The analytical producer: 3 ways to use data to increase sales
Big data not only helps you sell — it can also tell you how to sell.
Personal lines insurance is a dog-eat-dog world. Agents are going head to head for market share with direct writers and InsurTechs that are making the most of digital. Meanwhile, many agencies are just beginning to incorporate technology as the pandemic forced them to speed up transformation.
Agencies are data-rich. But many don’t fully utilize all the information at their fingertips through their agency management and CRM systems. By incorporating data and analytics, producers can target each lead with the right message and products. Backed by the right technology tools and a solid analytics strategy, producers can close more business with both prospects and current clients, giving them an advantage in this competitive market.
Here are three ways producers can use data to secure more business…
No. 1: Relentlessly focus on basic metrics.
Agents already have access to valuable information to improve sales. Most agency management and CRM systems provide reports and dashboards. Monitor renewal dates, and make sure to set alerts in your system for three and six months prior to policy expirations. These are perfect opportunities to check-in with customers, especially during a pandemic when many are experiencing changes. Customers want to feel valued, and it’s important for agents to be proactive around renewals.
Run reports on customer product lines to identify any opportunities for upselling. For example, you can target home and auto insurance clients for umbrella coverage. Another example are personal lines clients who also own small businesses. These can all become sizable opportunities when you’re looking for trends in your data.
If you have ongoing referral programs — such as with mortgage brokers or realtors — analyze not only how many referrals they are sending but closed sales from these leads, as well. Nurture the strong relationships, and reach out to the sources that are less successful to determine if there are ways you can improve the results.
The magic comes from combining the data in your system with your expertise. Flood insurance is a good example. You know the area you serve better than some homebuyers who just relocated. You are familiar with which areas are higher risk and require a flood policy. Not only can you run reports to make sure current clients in your book have the right protection, but you also can target prospects in those areas who might not have enough coverage.
No. 2: Use creative segmentation.
Consumers don’t respond well to generic sales pitches. The more precise and targeted you can make your messaging and product offerings, the more results you will see. Gather as much information as possible about your prospects and clients. Beyond analyzing the notes that you enter into the system, make sure your agency management and CRM systems integrate with your email, phone, text, chat, or however else you might be communicating with clients and prospects. Details from these interactions can make it easy to target customers based on their specific needs and their preferred method of communication.
For example, with the right solutions, you can select only certain segments, such as prospects who have teenage children who will soon start driving. You can do targeted outreach to these individuals to highlight the insurance changes they will need to make.
Implementing automated marketing solutions also can help improve segmented outreach. New tools can make it easy to segment your prospect lists and send coverage-specific communications. For example, you could consider sending information about the risks associated with home offices to targets who may be working from home due to the pandemic. This enables your prospects to only receive information relevant to them instead of feeling spammed with every communication that comes out of your agency.
No. 3: Unpack the productivity power tools.
Big data not only helps you sell, but it can also tell you how to sell. Information from your agency management and CRM systems can highlight different processes, procedures and approaches that will produce better results. Conduct an audit of your wins and losses and analyze how much it costs to secure a win. Take into consideration not only the marketing costs but also the producer hours and ultimately the amount of business it brought the agency.
Decide which leads are the most fruitful and which result in little reward. By adjusting your processes to prioritize the high value-high probability leads, you can free up more time and resources for additional sales.
Agents today have access to more data than ever before. Producers have an opportunity to target specific audiences with messages relevant to them. By utilizing this readily available information, producers can increase productivity and close more business.
Brent Sheppard (Brent@Xanatek.com) is the president of Xanatek, an insurance management solution for independent agents. These opinions are his own.
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