how much or what percentage of your expenses are tied to marketing and buying leads ? Talking to an Allstate DM and for new opportunity they are looking for an agent to spend around $70 000 per year on marketing and leads ? thanks
...that's a whole lot of leads. That's the hamster wheel you'll CONSTANTLY be running on w/ Allstate. Not to mention the retention on that business is terrible. I suggest you avoid going captive at all costs.
I suggest spending a minimum amount that will prove your leads will be profitable for you, with clear definitions for cost per lead, cost per sale, and profit per sale. If you use multiple vendors compare them based on these common metrics. Keep increasing the spend in 15% increments for your most profitable vendor.
Not much. I invested in a website and also a landing page service. I have a ppc campaign running with low bid amounts. I don't get many direct clicks, meaning my actual spending with google is very low, less than 200/month, but having that going on gets me a fair amount of organic traffic. I speak to 3-5 leads per day who find me on Google. Add in referral relationships, and it's actually more than I can handle on my own. Been looking to hire somebody for months but man, nobody seems to want to do an honest days work.
I spend $0 on marketing. Everything is referral based, we save clients substantial money & offer better coverage 99% of the time & have a great system in place to ask for referrals. It's myself, CSR & part time data entry to quotes & I'm doing 120 policies per month (on average.)