8 Reasons Exclusive Insurance Leads Are Worth Buying 

June 10, 2021 | Agents, Direct Mail, Lead Generation

From the design of your direct mail piece to your target audience’s demographics, lead generation involves many choices. However, the choice between shared and exclusive leads is a big one. Although there are pros and cons for both shared and exclusive leads, exclusive leads provide overwhelmingly more benefits. Here are eight reasons exclusive leads are worth the price.  

What is a lead? 

A lead is a person from your target audience interested in purchasing your product or service. This is the beginning of your interaction with a potential customer. Lead generation includes attracting people to your service, converting them into leads, and converting those into customers. Depending on the demographics of your target customers, you can employ several different tactics when generating leads. 

Read More: How Do I Begin Generating Leads? 

What Is The Difference Between Exclusive and Shared Leads? 

Exclusive leads are not shared between agencies or businesses, have not been contacted by anyone offering your service before, and cannot be sold after your business purchases them.  

Shared leads are the opposite of exclusive leads. By definition, these leads are shared between agencies or businesses, most likely have been contacted before, and can be sold after your business purchases them. There are pros and cons for both shared and exclusive leads. However, exclusive leads are overwhelmingly higher quality than shared leads, often resulting in higher sales.  

FAQ: Do you resell leads? 

Here are 8 benefits to buying exclusive leads over shared leads: 

• You Are The First Person They Hear From  

An agent who buys exclusive leads will likely be the first person to contact that lead with the offer of their specific service. This means the client might be more open to a sales pitch, as they have not been annoyed by a flood of direct mail or advertisements promoting this service. 

Additionally, although it is crucial to contact each lead promptly upon receiving it, the agent may feel slightly less rushed to contact the client before they are ready due to lowered competition. When the agent buys shared leads, they may feel stressed that one or more agents have already contacted the lead or even feel less confident in their sales pitch. This can be helpful for new or less experienced agents. As the saying goes, first come, first serve.  

Read More: How to Turn a Lead into a Sale 

• The Quality Is Higher 

A common reason businesses do not want to buy exclusive leads is that they are often associated with a higher price tag. However, “you get what you pay for” rings true when buying shared versus exclusive leads. Since exclusive leads are more likely to be converted into sales, buying exclusive leads might be a wiser long-term financial decision, even though shared leads have an initial on-sale price.  

Another contributing factor to the quality of exclusive leads is the ability to customize them for your business to find the people who are most likely to buy from you.  

Additionally, it is possible to find exclusive leads at a reasonable price. Shared leads may attract more agents in some cases due to the association with lower prices, but they still cost more than exclusive leads. 

• Good For Brand Awareness  

Exclusive leads might be your best option if you are a new agent or business trying to generate leads. Getting your name in front of people who need your services and likely have friends who need your services can be highly beneficial to growing your brand.  

If you make many sales in a specific area from the exclusive leads you bought, your business may expand through word of mouth.  

One of the most helpful qualities of exclusive leads is the ability to target specific people. If an agent receives ten leads in a specific community, people will likely recommend the agent’s services to their friends, families, and neighbors nearby.  

• Easier to target certain demographics 

Because exclusive leads are explicitly gathered for your business, you have more control over the demographics targeted with your advertisements. Shared leads tend to be more sporadic and random, and it is unclear who has already contacted them and when. Personalizing exclusive leads might be extremely helpful if you are looking for a particular age group and income level.  

• You own your leads 

When you buy exclusive leads, you are paying for possible lifelong customers depending on your service. This is especially applicable if you are the first person in your specialty to contact them. If you buy shared leads, your potential customer may be approached by many other people in your field, meaning that, even if you do make the sale, your customer has many other options if they change their minds. This is not the case with exclusive leads.  

• Better for agents 

According to David Duford, author and owner of Duford Insurance Group, many of the top-performing agents in his agency pursue nearly entirely exclusive leads, which multiple national agencies recommend. 

Additionally, exclusive leads may prove to be more effective for new agents who may not be able to compete with more experienced agents. In the same light, as we mentioned in #3 above, exclusive leads can be a great way to do branding for new and rising agents or brokers.  

In many cases, an agent pursuing shared or aged leads must contact the lead before anyone else or wait until the traffic to that lead has calmed. This puts the agent in a difficult situation. If they miss the opportunity to be the first caller, they will have to wait several weeks before getting a possible sale, and that’s only if another agent doesn’t make the sale first.  

Read More: The Best Leads for My Business 

• Success is proven 

While shared or aged leads are cheaper, they are also a shot in the dark concerning sales conversions. However, exclusive leads are almost guaranteed to convert into sales if they are high-quality and handled correctly. Although more expensive initially, exclusive leads are more cost-effective when considering the number of sales from exclusive versus shared leads. It may be wiser for businesses to use a tried-and-true method rather than take a risk with shared or aged leads.  

• Customer frustration with shared leads 

Leads being passed around between businesses will likely result in frustrated customers who have been contacted multiple times. In contrast, exclusive leads might be more receptive due to less traffic. 

Things to Consider When Buying Leads 

Choosing between shared and exclusive leads is the first step in your lead generation process. The next step is selecting the company you will buy leads from. Here are a few things to consider when trying out new lead-generation companies: 

The quantity 

The amount of leads you receive monthly is crucial to track when working with a lead provider. You should make sure the amount of leads you receive is consistent month-by-month. However, there are certain cases where response rates may fall nationwide due to particular circumstances, so don’t give up on a company without doing your research first. That said, if response rates are generally consistent industry-wide, and you’re getting vastly different amounts of leads monthly, it may be time for a change.  

The quality 

Generally, it is your responsibility to convert leads to sales. However, if you feel that you are doing everything right and are still not making sales, your lead generation provider may not know how to target the right people. This may be an issue with newer companies with less industry experience. 

The customer service 

It is essential to evaluate how your lead provider responds to customer dissatisfaction. If a large section of your budget is dedicated to lead generation, and you don’t receive the amount of leads you were expecting, ensure the company handles it in a way that benefits you. After all, although the relationship is mutually beneficial, you are buying from them. In the same way that it is your responsibility if your customer does not like their plan, it is the lead provider’s responsibility that you didn’t receive your desired number of leads.  

The delivery 

Once you begin working with a lead provider, you become dependent on their leads for business. They must have a system in place that delivers leads as soon as possible and makes them accessible once they come through.  

The price 

If you choose exclusive leads, you are already choosing a higher price. However, it is essential to evaluate whether the price of your lead provider’s leads is unreasonable. While “you get what you pay for” may be true, you might want to evaluate your pay if each lead is priced above $50.  

The content  

Each lead generation company, mainly if they specialize in insurance, should have a template for their lead generation strategy, mainly if they use direct mail or telemarketing. However, the company should be flexible and work with you to meet your company’s needs, especially if they are not meeting your desired quota. Lead providers who use a “take it or leave it” approach should be avoided.  

Advantages of buying leads from lead concepts 

Lead Concepts only sells exclusive leads at reasonable prices. We aim to help you grow your business, and exclusive leads are the best way to do this. With Lead Concepts, you will not have to compete or share your potential customers with other businesses. Our specialized lead organizer makes our leads easy to access, and our research and technology will help you get the sales you need to be successful. In other words, we exist to help your business grow, and it is crucial to us that we provide the tools to get you where you want to be. 

Summary:  

• Both exclusive and shared leads have pros and cons, but exclusive leads are overwhelmingly more beneficial for companies looking for an easier and more efficient way to make sales.  
• Exclusive leads are better for insurance agents and brokers because customers are likelier to hear from only one agent. They are more likely to be converted into sales, suitable for brand awareness, and have a proven record of success. 
• Besides buying exclusive versus shared leads, you should consider other factors when working with a lead provider. These factors include their customer service policy, delivery system,  prices, and the quality and quantity of leads they provide.  

Read More: 

Why Direct Mail Still Works  

4 Ways Lead Concepts Can Help You Get More Sales 

Choosing the Correct Mail Design for Your Business