Boost Referrals From Your Insurance Agency
Whether it is with gift certificates, gas cards, or hard cash, my advice is to pay your customers as much as you can within the legal limits. There is no more effective marketing technique
Currently there are only two ways 99% of clients find a new insurance agent. The first method is doing research on the internet,
the other tactic is asking their associates. You can educate yourself about website advertising in other articles of mine; for this article I am going to concentrate on the best practices for getting referrals from your current book of business.
Develop a referral program
If you have not already developed a referral strategy, you must write one today. I am referring to a planned way of rewarding clients who refer new business to your agency. State laws dictate the amount you may spend on each consumer for referring an insurance agency. Whether it is with gift certificates, gas cards, or hard cash, my advice is to pay your customers as much as you can within the legal limits. There is no more effective marketing technique. I write this because referred clients are undeniably the best type of new consumer. They close easier because you often already have their confidence, and since the majority of people will not send bad clients to your company, they are regularly better for your expense ratio. Do not be cheap when it comes to rewarding clients for referring business; don't you sell better when there is more money at stake?
Make sure each customer is aware of your program.
Unless every single customer within your book of business realizes that you compensate for referred clients and how you reward them, you are not working most efficiently. Never neglect to mention the reward program with every single upbeat customer communication you have. In your office, build a very visible display that explains the rewards available for referred clients so no one could come through the office without noticing it. Stuff information about your referral program in every outgoing piece of mail you send your clients. Update the signature in your email program to advertise your referral system in every message you send. Make time during every policy discussion and when you write each new policy to explain the referral program. Remember to always focus on their benefits with the program..
Guide your clientele to refer.
It might sound silly, but you must to teach your clientele to refer your agency. I have continually believed that an educated customer is the best customer and this certainly is true for referring new business. When you spend the time to talk coverages with your customers you are not only strengthening your rapport with them, you are also providing the ability to educate others about insurance and advertise the benefits of your agency. After you detect an insurance gap, request the client to think of people they know that might have the same liability. Clients are constantly excited to sound smart to their acquaintances. Furthermore, when customers understand about all the products and services you give, not only do you open the possibility for cross-sales but your clients are better able to spot needs in other individuals they know and recommend your office. Offer your clients specific ideas about referrals like, who else in your church group would we be able to assist?î
Give Customers the Tools to Recommend Your Agency
Frequently the only thing preventing your existing clients from referring associates is not having your phone number close at hand. Persuade every client to store your phone number into their cellular phone so they can contact you in the course of an emergency. This works fantastic because it creates the impression that your agency will be there for them if they need help, and it allows them to hold on to your phone number 100% of the time. I also advocate creating tiny tags with the policy information, your phone number, and the local emergency phone numbers for them to add to their keychain. You can do the same on a card that fits in a wallet. The secret is giving clients a way to have your contact information always without them realizing it.
Implement Your Insurance Agency Referral Program
The largest mistake agency owners make about referrals is failing to execute. If you propose you plan to remind every customer about referring new business make certain your staff and you do. If a client says who referred them, don't forget to mail a thank you card. If you prepare the strategy beginning to end from the start, you will have an easier time executing.
And do not forget the most essential rule for referrals - Ask!
