Kaleidico announced today the creation of a new widget, the State Concentration Lead Widget. I think this is worth mentioning for a number of reason.

It doesn’t matter if you are buying mortgage leads, insurance leads or debt leads, if you are buying in multiple states you are probably performing better some states rather then others. Now, I know this new widget has nothing to do with lead conversions, but rather takes a specific  state and divides the number of leads for that state by the total amount of leads coming into the Icosales LMS, but it brings forth a great topic to discuss. Do you know which states you are seeing the most conversions in?

The big problem that arises in  most business is that they use bad data to make decision. It may take manual work to get to the right data or bringing on an outsourced analytics platform like Sparkroom, but it is worth the time and money to do so. I have run into a number of situations where lead buyers are making rash decisions based on a weeks worth of data. They say, “well, my contact ratio is low this week” or “my app ratio is half of what is in other states, I should cut this state out”. These decision could be the right ones to make, but even worse they could be the wrong ones to make.

We all know that the mortgage sales process can be long and many times 30 days or more. The only way to judge a conversion is to actually see one. Yes, contact rate is a good indicator of quality and app ratio is too, but they are times where indicators can be wrong. We have preached on this blog over and over and over and over and over and over again and there are probably other posts on the topic too , that ROI is the most important judge of quality.  This applies to any level of filtering. Which LTV range is the most successful for you? Which state produces the highest ROI?

Once you find that data you can make amazing changes to your lead buying and truly optimize it for success.

Now comes in the new widget brought out by Kaleidico today. This is an interesting widget. It shows that the users of the Icosales LMS are still, at least for the last 7 day, heavily weighted  in the state of CA with their lead buys. This is interesting because CA has some the most affected markets of the credit crisis. Values have dropped big time. Home evaluations are being cut by up to 15% right of the bat by banks. Many of the borrowers are upside down on their homes.

Why buy leads in CA? Is the demand for refinance loans so high and the fact that many brokers are licensed in CA adding up to the large amount of leads being distributed into Icosales.  Maybe its not a conscious effort by the buyers rather just indicates the where the majority of leads coming from these days.

Either way, noticing the demand of lead flow may possibly lead to discounts in lower demand states and quite possibly those lower demand states may bring you a higher ROI.

Be smart with your lead buying. Use good data sets to make decisions, buy from multiple sources and always use ROI to allocate your marketing funds correctly.

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