Appointment Setting Using Mailers

[PA Bill]

True but those go into the numbers. What I've said is that average to good agents close 20% of their leads. Really good agents close around 25% and the very best close 30%+ of the leads.

On 20 leads that's 4, 5 and 6 applications.

EFES only had 2 agents that averaged over 40%. I was one of them.

I don't track that stuff and was only able to track it with EFES because they track it. I do know I'm over that now because I do the same number of applications per year and I get less leads now. What the exact figure is I don't know.

Must be an in-home sales thing. Those exact numbers pretty much hold true in the home improvement industry. If you go much below 20% you are slumping, most likely because your attitude has taken a dive for one reason or another, assuming you already know the job. I had 50% months once in a blue moon, but always slid back to reality. 40% consistently? Strong!

 

[lifelic1979]

What makes you think the non-buyers are going to go up?
My percentage of presentations to people who buy is not based on a small sum of numbers.
If my presentations go up, then the sales go up, because the percentage of who buys stays the same.
The same goes for you. If you track your numbers, then you will be bale to back on this year, as a sample size, and see the quantity of presentations and the quantity of apps written. If you break the sample size down by month, then the overall average still stays the same. In other words whatever your percentage was for the year will be the crica percentage each month.
If your numbers drop because you have more people to see, then it could be the personal attitude is dropping because of the workload.

You'll be doing the same thing, but in front of a greater percentage of non-buyers. I thought you said you hand a good handle on the maths.

 

[jdeasy]

What makes you think the non-buyers are going to go up?
My percentage of presentations to people who buy is not based on a small sum of numbers.
If my presentations go up, then the sales go up, because the percentage of who buys stays the same.
The same goes for you. If you track your numbers, then you will be bale to back on this year, as a sample size, and see the quantity of presentations and the quantity of apps written. If you break the sample size down by month, then the overall average still stays the same. In other words whatever your percentage was for the year will be the crica percentage each month.
If your numbers drop because you have more people to see, then it could be the personal attitude is dropping because of the workload.

That's all well and good and I've heard that marketing talk a 1000 times. There comes a point of diminishing returns. A person getting 20 leads per week and consistantly doing $150,000 ap a year is not neccesarily going to jump up to $300,000/yr by going to 40 leads per week and definately not going to $600,000/yr just by going to 80 leads per week.

 

[KRobby]

What makes you think the non-buyers are going to go up?
My percentage of presentations to people who buy is not based on a small sum of numbers.
If my presentations go up, then the sales go up, because the percentage of who buys stays the same.
The same goes for you. If you track your numbers, then you will be bale to back on this year, as a sample size, and see the quantity of presentations and the quantity of apps written. If you break the sample size down by month, then the overall average still stays the same. In other words whatever your percentage was for the year will be the crica percentage each month.
If your numbers drop because you have more people to see, then it could be the personal attitude is dropping because of the workload.

I understand your theory, but you're under the impression that you control the buyers based on your presentation. That is true up to a point of course, but the majority of direct mail leads will be non buyers regardless of your skill. If somebody else schedules your appointments and gets 70% for you to see, you're not going to sell 100% of those, and maybe it will sink in. Your suckage @ appt setting is helping you filter and 'close 100%', if true, that's not a bad thing as it sounds time efficient. You door knock?

 

[JoshC]

Must be an in-home sales thing. Those exact numbers pretty much hold true in the home improvement industry. If you go much below 20% you are slumping, most likely because your attitude has taken a dive for one reason or another, assuming you already know the job. I had 50% months once in a blue moon, but always slid back to reality. 40% consistently? Strong!

Actually there is one huge difference in the HI industry. In most cases you are running pre-set appointments from a confirmer. They typically are only able to confirm about 50-60% of the raw leads that come in, then your close rate is figured on that 50-60%. Basically, if you close 30% in that business, which is considered the minimum acceptable, you're only closing 15-18% against raw leads which is what we are measuring here.

 

[PA Bill]

Actually there is one huge difference in the HI industry. In most cases you are running pre-set appointments from a confirmer. They typically are only able to confirm about 50-60% of the raw leads that come in, then your close rate is figured on that 50-60%. Basically, if you close 30% in that business, which is considered the minimum acceptable, you're only closing 15-18% against raw leads which is what we are measuring here.

I hear you Josh. Yes, it was sales to appointments set (request for estimate). Important distinction. With that said, an estimate is set with almost everyone who responds. They asked for the estimate, didn't they? From there we got no credit for no shows, one leggers, whatever. So at least in my world, raw responses to sales, whether HI or FE, is pretty much apples to apples. But you are not wrong. Some outfits handle and judge you on that differently. But the heartless bean counters are making the kinder, gentler outfits harder and harder to find.

 

[JoshC]

I hear you Josh. Yes, it was sales to appointments set (request for estimate). Important distinction. With that said, an estimate is set with almost everyone who responds. They asked for the estimate, didn't they? From there we got no credit for no shows, one leggers, whatever. So at least in my world, raw responses to sales, whether HI or FE, is pretty much apples to apples. But you are not wrong. Some outfits handle and judge you on that differently. But the heartless bean counters are making the kinder, gentler outfits harder and harder to find.

Leads have gotten much softer in that industry as a whole. Closing 30% of the demonstrations including cancels and credit rejects is typically considered acceptable, which equates to about $40-50k income for the sales rep. Most places offer escalating bonus programs that will put a 40% guy near six figures.

 

[lifelic1979]

Yes, I door knock a lot. If I call on the phone to make my appointments, and then there is obviously going to be people I don't catch at home, then I knock them as I am on my route.
I've never had someone else schedule my appointments for me. I'm more hands on and prefer not someone calling my leads for me.
That could be an excellent point you made--the fact I'm not very good on the appointment/ leads ratio, and so a lot of the home I don't get into are not buyers to begin with.
LOL, I guess I can take heart at not being very good in that area to begin with.

I understand your theory, but you're under the impression that you control the buyers based on your presentation. That is true up to a point of course, but the majority of direct mail leads will be non buyers regardless of your skill. If somebody else schedules your appointments and gets 70% for you to see, you're not going to sell 100% of those, and maybe it will sink in. Your suckage @ appt setting is helping you filter and 'close 100%', if true, that's not a bad thing as it sounds time efficient. You door knock?

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Jdeasy, you're right. I have often theorized that strictly on the numbers. I've never made 300K in a year, but figured I could get close to it by doubling my appt/ lead ratio.
Thanks Jdeasy, and Krobby. I appreciate that.

That's all well and good and I've heard that marketing talk a 1000 times. There comes a point of diminishing returns. A person getting 20 leads per week and consistantly doing $150,000 ap a year is not neccesarily going to jump up to $300,000/yr by going to 40 leads per week and definately not going to $600,000/yr just by going to 80 leads per week.

 

[RJP]

I've averaged over 70% appointments to leads receieved for over 6 years now.

I'm sure that Travis does as well. It's not some magic number. I'm only talking about DM leads.

I didn't hit the $60/mo average premium though. It was a little over $58/mo on 300 applications.

It's hard for me to believe that someone is impressed by the 70% mark on appointments. I would think that every seasoned agent averages at least that.

I dont get 70 percent to answer the phone

 

[John Galt]

I dont get 70 percent to answer the phone

Just another reason i may move to ky, jd is there any 20 acre areas with nice homes in your area lol