Peter Ryan

Insurance Marketing In a Bad Economy? 3 Deadly Mistakes Insurance Agents Make in a Recession Part 3

Insurance marketing to the rescue? Yes and No. The insurance marketing depends on the insurance marketer. So do you have what it takes to not only survive a down economy but to thrive in a down economy? If you make the mistake I cover in this article I can assure you that you will not make it. Here is big mistake number three most insurance make in a recession.

How you can THRIVE During A Recession?

Insurance marketing is the foundation for you to build your insurance agency. And in part 2 of this 3 part series I talked about what you need to use as the mortar to hold your insurance agency together.

So now lets cover the third Biggest mistake made by insurance agents in a down economy.

Big Mistake number 3 is Thinking that the recession is reducing your clients spending power. This is dangerous for several reasons, but the glaring reason this thinking is a mistake is you will not offer coverages and protection according to the clients real needs because you may think they can not afford it. The truth is they can not afford NOT to have it especially during a dip in th economy.

Another reason this is big mistake number three is this thinking is off base because reduced spending power is really inflation and that is not a real concern for the USA due to the fact that we have such a global economy. In shot, The pain from the Jimmy Carter era will not revisit the USA. Besides, when you study history you would be shocked to discover the amount of money spent on entertainment during recessions. Why is that important to you? Because this fact should help you plan effective insurance marketing. Here is what I am talking about.

Since entertainment ranks so high for your clients you should have your insurance marketing machine tuned into this. Plus, the fact that so much money is spent on entertainment in a down economy gives you some insight into how your clients think. In other words,most of your clients will want an escape from the perceived challenges facing them and that is why entertainment always is a booming market during a recession. Entertainment gives them something different. A bright spot in an other-wise perceived gloomy situation. This why big mistake number 2 is so important not to commit.

Your clients are just like everybody else in a lot of ways. And this need for escape is an ongoing social phenomena that increases in down economies. This is what they value and that is why your insurance marketing is so vital because If your clients are getting what they deem to be value from your insurance agency then even in a recession they will pay money.

Let me clarify something. I am not saying that you have to be Disneyland and be entertaining, but I am saying that you can not afford to be boring. I covered the danger of boring insurance marketing in a different article.

Let me give you an example. I have a question for you. What is your Unique Selling Proposition? (USP). What separates you from the guy or gal a couple of doors over? ( And if your answer to this question is only product differentiation then you have got BIG problems because companies will always be changing their products and certain coverage will always be here today and gone tomorrow) And is your USP based on what YOU feel is important or was it arrived at by determining what your clients deem to be important?

Basing your difference solely on the product is the foundation for the dead end death road of becoming a commodity.

In summary, there are some businesses that will truly be negatively impacted by a recession, but a properly informed agency taking proper actions can not only survive a recession, but it can thrive in a recession.

Source: Free Articles from ArticlesFactory.com

ABOUT THE AUTHOR