Strangest Marketing Idea Ever, That Worked!?!?

[warnerins]

One day I got off the phone with a prospect that was provided by an online lead service (company not relevant to the story). It was another hit or miss opportunity that I paid for with unknown potential. I began to run the auto quote that we had discussed and a lightbulb went off over my head. It was a dim bulb, but just bright enough to cloud the computer screen and break my concentration.

Why am I paying some company (three states away) to provide me with a lead to a prospect a mile away from my office?

I brain stormed over this for a little bit and came up with "Warner Insurance Marketing Force". Sounds official....... now here are the stupid details.

I figured instead of paying a company (7-12 dollars) for an auto lead that they are probably selling to four other agents, why would I not hire some one to go out and fill out auto quote sheets exclusively for me. I would pay 5 dollars for a quote sheet, 7 dollars if it resulted in a sale and 10 dollars if it resulted in a multi-line sale.

Remember this person would not be selling, quoting, representing a product or giving insurance advice (much like your online lead services). They would merely be gathering information that is needed for me to do all of those things. Also, since I was not paying them hourly there was no out-of-pocket until the leads started coming in.

I also figured that the person I hired would start out with the easy 5 dollar return. They would fill out a quote sheet on themselves, then their family, then their friends and finally their neighbors (sounds like a new life insurance agents).

I wanted to localize the leads that were coming in from "The Force". Meaning right here in the neighborhood. So I didn't advertise the position in the paper. I merely hung a banner in front of the agency that said I was hiring.

I put together a presentation for new prospective "Force" representatives. It was beautiful. I explained the agency (18 auto carriers), the sales cycle, how they fit in to the cycle, referrals I would generate for them to continue their list of names, etc............... By the end of the second day I had 15 people walk in to enquire about the position. I gave the presentation to all 15 and 9 started the next day. (there is tons more detail on paperwork and tax stuff, not fun to talk about so I'll skip it).

As predicted I had 9 immediate quotes on all of them and 9 more quotes from closest contacts. There were several more quote sheets that came in and I sold quite a few of them. Some of "The Force" would simply go on the website and fill out my online form from the prospects house and sign their name in the comment section at the bottom to get their credit.

I could go on for days about the details. But, the concept worked. The downside is that I didn't have time to cultivate it properly and (just like a new life rep) the turnover was intense. I just never found the right mix or individuals that would take it and run. I may in the future...........

 

[insureitnow]

This is good stuff....imaginative

 

[somarco]

First, congratulations on your "think-outside-the-box" approach. Very creative.

The only downside that popped into my head as I read your narrative is the same thing we run into with internet leads.

Incentivized lead gathering.

In a way, this is no different from paying an affiliate so much per lead for i-leads. They get paid no matter what they do to generate a lead.

While it apparently worked well in the short run, over the long haul I can see your hunter-gatherer's coming up with creative ways to inflate the lead totals.

I can't address your auto leads, since I am not in that game. But when I order health leads I put filters in there to sort out folks that are too young, too old, or otherwise uninsurable. I also filter out (when I can) those that are not currently paying for health insurance.

Even with the competition I get a better lead than I would if I paid someone $5 to gather limited data on those looking for a health insurance quote.

YMMV.

 

[warnerins]

Tailoring this type of "McGiver Marketing" may be half of the challenge (fun). Making the incentive not the initial 5 bucks. But maybe the opportunity to double or triple the size of the carrot if it is sold or converted. This may weed out the neanderthal quote gatherer. Who will probably get bored with it and just go away.

I did find myself tweaking the type of prospect that I would pay for and changing the rules (mid-stream) to combat the "hunter-gatherer's". This was poor planning on my part. I really didn't think that I would have as many "Force" members as I did. Again, my presentation was a thing of beauty.

With an auto lead, it doesn't matter if you are young, old, single, married etc.... and most are insurable (unless legally blind or incarcerated). The thing to remember is that I was paying for these type of leads from the i-company.

However, now I was paying for a lead that I could directly question the lead source on every specific quote sheet.

 

[somarco]

most are insurable (unless legally blind or incarcerated).

Sounds like discrimination to me. I believe Congress should look into this . . .

 

[Mark]

Thanks for sharing this idea with us.

 

[Aaron_4SIGHT]

Interesting idea. Think there's a way it could be taken to facebook?

I wonder what rebating or incentive issues this would trigger.

 

[somarco]

I wonder what rebating or incentive issues this would trigger.

I don't see that as an issue. The money is not paid as an incentive to buy.

 

[Crabcake Johnny]

I looked long and hard into this idea a few years back coming from a background of managing both BtoB and residential marketing outfits.

On the surface it works. Going BtoB, anyone can generate 3 leads in an hour - pay even $10 per lead and you have local exclusive leads - the rep has $30/hr for minimal effort.

However, Somarco nailed it on the head. Most reps are going to push too hard or flat out forge the quote sheets to get paid. You'd have to set up a system to only pay for verified leads.

All of this is management heavy. You'll have to provide them with them with territory each time they go out.

And trust me on this - you will burn through reps just trying to find one who will go out and do what they're supposed to do.

 

[warnerins]

I absolutely agree with you healthagent. But imagine finding that one or two reps that take this concept and run (like the wind).

Heck, I went through 5 or 6 CSR's before I finally found that diamond in the rough. And, she was worth every headache that I endured to try to find her.