Bringing Home the Bacon!

1. Bringing Home the Bacon! Scott Wheeler ChoicePoint Precision Marketing Travis Schraffenberger Western & Southern Life September 15, 2008

2. Session Approach • Points we will cover: • Introduction • Definition of a lead • Lead vendor characteristics • Lead generation methodology • What to look for in a Lead program

3. Look Familiar? • “Agents using this complete system in the senior market spend $1225 and earn $33,600 every month” • “We have the most comprehensive lead generation program in the industry.” • “Everyday, the Internet will find new prospects for you that provide their personal information: name, address, email address and phone.” • “Our agents, on average, meet with 10 new prospects each week, closing between 5 to 8 of them.” • “You will increase your company revenue significantly in the 2nd half of this year.” • “I’m consistently writing $4800 to $6300 in premium every week. I’m a little ashamed to say that I’m only working 3 days, but that’s how I like it and it works for me.” • “Work smart and not hard and let the Internet work for you.” • “You Can Consistently Earn A Six Figure Income! It's EASY... Once You Know The Insider Sales Secrets!” • “Our Pre-Qualified Leads provide us with the ability to issue leads that carry full guarantees.”

4. Definitions of a Lead • Anatomy of a Lead • Universe: Total population (suspects) • Prospect: Insurable individuals within the appropriate target market • Lead: Individual indicating a desire to know more about a financial services product • Qualified Lead: Insurable individuals within the target market who have indicated a desire to know more about a financial services product or service • Varying degrees of “Qualified Lead” • “I’m just shopping around” • “I don’t want to meet, I’m just looking for information” • “I need someone to explain this to me” • “I’m ready to purchase – bring the application”

5. Definitions of a Lead • Universe: Total population (suspects) • “I’m ready to purchase – bring the application” The challenge is to get from here… …to here…

6. Lead Vendor Characteristics • One size does not fit all • Home Office / Corporate Perspective: • Economical • Viable (qualified) • Scalable • Efficient lead vendor market • Buyer Beware!

7. Lead Generation Methodology • Suspects – no segmentation or qualification, typically just a list of people • Positives • Virtually no cost • Plenty of volume • Rep control • Negatives • Time and effort • Cold calling • “Needle in a haystack” • DNC • Examples • White Pages • Anywho.com

8. Lead Generation Methodology • Lists – some segmentation, typically just households with certain demographic characteristics • Positives • Inexpensive • High volume • Targeted • DNC compliant • Negatives • Dependent on phone skills • Prospect interest • Exclusivity • Cold calling

9. Lead Generation Methodology • Surveyed “Leads” – typically product registrations, internet or direct mail sourced • Positives • Inexpensive • Consumer-provided info • Negatives • Timeliness of data • Respondent expectations • Financial services connection • The “Guarantee”

10. Lead Generation Methodology • Web-based Leads – “internet surfers” • Positives • Easy • Top of mind • Consumer interest • Geographic • Negatives • Unpredictable volumes • Target market • Prices variations • Rate shopping • Competition/Exclusivity

11. Lead Generation Methodology • Direct Mail (Demographic Segmentation) – basic targeting used • Positives • High volume • Flexible messaging • Geographic flexibility • Pre-qualified, targeted households • Negatives • Development costs • Resources required • Response rate risk • Increasing costs • Compliance

12. Lead Generation Methodology • Direct Mail with Modeled Data – statistical analysis used for targeting • Positives • High volume • Flexible messaging • Improved targeting & response • Much higher ROI • Customizable • Negatives • Costs • Supplier scarcity • Time • Compliance

13. Lead Generation Methodology • Pay-per-Response Lead (direct mail as opposed to SEO) • Positives • Paying for results only • Immediate access • Targeting specific customer needs • Prospect expectations • Negatives • Costs • Volumes • Still no guarantees • Exclusivity • Supplier scarcity

14. Lead Generation Methodology • Pre-Screened Response • Positives • Paying for results only • Added level of verification • Exclusivity • Prospect expectations • Negatives • Pricing varies widely • Transparency of the process • Dialer time vs dials • Quality? • Still no guarantees

15. Lead Generation Methodology • Pre-Set Appointments • Positives • Less risk • Targeted to product/concept • Face time with prospect • Time • Negatives • Costs • Volumes • Regulatory risks

16. Lead Generation Methodology • Hybrids • Direct mail response driven to web site • Call center dialing of profiled lists • Pre-screening of internet-generated leads • Other/Emerging • Mobile • Web 2.0 • Pay-per-call • Worksite/Events

17. The Lead Continuum Placed Policy Suspects Targeted Direct Mail Response Cards Lists Direct Mail Pre-Set Appointments Phone Book Pre-screened *Survey Leads Internet Leads Sales Rep Skill Set Relationship Building Phone Skills Appointment Setting Closing Skills

18. What to Look for in a Lead Program • Easy to use • Simple to access • Concept is straightforward • Repeatable • Functionality • Exclusivity • Lead delivery • Accurate tracking • Value • ROI • Getting what you pay for • Track cost per sale, appointment, response, etc.

19. Resources • Insurance Industry Forums • “Rip-off” Report • BBB • Ask agents to utilize the “complaint” features • Field Agents • Pilots (with measurable results)

20. Bringing Home the Bacon! Scott Wheeler ChoicePoint Precision Marketing Travis Schraffenberger Western & Southern Life September 15, 2008