Management In the Digital World: 6 Rs

admin — Tue, 31 Aug 2010 03:54:36 +0000

Guest Blogger: Dave Willis, Senior Associate, Aartrijk

Our industry is chock full of organizations. That’s because information sharing is so vital to success in the insurance business. Social networking presents a great opportunity to share information and engage clients and prospects. But social networking requires management oversight and attention beyond the actual use of the tools. AIMS Society is helping its members recognize this and respond.

Chartered as The Firemark Society (how many new insurance professionals know the relevance of this?), AIMS (American Insurance Marketing & Sales) Society is now helping agents and brokers build expertise in today’s digital world. The group’s executive director, Kitty Ambers, recently spelled out six management Rs that agency principals should consider as they work to capitalize on social media and other online marketing activities:

• Retool: Make sure internal processes and brand touch points support Web-centric, customer-focused marketing.
• Retrain: Be certain employees understand the tools and changes that their use brings about. Moreover, be ready to handle change.
• Recruit: Don’t expect to succeed by making the agency’s electronic marketing strategy a solo endeavor.
• Respond: Understand and be ready to quickly serve the unique—okay, different—needs of today’s buyers.
• Recognize: When things—and people—are working as they should, recognize and reward achievement.
• Rethink: As Deming taught, PDCA. Monitor, assess and be ready to change or leverage for greater success.

A number of opportunities exist to help agents and brokers move forward on these management factors. Implementing Real Time and making use of training offered by agency management system user groups can support organizational retooling. ACORD’s POWER of Change training can help with retraining and change management. Aartrijk Brand Camp obviously is one that we recommend.

There’s another new resource: AIMS Society’s new IMIM (Insurance Media Internet Marketing) professional designation, along with its Agency Internet Bootcamp offerings. These can help with implementation strategies. Other resources, including those from agent associations and the Agents Council for Technology, also can help.

What has your organization done to support implementation of a social marketing strategy? What do you need to move forward?

Using Video to Communicate Your Message

admin — Tue, 03 Aug 2010 23:05:37 +0000

Author: Rick Morgan, Vice President, New Media, Aartrijk

One of the “promises” of social networking is that it can be used to improve communication with customers and prospects, as well as, build and strengthen trusted relationships. Yet, very few are using perhaps one of the most effective social web tools to deliver on the promise – Video. Like it or not, in many ways we are living in a “post literate” society. We use symbols, avatars and icons to convey information. Rather than read a newspaper we get our news from TV and now more than ever from video on YouTube. We use Video to, inform, train and educate and of course entertain. That is, lots of people would rather watch than read.

So, why not use video to convey your message? It doesn’t need to be complicated. Using something as simple as a Flip video camera will do the trick. Check out these agents who are successfully using video to reach their audience and communicate their message.

Atlanta Insurance Live
Holmes Murphy
Albany Insurance Professional
Rey Insurance
Crescenta Valley Insurance

Also, here are a couple of general resources you might find useful.

42 Ways to Use Video to Grow Your Business
6 Ways To Use Video As A Small Business Owner

Are you using video? If so, please comment and leave your website information.

Good for you, good for your community, good for your business

admin — Tue, 20 Jul 2010 20:22:33 +0000

Author: Laurie Donohue, Vice President, Agency & Broker Marketing, Aartrijk

Volunteerism.

Good for you, good for your community, good for your business.

Being involved in your community is a hallmark for independent agents. Many agents are active members of the Chamber of Commerce, the Rotary Club, the Lions Club and many other civic organizations. Most also are involved with area charities, like United Way, the American Cancer Society or the local food bank. What’s more, insurance agency employees often are directly contributing with time and money to many other worthy causes.

The problem is that few people know about all this good work. In my discussions with agents about their marketing, many tell me that yes, they are involved with the community, but they do it because they want to – it satisfies an internal need to do so – not because they want praise or recognition.

Well, that’s a noble thought, but the truth of the matter is that people want to know how you and your business are giving back. In fact, it can play an important role in a potential customer’s buying decision. And, it’s becoming more and more critical with the younger generations. They view volunteerism and involvement as important as the products and services you offer.

There’s nothing wrong with letting your community know what you’re doing to improve the lives of the people you serve. Here are some tips on how to get make your efforts work for both you and your constituents:

1. Pick only three of four major charities/organizations each year to be involved in. I know many agents balk at this because every day they get another charity asking for a sponsorship – $50 for an ad in the high school yearbook, $100 to sponsor the local children’s dance recital. There are two things to remember here. One. – all charities know they’re up against huge competition for your dollar and they do not think worse of you if you say no. Second – by concentrating your money and effort into just a few projects, you get much greater exposure and the people involved will actively sing your praises around town.

If you still feel bad about saying no, here’s a great way to lighten the burden: Set up a charitable giving committee in your office and have them choose the three causes your agency will work with this year. Then, if another charity comes knocking, you tell them you have a charitable giving committee and the money is allocated for this year, but the committee will be happy to consider their proposal for next year. Also, put aside $500 – $1000 for those incidental ones you know you just won’t be able to say no to.

2. Consider developing a special event and/or award exclusively from your agency. How about offering a special driver education scholarship to area high school students? One agency has a “Let’s Shred Day” where people can bring documents to be shredded. Or, how about a “Park Clean Up Day?” When you develop an event that’s exclusively yours, you get a lot more publicity and buzz than if you’re just sponsoring a program. Sure it takes more work, but the pay off is huge.

3. Allow your employees a certain number of work-hours per month to volunteer. Let them serve lunch at the local community kitchen, do a walk-a-thon, etc. By representing the agency while volunteering, the agency image of caring and commitment in the community grows. Your employees will talk to others about how they are encouraged to give back, enhancing your image.

4. Promote it! Have your employees blog about their volunteer experiences, or post information on their Facebook pages. Post the information on the agency Web site, Facebook page and anywhere else you can. Send press releases to area media. If you’re sponsoring a charitable event, make sure your logo is being used and you are being publicly thanked at the event. Don’t be shy – remember, people want to know!

By actively supporting your community and making sure your constituents know about it, you’ll enhance the image of your agency and more people will think of you first for their insurance needs. It’s relatively inexpensive and very effective. Just remember, it involves some time and effort both in supporting the charities and making sure the word gets out.

Price IS Not Everything!

admin — Mon, 28 Jun 2010 17:22:11 +0000

Author: Carolyn “Cal” Durland, CPCU
Program Manager and Member Relations, AUGIE Facilitator, ACORD

Over the last 6 months I’ve been telling my peers that it ‘feels’ like the commodity and price driven marketing by our lizard competition (and other direct writers) seems to be subsiding. Common sense will tell an agent owner that it’s nearly impossible to save a client 15% or more year after year. Even in the continuing soft market, every consumer has had the opportunity to shop their insurance at least once, some annually. No matter what a company does, eventually the savings for that client is going to bottom out. And it’s my feeling that consumers are realizing this and coming back to the reality that a real, local, insurance professional that’s coaching their kid’s sports team, or actively involved in the community, is an entirely viable alternative to the 800 toll-free stranger. And now that many of us can provide a web-based rating solution, which is arguably more important to the next generation, the $10, $50, or $100 ‘savings’ isn’t as important.

Recently, I received some confirmation to my ‘feelings’! JD Powers came out with a study on attitudes and habits of the automobile shopper. The article states that “….price accounts for only 28 percent of overall customer satisfaction with the purchase experience—less important than both policy offerings (29%) and distribution channel (43%).” It further says “…past service experiences play a considerable role in the purchase decisions of retained customers, and in some cases, may even outweigh the appeal of a lower-priced competitor.”

What’s the moral of the story? Our future customers DO like to start out the quoting process online. But they do care about local representation. So Independent Agents must have a pretty good website (cut the yellow pages and invest it in a web designer!), and they need a consumer rating tool to satisfy that urge to quote online. Then it’s the IA’s job to write AND keep the business, which most of us are very good at!

Can’t Do It All? Don’t Do Nothing.

admin — Mon, 07 Jun 2010 13:34:57 +0000

Author: Kitty Ambers
Executive Director, AIMS Society

Tweet, blog, vlog, e-market, optimize, friend, like, text. In today’s digital world, the opportunities to attract and connect with personal insurance clients and prospects are virtually endless. What should an agent or broker do first? What delivers the greatest value? Which brings the most bang for the buck?

Too often, the vast array of options leads to a certain kind of paralysis. “It’s overwhelming,” is a common lament I hear. “I don’t know where to start,” is another. What is most important when competing for personal lines customers is to not let the abundance of possibilities drive agents and brokers to do nothing. Read more

Want Fries With That?

admin — Wed, 05 May 2010 14:40:01 +0000

Author: Brady Polansky
President and CEO, NetVU

Recently I had the privilege of spending quality time in the heartland of America listening to agents talk about how they are holding up in this economy and what they need to be successful. What I enjoy most about interacting with people from what many consider “fly over” states is how real and down to earth they are. They don’t often pretend to be larger than life; they tend to be less complicated, and frankly, are some of the friendliest people on the planet. Heck, at Memorial Stadium in Lincoln, home of the Nebraska Corn huskers, the faithful home team crowd is as concerned about an injured opposing player as they are their own! Read more

Lloyd ‘Skip’ Daigle

admin — Mon, 12 Apr 2010 15:41:58 +0000

Author: Cal Yngve, CPIA
SalesForce Advantage, Founder – President

Lloyd ‘Skip’ Daigle, AVP, Agency Development at Travelers was undoubtedly the most outspoken proponent for Personal Lines growth and development in the independent agency system. His seminars, workshops, and consulting included teaching and preaching the value of Personal Lines for the independent agent.

He, probably more than anyone else in our industry, convinced Agency Owners, Supervisors, CSRs and Producers that Personal Lines could be an important and valuable part of agency revenue and profits. He also taught the value of focused, proactive communications that would lead to growth, increased retention ratios and profits.

Skip passed away on April 6th, a few short weeks after retiring. He will be missed by many that he helped in our industry.

Many agents can give examples of how Skip helped them change and grow Personal Lines in their office. If you want to share your ‘Skip’ story and explain how he made a difference in the success of Personal Lines in your agency, please share it with us by adding to this blog. It would be a fitting memorial to a remarkable man – both as a professional and as a family man.

PLGA offers condolences to Skip’s family. He was truly one of a kind in all the good sense of the word.

Personal messages may be posted to the family through the funeral home.

It’s Time to Reclaim Personal Lines

admin — Thu, 25 Mar 2010 00:19:20 +0000

Author: Rick Morgan, CEO, ASCnet

Once upon a time – what now seems like a long time ago, I was an insurance agent. Interestingly enough, I can still remember my first customer and the first policies I sold. I remember going out on an evening call and sitting in a living room explaining auto and home policies and coverages. I got the business and what a great feeling that was.

Over the years, like many agents I migrated to writing larger commercial lines accounts and let my staff take care of most of the personal lines business. But personal lines always remained my real love. I liked the more personal nature of personal lines – it felt good being able to help friends and family – like the time I got a call from a close friend who had just had his house destroyed by high winds. I was able to be there to provide not only assurance that his insurance would cover the loss but also to offer my support and friendship. This was back in the 70’s and I know I was not alone in delivering this level of “personal” service. It was a time when service and relationship mattered. My first customer was still a customer when I sold the agency many years later.

Somewhere along the way, we lost our way. As independent agents we let the “price rules over service and relationship” message of the direct writers dominate. Some consultants told us we couldn’t afford to compete in the personal lines space. Carriers cut commissions and the whole “personal lines as a commodity” debate raged. Many gave up and we lost market share.

It is time to take personal lines back and we have a whole set of new tools to help. With technologies like Real Time and the opportunities offered by the social web it is possible to build and strengthen relationships and write profitable business grounded in quality service.

The Personal Lines Growth Alliance was formed to provide information, resources, and education to agencies and brokers interested tapping into the opportunity presented by reclaiming personal lines.

Are you with us? Please comment.

Stability In An Unstable Market

admin — Fri, 26 Feb 2010 15:53:18 +0000

Author: Stuart Durland
In a world of complexity and risk, it is comforting to know — energizing to know — that the $230 billion personal lines market is highly stable and is driving opportunities for profitable growth for the Independent Agency Channel. Read A.M. Best Release

Now Is The Time

admin — Mon, 08 Feb 2010 13:42:15 +0000

Author: Steve Brooks, President, SBIS

The moment is here for the Independent Agency Channel. Let’s take back some personal lines market share!

Sure, independent agents may continue to maintain commercial lines market share—but the market is in for some substantial shrinkage, and this could last for several years. Shrinking receipts, payrolls, auto fleets, inventory, etc. will negatively affect commercial premiums, at least until this worldwide economic mess manages to correct itself.

But regardless of the economic recovery, we independent agents dominate commercial lines—we already handle 80% of it!

So where are we really going to grow? Personal lines—our share there is only 34%.

There never been a better time to take advantage of the value and stability in the personal lines space.

An effective alliance effort will benefit us independent agents and our superb business partners: carriers, vendors and trade associations. Let’s work together to capture a larger piece of the total $230 billion in personal lines premium. We know we are the best value proposition for the consumer!