How To Execute A Successful Cold Call

Tips To Execute A Successful Cold Call

Posted on , 8/18/2014

Cold calling can get a bad rap. Often, it is associated with entry level jobs and getting hung up on for hours each day. The reality is, however, that cold calling can be one of the secrets to generating promising leads for insurance agents. It's not enough to simply call dozens of people each day or show up at business after business - as an agent, you have to execute good technique to turn cold calls into solid leads. Here are some tips to help you do just that:

Have a plan
Just dialing up businesses or individuals isn't going to help your cause. It is essential that you plan ahead so that when you get someone on the phone, you know what you're doing. This means doing your research before picking up the phone. While you don't need to do an in-depth investigation of the person you're calling, you'd be surprised how much a quick online search can turn up. It will not only help you make the appropriate sales pitches, but will also help you feel more confident in what you have to say.

Respect the gatekeeper
Whether you're calling into an office or showing up at their door, it's likely that you'll run into a receptionist of some kind. Even though this person may not be the ultimate person you want to deliver your pitch to, don't make the mistake of being rude or short with him or her. You don't know how much influence the receptionist has over the ultimate decision-maker, and many professionals make a habit of asking their assistants if visitors treated them with respect upon arrival. If there is a nameplate on the receptionist's desk, use their first name and be as engaging as you would with your client.

Make it personal
No one wants to hear a robot giving them a tired old sales pitch. Whether you are in person or on the phone with a potential client, find something personal and interesting to talk about, whether it's a shared love of a local sports team or plans for an upcoming holiday. It will immediately change the tone of the conversation from formulaic to personal.

Be self-aware
Making calls all day or driving from client to client may prompt you to fall into bad habits, which is bound to turn off potential customers. If you're on the phone, try standing and facing a mirror. While it may feel a bit silly, it will also make you smile, which will give you a more confident sound over the phone. Recording yourself is another great way to get a little more objective with how you come across. Do you sound rushed, annoyed or unsure? You may be unaware of how you sound to the person on the phone while you're speaking, but hearing it played back will likely change your outlook. 

Keep records
Of course, not every call or stop is going to result in a sale. Nonetheless, it will behoove you to keep careful records of all of your sales pitches. First of all, you can get an idea of how many appointments you set per call, giving you averages that you can work to improve. Plus, if you end up revisiting a potential client, you'll be able to go in prepared. What did you pitch this company or person last time? Why did they turn it down? Paying attention to these details will not only help you customize exactly what you're trying to sell to your potential client, but it will also make them feel as if you are going to give them the personal attention they want in the future.

Apps for Insurance Agents

5+ Apps for Insurance Agents

Insurance Agents chasing new leads are always on the move. From meetings with clients in person to calling prospects on the phone, you are going to be busy from morning until evening.
One of the best ways to increase productivity and save time is to take advantage of the many mobile apps that are available. Do you own an iPhone? If so, you are in position to download multiple apps that can help improve your business. (note: I have an iPhone and use these apps myself.  Most of these are also available on Android or BlackBerry)

Here are 5 Great Mobile Apps for Insurance Agents

1. Kelley Blue Book. If you sell auto insurance this is a great app to have on your phone. In short, it allows you to quickly pull information on the value of any vehicle. Are you trying to help a client decide what type of insurance coverage to buy? If so, you may need to know the value of the vehicle.
2. Insurance Journal. Are you interested in staying current with news from the insurance industry? You are probably well aware that Insurance Journal is one of the top resources. You can use this app to stay connected, no matter if you are in your office or on the go. Throughout the day, you can check in to see if anything major is happening.
3. Evernote. From taking notes to capturing images to creating to-do lists, when you have this popular app on your iPhone you are able to stay organized – no matter how hectic things may become. Some agents have an extremely difficult time staying organized. With Evernote, you can protect against this.
4. Google Voice. Let’s face it: you are not always going to be in your office. Does this mean you want to miss important phone calls? Of course not. With Google Voice and its call forwarding capabilities, you can be rest assured that you never again miss a phone call. You will find that this app is a must if you want to provide the highest level of customer service.
5. Twitter, Google+ and LinkedIn. Some agents are serious about social networking. They know that this is a great way to stay in touch with clients, prospects, and industry colleagues. Others are not yet taking full advantage. If you are the type of person who likes to stay involved with social networking, even when away from your computer, these three apps can be a big help.
There is a fine line between using the right apps and having entirely too many. You don’t want to bog yourself down, being forced to use your phone for every last task. However, you can truly turn your business into a “mobile operation” with the help of the right apps.
Even if you only download one of these apps, there is a good chance that you will soon find yourself in a better position.
What apps make you a more effective agent?

Mortgage Life Insurance Leads – Tricks of the Trade

Many homeowners realize the importance of buying a mortgage life insurance (also known as mortgage protection insurance) policy. With that in mind, agents who offer this type of coverage have come to realize that it can be extremely difficult to sell.
Most consumers are of the thought that mortgage life insurance is a waste of money. In other words, they don’t think they will ever use this type of policy. That being said, it should be looked at in the same light as every other type of coverage. It is something that consumers purchase for protection, since they don’t know what the future holds.

Reach your Target Audience

More so than many types of insurance, when attempting to sell mortgage life insurance you must find your target audience.
Simply put, if somebody doesn’t have a mortgage they don’t need to consider this type of coverage. Remember, this product is specifically designed to pay the remaining balance of a mortgage loan should the policyholder pass away.
Finding clients that have a mortgage and are willing to consider mortgage life insurance is no simple task.
While cold calling and direct mail will always be two options to consider, purchasing leads online makes it much easier to target the appropriate audience. Through the use of filters, you can ensure that you are only getting in touch with consumers who are actually interested in this type of coverage.

Pre-Qualified Leads

When you turn to a reputable internet lead provider, you will find it easy to find pre-qualified leads. With pre-qualified leads, you know that the consumer is at the very least interested in what you are selling.
Also, with pre-qualified leads you are in position to use a variety of filters. For example, you can find consumers with health conditions who may not be able to purchase traditional life insurance. This means they are more likely to purchase mortgage life insurance since the qualification process is less strict.
Despite the fact that you have to spend money upfront on mortgage life, remember one thing: you are getting what you pay for.
If you rely on cold calling and direct mail, you could go many weeks without ever contacting a consumer who is interested in this type of coverage. When you purchase leads online, this is never the case. Instead, you are only spending time on prospects who are likely to consider everything you have to offer.

The Sales Process

No matter how many qualified mortgage life insurance leads you generate, you are still faced with a sales process. Just because you are speaking with somebody who is interested in buying a policy does not mean that he or she will actually do so.
When you purchase pre-qualified leads, you know that the consumer is in position to purchase a policy. If nothing else, the prospect has a balance on their mortgage and is interested in at least hearing what this type of insurance can do for them.
During the sales process, you must explain the benefits of mortgage protection life insurance as compared to more traditional life insurance (whole and term life). Many people think that if they have life insurance they don’t need mortgage life insurance. How are you going to overcome this common objection?
With every sales call you will learn more about the process, including how it typically unfolds. Soon enough, you will devise a strategy that helps yield the best results.
Summary
There is no denying that it can be extremely difficult to sell mortgage life insurance. This holds true for two primary reasons:

• You are targeting a small audience
• You must educate consumers that buying mortgage life insurance along with traditional life insurance is okay

The ability to purchase pre-qualified life insurance leads via the internet will make it easier for you to contact interested buyers. From there, let the sales process begin!

Earn Referrals With Great Service 

No matter how you are generating insurance leads, one thing must stay the same: you need to provide a great customer service experience. A focus on great service will not only result in a higher close ratio but it will also play a key role in earning ongoing referrals.
There are steps you can take to provide better service to prospects. Of course, these steps will also hold true when providing service to current clients.

Fast and Efficient Communication

Prospects don’t want to wait around for an answer to a question or advice on what to purchase. If you are going to communicate with a prospect, make sure you provide fast and efficient service no matter what it takes. This means answering questions when they come up, providing information as necessary, and doing whatever else you can to make the consumer feel at home.
As you continue to provide the best service, the prospect will see that you are truly interested in what they are doing. This is an area that other agents often times overlook, so you should be willing to take advantage.

Provide a Detailed Quote

At some point in time, every prospect is going to request a quote. This is what you will provide the buyer in order to get the buying process moving forward. The more information you give the better off you are going to be. Additionally, a detailed quote can help you avoid some questions down the line.
Be sure the quote includes everything the prospect could possibly need to make a decision, including but not limited to the coverage being offered as well as the premium. Also, let them know that you are available to answer questions in the future should they arise.

Provide Detailed Answers to Questions

Just because you have a lot of knowledge does not mean the consumer is going to be as advanced. For this reason, you must provide complete answers to any questions that are thrown at you.
The more details you can provide the greater chance there is that the prospect will understand what you have to offer. Subsequently, your odds of making a sale in the near future greatly increases.
There is no question so challenging that you will be lose for an answer. Make it your goal to provide too much information as opposed to not enough.

Stay in Constant Contact

Some prospects are ready to make a purchase after receiving a quote. Others will put this off, time and time again, meaning that you need to stay in constant contact. Although you don’t want to go overboard with emails and phone calls, the prospect should know that you are available to provide advice and answer questions.
When you stay in touch with the prospect, you are showing that you truly care about their future. This may be the difference between making a deal and losing the client to another agent. Have a schedule for making follow-up phone calls and do your best to stick with it.

Email and Phone Support

Most insurance buyers will want to communicate via telephone. However, some are realizing that using the internet is the way to go. You should not shy away from communicating via email if this is something the buyer is interested in doing.
Also, if the prospect lives in your local area you should make yourself available to meet in person. This may be the final step in closing a sale.
Wrap Up
By following this advice, you will realize that you are able to provide a better customer service experience to every prospect. This does not mean you are always going to make a sale, but you are doing your part in increasing your chance of success.
Regardless of how you generate a lead, you should always put a lot of time into providing the best customer service in the industry.

Benefits of Scheduling Face to Face Meetings with Prospects

5 Benefits of Scheduling Face to Face Meetings with Prospects

With some types of insurance, you may never meet with a client in person. With other types, such as life insurance, this is often times necessary. Although you may not be thrilled about taking the time to meet a prospect in person, there are many benefits of doing so.
In the past, you may have shied away from these meetings. Rather than go down this path in the future, you should embrace face-to-face conversations. Even if this is not something you want to do, it is something that could greatly improve your business.
Below are five benefits of meeting with an insurance lead in person:
1. Easier to present your material. Let’s face it: it is much easier to give a sales presentation in person than it is over the phone. When sitting face-to-face, you have the consumer’s undivided attention. This is your time to shine. This is your time to show the prospect why you are the best agent for them.
2. Develop a personal relationship. No matter what you are selling, achieving success is all about developing a relationship with the buyer. You may be able to do this over the phone, to a certain extent, but when you meet in person it is much easier. There is nothing more powerful than a good handshake and eye contact. Once you develop a relationship, your chance of making a sale is much greater.
3. The ability to hand the prospect information. In today’s day and age, it is so easy to email information that many agents overlook the importance of actually handing somebody a hard copy. Don’t let your business get so caught up in technology that you overlook this simple task. There is something to be said for leaving technology behind at the appropriate time. This is particularly true if the consumer is “old school” and would rather deal in person and with tangible items.
4. You have a much better chance of closing the sale. Simply put, some consumers are not going to purchase a policy until they meet you in person. You can have as many phone conversations as you want, but unless you meet face to face you are never going to close the deal. Once you have an in person meeting, the prospect can decide once and for all if you are right for them. There is no more guesswork involved.
5. Easier to follow up in the future. If you are not lucky enough to close the deal in person, you will find it much easier to follow up with the prospect down the line. This goes along with #2 above. Once you establish a personal relationship, it is easier to pick up the phone to contact the buyer.
Summary
If you are going to work as an insurance agent, there will be times when you will need to meet with a prospect in person. Don’t avoid this. Instead, embrace what it can do for your business.
With these benefits in mind, you should be excited about scheduling face-to-face meetings.

Buying Insurance Leads? 5 Details to Consider

When comparing insurance lead providers, many agents fall into the trap of focusing solely on the most common details. These include things such as lead cost, line, filters and method of delivery.
While these details are important, there are a few less emphasized but also excellent factors to determine which providers are a good fit for your specific needs.
Here are five often times overlooked details of insurance lead providers:

1. Is a Contract Required?

While most major insurance lead providers don’t require a contract, check on this detail before making a final decision. The last thing you want is to get tied up in a long term contract.

2. Average Buyers per Lead

It is amazing that so many agents overlook this important detail, perhaps because most lead companies do not make much mention of it. When buying from the top providers of shared leads you need to know, on average, how many other agents are receiving the same lead. This will give you an idea of what type of competition you are up against.

3. Exclusive Lead Options

Maybe you don’t want to purchase shared leads. Instead, you want to be the only agent that receives the consumer’s contact information. In this case, you are interested in what are known as “exclusive leads.” You will pay more, but your chance of a sale is greater since you are the only person making contact with the prospect.
Tip: Exclusive lead sources can be very good but they are often very hit or miss and are typically not consistent.  I like to look for shared lead providers that will allow you to limit the competition through tiered pricing.  Best Quotes does a good job of this with their life leads.

4. Lead Return Policy

While every insurance lead company does its best to filter out bogus leads, none of them are 100 percent successful in doing so.
If you run into a bad lead, you should have the ability to return it to the company within a specified period of time. Most give you a 10 day window, from the date of purchase, to return a bogus lead.

5. Promotions

Is there anything better than getting something for free? In the world of buying insurance leads, the answer is no. Most companies always have a promotional offer, although some are better suited to agents than others. From free leads to a $100 (or more) credit, you should know what you are being offered and then take full advantage.

What Now?

At this point, you probably feel one of two ways:

• More comfortable with your ability to compare providers and choose the right one
• More confused than ever before, thanks to all of the details that you have to focus on

As long as you take the time to compare insurance lead companies, paying close attention to these details, as well as those that are more basic, you should feel comfortable buying leads for the first time in the near future.

Insurance Leads Diversification Strategy

Life Insurance Leads Diversification Strategy

I created ILR with a clear focus on reviewing shared internet lead services.  My preference for the shared internet lead format is due to a variety of factors including volume, low cost of entry, speed to consumer, speed to test and the ability to target tight product niches.  I want to make it clear that I am not trying to discourage other lead and marketing sources.  In fact, I highly recommend testing every option available.  I just find shared leads require the least amount of time as a whole which is always going to be the most valuable and limited variable when it comes time to scale.
Now that I have said that I want to address where to find additional life insurance leads outside of the shared market. We definitely do not see consumers flocking to quote sites for life coverage like we do with auto which can result in low volumes in some markets.  Buying life insurance is more of a personal process and most consumers are seeking a stronger trust bond with their advisor.  These elements make the Life product challenging from a marketing and lead generation aspect.  All of which can be very challenging, frustrating and painful for newcomers.
If you have been nodding your head to this point then you are in the right place.  I have offered the upcoming advice on this subject more times than I can remember so it only made sense to post it here and save myself a bit of time in the future.

The Life Lead Diversification Strategy

Goal:  To acquire more life insurance leads in an efficient and cost effective manner.
In this guide I am going to cover techniques that are going to be the lowest hanging fruit in terms of time efficiency and potential return on investment.  I could probably list 100 different options here but many of them would likely result in a net negative when time and investment are factored.

ADD Sidebar: The driving principle above is the 80/20 Rule which reminded me of an interesting technique to make an agency more productive by firing clients.  I’m not sure this site is the best platform but if you guys want me to write about it let me know and I will.

7 Sources for Quality Life Insurance Leads

I’ve narrowed a long list of options down to my favorite opportunities.  My criterion puts a premium value on time which if often overlooked or undervalued when factoring the total cost of a lead.  Shared internet leads are on the list so those looking for alternatives have 6 more options.  There is one more very specific SEO option that I am still testing with a colleague now.  If it makes the grade I will update the list to include it as well.

Current Client Referrals

Client referrals are far and away the highest converting lead source.  The trust factor typically means these leads require less sales effort and time.  A steady stream of this free word of mouth marketing can equate to a serious competitive advantage in a local market.
It is a no brainer that every agency wants as many referrals as possible.  The disconnect I see way too often is that agents are soley looking forward to generating new business.  They assume referrals will probably come instead of really tapping into their most valuable lead source.
Yes, some referral leads will come naturally with virtually no effort but why not make the most of it?
A good life agent will embrace the role as an adviser to their clients with an ongoing relationship.  By that, I do not mean sending out a generic monthly newsletter.  What I am suggesting is timely advice to your entire client base when relevant and personalized advice based on situation.
This advice varies and it cannot always be planned.  One of my favorite options is real-time guidance in response to economic conditions or a news event.  The premise is to ensure every communication you send adds above average value.
When I use the word “advice” I am talking about stuff that is typically not a sales angle, something that benefits the client and something they probably did not already know.  This can be conveyed via email, snail mail or over the phone. By offering high value added advice to your clients just a few times a year you will establish a trust relationship and earn a lot more referrals.
That is not all!
Because you have already added value without the sales pitch your clients will be more likely to come directly to you when they need any other insurance or financial product you offer.  They will also be more receptive when you suggest other lines of coverage.
Want to know the best part?
This one is often overlooked so do not make the mistake of ignoring the next sentence.
Once you establish a good relationship with a client you can ASK them for referrals.  If you have done your job your client will not only help, but they will be happy to do it.
These are EARNED referrals. Do not leave them on the table.

Shared Internet Leads

Internet life leads is the next no brainer.  Real-time internet leads get you an instant lead source with high intent prospects.  There is a time commitment up front testing sources, but once you have established the top sources in your market the primary focus is on the actual leads.  This is a major benefit compared to the ongoing time requirements of alternative prospecting and lead generation efforts.
For a list of providers offering life insurance leads you can check out this page.
While I prefer internet generated leads as a whole, they should not be your sole source of incoming leads.   In fact, the catalyst for this post is to address alternatives for markets with lower internet lead volume so let’s move on.

Local Networking

Networking with local business owners is a great way to source super high quality leads.  This is an area where an agent can generate some serious business by rolling his/her sleeves up and getting to work making deals.
The purpose of your networking efforts is to create opportunities to connect with targeted prospects at ideal decision making moments.  This can vary based on the product you are selling but potential partners could be CPAs, attorneys, hospitals, home builders, mortgage brokers, pediatricians, elementary schools or insurance agents/financial advisors that don’t offer your life product.
Once you target the ideal industries and businesses your job is to establish a referral or endorsement relationship. I strongly prefer and value referrals over advertising because they are similar to a client referral coming from a trust relationship.

Networking Tips

• Establish a friendly bond before talking business. This can take some time but is very important. If you are dealing with a business that has a lot of clients you are probably not the first person that has tried to work a referral deal.  The friendship or like-ability factor can be the difference in getting the deal and keeping it.

• Consider both sides. In order to make your networking efforts a viable use of time it is critical that you form win/win relationships.  A mutually beneficial agreement can forge a long term source of passive incoming leads.

• Find a good fit.  Establishing a good compensation structure is an important part of a win/win deal.  The ideal situation would be a balanced and consistent exchange of similar value leads.  This is rarely the case so it is important for each side to understand the value of the referral they are sending and establish a fair compensation structure.  If you are not in the position to offer leads in return you might suggest a pay per lead model or a flat fee structure.

• Start informal.  This one is pretty simple.  I suggest starting with an informal “dating” period.  Once you know what volume to expect and the value of the leads then you might want to discuss putting it in writing.

I love the fact that networking and forming win/win relationships requires a lot of effort. This level of commitment creates a barrier that many are not willing to climb.  Remember, I am all about the value of time and the potential return.  A good referral agreement is well worth the time.

Exclusive Lead Services

When I think of exclusive leads typically gravitate to referral agreements noted above.   While I prefer shared leads and do not generally work with exclusive internet leads, I know there are plenty of good sources out there.
My personal hesitancy with exclusive leads is that they take the same amount of time to test as shared leads, they have a higher price point and they generally provide much lower volume.  Additionally, exclusive providers tend to enter and exit the market more often due to the business model.  If you have a lot of incoming leads the shared lead payout model offers more value for sellers.
Now, if you do find an exclusive lead provider that generates a positive return on investment I highly suggest you stick with them.  A good lead is a good lead regardless of how many you have.

Webinars

I will be the first to say webinars are not an area of expertise for my technically challenged self. They are however, a marketing method that I can really appreciate and I know many  producers are really doing well with them.
Webinars are basically an online seminar so they do not require renting a venue or paying for a dinner.  From what I have seen second hand the results are not quite as strong as a traditional seminar but the lower cost basis more than makes up for the difference.
The challenge of finding a market for your webinar is similar to that of a traditional seminar.  I suggest taking the same approach offered in the local networking option to clearly define the ideal audience and marketing partner for your product.  If your presentation promotes something like whole or term coverage you might want to look for a larger audience with a radio program, TV station or print publication that shares your target demographic.
For platforms and more specifics you might want to take a look at this article.  I do not know anyone who has integrated an automated webinar but it looks very intriguing considering you only have to give the presentation once and the prospect gets to view it at the peak of their interest.

F&F

Yes, the tried and true Friends and Family option.  Most agents exhaust this channel right out of the gate.  What we want to keep in mind here is that these referrals typically include the trust factor.  While they might not rival a client referral they are still going to equate to an above average lead.
Instead of another round of asking for referrals revisit the win/win relationships I discussed earlier and offer some incentive.  Just mention that you are offering $xx gift cards, cash or whatever might appeal to the person you are talking to for new referrals.
Your parents might not make you pay up but the motivational power of reciprocity is a core psychological driver that we all posess.

Direct Mail

Direct mail is reliable option for life products and is a major producer of leads with senior products such as final expense.  I highly recommend agencies implement direct mail campaigns at some point to diversify lead flow and generate more prospects.
Some of the challenges of direct mail that make it a secondary option for me is the time required to test and the upfront expense to send.  It does work though and that is what matters.
Using a full service mailing house will generally cost more up front and require less start up time.
Agents who elect to handle their own direct mail campaigns may save some money up front but it will cost more time. A DIY mailing requires a mailing list, a good printer, mailing supplies, copywriting, design work (in some cases), assembly and postage.

My Direct Mail Recommendations

• Start with a full service mailing house.  A mailing house has a major advantage with volume.  They have lower costs and a lot of data to know what works.  They will be able to offer a response rate estimate which will give you an idea of your cost per lead before committing to pay.  A DIY mailing might cost less to send but a poor response rate it can easily make it much more expensive overall.

• Outsource the Copywriting.  I suggest leaning on the mailing house heavily for the copy or hiring a seasoned copy writer with proven results in your market.  Direct response copy is a craft that takes both time and skill to hone.  If you think you have the skills to write your own engaging copy I suggest starting with small test batches to measure response.

• Lowering Costs. After working with a mailing house and seeing the results you might want to consider a piece meal option to lower costs.  I would suggest starting with outsourcing your own mailing list or negotiating a lower price with the mailer as the initial opportunity for savings.

• Test and Observe. Take note of mailing formats and copy styles you receive in the mail.  I actually keep my favorites in a file for reference.  If you decide to stick with direct mail for the long haul it is a good idea to test everything.  You might find that post cards perform better than envelopes for certain audiences or products.  The same is true for copy writing styles.

So there you have it.  I have spoken and written this advice in parts many times so it feels good to put it all in one place.  I am still getting my legs under me with web publishing and decided to take a different approach with this guide/article/post.  My initial articles were a lot more structured and formal.  For this one I decided to wing it with a more conversational style.   It is a lot faster way for me to write (although it still took an entire day) and probably contains a few more grammatical errors.
If you prefer this style or type of content drop me a line (or comment) and let me know.  Questions, retorts, comments and suggestions are more than welcome.