Secured Loan Leads - Opinions/Advice Please!

[Nakkers]

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Hi everyone,

At the moment I am receiving some secured loan visitors and sending these leads to a broker who is paying a % of any sale that is made.

However, I want to ask if members think that it is ok to send these leads to other companies that offer a % of the sale? [These will only be sent to companies that offer a % of sale]

I personally think that it will be beneficial to the customer and myself, but as you would imaging the broker teams want exclusive leads.

This 'newbie' is looking for your feedback on this,

thanks in advance.

[franco1977]

Nakkers

You've almost answered your own question there.

Yes it is in your own interest to send your leads through to 2 brokers, as you'll convert more leads and earn more commsion on your leads. You may even see a 30-40% increase on your current conversion percentage.

Obviously a broker would prefer an exclusive lead, as they will have a higher chance of converting those leads. But its a sellers market and most brokers will accept dual submission.

I would also argue that a number of comsumers submit their details to multiple Loan websites anyway, so exclusive leads aren't actually guaranteed. You should see this in the duplicates your already receiving.

Thanks
Franco

[Mike_M]

You'd be much better off switching to a purely CPA deal. Otherwise you're totally dependent on the merchant's skill/ineptitude at converting a lead. Plus the risk is all yours and you have to trust them 100% on the tracking aspect.

Once you've generated the lead that's your job done - it's up to them to convert it into a sale.

If you need any help just PM me.

Mike

[franco1977]

This is all dependant on what % commission rate you can negotiate with your brokers. Try to get a % deal, which isn't just on the flat loan amount, but also includes extras, such as PPP's. If you pick the right brokers and the quality of leads are there, you can expect conversions, that should comfortably outstrip even the highest CPA deal.

Obviously, negotiating a higher commision % rate, requires high quality leads in large volumes. But as long as your cash flow can ride out the 2/3 months it can take for Secured Loans to complete, then its safe easy decision.

Also watch out for people giving advice to further their own interests.

[Mike_M]

Also watch out for people giving advice to further their own interests.

I totally agree with you.

[Nakkers]

Thank you all for the 'words of wisdom'!.

Franco1977 mentioned a point about PPP that I would like to take further. In a % of loan amount deal, is it normal for the broker to pay a % of the PPP and loan fee? If so what is the normal % of these extras?

Thanks again!

[Londoner]

In a % of loan amount deal, is it normal for the broker to pay a % of the PPP and loan fee? If so what is the normal % of these extras?

It depends on the broker, but the better brokers will give you a % of the payout amount (not lead amount - 90% of my leads get upsold) and a % of PPP.

The upselling is what makes the difference between a CPA deal and a back end deal. I get frequent upsells from low lead amounts, say 8k to 50k. A good broker employs talented staff who are skilled in upselling, particularly as the underwriters get commission on payout amounts.

A good broker also employs dedicated case processing teams who process the cases when the paperwork is returned. These people are also bonussed on case turn around times. These guys are crucial in the process as they can turn a flaggging case into a payout and work hard to bring everything together to achieve payouts as soon as possible.

You'd be much better off switching to a purely CPA deal. Otherwise you're totally dependent on the merchant's skill/ineptitude at converting a lead.

This is mis-information from someone who benefits directly from recruiting new affiliates into the Affiliate Marketing School. Ineptitude at any level within a broker would be short lived as the market is so competitive that poor staff and the brokers themselves would soon fail.

The best brokers have excellent tracking and reporting systems and can even track phone calls from dedicated phone numbers, though you have to have a proven track record to be given a tracked phone number as this can bog down valuable underwriters in untargetted and inappropriate inbound calls.

IMO the very best brokers do not operate their own consumer brands. They depend soley on their introducers for their leads. They are hungry for the business and have to continually prove themselves to their introducers.

As a final point you have to consider why leading brokers such as Loans.co.uk, Ocean and Freedom pay so much CPA for their leads. This is because they know that they can achieve a high percentage of upsales, they benefit considerably from PPP sales and they pay as much for a regulated 10k lead as they do for an unregulated 25k+ lead.

[lukey]

Hi Guys,

As with any business model I'd always say spread your eggs across baskets. Just as you should never rely on any one particular lead source, nor should you rely on one place or revenue model when placing your leads.

Kind Regards,

Luke Ashworth

Netbasic Limited
www.netbasic.co.uk

[Michael_Anthony]

Hi Luke - I thought you'd disappeared under a mountain of work!

Might be nice to catch up in the New Year - please pm me your contact details.

[ngali]

You'd be much better off switching to a purely CPA deal.

Surely you must mean CPL? CPA would assume the same risk.

Damien

[Mike_M]

Yes sorry I did mean CPL, though when I say CPA I always mean CPL - Cost per online application. I would always advise a new affiliate to start with a CPL deal, for cashflow reasons if nothing else.

As for the comment from the enigmatic 'Londoner',

"The best brokers have excellent tracking and reporting systems and can even track phone calls from dedicated phone numbers, though you have to have a proven track record to be given a tracked phone number"

Could you tell us which brokers offer this phone tracking service?

Thanks

Mike

[franco1977]

I've come across a number of brokers, who will gladly setup a dedicated phone number for introducers. Obviously its in the brokers interest to receive telephone business ontop of the data leads.

Also on the cash flow, thinking out the box here, but why don't you try and negoiate a lead advance payment on submission, which is then deducted from your overall commission payout. That way you'll have the cashflow to continue advertising and still reap the greater benefits over 2/3 months.

Thanks
Franco

[Londoner]

I've come across a number of brokers, who will gladly setup a dedicated phone number for introducers. Obviously its in the brokers interest to receive telephone business ontop of the data leads.

Yep and the conversion rate is awesome.

As for which ones offer this service, they are easy to find.

I've been offered a variety of commission advance and part CPA (CPL) and commission deals, however I've never wanted to be in debt to a broker so I've always gone for straight commission only.

You should be aware that at least one broker has credit scored me and the good ones all need to see both the CCL and DPA documents as well as have their compliance departments check out your sites.

[Mike_M]

Londoner, if you don't mind me asking - who are you?