The Search :out of poverty (series)
- Law of average

08-Dec-2007 06:05 AM

What is the system that you can use to sale insurance policy? In the Philippines, people are not really interested having insurance. So it's a hard sale. But there s a technique for this, it's called the law of average.

How can you know if you can sale a policy? Well you can't know if your going to sale or not but you can try. Using the law of average, approximate 10:1 for every 10 people you approach to sale 1 will buy. On hard days the ratio between sales is 100:1. The very hard part is if you have made a sales pitch To 1000 and sale one policy is buy.

My example here for the law of average is the classic insurance policy agent. He will knock to doors, call phones, and approach people to have a sale.

Insurance policy is not the only one can use the law of average. On a website, the same techniques can be use.

Think about it:
How much do you think a beggar make in a day?
Suppose he or she approach 10 persons and ask for one peso. Out of ten people one will give 1peso. For every 100 persons he approaches he will get then 10 pesos. On a busy street an average of 2 persons walking will past by for every 1 minute. In 60 hours there's 60 minutes so 60 mins X 2 persons = 120 persons per hour. The beggar will just sit there for about 5 hours, so 5 hours X 120 persons = 6 00 persons. 600 persons divide that to 10 pesos the average income per 100 persons so his or her income for 5 hours will be P60 -. Roughly P1, 800 - per month.

Pandesal vendor will earn that amount every morning delivery 1 hours of work.
A cigarette vendor will earn that amount in a busy morning.
A standard income of an all around maid in the Philippines is P2, 000 - per month.

On the lighter side:
It is reported that a certain group of beggar from province go to manila and work as a beggar. On there way back to the province they "reportedly" have with them shopping item like TV and groceries items. :)