As someone who is looking to start a career in the commercial side of the industry, I was wondering if I should go after a job that focused on a larger market (I.E. the larger carrier side of things) or if you thought I should look into a smaller operation that has a set niche market (a smaller, local operation, I.E. independent agency side of things). I am in Dallas so I am presented with an economy that is doing pretty well as far as growth, and I feel as though the future holds a lot of promise for this area.
Would I benefit more from an education provided by a larger carrier with ties to many different industries, or would a smaller more personal operation geared towards one small piece of the puzzle be a better career base?
Thank you for your time, I greatly appreciate any feedback.
Larger Market vs. Niche Market?
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ClayDalheim
- Insurance Journal Fan
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- Joined: Mon Sep 01, 2008 6:27 pm
Re: Larger Market vs. Niche Market?
Clay,
It depends.
Let's pretend, for sake of discussion, that for the past 10 years, following graduation from Texas Tech as an industrial engineer, you have been working in a design shop fashioning ergonomic, stick-shift grips for a major auto manufacturer. You have just been informed that your shop's work is being outsourced to a tribal cottage firm in Nigeria. You, having not minored in the Politics of West African Disctatorships, have decided to take your chances in the USA (where the NAFTA and WTO politicos assured you that the service sector would be the new frontier of the American economy, where your job would be safe - snicker, snicker. What is that loud sucking sound?) Anywho, I digress...under this scenerio I would recommend that you get up with the likes of Aon or Marsh on a national and international scale to exploit your education and expertise to work into the larger manufacturing markets, a Liberty Mutual on the large carrier side, or, with the likes of a Higginbotham Insurance Agency (with a branch in Ft Worth) to do the same on a national or regional scale. Whatever your educational and professional background, try to seek a position within a firm that will take full advantage of your skills set. You might want to pickup a copy of Conceptual Selling by Miller and Heiman and a copy of Strategic Selling by the same authors. If you go with Higginbotham you will more than likely be introduced to Randy Schwantz's team (The Wedge) or Roger, The Coach, Sitkins for in-house sales training.
Now, if you are looking to play in a smaller pond, as a hard charging commercial producer, then look to partner with a smaller agency ($1MM-$5MM annual commission revenue - 20-50 employee firm), but even then you will be directed to specialize in 2 or 3 niche markets to become the resident "expert". Or, you can step along with a more predestrian agency ($3MM-$5MM annual premium) and knock on Main Street America's mom and pop company doors selling BOPs and Personal Lines products to the owners.
All are worthy of praise and all have their purpose. I suppose it just depends on your desires and goals. How fast and how high do you want to fly--and how many hours in a week are you willing to put into the effort?
Good luck with your career!
It depends.
Let's pretend, for sake of discussion, that for the past 10 years, following graduation from Texas Tech as an industrial engineer, you have been working in a design shop fashioning ergonomic, stick-shift grips for a major auto manufacturer. You have just been informed that your shop's work is being outsourced to a tribal cottage firm in Nigeria. You, having not minored in the Politics of West African Disctatorships, have decided to take your chances in the USA (where the NAFTA and WTO politicos assured you that the service sector would be the new frontier of the American economy, where your job would be safe - snicker, snicker. What is that loud sucking sound?) Anywho, I digress...under this scenerio I would recommend that you get up with the likes of Aon or Marsh on a national and international scale to exploit your education and expertise to work into the larger manufacturing markets, a Liberty Mutual on the large carrier side, or, with the likes of a Higginbotham Insurance Agency (with a branch in Ft Worth) to do the same on a national or regional scale. Whatever your educational and professional background, try to seek a position within a firm that will take full advantage of your skills set. You might want to pickup a copy of Conceptual Selling by Miller and Heiman and a copy of Strategic Selling by the same authors. If you go with Higginbotham you will more than likely be introduced to Randy Schwantz's team (The Wedge) or Roger, The Coach, Sitkins for in-house sales training.
Now, if you are looking to play in a smaller pond, as a hard charging commercial producer, then look to partner with a smaller agency ($1MM-$5MM annual commission revenue - 20-50 employee firm), but even then you will be directed to specialize in 2 or 3 niche markets to become the resident "expert". Or, you can step along with a more predestrian agency ($3MM-$5MM annual premium) and knock on Main Street America's mom and pop company doors selling BOPs and Personal Lines products to the owners.
All are worthy of praise and all have their purpose. I suppose it just depends on your desires and goals. How fast and how high do you want to fly--and how many hours in a week are you willing to put into the effort?
Good luck with your career!