sales.

Good leads cost money. Sadly many companies are making money just selling agents leads although every company I have been associated with has said “we make no money on leads.” That is simply not true. Leads do cost but companies do not offer leads at a loss. This is evidenced by the fact that if you go to one of the many lead companies that exist you will find their prices are comparable to what Insurance companies charge their agents. Yet these lead companies survive by selling leads so if they are profitable selling you a lead for $30 your Insurance company makes as much as they do when they charge you $30.

Don’t be fooled. Look for good, affordable leads and make getting in front of prospects your goal.

Unless you want to start your own lead generation business and sell them to agents as well!

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