All business owners are comfortable doing the things we need to do and sometimes we don’t stop to think “what can I do better” or “what can I do differently.” This “5 Reasons to Change Your Marketing Strategy” article will help you get out of your rut and get excited about trying new things!
1. Product Life Cycle Location – Most of us are familiar with a product life cycle chart. Some of you are probably wondering “how does this apply to insurance sales?” Big question! Stretch a bit with me and let’s look at two ways this applies. First, as agents, we sell a product called insurance. There are different types of insurance, but within each of these markets (home, auto, life, health, etc.) we sell different types of policies, with different levels of coverage, types of coverage, different deductibles, etc … these policies The products are new offerings, others are well established, and some are about to be recalled due to their relevance to current market demands. Second, our individual status and / or our agency status on the Lifecycle Chart changes over time. In both cases, our marketing strategy must reflect where our product or agency stands on the life cycle curve. A startup agency will market completely differently than a well-established agency. A new agent is trying to build a brand image and a seasoned agent is marketing their years of experience and industry knowledge. Being aware of where you are on the lifecycle curve is vital to your marketing strategy.
- Low performance ROI – An essential component of a marketing strategy is the measurement of results. There is no point in spending financial resources without having a way to measure the return on that investment. There are numerous ways to easily track income from a marketing effort. Setting volume / revenue goals and measuring those results provides the necessary feedback to modify the plan or, in some cases, close it. If the plan under review is not capable of generating the necessary income, stop investing in it! Don’t put good money after bad … Refocus your team, time and money in a different direction after reviewing why a specific marketing plan did not return the anticipated revenue volume.
- Low performance ROI – An essential component of a marketing strategy is the measurement of results. There is no point in spending financial resources without having a way to measure the return on that investment. There are numerous ways to easily track income from a marketing effort. Setting volume / revenue goals and measuring those results provides the necessary feedback to modify the plan or, in some cases, close it. If the plan under review is not capable of generating the necessary income, stop investing in it! Don’t put good money after bad … Refocus your team, time and money in a different direction after reviewing why a specific marketing plan did not return the anticipated revenue volume.
- New technology – We are referring to new tools that you can use to get your message across to your potential or existing customer base. Five years ago, Facebook, Twitter, Instagram, Pintrest, YouTube and many other forms of communication did not exist or, if they did exist, they were not used for commercial applications. Today, very few companies do NOT have access to their target markets through these new forms of media. If you are not using these and other types of media to communicate with your market, you are missing valuable opportunities. One last comment … I guarantee that your competition is!
- Product, service or demographic change – Our business environment is constantly changing and that will never change. When you have a change in your product offering, let people know! Tell them why they need it, how it will help meet a need they have, and make life easier or safer for them. YOU are their expert and if you don’t share the news, who will? If you change your business hours or provide a new service for complaints or policy changes, create a new marketing plan to spread the word. You can use this as an opportunity to increase brand awareness, separate yourself from the competition, and also lay the groundwork for future sales, with rounding off accounts. If you have a business book that is dominated by older clients, create marketing strategies that directly target the needs of that audience. If you’re concerned that your book is heavily reliant on older clients who are slowly fading away, then market it to a younger demographic. They will be interested in different products and the way you communicate with them will include multiple forms of new technology channels.
- Experiment (don’t get stuck in routine) – Of all the reasons we have covered in this report, this is the MOST IMPORTANT! The “if it ain’t broke, don’t fix it” attitude is a guarantee of failure. Yes, if you have a great strategy that is yielding fantastic results, keep using it! But keep in mind that all strategies need to be reviewed for ROI and eventually changed when returns start to drop. Use the time when your current strategy is experiencing superior results to try other types of marketing. Start small, make the necessary adjustments, and see what happens … Not all of these experiments will work, but some will. Those who do will be your new Super Stars when the old strategies start to slow down.
You may be very satisfied with your current marketing strategies and see no reason to change what has been successful over the past 10 years. I have a request … Stop and think about how consumers have changed their shopping habits in the last 10 years. How has technology contributed to that change? Think Amazon, Esurance and the marketing campaigns built around cavemen, “Mayhem” and a Gecko lizard …
Crazy or innovative? It’s up to you!