As a businessperson, you know that the best business is return business. Your returning customers are already sold on your insurance company. You don't need to market your products to them, because they have already committed. However, you do need to keep them. How can you ensure that your return clients not only stay with you but also refer you to others?
According to Help Scout, "a low retention rate is similar to filling a bucket with holes in the bottom — sure, you could keep piling on to make up for it, or you could figure out what caused the holes and how you can patch them up." Retaining clients is cost-effective for your business because you don't need to expend as much energy and time as you would if you were trying to find new clients. You need to determine if there are times when you lose clients and what you can do about their drift away from your agency.
Connect in a Positive, Social Way
Customers today don't just want an insurance company; they want a company that's a part of the community and an active contributor. Be clear about what your priorities are as a business and live those priorities. Collect testimonials from others at your business as well, whether they are from clients or from these you've impacted with your social contributions. Share these with your existing clients. Your clients will feel less like clients and more like members of a positive community.
Reassure Your Customers
If you need to change your rates or you have extra costs connected to your insurance products, be aware that some of your customers really value holding onto their money. They don't want you to raise your prices, so you'll need to use wording that shows them how minor your changes really are or how you are giving them new and excellent value for the money spent.
Let Them Know About Positive Changes
If you are changing your products, by all means, let your existing customers know. Act as an educator and a guide who tells them about the changes to the product and how these changes will help them as individuals. If you've won an award, tell them about it.
Provide Exceptional Customer Service
Most clients leave not because your products are insufficient but because they don't experience the type of customer service that they are seeking. Improving your service will improve your retention. For instance, you could create guidelines around response times for client emails and calls. You need to listen to your clients and respond accordingly, rather than making excuses. Finally, you need to reach out to clients, connecting with them on their renewal dates, asking them if they have questions, thanking them and celebrating that they are part of your business.
Know About Clients As Individuals
Building client profiles can help you understand your clients as individuals who have specific interests and needs. For example, you might have a client who is a young family renting their first home. Another client has multiple vehicles and homes, including vacation properties. One person is very concerned about cost, while another really values a lot of customer interaction. As you develop profiles for types of clients, also add notes about individual clients so that you can remind yourself how to make them happy.
Investing in Client Happiness Builds Your Business
According to Humanity, "consumer reviews and word of mouth are still the most powerful forms of marketing. Up to 92 percent of consumers trust peer reviews more than they trust marketing." Your happy clients lead to more happy clients. Putting effort into making your clients happy will yield results for your insurance company.
At American Agents Alliance, we're here to support your business development. We're an insurance agent association that's here to serve you. Talk with us today about our membership benefits and learn more about the education, practical support, and networking opportunities that we have to offer.