9 Reasons Insurance Agents Should Be Targeting Millennials
Millennials are an often overlooked demographic in the insurance industry, not because they aren’t extremely valuable but because there is a sense they do not have an interest in insurance products, or that they will simply buy auto or life insurance on their own when the need arises.
Truthfully, most insurance leads and customers may turn to the web to do their research but they still prefer the professional insurance agent when it comes to making a final purchase. The biggest reason for this — insurance is a complicated field for most average citizens, and it’s one about which you can’t afford to make assumptions.
Millennials are not unlike most other demographics when it comes to wanting that peace of mind. For that, as well as the following 9 reasons, you should be aggressively targeting them on your marketing outreach.
1. To confront skepticism
Many Millennials look at the world with a skeptical view that can present a valuable trial-by-fire for any insurance agent brave enough to take on the question, “Why should I?”
Millennials face, on average, $30,000 in student loan debt by the time they earn a bachelor’s degree, and in an increasingly competitive job market, that accreditation won’t make them competitive for the best jobs.
That means more school, more debt, and no guarantee of a job waiting at the end.
It’s no wonder many balk at the prospects of adding a monthly bill to their growing list of stressors. Still, that skepticism and frustration does not negate their need for insurance, and if you can help them see the long-term value, then it will help you become a stronger salesperson not only to them but to other demographics as well.
2. To understand technology
Millennials may not do most of their insurance buying online, but they certainly use the web as a daily part of their lives. It’s a research tool, a communication tool, an entertainment tool — you name it, it’s online.
To reach this demographic, you have to go where they are and tailor messages that speak to them. The simple act of going after Millennials for your insurance business will make you a better online marketer and lead generating machine.
3. To set your brand apart
Everyone, it seems, wants the Millennials’ dollars except the insurance market. That could be attributed to their reluctance to take on additional bills as well as their decreased spending power due to a stubborn job market and growing student debt.
Still, there is a piece of the business that these young people need during this portion of their lives. Renters insurance, auto insurance, life insurance, health insurance — all of these types of policies are too valuable to live without. As an insurance agent, you just need to be effectively marketing to them.
4. To be there for the all-important life transitions
Millennials are coming up on some major life transitions where they need a safety net. Many are starting families or moving to larger cities. They are graduating college or renting apartments. There are two certainties about this time: 1) they need insurance; and 2) they have way more exposures than they probably realize.
If you can reach them now with a plan that adds value, then you could be on the verge of creating lifelong customers.
5. To diversify revenue streams
Many of your customers likely skew older, because older generations are more deeply aware of the necessity of insurance for every facet of their lives. While you should not neglect such customers, it can’t hurt to add additional revenue streams through Millennial clients. After all, today’s renters are tomorrow’s homeowners. Today’s singles are tomorrow’s married with children.
6. To diversify marketing approach
The insurance business is a personal one, and for the longest time real-world visibility, a good firm handshake/eye contact, and maybe a print ad or billboard was enough to reach the masses.
Not so anymore.
According to Nielsen, 71% of media users utilize more than one device — laptops, smartphones, tablets, etc. — and they’re spending more and more time online than focusing on what’s going on around them.
With the World Wide Web commanding so much attention, it’s important for you to be on it, sending the right messages and getting them in front of the right set of eyeballs.
Considering how media-savvy Millennials are, they should be at the top of your online marketing efforts.
7. To remind you how important your business is
It’s easy to take your business for granted and lose fire for it over time. But by working with these budding adults to plan for the future and protect their holdings, you can more easily remind yourself of why you matter.
That’s an important reminder that needs to be had, or else you could end up “going through the motions” and treating your career like a 9-to-5 job. Not good.
8. To shore up specific markets
There is an old saying that it’s often better to go an inch wide and a mile deep than to try your hand at being everything to everyone. What this means is that you can find real rewards in going after a specific type of business.
To do so effectively, you need to focus less on the fact that Millennials are Millennials and focus more on the fact that they have a specific set of needs that are different from someone at 35, 50, or 60 years old.
Go back to the part about life transitions above. Which ones are they going through, and how can you design a marketing plan and message that specifically focuses on that?
9. To gain a better grasp of the future
Millennials are the future of this country and, by extension, the world. Any good business owner knows that it’s important not to focus just on today. You want to know where your market is headed, and who will be driving the changes to come if you care about building a business that lasts for the next several decades.
Follow the Millennials. Understand what they are going through, and, more importantly, how to speak with them. Pull this off, and you’ll have a forward-looking insurance business that is always prepared for industry changes, no matter how small or drastic.