Getting in the door.

[nxn459]

I know everyone has their thought and opinions to making cold phone calls. Fairly new to the commercial insurance business, spent a few years on the personal side of things. (i'm located in eastern pa)

Basically i'm looking for some insight.. for those of you who do and have done cold calls, what have you found works for getting an appointment? Any "script" advice?

For those who don't do any cold calls.. what has worked for you? I understand referrals are always a good route but without a book wont be getting anything referred that way and regarding networks.. im working on building mine.

Any books or websites anyone is fond of and found usefull? Ive read a handfull of books and many of them seem to be targeting telemarketing and making a sale over the phone.

Again.. any and all opinions and advice is welcome. Thanks!

[InsMgmt]

Wow, volumes after volume have been written on the subject of successful sales careers, but, to keep it simple for a teaser, consider the following:

A study of agency producers was conducted several years ago to determine the principal reasons for poor sales performance. The #1 factor that distinguished between high and low production was goal setting.

So, establish ANNUAL sales goals, plan your MONTHLY production, schedule WEEKLY sales activities, and prioritize DAILY sales efforts.

Don’t just target market – bull’s-eye market. Think about what you like to do and what you are good at (say a hobby or a skill of some sort) and determine if there are businesses which fit your likes (restaurants for the foodies, garages for the car buffs, etc.) Take a 10 mile radius of your office and see if there are businesses which fit the profile. Research the businesses and the owners before you make an initial approach and then drop in for a face-to-face or make a call just to ask for an x-Date and permission to call back within 45-90 days of the renewal. Your goal is to get 10 x-Dates a week. With owners of small businesses, I don’t believe you will run into too much resistance to the idea of you presenting a comparative quote. How to avoid getting rolled by the incumbent agent when you deliver your quote is stuff for another post.

Here is a suggested script:

Hello, Mr. (Mrs., Ms.)___________________, this is _____________________ from the
____________________ Insurance Agency.


We specialize in business coverage, including property, liability, and workers’ compensation.


Mr. (Mrs., Ms.)________________________, I have no way of knowing whether our services will be helpful to you at this time, but they have proven so valuable to other people in positions similar to yours that I would like to prepare a proposal for you when your current policies are due for renewal.


During which month are your present policies due to renew?


(After obtaining dates…)


Rather than taking up any more of your time today, I’ll be contacting you in _______________.


Before I go, is there any question I might help you with today? (If yes, listen and respond appropriately.)


Thank you again for your time. If some question should arise, please feel free to call on me. Otherwise, I’ll be talking with you in ___________________.


Thank you. Goodbye.



Consider enrolling in a producer sales course (AIA, AIP, CIC, etc. – check with your state Big “I” association or the PIA for upcoming classes). You can also ask the head of the education dept at either of these associations for a reading list.


Key words: DISCIPLINE, PERSISTENCE, CONSISTENCY

Good luck!

[d's insurance store]

If ever there was 'right on' advice, that was it. The key is to become an 'expert' in a small number of areas and throw out the idea that for mid and larger market, you can do it all. Market to 'everybody' and you'll be marketing to no one.

Part of the great advice was to concentrate on something that interests you...that way you'll have the ability to know something about the market. It's really important if for example you'll be wanting to insure auto shops that you can converse in their language to give you credibility. You will want to make sure you've got the markets to support your prospecting, and then contact the underwriters and find out exactly what makes their offerings special from the competition.

Do this right and you'll have limited income in the early going...but you'll be creating a money machine in future years as your expertise gives you the success and confidence to expand your client base. Hopefully your agency principal has the patience and staying power to support your efforts during the start up phase.

Good luck.

[nxn459]

that is the first time i've ever heard of that approach but it comepletely makes sense. I'm willing to try anything.. what ive been doing is getting lists and calling which seems to get me the response of can you call back later.. i take that as a polite no.

i'm going to put together a strategy for monday and have at it. thanks for the advice. ill have to let you know how its going.


and thankfully the principals here are very accomadating and helpful. the only bad thing is theyve never really done any cold calling so there isnt alot of advice they can give. fortunately they didnt just hand me a phone book and tell me the more i call the more ill get in.

Thanks for the advice!

[kevinraz]

I did similar target marketing when I first entered the business. I was doing personal lines for Farmers in a city where they had no name recognition. I marked an area of the city map and x dated like crazy to sell as much as possible in that area. Worked pretty well, sold a decent number of homes in that area but it turned into quite a few referrals for all over the city that helped spark good production numbers.

Goals are exceedingly important but make them realistic and achievable. I despised the unreasonable expectations I was sometimes given when working at major carrier and then hearing the "how do you eat an elephant" comments.

And then when you do reach your goals celebrate and enjoy so that reaching a goal is a pleasurable experience. The horse needs to eat the carrot to stay motivated to keep pulling.

[d's insurance store]

I truly believe that the bull's eye approach can yield big returns. Take for example Auto Repair shops...develop an expertise in that narrow market and it becomes easier to go after independent gas stations with mini marts or repair facilities. From there you can go to Tire Shops, Mufler Shops, Auto Glass shops and so on. Suddenly in a relatively short period of time, you're the 'Auto' expert and go to person that has the expertise and markets because you've become familiar.

Look at the apartment market and then branch to storage facilities. Start with storage facilities and go to mover's and storage.

Hmmmm..it's been kind of slow here in personal lines lately, maybe I should take my own advice...

[wlunday]

All good advice. Isn't it nice to be part of a competitive industry that actually wants to help each other? I've been part of NAIFA for 30 years and the Big I / PIA for eleven years. Both organizations are made up of 1,000's of individuals just like InsMgnt, d's, K-raz, scott... and lots more!

nxn459, I hope that as you go forward in your career you can find the time to mentor others as well. It's a part of this business that is intangible, but rewarding all the same. Good Luck!

Swymmer

[inscopywriter]

I'm not an insurance or business expert by any means, but before settling on a market segment to bullseye, would it make sense to do a small market survey first? If you can find a market that is under-served, or where people are not happy and are looking to make a change, and it is in your area of expertise, would that not be a great way to grow without fighting someone who's very well-established? Perhaps there is something I'm missing, not actually being in the business. I would welcome comments.

Thanks,
RS

[InsMgmt]

RS,

You are correct. A part of the process of choosing a "Bull's-Eye" market is to do a bit of market research within that preferred niche. As a new agent you may be disappointed with your level of sales if you are competing against another agent who has been serving that segiment for a number of years, has a preferred market for the class of business, has been pro-active within the industry associations, actively networking, is recognized to be well verse in the insurance needs of the industry, etc., etc. You do indeed want to be able to find the 'pain' in your prospect's current program and use that pain to drive a wedge between the client and the incumbent agent. So, if you can work an underserved business class niche which fits the profile you've established, all the better.

In my initial reply to nxn459 I got off topic a bit. His/her question dealt primarily with 'cold calling'. I should have assumed that s/he had already decided on the market segiment to target and simply offered up the sample telemarketing script. My reasoning for mentioning 'Bull's-Eye' marketing is that it becomes so much easier to make those 'cold calls' within a niche you have studied and developed. It is easier to smile on the phone when your level of confidence is high. For anyone who has been involved in 'cold calling', that smile and your level of confidence, or lack thereof, can be heard loud and clear.

[nxn459]

Since it was brought up

How or where.. or what kind of work should I be doing to find out if there is a good area to start in?

I'm looking into the things i am interested in but maybe there is a better route


Thanks to everyone, you guys are great. I appreciate all the input.

[crossins]

Just ask your 3 favorite carriers what they are writing, what they like to write, and what they have been successful writing.

[nxn459]

If i called and said this to you, would you be inclined to letting me and hearing more?

I specialize in helping businesses design and implement plans to help the total cost of risk. Total cost of risk is a combination of preventative, direct and indirect costs. The plan focuses on your clients and employees and most importantly your profits by managing and controlling costs.

[InsMgmt]

Good start, but too long. Shorten the initial position statement to 25 or fewer words.

How about the following:

"Hello, Mr. Prospect! My name is Joe Blow. I specialize in the design and implementation of lower cost insurance programs for businesses like yours."

or, if you have a specialty area, say Workers' Compensation issues, and one of your clients has recommended you call someone he or she knows, you might say,

"Hello, Mr. Prospect! My name is Joe Blow. Jimmy Krank, the owner of Krank's Krank Manufacturing gave me your name and suggested that I contact you to share how I reduced his Experience Mod by 15 points." (a bit longer, but it contains a referral reference).

Which will hopefully draw out the question, "Ok, I'll bite. How do you do that?"

To which you say, "That is why I'm calling, Mr. Prospect. May I have 15 minutes of your time next Tuesday at 2 PM to discuss whether or not I can help you?", or similar words.

The point is to not tell them how you do what you do in the phone call. The point of the call is to spark enough interest to gain an appointment.

This approach also works well if you meet a suspect in an elevator, walking down the street, or sitting at a table in a restaurant. You only have 30 seconds to introduce yourself and try for an appointment.

[Sundance]

Excellent information provided. I am a commercial sales manager for a large company and I am constantly asked "How to get in the door". The info provided is exactly right. So many agents try to "do it all" - well who can be an expert in so many tyupes of business and still seem believable to your prospect? Stay away form the little BOP type of policies. I mean never turn an account away but if you want to grow your commercial book of business you won't do that on little BOPs plus they'll leave for a $100 premium change at renewal.

In any case, I wish you well!

[nxn459]

thanks.

The plan isnt to write a ton of tiny bops.. however im trying to gain experience. and my thoughts about it right now are to get in front of whomever. I would rather lose a small bop policy because of my inexperience then something with some meat on it.