New Study Indicates that Top Producing Insurance Agencies Generate More Leads with Marketing Automation
Insurance consumers today are using online channels in record numbers to research policies and get multiple quotes. And of course, competition is fierce to attract and acquire these online and in-market prospects. Insurers must take advantage of every opportunity by reacting quickly and with just the right message when a consumer reaches out and decides to engage.
New research from ITC and Velocify indicates the following about today’s insurance shoppers:
- 71% of consumers shopping for insurance used the Internet to obtain a quote.
- 62% of online insurance shoppers obtained two or three quotes.
- 66% of online insurance shoppers were looking for a lower price.
Top producing agencies are learning to adapt to meet the needs of these digital consumers. Agencies that are generating more leads are more likely to be using marketing automation to manage those leads. By using a marketing automation solution, an agency can sell 10% more policies per household and can sell almost 20% more policies per producer.
Marketing automation helps insurers sell 10% more policies per household & 20% more per producer.
Study findings also indicate that revenue growth is directly tied to marketing spend, regardless of size or type of industry.
- Agencies that spend less than 5% of their revenue on marketing are almost three times more likely to experience flat revenues than they are to experience significant revenue growth (more than 20% growth year-over-year).
- On the other hand, agencies that spend 15% or more of their revenue on marketing are more likely to have significant growth than they are to have flat revenues.
Using a marketing automation platform, an insurer can communicate with current and potential customers on a 1-to-1 basis giving each customer a personalized experience. From the moment a prospect interacts with an agency, a marketing automation system can capture this data to send the prospect relevant information and offers. Based on the prospect’s behaviors, the most relevant campaigns and marketing messages can be deployed and at the time when the prospect is most apt to engage.
No matter how your agency obtains leads, leads must be nurtured. 79 percent of marketing leads never convert to sales. Lack of lead nurturing is the common cause for poor performance. Additionally, businesses that use lead nurturing create more sales-ready leads at a lower cost than those who don’t use lead nurturing techniques. Marketing automation solutions optimize this process, ensuring that you never miss a beat.
Automate Email Marketing Based on Triggers
According to Forrester, 78% of the population checks their email multiple times a day on their smartphone. Sending personalized offers to consumers based on their on-site behavior is an incredibly effective email marketing tactic. Consumers may contact you immediately for a quote or more often than not, they are in the early stages of the buying cycle. They may just be checking out your company for future consideration, may need more information and need to be nurtured, or perhaps they indeed reached out indicating they are ready to purchase. Marketing automation can be used to send triggered messages at the most opportune time based on each prospect’s preferences and action.
- Welcome Emails: Consumers who first sign up on your website are in the early phase of the buying cycle. Send them a welcome email to set the tone, personalized with their first name of course. Although you may not have other consumer details at this point, an email enhancement provider can provide additional demographic details so these prospects can be nurtured better in the future.
- Nurture Emails: These emails should provide content and show subscribers what your agency has to offer in terms of products, value adds, services, etc. Nurture emails should be focused on getting the subscriber to take an action such as filling out a free quote form or contacting an agent.
- Active Emails: These emails should be sent after an email subscriber takes a specific action that indicates he or she is ready to purchase, such as filling out a free quote form on your website. The goal should be to get the prospect to the next stage – purchasing a policy. Use these emails to provide more information, a specific offer or promotion, or more details about the policy of interest.
In addition to sending automated emails, potential customers should be nurtured across multiple channels. Using an automated workflow, you can also set reminders within campaigns to create notifications to reach out via phone or to send a piece of mail when appropriate.
For agencies that are looking to grow – investing in lead generation technologies to optimize increased lead volume is critical. Automated marketing systems replace time-consuming and manual activities, ensure the most optimal message is being targeted to consumers at just the right time, and allows agents to focus on tasks that grow the bottom line.