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Why are you here?




• Insurance marketing is huge!
• $4 Billion+ a year
• More and more of it spent online
Our industry’s wild ride




 Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1
2009   2009   2009   2009   2010   2010   2010   2010   2011   2011   2011   2011   2012   2012   2012   2012   2013
Ian Smith
• Industry Veteran
  – First employee at QuoteWizard
  – 8 years of experience
  – Resident Super Geek
• Currently VP of Operations
  – Hack the business
  – Run our business intelligence unit
  – Evangelize people in Vegas
Outline
1. Insurance Leads
2. Video Games
Why Video Games?
• A similar story to Insurance Lead Gen
• More mature than Online Lead Gen
• A Huge Industry
Who is this?
Nolan Bushnell and Pong
Atari 2600 home console
Atari 2600 for the home console
•   Launched in 1977
•   Over 30 Million units sold
•   136 first-party games
•   381 third-party games
•   Created the home video game industry
Flaws that hurt the 2600
• No platform security
  – Anyone could make games
  – Court ruling prevented litigation
• Broken feedback loop with huge demand
  – Electronic Games didn’t start until 1981
  – No way to prevent sales of bad games
  – No way to punish bad publishers
  – Massive glut of third party games
What does this
have to do with insurance?
The past four years


              2009                        2010                        2011                        2012




 Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1
2009   2009   2009   2009   2010   2010   2010   2010   2011   2011   2011   2011   2012   2012   2012   2012   2013
• High Paying
                                            • Small Buyer
                                            • Little Feedback




 Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1
2009   2009   2009   2009   2010   2010   2010   2010   2011   2011   2011   2011   2012   2012   2012   2012   2013
• Low Paying
                                                 • Big Buyer
                                                 • No Feedback




 Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1
2009   2009   2009   2009   2010   2010   2010   2010   2011   2011   2011   2011   2012   2012   2012   2012   2013
What did that do to payouts?
Leads and Average Payout
12
                                                • Demand outstripped                                                        1400000
                                                • Offers focused on low payout, high volume
                                                • Growth became linked to volume
                                                                                                                            1200000
10


                                                                                                                            1000000
8

                                                                                                                            800000

6

                                                                                                                            600000

4
                                                                                                                            400000


2
                                                                                                                            200000



0                                                                                                                           0
      Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1     Q2     Q3     Q4     Q1
     2009   2009   2009   2009   2010   2010   2010   2010   2011   2011   2011   2011   2012   2012   2012   2012   2013
What’s going on here
1. New type of customer, new level of demand
2. No feedback loop
3. Too many ‘aggregators’
Too many ‘aggregators’
               Aggregator


Aggregator                     Aggregator



Aggregator   All Lead Buyers   Aggregator




Aggregator                     Aggregator


               Aggregator
Too many ‘aggregators’
               Aggregator


Aggregator                     Aggregator



Aggregator   All Lead Buyers   Aggregator




Aggregator                     Aggregator


               Aggregator
Too many ‘aggregators’
               Aggregator


Aggregator                     Aggregator



Aggregator   All Lead Buyers   Aggregator




Aggregator                     Aggregator


               Aggregator
Too many ‘aggregators’
         Pub                                       Pub
                     Aggregator


      Aggregator                      Aggregator



Pub   Aggregator   All Lead Buyers    Aggregator



                                                         Pub
      Aggregator                      Aggregator



       Pub           Aggregator
                                     Pub
Too many ‘aggregators’
         Pub                                       Pub
                     Aggregator


      Aggregator                      Aggregator



Pub   Aggregator   All Lead Buyers    Aggregator



                                                         Pub
      Aggregator                      Aggregator



       Pub           Aggregator
                                     Pub
Too many ‘aggregators’
                                                   Pub
                     Aggregator


      Aggregator                      Aggregator



Pub   Aggregator   All Lead Buyers    Aggregator         Pub



                                                         Pub
      Aggregator                      Aggregator



       Pub           Aggregator
                                     Pub
Too many ‘aggregators’
                                                   Pub
                     Aggregator


      Aggregator                      Aggregator



Pub   Aggregator   All Lead Buyers    Aggregator



                                                         Pub
Pub   Aggregator                      Aggregator



       Pub           Aggregator
                                     Pub
We’ve seen this story before


1. No platform security
2. Broken feedback loop with huge demand
How did things change?
After the 2600

• Nintendo came along


• They built security into their platform
• They limited volume to match buyer demand
• They offered a higher quality product
How things have changed for us
Insurance Lead Gen Today
1. Customer feedback loop
2. A secure platform
1. Customer feedback loop
• Buyers providing lead and publisher feedback
• Aggregators can optimize
                               ID     Close Rate
• Incentives aligned:          Pub. 1            2.50%
   – Laser focus on CPA Goals       Pub. 2        7.10%
                                    Pub. 3        0.85%
   – Payouts follow performance
                                    Pub. 4        1.30%
   – Buyers are satisfied           Pub. 5        2.20%
                                    Pub. 6        5.13%
2. A secure platform



  v



  v         All Lead Buyers



  v
In Summary
• Insurance Leads have never been in a better
  place
• Buyers are expanding based on performance
• Publishers, bringing high intent
  consumers, are being paid to expand
• Consumers are talking to more agents and are
  more likely to buy
1. We’re privately held and financed
2. We’re profitable
3. We’re moving up – fast
  – Doubled Team
  – Doubled Agents
4. We’re trying to do something great
  – We want to be transparent
  – We want to be helpful
  – We want to talk to you
I want to meet you
Questions?

Web: http://quotewizard.com
Email: ismith@quotewizard.com
Twitter: @QuoteWizard
Thank You!

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Transformation of the Insurance Lead

  • 1.
  • 2. Why are you here? • Insurance marketing is huge! • $4 Billion+ a year • More and more of it spent online
  • 3. Our industry’s wild ride Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2009 2009 2009 2010 2010 2010 2010 2011 2011 2011 2011 2012 2012 2012 2012 2013
  • 4. Ian Smith • Industry Veteran – First employee at QuoteWizard – 8 years of experience – Resident Super Geek • Currently VP of Operations – Hack the business – Run our business intelligence unit – Evangelize people in Vegas
  • 6. Why Video Games? • A similar story to Insurance Lead Gen • More mature than Online Lead Gen • A Huge Industry
  • 9. Atari 2600 home console
  • 10. Atari 2600 for the home console • Launched in 1977 • Over 30 Million units sold • 136 first-party games • 381 third-party games • Created the home video game industry
  • 11. Flaws that hurt the 2600 • No platform security – Anyone could make games – Court ruling prevented litigation • Broken feedback loop with huge demand – Electronic Games didn’t start until 1981 – No way to prevent sales of bad games – No way to punish bad publishers – Massive glut of third party games
  • 12. What does this have to do with insurance?
  • 13. The past four years 2009 2010 2011 2012 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2009 2009 2009 2010 2010 2010 2010 2011 2011 2011 2011 2012 2012 2012 2012 2013
  • 14. • High Paying • Small Buyer • Little Feedback Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2009 2009 2009 2010 2010 2010 2010 2011 2011 2011 2011 2012 2012 2012 2012 2013
  • 15. • Low Paying • Big Buyer • No Feedback Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2009 2009 2009 2010 2010 2010 2010 2011 2011 2011 2011 2012 2012 2012 2012 2013
  • 16. What did that do to payouts?
  • 17. Leads and Average Payout 12 • Demand outstripped 1400000 • Offers focused on low payout, high volume • Growth became linked to volume 1200000 10 1000000 8 800000 6 600000 4 400000 2 200000 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2009 2009 2009 2010 2010 2010 2010 2011 2011 2011 2011 2012 2012 2012 2012 2013
  • 18. What’s going on here 1. New type of customer, new level of demand 2. No feedback loop 3. Too many ‘aggregators’
  • 19. Too many ‘aggregators’ Aggregator Aggregator Aggregator Aggregator All Lead Buyers Aggregator Aggregator Aggregator Aggregator
  • 20. Too many ‘aggregators’ Aggregator Aggregator Aggregator Aggregator All Lead Buyers Aggregator Aggregator Aggregator Aggregator
  • 21. Too many ‘aggregators’ Aggregator Aggregator Aggregator Aggregator All Lead Buyers Aggregator Aggregator Aggregator Aggregator
  • 22. Too many ‘aggregators’ Pub Pub Aggregator Aggregator Aggregator Pub Aggregator All Lead Buyers Aggregator Pub Aggregator Aggregator Pub Aggregator Pub
  • 23. Too many ‘aggregators’ Pub Pub Aggregator Aggregator Aggregator Pub Aggregator All Lead Buyers Aggregator Pub Aggregator Aggregator Pub Aggregator Pub
  • 24. Too many ‘aggregators’ Pub Aggregator Aggregator Aggregator Pub Aggregator All Lead Buyers Aggregator Pub Pub Aggregator Aggregator Pub Aggregator Pub
  • 25. Too many ‘aggregators’ Pub Aggregator Aggregator Aggregator Pub Aggregator All Lead Buyers Aggregator Pub Pub Aggregator Aggregator Pub Aggregator Pub
  • 26. We’ve seen this story before 1. No platform security 2. Broken feedback loop with huge demand
  • 27. How did things change?
  • 28. After the 2600 • Nintendo came along • They built security into their platform • They limited volume to match buyer demand • They offered a higher quality product
  • 29. How things have changed for us
  • 30. Insurance Lead Gen Today 1. Customer feedback loop 2. A secure platform
  • 31. 1. Customer feedback loop • Buyers providing lead and publisher feedback • Aggregators can optimize ID Close Rate • Incentives aligned: Pub. 1 2.50% – Laser focus on CPA Goals Pub. 2 7.10% Pub. 3 0.85% – Payouts follow performance Pub. 4 1.30% – Buyers are satisfied Pub. 5 2.20% Pub. 6 5.13%
  • 32. 2. A secure platform v v All Lead Buyers v
  • 33. In Summary • Insurance Leads have never been in a better place • Buyers are expanding based on performance • Publishers, bringing high intent consumers, are being paid to expand • Consumers are talking to more agents and are more likely to buy
  • 34.
  • 35. 1. We’re privately held and financed 2. We’re profitable 3. We’re moving up – fast – Doubled Team – Doubled Agents 4. We’re trying to do something great – We want to be transparent – We want to be helpful – We want to talk to you
  • 36. I want to meet you Questions? Web: http://quotewizard.com Email: ismith@quotewizard.com Twitter: @QuoteWizard