This morning, over coffee, my husband and I started reviewing once again the idea of going independent. Then we started to re-read this forum. Next thing we know, we are into a great debate about how to be successful.
He focused on the issue that the insurance agent really needs to understand the product well to be successful, with marketing and all other business techniques coming second. He said they go hand-in hand, but you have to have the knowledge of your product.
I said, that anyone who can BS products well - for we all know that some understand the products better than others- but deploys a great marketing can be way more successful. Therefore, start implementing you marketing and follow through on understanding the products better later.
Here is my example, statistically speaking:
One will deliver 2000 flyers. Out of those flyers what is the percentage of callbacks (of sincere buyers)? I believe low, maybe 2% and a possible .5% outta the 2% new clients.
One will do great internet marketing, and have 50 people leaving messages for him to contact them. With sincere need to buy. What is the success rate of that? I believe much higher. (Of course I have my own internet strategy, but my husband doesn't want me to list it here - so I took it off, it makes my argument look a bit weaker. But, I was a niche on the internet).
With that mentioned, let's say the guy who delivered the flyers understands the product way better than the guy who focused on the internet. Who is still going to get more clients?
Therefore, he believes you first have to know your product. If you don't know your product well, you will never succeed. I believe start marketing & then learn product well. I'm the opposite.
Re: Husband and Wife - Coffee Debate Over Insurance
Originally Posted by ggbh
He focused on the issue that the insurance agent really needs to understand the product well to be successful, with marketing and all other business techniques coming second.
Your husband has it exactly...backwards. We can have all the "product knowledge" in the world, but if we have nobody to practice it on, it's worthless.
He said they go hand-in hand, but you have to have the knowledge of your product.
Agreed that they go "hand in hand", but if there's one thing I've learned over the last 20 years, it's this: good marketing and prospecting with minimal product knowledge will outperform great product knowledge and minimal marketing and prospecting skills. Every time.
Re: Husband and Wife - Coffee Debate Over Insurance
Originally Posted by ggbh
This morning, over coffee, my husband and I started reviewing once again the idea of going independent. Then we started to re-read this forum. Next thing we know, we are into a great debate about how to be successful.
He focused on the issue that the insurance agent really needs to understand the product well to be successful, with marketing and all other business techniques coming second. He said they go hand-in hand, but you have to have the knowledge of your product.
I said, that anyone who can BS products well - for we all know that some understand the products better than others- but deploys a great marketing can be way more successful. Therefore, start implementing you marketing and follow through on understanding the products better later.
Here is my example, statistically speaking:
One will deliver 2000 flyers. Out of those flyers what is the percentage of callbacks (of sincere buyers)? I believe low, maybe 2% and a possible .5% outta the 2% new clients.
One will do great internet marketing, and have 50 people leaving messages for him to contact them. With sincere need to buy. What is the success rate of that? I believe much higher. (Of course I have my own internet strategy, but my husband doesn't want me to list it here - so I took it off, it makes my argument look a bit weaker. But, I was a niche on the internet).
With that mentioned, let's say the guy who delivered the flyers understands the product way better than the guy who focused on the internet. Who is still going to get more clients?
Therefore, he believes you first have to know your product. If you don't know your product well, you will never succeed. I believe start marketing & then learn product well. I'm the opposite.
What is your thoughts? Have fun with it.
If you're talking about someone just leaving flyers at local businesses, here's the math:
.05% response (half of 1%) and if you're in a densely populated business area they can place around 70 flyers per hour.
A 4 hour day of that is 280 - for the week 1,400 returning about 7 leads and likely zero deals.
Now, going B to B formally which means walking in with a flyer but actually contacting the owner/manager generate about 2 leads per hour and gaining a client per 6 leads which takes around 3 hours of B to B.
Re: Husband and Wife - Coffee Debate Over Insurance
I'm afraid I agree with your husband on this one. I feel that product knowledge is the first thing I need to learn before I can present it. How would you explain a product if you don't how it works? Sounds like an e&o claim to me.
If a prospect asks questions, what would you do-say something like "I'll get back to you on that?" if you don't know the answer.
Re: Husband and Wife - Coffee Debate Over Insurance
Originally Posted by carol369
I feel that product knowledge is the first thing I need to learn before I can present it. How would you explain a product if you don't how it works?
Carol, over the years, I've found this to be one of the prime sources of failure for new agents (ex-school teachers are particularly at risk here). It's really a self-confidence issue. They feel that they "need to know everything about everything" before they proceed - and end up spending too much time "getting ready to get ready".
Successful agents have a bias for action. They want to get in front of prospects, and will figure out what they need to know as they go along. "Product knowledge" is a given - but it's the least important part of the equation.
No matter how little you know about a product, it's a hundred times more than the prospect!
Re: Husband and Wife - Coffee Debate Over Insurance
Well how much product or industry knowledge do you have ? If you both have no industry knowledge you will run into a lot of obsticals and loss of business. If you have some I agree with moon that good prospecting makes up for lack of knowledge.
This is a very easy answer, product knowledge comes after a good marketing plan. If you can't get in front of clients, your knowledge goes to waste.
When I first started in the biz, another gentleman started right around the same time I did. He was primarily focused on product knowledge, learning the products inside and out. I, on the other hand didn't know nearly as much but I was setting appts. They were poor appts with not much success but I got the hang of it. He was out of the business in under 3 months, he never saw anyone.
Re: Husband and Wife - Coffee Debate Over Insurance
Although it pains me, I agree with Moonlight and Vol. Product knowledge is the easy part of the equation. You need to be able to reach people. People buy because they like and trust you, not because you're as smart.
That being said, you certainly need enough information to be sure your're doing right for your client. But you don't need to know everything about what you sell. That's why there are brochures.
Re: Husband and Wife - Coffee Debate Over Insurance
Originally Posted by GreenSky
Although it pains me, I agree with Moonlight and Vol. Product knowledge is the easy part of the equation. You need to be able to reach people. People buy because they like and trust you, not because you're as smart.
That being said, you certainly need enough information to be sure your're doing right for your client. But you don't need to know everything about what you sell. That's why there are brochures.
Rick
FYI, the brochures they hand out on the strip do not count.
Yes, you do need a basic level of product knowledge. But generally it is less than you might think. Also, there are so many resources to get additional information. Also, insurance is a lot of OJT. Take good notes and ask good questions and you'll be able to find the right solution.
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You can pay the premium or you can own the loss.
Husband and Wife - Coffee Debate Over Insurance
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