With the advent of technology, the leads industry came to life. Everyone is buying leads, whether they work in insurance, real estate, estate planning and other industries that sell a product or service. There are variances in the volumes sold: some buyers buy in the dozens, others in the hundreds. As is the case with all numbers games, the more that’s invested, the greater the yield. However, many lead generation companies hit a wall when it comes to winning over prospects who’ve bought leads in the past but it’s not something they want to do again. Producers are left with the task of explaining that their leads are different (organic, high-quality, etc.). So is this all just a gimmick? Are all lead generation companies the same? 

Here are 5 ways lead generation companies differ:

1.Organic Leads Versus Ads 

The way a company goes about generating leads makes a difference. How much information is the agency getting from the consumer? How much of a commitment does the consumer make before giving their information over? At what stage of the shopping process are consumers when they become leads? What did they click on when they gave over their information? All of these questions determine the quality of a lead. 

In the case of auto insurance, for instance, it’s important to have some insight into the quoting process in order to ask the right questions. But let’s say that holds true in both cases: Does it matter if the leads are generated organically versus through clicking on an ad? Generally speaking, the consumer may not know the difference between the two so how can you quantify which is better? There are many ways to entice a reader into giving over their personal information. You’ll likely have a very different quality of lead from a person who purposely avoids clicking on ads but still ends up requesting a quote after landing on a page that was search engine optimized. This person may not be “better” but there is a difference between this person and someone who clicked on a blatant advertisement. 

Also, does the lead agency have a call center? How much pre-screening is done before live transfer calls are connected (if that leads company even offers them)? The quality of a pre-screened call is very quantifiable. Are only the consumers at the last stages of getting a quote getting transferred over or is this person very nearly a cold call? See, it’s not really a gimmick when one company claims to have better leads. Maybe their process is superior due to a better set of questions or the way they enticed the prospect into giving over their information or getting on a call.  

From a consumer’s point-of-view, there is often a difference and one company’s leads will work better for them than another’s. How they feel determines the longevity of the lead agency’s future.

2. Specialization and Expertise

There are lead generation companies that offer leads across the board: insurance leads, real estate leads, banking leads, credit card leads and more. There are also lead generation companies that focus solely on one industry. In many cases, all other factors held equal, the more specialized leads are often more profitable. They may, however, cost more. 

3. Aesthetics

As silly as this may sound, people ascribe to specific types of visuals. A conservative demographic will trust a more conservative ad or article more than a flashy one, which has a demographic all its own. For the sake of soft sciences, it’s safe to say that lead generation companies are pulling clients from different risk pools by the sake of having one type of aesthetics over another, which is indicative of lifestyle choices. That makes perfect sense, no?

4. Comparison Engine

Right pricing is important when giving consumers multiple price points. If there’s a major discrepancy between the prospects’ approximate quotes and the ones delivered by the agent who buys that lead, closing the sale becomes more difficult. The best technology is required for the lead generation company to survive in a very congested industry. Some companies also fine-tune their technology over time.

5. Returns Policy

Sometimes a less generous returns policy may be compensated with lower prices per lead. Some carriers and large agencies don’t even bother with returning leads. Because time is of the essence, these larger companies don’t waste time trying to recoup losses by submitting returns requests that often require listening to calls (more time). The smaller the agency, the more they’ll need to closely watch costs. For some agents, a generous returns policy makes one lead company superior to another.