Insurance companies and agents spend a great deal of time and money in generating new insurance leads in the market. An Insurance lead is a vital element for both new and established insurance companies, as they can determine insurance sales forecasts and customer conversion. According to a study conducted by Madison Logic, the average cost for generating a qualified insurance lead can be as much as $60. In this digital age, insurance companies need to use a combination of both traditional and online marketing techniques to generate leads.
This article focuses on the methods that you, as a commercial insurance firm or agent, can use to create customer leads.
Traditional insurance companies and agents have used customer referrals as a reliable method of generating high-quality leads. Based on the quality of your customer relationship, you can directly request customers for referrals, especially if your customer has a good network of friends, family, or professional acquaintances. Other ways of customer referrals include building a network of contacts who can recommend your service or through lucrative incentive programs for referring clients.
Lead generating events can be a time-consuming and expensive exercise, however it can enable you to generate more quality leads. This is because most attendees of events including seminars have insurance-related issues and are looking for solutions. Charity-based events are also effective, as they generate a positive perception about your company or agency.
According to U.K.-based Simply Business, 9 of 10 potential customers call or visit a service provider only if it has an online presence. As an insurance provider, you must have a web presence, which starts with your website. Online marketing tools including pay-per-click advertising and banner ads are effective in increasing web traffic towards your website, which can lead to more customer leads.
Video marketing is emerging as another effective form of online marketing, as service providers that use videos to convey insurance-related or product-related information generate 41% more web traffic than those who do not use video.
Online content marketing through the medium of published white papers, webinars, case studies, and blogs can be an effective method for insurance lead generation. High-quality content, which can engage and be informative for potential customers, is a valuable online resource.
In addition to good content, insurance companies can employ Search Engine Optimization methods including back linking. This can impart a higher ranking for your website in search engine results, which can lead to higher sales leads.
Despite the rise of online advertisement, traditional advertisement methods are still effective in generating insurance leads. Depending on your advertising budget, you can try different forms of advertisements including TV or newspaper ads, industry-specific advertising in insurance magazines or periodicals, or the use of marketing flyers or sponsorships.
The use of popular social media channels including LinkedIn, Facebook, and Twitter, can be effective online networks for generating sales leads. Publishing of insurance-related articles on social media, along with using Twitter to share insurance industry-related news can be used to identify and target potential customers.
According to a 2016 Demand Wave report, LinkedIn has proved to be the social media channel of popular choice for lead generation with 59% of the respondents. LinkedIn Pulse is a publishing platform aimed to develop and publish online content and to develop networking. Quora is another platform where you can resolve insurance-related queries from potential customers, which can establish your credibility as a quality insurance provider.
Insurance companies are adopting some or all of the above listed methods to generate a healthy customer lead or pipeline. The future of insurance belongs to those companies, who can adopt and implement innovative methods in selling their products.