Insurance Agent Forum

[moonlightandmargaritas]

Originally Posted by robliano

Don't focus on lower prices, sell the value and benefits in a good product to the right person, everyone thinks selling on price is the golden ticket. I disagree, as do the studies about how people buy.

Agreed. Very few people want only the "lowest price". You'll usually find them at Wal*Mart!

The price however, while it doesn't have to be the lowest, does have to be competitive.

[robliano]

I read and review so much on sales, buying habits etc. that I'm not sure where. But it says this. You must have heard it somewhere along the line.

1. People will pay more for products than they normally would have to pay, when they've received better service.
2. People buy less when the sales person focuses on price rather than service or benefits. Because they feel they must be giving something up since it's so cheap or so much cheaper.

I'm not saying saving them money is bad, of course, but are they going to buy just to save money, even if the benefits don't match up?

I've seen sales people drop to a stupidly low price first, before getting into benefits, just focusing on price.

I've also had people buy better benefits at a higher premium than they were paying because of the value in it.

Originally Posted by ABC

Sales Coach

What studies are you looking at?

Anytime I have picked up a new group client I had to save them money. When it comes to new businesses 90% of the time the owner wants to see a market snapshot. Why would they want to see what other carriers are quoting?

I have picked up AOR's with selling my services as it will save them time.

[Delta76]

That Guy: "Well, here's a chart of what you have been paying the Duck over the past four years and what you would have been paying for my company. My company is rated as well and is very service oriented. As you can see, you would have saved x dollars because my company believes more in saving their clients money than in spending on advertising."

Me: [thinking] "Mmm.... with those extra bucks, I can take my secretary to the next convention."

The problem, that is usually the employees' money, not the owner's money he is saving. In fact, by switching, the owner is going to lose money as the FICA amount being avoided will go up, he will have to allow you to talk with his employees when they would otherwise be working, and his employees will likely be confused and bitch to him, taking up more of his time. That's why this is a tough sell when just doing a replacement of voluntary products.

[retread]

1) Not only is bashing your competitor potentially a boomerrang, but it is against the law. Don't step in that cow pie! It's hard to get off your shoes.

2) Businessmen are bottom-line oriented AND time constrained. Sell yourself as a servant... you are there to help, be an advocate, save them time and money.... IOW a business partner.

3) Now that your enthusiasm has dimmed a little, take the time to look into adjunctive products you can be also be presenting if the need arises. Always be looking for an itch that needs scratching. Don't lead with them, but like a good Boy Scout, be prepared.

There's more to insurance than Supplements.

[That Guy]

I love secrataries! Thanks

[Daytona_Guy]

That's good stuff right there!

Originally Posted by Charpress

Let's pretend I own a small business and I'm putting in a good bit of money each year as my share of an insurance benefit. Now let's pretend that That Guy has gotten in front of me (never mind how at this point) and is making his sales pitch to move from Aflac.

That Guy: "You have used the Duck for years. They have done a good job for you, but the fact is that a good bit of what you are paying the Duck goes for their funny ads. Don't you love their ads?"

Me: "I guess so."

That Guy: "Well, here's a chart of what you have been paying the Duck over the past four years and what you would have been paying for my company. My company is rated as well and is very service oriented. As you can see, you would have saved x dollars because my company believes more in saving their clients money than in spending on advertising."

Me: [thinking] "Mmm.... with those extra bucks, I can take my secretary to the next convention."

[Ron Van D]

Originally Posted by moonlightandmargaritas

Hope the client was smart enough to insist on a ride in the blimp.

Goodyear does insurance???

[Tri-State]

Keep in mind, if you win on price today, you'll lose on price tomorrow. Focusing solely on price will net you some short-term successes, but you have to offer something more than price. If you take BOR on a group because you offered a better rate, what's keeping them with you when someone else walks in and offers the same thing?

[That Guy]

The niche markets I focus on are very blue collar. Because of this I sell the fact that almost all voluntary products I bring to the table have some form of Guarantee Issue. Even the "sickos" can get coverage at the same rate as the marathon runner. On top of this I can also save the employees up to 40% on benefits which is just like giving them a raise without tapping into company money. This of course is very valuable to them during these tough times.

Honestly do you all see the value now?

If the employer doesn't care about his employees I drop him/her and don't return, if they do however I usually can get in with a quote or I am at least asked to come back closer to enrollment time. I try to spin it with why wait 9 more months when you can switch now but it's yet to work for me.

[benworthen]

Blue Collar isn't a niche market, its a large portion of our country.

If you drop the employers that don't care about their employees, you are walking away from easy business, and bear in mind that most blue collar employers who are in the midst of an economic downturn, care even less about their employees, because they are too worried about their business surviving to worry about the employees and their woes.

When you sell only certain products you have to find businesses with that problem (what you are doing now), or else you get asked to come back later (which is by the way them blowing you off); but when you sell solutions, you just have to find a business.

You should work on becoming something that every other new agent isn't. You need to realize that you are using the same tactics of the newbie Aflac agents which you seem to hate with a passion.

Why don't you focus on becoming great at being a tool for the employers you work with, instead of just being a tool?

[That Guy]

I appreciate your insight Ben although it's very vague. Your right in that there are a ton of employers right now who are focused more on keeping their doors open rather then worrying about their employees receiving benefits.

I myself am a one stop shop covering everything from Major Medical to the voluntary end to P&C on down the line to payroll. So realistically I can provide a solution to any/every company but from my short lived experience not every businesses owner or HR person has the time to look at solutions. That's not to say they're not actually interested in a possible solution but it's hard to convince every person you talk to to listen and learn how I can help.

Your making it sound like every door I walk through should be a sale when I've heard others on here say it's a numbers game. By all means if you have solutions for me please share and thanks you!

[That Guy]

I appreciate your insight Ben although it's very vague. Your right in that there are a ton of employers right now who are focused more on keeping their doors open rather then worrying about their employees receiving benefits.

I myself am a one stop shop covering everything from Major Medical to the voluntary end to P&C on down the line to payroll. So realistically I can provide a solution to any/every company but from my short lived experience not every businesses owner or HR person has the time to look at solutions. That's not to say they're not actually interested in a possible solution but it's hard to convince every person you talk to to listen and learn how I can help.

Your making it sound like every door I walk through should be a sale when I've heard others on here say it's a numbers game. By all means if you have solutions for me please share and thanks you!

[johncm]

They have time to look at solutions. This is all you should be talking about. Nothing else. Just happens that some of your solutions are your products.
Look at it this way, business is bad. You have only two options. make more money or spend less. how much does a business have to earn to make $1.00. The dollar that they have to spend to keep the doors open. Now, how much does it cost to save $1.00.
They have time, they will listen, its all about how you position yourself.

Going in striclty to save money, they hear it all the time. It has already been said, sell price and you are out the door when the next lower price comes in.

Sell solutions and you made a friend.

[Ranger]

Hi Guys,

I am new to the insurance business but not to business. I had a publishing company for 30 years and sold it to a larger publishing house over a year ago.

Here's how I handled every salesman who called or walked through the door. I told them exactly what I was buying and what my expectations were. I also told them that I had no interest in changing who I was purchasing from unless they brought something to the table that I wasn't currently getting. That may be saving me money or providing more service.
The only reason to even consider a matching bid from another supplier was to use that supplier as a secondary source in the event that my current supplier had a major production problem.

As for insurance, I took bids from everybody who wanted to
Submit one on October 1st every year. FYI.. I worked with 3
Different agencies in a 30 year period.

In closing, any time I caught a salesman trying so sell my
Employees a non work related item, I asked that salesman
To reimburse me for the salary that I paid that person while
He was keeping them from their job. (We had people drop in selling everything from bulk meat to jewelry.)

[toosparkmark]

OMG! Aside from price, product or advertising, how often do you here people say "AFLAC paid me when......" If you havent heard @ least 10 people start a sentence off with those wordsthis week, then you have'nt talked to ohhh, say 40 people. AFLAC PAYS!

[jmhopkins40]

Yes...pays the client well....pays the foot soldier - the agent very low...Usually great agents to recruit

[mrbell]

Have you had any luck in running AFLAC out of town and if so what has worked the best? I'm covered up in AFLAC and these ducks are not wanting to fly....

[JustinUpright]

Why go after AFLAC accounts? Why not just go out there and work. You will bag an occasional duck. But there are companies out there that don't have anything and if you beat the duck there you don't have to fight him for it.

[mrbell]

How did you do in running AFLAC out of town?? they are also very saturated in my area, any ideas are welcomed...

Mbell

[724care]

Thanks for the book recommendation. Going to give it a read.