If you want to become a top producer, somewhere around the the 2-3 million dollar productions range you need to switch from annuity marketing budget management to annuity lead management.
What is Annuity Marketing Budget Management?
Annuity marketing budget management is the process of determining how much you can spend on marketing for at least the next six months and then spending that amount regardless of sales volume.
As you get capitalized, you consistently increase your budget until you are spending somewhere around 10-15% of revenues on marketing. Your goal with this type of marketing budget is to make sure you are consistently spending money on marketing but not spending more than you can maintain. The problem with this system is that what you can afford does not always produce the number of annuity leads required to keep your calendar full.
What is Annuity Lead Management?
Your #1 business goal as an annuity agent is to get capitalized enough that lead flow becomes more important than managing lead expenses. At this point, you realize that the most expensive annuity lead is the lead you don’t have and your focus changed from managing your marketing budget to identifying how many annuity leads you need every week to keep a full calendar Once you have determined the number of leads you need each week, add 10% (i.e. if you need ten leads you will manage for 11 leads).
The next step separates the men from the boys. Now you need to spend whatever is required to give you and average lead count that will keep your calendar full. When you start the process of annuity lead management your ROI might shrink and your lead expense as a percentage of revenues might increase. Don’t be alarmed! Eventually your revenues will catch up and you will get to a stage in your business where you cannot out expense your revenues. This is the point where momentum becomes as powerful as the concept of compound interest and where your confidence goes ballistic. This is also the point where you don’t need your clients, they need you, and you become a low hanging fruit picker. If you got to the point where you are selling 2 to 3 million per year you have already proven you can sell. Now all you need to do is keep your calendar full by switching your priorities from lead expense to lead flow and your production will reach levels that very few annuity agents ever experience.
In both circumstances you never turn off your annuity marketing for vacations, holidays, or anything else.