Objective: In this lesson we will discuss the pillar of Pipeline. We will focus on on the foundation to build and maintain a steady pipeline.

Pillar #1 – Pipeline/Lead Generation

Developing your pipeline is critical.  You cannot sell until you have a prospective client.  At the risk of stating the obvious Prospects, Your Ability to Sell, and Carriers are the lifeblood of your business.   Developing your pipeline will forever be ongoing but it will evolve, (more on that later…). For now, Some Recommendations:

·   Location – Your agency location itself can be a lead generator.  As you evaluate a location consider the traffic flow and visibility, ease of entrance, parking, and if SIGNAGE is permissible for your location, AND if walk in business makes sense for your business model.  Considerations for surrounding businesses can also be a factor, positive or negative for your location. Generally, more favorable locations, such as adjacent to a grocery store, near a leading intersection, may cost more, but the proximity to community flow can offset your planned marketing budget for lead generation…   There is no single right answer, as agencies thrive in both office building settings and retail plaza settings.

·   Website – Have a Website.  People want to check you out and validate you these days.  Invest in a website. It also segues to social media, communication and contact, and an array of other positives for your business, including Search Engine Optimization – SEO.  Invest in it and be sure your website is mobile compatible (looks good on cell phone). If the Spanish market is important to you invest in having a toggle for the entire website to switch to Spanish.  Websites and/or Social Media can also be a source of bloggy and Newsletters which nca generate quite a following and enable you to market your EXPERTISE, CLIENT EDUCATION, and RISK MANAGEMENT for any number of Product Lines, as well as YOUR SERVICE VALUE. 

·   Branding vs Lead Gen – Assuming money is important to you, at this early stage in your business spend your capital where it will generate leads; branding is important but can take some time to generate leads.  Two different animals – albeit from the same family…

·   Lead Gen Sources – Can come from several channels, your own that you likely have from the get-go, those you develop through your Spheres of Influence, Traditional, Website, Digital, Business Contacts and Referral Alliances, Social Media, Internet, Other Purchased Leads, Niche/Specialty Leads, Targeted Leads, Affinity Leads, Leads from Advertising, Business Leads Groups, Community Events, Community Involvement, and more.  We will explore each a bit below… First let’s consider the money part. 

·   Acquisition Costs and ROI and Lifetime value & Measuring – It is easy when money is tight to think one must earn back on commission the expenditure for one’s marketing endeavors.  Nothing could be further from the truth. You see, if you are able to execute on your mission statement, which should include retaining your customers, your commission per client should at a minimum carry forward for several years at the same rate.  By example, consider if your gross commission for insuring a client’s auto, home, and umbrella policy is $300, then over the next 5 years, that client will provide you with $1500 in commission less your agency retention rate, which should hover in the 85-85% regardless of your market targets.    Multiply that by the number of clients you write from your campaign and how you retain your clients over time and the picture begins to take shape and the picture begins to take shape. Other factors include the type of led and lead source, as well as is the lead cold or warm or from a referral source, or an Affinity Program which you have a connection with, as well as your own sales acumen and ability and that of your staff.   (***Coming soon an ROI calculator to forecast and track your results.)

·   Digital/Social Media/Tech Related campaigns – These are inexpensive and can range from email to texting to other forms and mediums of digital and social marketing.  We have an array of cost-effective programs for you on this front for Personal Lines and Commercial Lines. Your Trainer can guide you to our Marketing Specialist.  In addition, we have an exclusive Premier discounted arrangement with a third party whose program is rated the best by their nearly 30,000 Facebook members for generating Facebook personal lines needs.         

·   Traditional Marketing Still Works with Referral Alliances from People and Businesses engaged in Life Changes (a move to a new place, newly licensed, new family member, family member to college, passing of family members, holiday gifts, property improvements, claims) along with Purchases (buying a car, house, boat, atv, jet skis, business, etc.) and Other Financial transactions (real estate, mortgage, life/health insurance, taxes, car registration, etc.).  All are traditional methods of generating leads, along with local community events and ties to your primary, secondary, and tertiary spheres of influence, and those that develop from going deep in marketing directions or niches you decide to specialize in and have an interest in to develop a product line expertise.   

·   Internet and Other Buying of Leads – These will be discussed in your training.  Some agencies have great success; some it and say they will never do them again.  The challenge with most internet leads is they are SOLD to MULTIPLE AGENCIES. He or she that makes contact first has the edge.  By the 3^rd, 4^th, and 5^th or more solicitation the prospective client is not usually in the best of moods…   See your carrier programs before you buy internet or spend money on other paid for lead generation programs.    

·   Carriers Programs – Your insurance carriers, especially personal lines preferred carriers, offer a bevy of lead generation programs and often at discounts, and sometimes involving COOP $ where you front the cost and they may reimburse you up to 50% of your out of pocket if you meet their program criteria. 

·   Billboards, TV & Radio – Contact us.  We’ve been there and done it – sometimes with great success, sometimes not.  Costs are steep but outside of multicultural markets the initiative is more branding than lead generation in the first year. 

·   Know Your Audience – When designing a lead gen program, you want to get attention in a way your audience will receive the message.  Look to Make a Connection, Do Single Point Messaging (important as you will be tempted to tell your broader story), Resonate Familiarity, Have a Call to Action, and Measure Response & Results.  Depending on your audience to make your marketing Memorable, consider being different, maybe even a bit wacky if that fits you and your customer base… But always be authentic, and have a consistent theme; plan out campaigns and measure responses (opens for emails and social media), raw leads, quotes, and closing… 

·       Account rounding (more in Pillar #2, Sales…)

·    Referral at Point of Sale (more on that in Pillar #2 and the POWER of referrals and risk characteristics)

·       Win Backs & Rewrites (more on that in Pillar #3, Retention & Client Lifetime value)-    

PLEASE DO TRACK Your Marketing Programs for ROI. 

What’s Working, What Doesn’t will be dynamic – Understand Why the result…

KNOW THIS: Referral sources cannot share in commission unless P&C licensed.