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Mobile Marketing for Insurance Agents: Text Your Way to Success...

A MASSIVE OPPORTUNITY FOR INSURANCE AGENTS USING SOCIAL MEDIAL AND SMS MARKETING TO WIN NEW CLIENTS!

According to the Mobile Marketing Association, mobile marketing is defined as “The set of practices that enables organizations to communicate and engage with their audience in an interactive and relevant manner through any mobile device or network.”  From the perspective of the life and health insurance agent, the two most important terms in that definition are “communicate” and “engage.”  Mobile marketing is a communication strategy that actually gets your message through to your target audience, as well as differentiating you from your competition.

Sales success is ultimately about three things: 1) the quality of your message, 2) the frequency of message delivery and 3) your ability to get that message delivered. A fourth component to sales success is the strength of your brand in the mind of your customer or prospect, which is highly dependent upon your ability to get your message through to the customer.  You can have an awesome message, but if your customer never sees it or hears it, then it has no impact. In fact, a poorly crafted message that actually gets heard or seen on a regular basis will have a greater impact on your business than a fantastic message that fails to register with the customer. So, the real question is this: “How do you get your message to be seen or heard by your customer or prospect?”

The typical insurance agent tends to rely on 20th century tools such as direct mail, cold calls and email marketing. While some agents have made a lukewarm attempt at using social media outlets such as Twitter, LinkedIn and Facebook, the truth is that these tools will generate very little business.  Let’s take a look at some marketing statistics:
 
  • Direct mail generates less than a 3 percent response rate.  Even when the agent follows up with a call, the direct mail piece is remembered by less than 5 percent of respondents.
  • Email marketing results in an open rate of less than 10 percent.  Even where the email marketing consists of a regularly scheduled e-newsletter into which people have opted, the open rate is consistently less than 27 percent.
  • Television and radio advertisements are expensive and do little to strengthen your brand identity in the minds of your customers.
  • Cold calling will certainly result in sales success, but for every 10 people that actually hear your message, only two will schedule a sales appointment.  That means that 80 percent of the people you speak with forget who you are within a few minutes — unless you have developed a strategy to keep in touch with them.
     

Mobile marketing is the most cost-effective marketing strategy and generates the biggest bang for the investment.  Studies have demonstrated that 90 percent of marketing text messages are read within 20 minutes of delivery.  Mobile marketing is the ultimate in permission-based marketing and insurance agents can easily capitalize on this medium.  Consider this: 91 percent of Americans have a mobile phone, 63 percent have text messaging capability and 48.9 percent of those individuals have unlimited text messaging plans.

In fact, mobile marketing is your dream medium.  Americans never leave home without three things: their keys, their wallet and their cell phone. That cell phone gives you access to your customers and clients in a way no other medium can. When the phone rings or otherwise notifies the user that there is a text message, he or she will automatically look at it — and there is no spam in cellular.  Unlike email, there are extraordinarily harsh penalties for spamming in mobile, which is why text messages are only sent with the customer’s or prospect’s permission. And surprisingly, most people would rather receive a text message than an email, making it relatively easy to build a mobile database rapidly.

Smart insurance agents will utilize mobile marketing in three primary ways: for appointment reminders, for special occasions and for e-newsletter types of communications. Let’s take a look at how you can utilize mobile for each of these applications.

Alerts

Special Occasions

There is almost nothing more insulting than an email birthday card.  Everyone knows that you simply clicked the mouse and the card was sent.  A special occasion text message is perceived to have taken a certain amount of energy on the part of the sender.  Because the recipient likely does not know that mobile marketing technology allows the greeting to be scheduled in advance, he or she will think you made a special effort to remember his or her special occasion and then actually typed in the message — which you did indeed do, albeit but months in advance.  If you combine this tactic with a real, delivered card, the impact will be tremendous.  I recommend doing this with both clients and prospects.

The Mobile Newsletter

Text messages are limited to 160 characters, which makes them the ideal marketing medium. It forces the agent to focus the message on just one idea aimed at capturing the client or prospect’s interest quickly.  Once a month or so, simply send out a special “VIP customer” message such as: “Just released: Reduced rates on individual disability income.  Call to see how affordable protecting your income can be.”  This message was 117 characters and could have included a link to a mobile website or even a whitepaper.  You can also use mobile text messages to alert your list to regulatory changes that may impact them.

Conclusion

Mobile marketing technology is an incredibly affordable tool for the savvy insurance agent. More importantly, it is incredibly easy to measure your return on investment. For example, if you only used mobile texts to send appointment reminders, which resulted in a reduced number of no-shows and a larger number of prospects calling to reschedule, the system will have paid for itself for an entire year.  Mobile technology is a very personal medium that will help you build stronger relationships and strengthen your brand identity with prospects. And what’s more, a mobile marketing system will cost less than $40 per month for the average agent and will pay for itself many times over.

Case Studies
 
Do you send email blasts to a data base? What is your open rate?

SMS has an industry average of 97% + Open rate

Example: TEXT INSUREME TO 64842 FOR Information about Insurance from Monday Sailor Select Comfort bought ads inlocal newspapers, which instructed users to send the company an SMS message with their zip code. Select Comfort sent back the nearest store location along with a mobile coupon for $50 off. According to OgilvyOne’s Mandel, seven times more people texted in their responses than those who called in the company’s 1-800 number that was also in the advertisement.
 
Demographics: Sent Text Messages (US - 09/08) • According to the Nielsen Company, 77 percent of U.S. mobile subscribers used SMS by the end of 2007. In comparison, the same report said that 36 percent of mobile subscribers accessed the mobile web in the same period. • Mobile Internet subscribers represent 39% of all wireless subscriptions. • In a July 2008 survey by the Direct Marketing Association’s mobile marketing arm, SMS campaigns were found to be the most successful mobile ad medium, with 70% of those surveyed having responded to a marketing text message, only 41% responded to a survey and 30% to email • American cell phone users are sending more text messages than they are making phone calls, according to a Nielsen Mobile survey
 
“We have liked having the ability to send out meeting reminders to potential clients and the feedback we have gotten is that our clients like it as well. Michael Sailor  http://www.sailorinsurance.com needs.  • Add the Mobile Option to Your Sales • Increase Your Customer Loyalty • Reach New Demographics • Track Your Advertising Efforts • Drive Lead Generation and ROI
 
What is a mobile website? How is it different from a regular website? Mobile websites are specifically designed for viewing on Mobile Devices such as Mobile Phones. Until recently websites were meant to be seen on a computer that has a large screen for viewing, along with reasonable computational power & internet speed. But mobile phones in general have smaller screens & are far less powerful than a computer. Also their internet connection speed is much slower. So websites in their current form do not work well on mobile phones. Hence the need for a mobile website.
 
Preliminary Questions... • What mobile systems do you have in place? • What valuable content do you have (web)? • Who is in the prime targeted audience? • How can we serve them with mobile systems? • What will it cost? • How much does it make? • How long will it take to implement? • What is the competition now doing? "SMS Text Messaging is the next evolutionary step in insurance marketing and maintaining customer relationships. Agents need effective low cost solutions that allow them to reach the largest audience possible when prospecting, as well as a way to provide valuable, timely, efficient, communication with their current clients and customers. Text messaging is the answer. With more people than ever using their cell phone as their communication hub, Text Message communication makes good business sense.
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