Plain and simple, internet leads should be a staple of your marketing strategy. Having warm channels that connect you to people in search of your product can prove to be a crucial asset to your business. But what separates the “good” leads from the “bad”? What indicators can you look for ahead of time that may give you a better chance of success?
Below are five key metrics to consider when shopping around for insurance leads. Strengthening your understanding on what factors influence your leads from the start can make your chances of winning the consumer’s business that much higher.
1. Volume
Buying leads in either low or high volume should reflect your business goals. Typically, smaller insurance agencies tend to use a greater number of filters and target specific regions, while larger-scale agencies lean towards buying many lead types with fewer filters, and pulling from a larger territory. The first strategy may yield a higher closing rate simply because the leads are SO specific, however, putting this many restrictions on your lead packages can drastically cut your volume. The latter strategy is what we consider to be best practice. Less filters typically equals a lower cost-per-lead, and pulling from a larger territory means that you’re more likely to see consistent volume. What’s more, some lead providers, like QuoteWizard, frequently offer additional discounts to higher-volume accounts where possible, which helps further decrease your out-of-pocket cost.
2. Source
Not all lead sources are created equal. Maybe you’re familiar with the terms “Standard” vs. “Search” leads, or maybe this is a new concept for your business. We’ll break down the various sources a lead typically derives from, so you can go into purchasing leads feeling confident in the industry terminology.
I. Search
A “Search Lead” refers to any lead that came directly from a search engine inquiry. The consumer has gone to Google, Bing, or Yahoo, etc., input a search like “compare auto insurance quotes”, and found their way to QuoteWizard’s submission form. We consider these shoppers to be high-intent, and leads of this kind typically close at five times the rate of standard industry leads. The biggest thing to keep in mind with search leads is timing; a search lead prospect is actively searching for a quote NOW. A quick response time with these leads should be the top priority, otherwise they’ll likely have already been contacted by a competitor and their business may be lost.
II. Social
Social media-sourced leads are interest-generated through social media platforms. These attract shoppers by means of banner ads on Instagram, Facebook, Twitter, etc. that target audiences an online algorithm has determined are most likely shopping around for insurance.
III. Third-Party Forms
As much as we at QuoteWizard would love to bring in enough volume to provide ample leads to all our valued clients, this unfortunately can’t always be done. Therefore, we occasionally team with reputable third-party marketing companies to source additional leads to supplement our own. These partnered companies are constantly monitored for quality, meaning if we get consistent complaints about lead quality that stem from a specific source, we make sure to work with them to either rectify the issue or replace them with a more reliable source.
It's crucial when shopping around for a lead provider to ask where they company sources their leads. QuoteWizard works to source the highest quality leads and never incentivizes shoppers to fill out a form (i.e. no chance to win an Xbox here!). But providing quality leads is only a piece of the overall service you should receive.
Your chosen leads company(ies) should be able to work with you hands-on to make sure you’re optimizing your leads account to its greatest potential. QuoteWizard gets top marks in the industry for its customer service! Not only that, but we offer ongoing support and resources for free through our online Agent Education Program.
3. Filtering
Many companies offer pre-set and custom filters for you to choose from in a lead package. Custom filters tend to be pricier than other types, but the ROI they provide have shown to be worth the cost in some cases. These filters can include demographics, current policy status, marital status, credit score, homeownership, number of cars owned, and more. As mentioned earlier, however, unless volume in your area is abundant, putting a lot of restrictive filters on your leads can sometimes hurt your volume. It’s typically in your best interest to start your filtering broadly, then fine-tune them as you find what works for you. You should work with your account advisor to make sure your leads are optimized accordingly.
4. Return Policy
A company’s confidence in its lead quality will be reflected in their return policy. Most lead companies take serious measures to exclude bad leads, but occasionally some slip through the cracks. How does the company react when you do get a bad lead? Make sure to ask what qualifies as a “bad lead” and what their limit is on number of acceptable returns. QuoteWizard allows you to return up to 40% of your leads without penalty, which is one of the most liberal in the industry. While we can’t always offer a refund on a consumer who simply refuses to call you back, dead phone numbers, joke forms, customers already holding a policy with your company, among others, are happily accepted and we’ll administer a new lead to you as a replacement.
5. Lead Distribution Numbers
The number of agents receiving a single lead can drastically impact your success rate. Whereas some companies sell one lead to as many as 8 or more agents, QuoteWizard only distributes a lead to a maximum of four agents (never from the same company). And keep in mind, this is best case scenario for us. Due to agent territory restrictions, delivery schedules, filter restrictions, etc. our leads are most often only distributed to an average of 2–3 agents. But remember, while this does cut down on the number of competitors pining for a shopper’s business, it’s still important that your team is diligent and quick to reply to incoming leads.
Interested in giving QuoteWizard a try? Click here to fill out a quick contact request and a representative will be in touch shortly!
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