August is traditionally a slow time for business in the financial services industry but as thousands of consumers jet off on their summer holidays, there are also thousands looking for financial products and services.
While the phones might be quieter compared with other times of the year, many consumers are still going online to get advice and lead generation is the most effective way to capture them.
The real question is, how do you decide which lead types to go for?
Mortgage purchase leads perhaps represent the best value for money in the current market.
While lending is still below historic levels and first-time buyers are hard to place, the ability for lead buyers to filter by postcode, loan value, credit grade and LTV enables lead buyers to be specific about the consumers they want to target.
This increases the likelihood of finding consumers to do business with.
As many brokers go on holiday and pause their lead orders, there is a chance to pick these up
And with lead prices as low as just a few pounds per lead, you don’t need high conversion rates to make a good return on investment on these lead types.
The demand for life insurance leads has exploded over the last few months and in recent weeks supply has been slow to catch up with demand which has driven up prices.
But with conversion rates consistently between 20% and 30% even with lead prices averaging around the £40 mark, life insurance leads still look like good value for money. As many brokers go off on holiday in August and pause their lead orders, there is an opportunity for those still in the market to pick up these leads.
Income protection leads are probably pound-for-pound the best performing leads in terms of conversion rates that money can buy.
While online leads are typically generated through a combination of search marketing, display marketing and email marketing, IP leads are predominantly generated through search marketing which results in high contact rates and conversion rates.
Some lead buyers have been reporting conversion rates of 30% and above. At the same time these leads are good value for money, typically around the £15 mark from most reputable providers.
While the remortgage market continues to suffer, there are still opportunities for advisers to generate revenue through purchasing remortgage leads.
When the mortgage market first started to see problems, lead providers quickly realised that if they were to maintain a significant part of their business they would need to improve the quality of their remortgage leads.
As a result, although the market is still nowhere near the levels of early 2007 and overall conversion rates are much lower than a few years ago, the quality of the leads is better than ever.
And the opportunities for cross-selling into other products from home insurance to life insurance are probably greatest from remortgage leads.