Farming it out - results

[Crabcake Johnny]

Just over two weeks ago I farmed out plastering flyers/doorhangers in residential areas and in businesses. I have a neighbor who's son wants to do it but school's not out yet so I just slapped an ad up on Craigslist.

I'm paying $10/hr but only for 2 hours a day max. I cannot manage the territories for more than 200 flyers placed per day. One change for me was being able to put "instant online quotes" on my flyer which I think does make a difference.

It's been 2 weeks and 3 days since he started but I'll give the results at the 2 week mark:


2,500 placed in 12 days (he's working 6 days a week)
$10/hr X 24 hrs = $240
2,500 flyers X 4 cents = $100
Total cost: $340
Cost per flyer: 14 cents

My return for leads has been 1.2% or 30 leads (actually 31 leads)

Results:

$1,300 premium
$1,800 premium
$4,200 premium
$210 commish (BX deal)

Two more deals on the runway.

Not bad ROI. I absolutely think the economy has something to do with my better than usual results. People who were just fine with that "$500" per month premium all of a sudden don't mind shopping it.

One thing that's important to mention - all the areas hit were hit twice last year by me so it also could be a cumulative effect of my ads.

 

[SportsNut]

Shelf Life...

This is always difficult to measure, but there is always a shelf life to any kind of advertising. Just because the flyer was delivered in the last 2 weeks, doesn't mean that this is when the need has occcured. Some folks might hang onto the flyer, knowing that 6 months from now they have a need. The straggeling effect of these kind of prospects is a factor.

This is known with other product or services marketed, not yet with insurance. It stands to reason that the concept would yield an equal result of delayed activity by some. So you will have to update us on the returns over time. You might want to somehow code the flyer with a use code to determine when there is a time lag from receipt of the flyer and activity results, just for you own knowledge. You could also segregate the use code by the distributor of the flyer, if you used more than one source for delivery, jsut to test the effectivness of one over another.

eg. 0403JP Flyer distributed on the 4th month, 3rd week by John P.

 

[SportsNut]

Question about your flyers...

Do you use any kind of a case study... (and surely you would lots of them). Describe the situation of where the client was before and after you worked your magic.

e.g. Tony A. Male age 44, family of 4 was paying $ 593 mo with major medical, 2500 ded, exclusions in some coverages, no acc, or co-pay for Dr visits, etc. With a search of X companies, we were able to find Tony A. maj med covg, Dr co-pays, presc drug card and no exclusions, and a premium savings of $ 103 pre mo.

e.g. Dave R., age 35, single, blah, blah. Saved $ 76 per mo on premium.

The point being that if I am reviewing the flyer and my situation is like any of the e.g. situations, I might be more inclined to access a quote...? Selling the sizzle (or results), and putting into an example that I could relate to...

Just some food for thought...

 

[CHUMPS FROM OXFORD]

Clifton would be a great area to hang those flyers!...

 

[Crabcake Johnny]

I don't use case studies but I can't discount the cumulative effect. In our area we get doorhangers/flyers from the same companies (especially pizza/Chinese) monthly. I'm only hitting the same homes twice or so per year.

I know that I have a local Shell gas station owner as a client who called me after he received the 4th flyer over the course of a year or so. Nothing to me - I gas up and always leave a flyer.

 

[Crabcake Johnny]

Clifton would be a great area to hang those flyers!...

I was thinking about hitting the poorest areas of MD but then I remembered that's where my shared leads come from.

 

[CHUMPS FROM OXFORD]

Boy...isn't that the truth! Sometimes anyhow.


Hmm. Exclamation point or question mark? I chose the exclamation point. I realize it was a question, but I believe this is one of those rare exceptions when you are actually exclaiming a question...that is...not really expecting an answer.

 

[SportsNut]

Clifton would be a great area to hang those flyers!...

Good idea... hang them in all the watering holes...

Flyers are quite popular I noticed upon my last visit, but always room for one more.

I could imbed my Avatar on top of the flyer too... or maybe a pic of Huggs. In fact I know him, maybe I could get an endorsement. But after his recent wearing of that butter colored suit and matching shoes in one of the final games of the year, the value of any endoresment may have diminished.