9 Questions You Need To Be Asking Your Lead Provider ASAP
Loan Officers... going to do you a solid...
How to point out a lead provider's BS, and 9 Questions that you need to be asking them to make sure it's the right fit for you...
No, i'm not trying to pitch you my service but you guys need to know what to ask your lead provider before making any kind of educated decision and most of the time you don't think to ask these questions...
But you bought the zip code or territory because it's not all that much up front, and you COULD get a deal out of it and quadruple your money...
However... I assume this is what you run into
- Unqualified leads or leads with bad information
- Sharing leads between multiple LOs
- Failing co-marketing agreements
- Getting leads but it's less than 10-20% contact rate to getting them on the phone
- Getting some leads on the phone but they're not interested (or my favorite, I dont even remember filling that out)...
News Flash: Those types of companies have a dirt cheap cost to entry for a reason... majority of the reasons are stated above.
Most major lead providers encompass all of those reasons into one situation.
So - here's some insights into the market from our end so you can start making smart decisions on where your leads are coming from, and how the company providing them is taking care of you.
1. Where do your leads come from?
- Website Asset?
- Social Media?
- Based on behaviors, interest, search?
This is very important for lead quality and temperature at the point you receive it. If it's from
2. How do they inquire?
- Do they optin themselves directly from the advertisement or website?
- Are they filling out a survey for a free trip to Cancun but get put on a home buyer list?
- Do they find you online, or are you putting it in front of them? How?
This is very important to qualifications of that lead and if the information is going to be accurate.
3. Is it exclusive or is it shared?
- Do I need to be right by my phone when a lead comes in (no telling when that is)?
- Do I need to have a system setup so that it is contacting them immediately when you give me my lead so that i'm the first name they see?
Shared leads are very competitive... others that are receiving them have systems in place to be the first name on their call list, email, text messages, etc. So you need to be ON THE BALL and ready to pounce at any time if you're receiving shared leads.
4. Can I leverage the leads?
- Do they have a realtor already?
- Is this their first time in the process?
Knowing this is SO VITAL... you want referral deals right? Well how are you going to get a consistent flow of referral deals if you can't leverage your own leads to give back to the referral partners? They won't stick around long if you don't.
5. What's the frequency of delivery?
- Is it real-time delivery?
- Do I get a list once a week? Is it a live-transfer?
Typically lists dropped once a week or day or month are shared lists. Live Xfer's will come from call centers.. generally call centers have a poor front end process to generate the lead, but it's a live call waiting for someone to tell them the answer - just not consistent or predictable. Real-time delivery is where you want to be.
6. Do you have follow up automations?
- Am I responsible for the Calling/Texting/Emailing immediately when the client comes in or do you have a platform/system that does it for me?
Sales conversion psychology states that it takes 8-12 touches before having a great chance at a conversion... and if you're getting say 25 leads a week... that's 250 touches per week... then the next it doubles... then the next doubles again. You'll never have the time to be effective if you don't have automations.
7. Are they long-form or short?
- What details do I get about that lead?
- Is it just a name/phone/email?
- Do I get to find out what
Most companies do long form... some don't even tell you especially if you're only paying $150/month.
8. What is the average contact ratio of your leads?
- How many leads out of 100 will I be able to have a conversation with on average?
- How does that conversation typically go? Are they ready to talk, or are they 6-12 months out from thinking about it?
Lending-Tree/Realtor.com is about 20% which tends to be pretty average... (for them 😉). Social media lead generation companies either have an appointment setting process in their funnel for your leads, so that leads are setting appointments with you... OR... a have an internal software that generates 40-70% contact/conversation rates (like ours does).
9. What is the average conversion rate?
Average online lead converstion rate in the industry is 3-5%... if they say anything over 5%... without automations or helping you with closing those deals based on strategies they see working among their other clients to even hit those numbers... call BS.
If you want some additional frequently asked questions that we run into... and what you should be aiming to receive in a response >> http://www.mortgageconvert.com/faqs
Like I promised, no pitch, but if you're having trouble with finding a lead provider that can help you understand what you're getting into, and if they're just focusing on price point, rather your ROI and your personal/company success... book a 15 minute chat with me. The link to do that is on the site I provided above.
Otherwise, I hope this information helped you find a predictable and consistent lead source that allows you to save your time and energy on the follow-up while increasing conversions at the same time 😜
-Cody Baker Founder, AMPD Digital