Selling of annuity products is done either by the direct representatives of insurance companies or by agents who sell annuities on behalf of the insurance companies. Generating leads is the most important aspect of annuities. So let us now find how annuity lead generation is done. There are various ways of how it is done.
Annuity lead generation is done by cross selling and up-selling annuity products to existing clients. If an insurance company has a client of life insurance products, an agent would definitely call up the customer for selling an annuity product. Now, the lead generation or prospecting of a customer is done after considering many different factors. These may be the age of the person, sex and other factors such as investment appetite. Once the customers are segmented various products which are created for specific groups are pitched to them. Once a customer shows interest in any product, sales agent visit the customer and explains the various features of the product.
Another method of lead generation is making calls from a random database. These databases are created from various resources such as telephone directories and yellow pages. However many insurance companies prefer not to use this method because customers may sue companies if they make unsolicited sales calls to customers. In many telecom company’s database’s customers who do not want to be called have registered their names in the “do not call” registry. Calling up these customers can be legally challenged. There are many other innovative methods that are used by insurance companies to generate leads.
When we receive our credit card statements many a times we see flyers which advertise annuity products. This is one of the potent methods of advertising which can create the pull for an annuity product. Customers who are interested in a particular product call up the company’s toll-free number or drops an e-mail which is responded by a customer service executive of the company. These leads are stored in a database and followed up by the sales agents. Other ways of generating leads is by conducting events. During such events, there are many prospects who show interest in a product and these leads are captured by the company. After the event ends, the sales agents start calling up the customers with sales calls.
No one technique of lead generation can be perfect. An insurance company will adopt a multi pronged strategy in their marketing and sales effort. A multi pronged strategy will help the company to get better results. It needs to be understood that not all leads can be converted to actual sales. Therefore insurance companies stress on maximizing the lead generation process which will help them to get a broader clientele.
Competition in the annuity market is driving companies to adopt newer strategies which will help to increase their revenues. And agents are getting more aggressive resulting in the SEC wanting to take over control of regulating EIA sales. But a sound annuity lead generation effort eliminates the need to be overly aggressive or bend ethics to make sales.