How to Get the Most Out of Your Marketing Efforts
Marketing is one of the most important efforts within your agency, as it directly influences the number of new prospects and leads, and therefore, signed policies and overall agency revenue. But before you start throwing money at different marketing efforts, there’s a few important aspects to ensuring it’s worth your effort and investment.
Not only is it essential from a revenue perspective, you need to know what’s worked best for you and what’s not. Regardless of whether or not you buy leads, advertise on social media, or have a listing in the local Yellow Pages, the following steps will help ensure it’s worth your while.
Three steps to get the most out of your marketing efforts:
- Define your return: Before you invest any money on marketing, it’s important to define what you expect to get in return. Let’s look at buying leads as an example. If I set my CPP at $200, then I can easily buy 10 leads at $20/lead, and as long as I close one lead (10%), I’ve met my CPP goal. Knowing what you need your CPP to be makes it clearer what you can invest, as well as what your conversion rate needs to be to stay on track.
- Track your marketing: While I’d make the case that leads are the easiest to track, it’s important to track all marketing efforts and spending within your agency. Things like Yellow Pages, direct mail, TV, radio, shopping carts, and networking are harder to track, but get creative. Consider using a different Google Voice number for each different listing so that you can track which number a lead calls in through. Create unique URLs for different ads, such as youragency.com/go or youragency.com/quote with unique forms that link to unique email addresses. Same thing with networking events, you can get business cards printed fairly cheaply these days, which means you can rotate between different email addresses or phone numbers depending on the events you attend. Lastly, be sure to track all policies related to each lead. I have an agent I met with this week that says he get’s 2.3 policies per lead. Not too bad I’d say and he really knows his numbers.
- Keep it simple: Adding in an estimate of rent, utilities, phones, commissions, etc., will mess up your numbers and cause some confusion. Instead, go with the KISS method and keep it simple by only tracking the direct cost per policy in every instance. For networking, factor in the cost of the event, booth, printed materials, and travel. For leads, it’s the cost per lead you pay to your lead provider. For advertising, it’s the cost of listing, design, copywriting, printing, etc. Track per campaign, but don’t factor in anything that isn’t directly related to acquiring the lead in the first place.
As you track your marketing efforts, you have to pay attention to what’s working and what’s not. Which investments yield the highest return in signed policies per lead? Which efforts are the least time consuming or most cost effective? Where should you make adjustments to get the most out of your investments?
I’d love to hear where you invest in marketing and lead generation, as well as what works best for you in the comments below!