PERSONAL LINES SELLING
Four essentials to keep your agency on track
By Troy Korsgaden
Is your agency like a runaway train, careening down the tracks, destination unknown? Believe it or not, many agencies function in this out-of-control manner. It is not what the agent planned, nor what the agency staff desires--it just happens. Visualize this scenario and see if it applies to your agency.
The phones are ringing off the hook with customers wanting service or wanting to advise you of a change. The billing is messed up on several accounts, which demands your time and attention. Underwriting wants more information on a prospective customer, which you don't have in your immediate reach. Several claims are pending. Meanwhile, the customers who filed the claims call every day wanting to hear that "the check is in the mail." If this sounds like your typical work day, it's fairly safe to assume that you're not having much fun as an agency owner. It's time to seize control of your agency.
Four key areas must be addressed in order to get and keep your agency on the right track:
1. Staff. You must be adequately staffed to serve the needs and best interests of your customers. You may be the hottest salesperson in town, but if you don't have the backroom staff to back up the business you sell, those sales are for naught. In order to address the challenges of providing excellent customer service and building relationships with your customers, well-trained staff is essential. Yet just having good staff people is not enough.
2. Computer system. The agency must have efficient internal systems to smooth out and speed up workflow. In a perfect world, these would include an electronic calendar system, personal computers on every desk that are networked together, and an ongoing system to gather and share information with customers. Once any business goes beyond the entrepreneurial stage and employees are hired, it is essential that workable systems be put into place to keep the paperwork flowing smoothly. Once that occurs, the train is chugging out of the station and it is up to you to set the timetable, speed and destination.
3. Business plan. You must have a written plan for your agency. You need to set the agenda if you ever hope to get past the "putting out fires" stage. Begin with an assessment of your current business, then set goals to grow from there. For each goal that you set, be sure to include an "action" plan to attain that goal. For example, you may want to add a commercial department. What are the steps you need to take to make this goal a reality? You may need to take some classes, hire a commercial customer contact representative (CSR), identify a list of good prospects from your current customer base, and so forth. The important thing is to start playing offense instead of just reacting to the crisis of the day. Once you set your agenda, stick with it. Change doesn't happen overnight--some persistence, practice and tenacity are required. However, you will start enjoying your business more as you head toward the destination that you have chosen.
4. Database. Is your agency being de-railed because you do not have adequate customer information? For example, does your database contain both home and work phone numbers on all your customers? If not, your database needs to be updated. In this era of dual income households do you have a work phone number for both spouses? If you do not, your database needs to be updated. Do you have fax numbers so that you can easily fax forms or information to your customers? If you do not, your database needs to be updated. Do you have an e-mail address for every customer who has one? If not, your database needs to be updated. We live in a mobile society. People move, people change jobs, people get married, have children, they get divorced. Change is constant.
Updating your customer database and keeping it current is like comparing the difference in speed between a slow-moving freight train and the bullet train. Your agency can grow and flourish if you have the right information and leverage it wisely. The advantages of keeping your database current are numerous. If the information that you have in your customer base is consistently kept up to date, it helps smooth daily workflow, saves time (and money) and keeps you in control of your agency. If, on the other hand, your database is woefully out of date, it is safe to say that you and your staff spend countless hours every week searching for information just to handle the most mundane tasks. Don't let your agency get sidetracked by believing this is not important. It is one of life's truths; whoever has the most information ... WINS!
For example, you may want to launch a marketing campaign with direct mail to introduce a new product. It may seem sophomoric, but in order to accomplish this simple task you must have accurate, up-to-date addresses on all of your customers. If not, you will waste a lot of money on postage from returned mail. You also know that customer awareness of this new product will be much better, and more sales are likely to occur, if you follow up each letter with a phone call. Obviously, you will need current phone numbers for your customers to accomplish this effectively.
I have worked with thousands of agents to get their agencies back on track and speeding toward the destination they had chosen--success and growth! You too, can grow your agency and prosper, by following the four simple steps I've outlined. All aboard! *
The author
Twice named "Agent of the Year" from among 14,000 Farmers Insurance agents and a frequently featured keynote speaker at industry events, Troy Korsgaden has trained nearly 30,000 insurance agents and staff across North America. For more information, call TKS, (800) 524-6390, fax the company at (559) 625-1603, or visit the TKS Web site (www.tksystems.org).