Most businesses are regularly barraged by sales “pitches.” The telephone brings automated telemarketing calls as well as real people reading scripts. The postal carrier delivers pounds of paper citing numerous reasons for consumers and businesses to part with their money. Even our facsimile machines print unwanted–and immediately discarded–advertisements. Despite electronic filters, our daily e-mail still contains a plethora of spam, while television, radio and billboard advertising continually bombard our senses.

For most mass marketers, advertising is a numbers game. The more imprints they make on a consumer's mind, the greater the likelihood that he or she will purchase their products or services. However, mass marketing does not generally apply to the insurance industry, except for national and regional personal-lines direct writers. For independent agencies, marketing is much more targeted. We may advertise personal lines to a specific geographic area, but the commercial niche is much more difficult to reach.

So, if mass marketing is not the answer, how do we initiate relationships with commercial-lines prospects and begin earning the right to their business? Here are a few suggestions.

Affinity marketing

Affinity marketing makes use of relationships you already have with prospects or with third parties with which your prospects also have relationships. It leverages your experience and earned trust to open doors to new clients and increase business with existing ones.

Affinity marketing can include:

o Establishing client referral policies and procedures.

o Developing “ambassadors” within your community to promote your services.

o Negotiating mutually beneficial marketing relationships with other businesses.

o Soliciting association endorsements.

o Group marketing efforts to individual niches.

o Cross-selling products to existing customers.

Educational/informational marketing

Educational or informational marketing is more difficult than affinity marketing because it requires you to earn the right to approach potential clients without benefit of an actual or implied endorsement. You can do so by providing information to prospects to help them better manage their businesses. Examples include:

o Newsletters (paper or permission-based electronic). Don't make your newsletter a billboard for your products or services. Rather, focus on clients' needs and deliver information to help them operate their businesses. Any sales messages should be almost subliminal.

o Letters. A respectful, personal letter still is an excellent way to begin a relationship. Include a copy of a beneficial article, or simply ask for permission to send occasional items of interest.

o Phone calls. I don't recommend making “cold calls.” Prospects generally perceive them as a nuisance and an interruption. Instead, send collateral material and follow-up with a phone call.

Testimonial marketing

Testimonial marketing is closely aligned to both affinity and educational marketing. It can be effective in building relationships and developing credibility and trust with prospects. There is no more effective marketing tool than a recommendation from a satisfied client. Don't be afraid to ask your clients for testimonials, and when you get them, use them!

Creative marketing

Taking a creative approach can help you earn the right to someone's business. For instance, one agency in the Northwest wanted to break into the trucking market. Although it offered an excellent program with competitive pricing, its cold-call visits, letters and phone calls sparked little interest. Assisted by some marketing professionals, the agency identified trucking executives' primary operational concerns:

o Hiring, training and retaining good drivers.

o Dealing with federal and state regulations.

o Lack of interaction with their peers (“lone wolf” syndrome).

The agency recorded four audio programs to introduce itself to trucking companies. One featured a human resources expert who discussed employee hiring, training and retention. The second featured a regulatory/compliance authority. In the third, a corporate philosopher helped CEOs overcome the lone-wolf feeling. The final program highlighted the insurance agency's capabilities and the caliber of its employees.

Every four to six weeks, the agency sent each of its trucking prospects one of the audiotapes, accompanied by a short introductory letter with a closing paragraph stating that the insurance agency focused on the needs of the trucking industry. The final mailing included the tape with the agency's profile.

By the time producers hit the streets to follow up on the mailings, trucking companies already were calling to schedule meetings and obtain quotes. They were impressed that an insurance agency cared enough to help them solve their business problems. The campaign was a tremendous success, and today the agency insures a large segment of the Northwest's trucking industry.

Aside from its use of audio programs, this campaign was little different from the previously mentioned examples of educational/informational marketing. Another variation would be to give prospects such gifts as business-themed books and subscriptions to general business magazines or those that cater to a prospect's industry. Think of items that will position you as someone providing solutions, rather than someone selling insurance.

The marketing foundation

Any marketing program or resulting relationship is only as good as the foundation of the agency behind it. We've all seen great marketing campaigns from companies that don't live up to the hype. Don't be a flash in the pan. Make sure you have the systems and people to support any campaign. Never solicit more prospects than you can follow through with, and don't allow leads to grow old because you are too busy to handle them immediately.

Assess the strength of your marketing foundation by asking yourself if you:

o Possess expertise on coverages required by the industry you're targeting.

o Possess expertise about the industry itself.

o Nurture a caring culture within your agency.

o Continually focus on the needs of clients and prospects.

o Provide solutions first, insurance second.

Marketing is an important facet of many businesses, including insurance sales. I've suggested several ways for you to begin building relationships with prospects and earn the right to their business. If you focus on serving your clients, you'll cut through the marketing clutter and demonstrate that you genuinely care enough to fulfill their insurance needs.