As a funeral professional, your days are focused on caring for families, supporting your team, and keeping your business running smoothly.

 

With so much on your plate, it’s easy for your preneed program to slip into the background. We understand, and you’re not alone. Many funeral homes find themselves in this position.

 

But here’s the truth: a passive approach to preneed that relies heavily on serving walk-in and call-in families could be quietly costing your funeral home and the community you serve.

 

The good news? With a few simple, proactive steps, you can help families make informed decisions earlier and set your funeral home up for long-term success.

 

So, what does it really mean to have a passive preneed program? Let’s break down what this approach looks like in practice.

 

 

What does a passive preneed program look like?

 

If most of your preneed business comes from walk-ins or families who call you, you likely have a passive preneed program. You might mention preplanning to families when it comes up in conversation, but with everything else on your plate, it’s not always the first thing you think of when you meet with a family.

 

Having a passive approach is better than having no preneed strategy at all. However, you, your funeral home, and the families you serve deserve better.

 

Let’s look at a few of the risks that come from having a passive preneed program and what you can do to better position your funeral home for success.

 

 

Risk #1: Families settle for less than they deserve

 

When families wait too long to plan and fund their funeral, they often end up with funerals they can affor but not the funerals they truly want and need.

 

This can impact you and families through:

  • Lower average contract values for your funeral home

  • More direct cremations with no services

  • Fewer insured payment plans

  • Less satisfaction for the families you serve

 

How to avoid this risk:

 

By proactively educating families and making preplanning a regular part of your conversations, you can help them make more informed decisions.

 

Here are a few ways you can guide families to discover more meaningful services and higher overall satisfaction.

Find more ideas here!

 

Whether you host events at your funeral home or use your social media to share the benefits preplanning, you’ll position yourself as a trusted guide that families feel confident turning to for preplanning education and support.

 

 

Risk #2: Lost market share over time

 

A passive preneed program doesn’t just impact families, it impacts your business. Decreasing average sales and increasing direct cremations mean less revenue for your preneed and at-need businesses.

 

Over time, this can erode your market share and profitability.

 

But there's good news! Your market share isn’t set in stone.

 

How to avoid this risk:

 

Your funeral home’s market share can be protected and strengthened with an intentional preneed strategy that aligns with your goals.

 

Here’s how:

  • Invest in educational marketing (commission dollars from your preneed sales can help fund this!)

  • Work with a dedicated, knowledgeable preneed specialist to lead your program

When your preneed program moves from passive to active, you will reach more families and, in turn, grow your market share and protect your funeral home’s future. 

 

 

Risk #3: Missed opportunities and unstable cash flow

 

When your funeral home’s preneed program is passive, it’s easy to miss opportunities, especially when your team is busy or untrained in sales fundamentals. This often means fewer families served, fewer contracts written, and less predictable revenue for your business.

 

On the other hand, an active preneed program led by a dedicated, trained staff member can create a steady stream of future revenue and higher commissions, which can increase the value of your funeral home.

 

How to avoid this risk:

 

Use these tips to discover real benefits that show up in your financial statements and help secure your business for the next generation.

  • Make preneed a priority, even during busy times

  • Empower a dedicated preneed specialist to focus on outreach and education

  • Use your preneed program to create a reliable, growing source of revenue

See how an active preneed program can stabilize your business!

 

With an active preneed program, your funeral home can move forward with confidence knowing that every preneed family you serve contributes to your funeral home’s value, future cash flow, and minimizes uncertainty.

 

 

Make your preneed program work for you

 

While a passive preneed program might seem easier, it can limit your reach, market share, cash flow, and leave families settling for less than they deserve.

 

There’s a better way.

 

Using an active strategy for your preneed program will provide better service to the families in your community and ensure long-term stability for your funeral home. It’s a win-win!

 

However, we understand that finding time to manage and grow your preneed program can be challenging. That’s why we’re here to help, every step of the way.

 

 

Ready to take your preneed program from passive to active?

Check out our preneed services here, or fill out the form below to learn more.