Final Expense Internet Lead Sytems by Lee

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The Real Cost Of Final Expense Leads & Sales

For agents new and old, the numbers usually don't get laid right out in front of you. The most important thing that I've explained to countless agents over the years is that the actual cost per lead is essentially irrelevant. The only thing that should truly matter to every agent is your actual cost per sale. I know this page is a bit long but it's really important for every agent to understand. Leads are never created equal, your cost per sale (how much money you had to spend to get a policy on the books) is the only way to measure the success of any campaign.


The Real "Cost" of Direct Mail Leads

The average direct mail cost is $450 for 1000 pieces of mail sent.

These days, for the absolute best case, you'll have 20 cards returned which makes the leads cost $22.50 each.

With that said, you will have a few come back incomplete or with wrong information. You're most likely now looking at 15 good leads which will bring the lead cost to $30 each.

If you don't know this already, all direct mail final expense cards are misleading, they usually talk about State Approved or State Regulated Benefits that pay for funeral costs so the majority of people requesting this info don't know it's insurance and/or they think its free.

So from those mailers that you paid for weeks ago and have waited and waited for them to come back, you'll work really hard to convince hopefully 1 or 2 people that they need and can afford this insurance.

All said and done you'll end up with a cost per sale of $450 (1 sale) or $225 (2 sales). If you get lucky and land a third sale, you'll have a cost per sale of $150. Remember these numbers.

The Real "Cost" of Internet Leads (well, good ones through my system)

First and foremost, please know that internet leads are not created equal. Most vendors just recreate the direct mail pieces online and make equally bad internet leads. That does not happen with my system.

In the case of agents working locally and selling face to face, the average lead cost is anywhere between $12 and $22 depending on how populated the area you work is. For the sake of averages, we will say "your" lead cost is $17.

In a given week, if you get 20 leads, you will spend $340 on marketing.

Now you'll probably get 1 or 2 with a fake phone number, so now your lead cost is around $19 and you have 18 good leads.

With these leads, the ads are 100% about insurance and it is absolutely clear that this is not free and not a government handout. The consumer clicks on an ad specifically about final expense insurance, then goes to your website which is also about final expense, fills out the form and you get the lead in your email instantly.

Selling locally you will sell anywhere between 30-60% of these leads (higher marks for door knockers).

For arguments sake, let's keep it super low and say you sell just 22% of the leads (4 sales). That is already a cost per sale of $85!!! That is almost 1/3 of the cost per sale of direct mail.

Now if you hit the low average 33% sales mark, 6 out of 18 leads, that is now a cost per sale of $56. That's 4 sales from internet leads for the cost of 1 direct mail sale ($225).


What It Really Means In The End

Direct Mail Conclusion: $450 spent, 2 sales (average policy value of $600). $1200-$450 = $750 profit. Not bad by any means but you have to wait quite a while between the direct mail order and the sales. It's also a best case scenario.

My Lead System Conclusion: $340 spent, 4 sales (average policy value of $600). $2400-$450 = $1950 profit. Now we're talking! Not to mention the leads come in right away, no waiting. This is the super low 22% scenario. Hitting that 33% sales mark gets you over $3,000 profit.

Any way you slice it, you need to consider the real cost of final expense leads and sales and consider working with me to develop you your own lead system. The numbers do not lie!


Between your reduced lead cost, the higher quality advertising and of course the sales the system pays for itself very quickly. I get you up and running within a week and once complete you'll have your own completely custom marketing platform to generate your own leads online, forever. I will be there every step of the way to ensure you have no issues generating leads going forward. I would happily provide references to agents already using my system as well.

You can call me any time to discuss at (800) 717-3915 or use the form below to contact me through my website.

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