Brokers can reduce the cost of getting new customers
Published: March 31, 2018
Updated: July 24, 2018
Author: Luke Jones
CATEGORY: Industry News
Acquiring new clients is one of the most important pursuits for brokers. From ensuring strong customer care to delivering the best products, grabbing the attention of new clients is vital. However, it is not often discussed how much it costs brokers to get a new client, and indeed how much it should cost?
Attracting leads is one thing, but how to you convert interested parties into paying customers? Jeff Roy, CEO of Excalibur Insurance Group says brokers must answer these important questions or face falling behind the competition.
Speaking at the Insurance Canada Technology Conference in Toronto on Wednesday that brokers must pay attention to metrics.
“You have to make sure you are measuring your ROI [return on investment] and tracking for every dollar you are spending on generating a lead,” he said. “What is your close ratio, and what is your acquisition cost per client? It’s important for brokers to figure that out. If you can’t figure that out, you are just guessing and going with your gut, and going with your gut can get you killed in this marketplace.”
Roy said his own company details the leads from website traffic and tracks customers to help streamline costs of generating custom. Excalibur tracks how many clicks it receives from direct and Google paths. Just through search engine optimization (SEO) the company achieves between 50 and 200 customer leads per month.