Educating Your Customers Is The Best Sales Pitch


Insurance sales have changed greatly over the last 20 years. At one time, you needed to specialize in “sales skills” — whatever that means — but now it’s all about educating the customer. That’s because today’s consumer is wiser and more information-oriented. They thrive on knowledge and trust, and if you can display these two qualities, then you’ll have all the sales ability that you ever need.


How did the insurance industry and every other aspect of the economy become information-based?

If you answered, “The Internet,” then you are correct. Customers have shown an affinity for self-research online. They want to understand what they are buying in to, and more importantly, they want the best value available. At first, they’re not aware of how to adequately define the word “value” — at least, not in this context. It’s your job to show them what value means, and that it isn’t their default of the lowest price point. How to accomplish this?


1. By painting a picture

No, not a literal picture with canvas and paint, but a word picture showing them what the policy they are considering will do for them. They don’t need to hear features. They need to hear concrete examples of how this policy has helped families in their situation. That means you should hold on to every real-world example that comes to mind. If there are none, you can find examples from colleagues or online of how this specific policy protects them and their families. (Of course, it feels much more fluid and sincere when it comes from your own experience, so do pay attention to what your customers are going through when a claim is filed.)


2. By showing them how one product works with another.

The biggest mistake that most insurance customers make, is that they become so price-focused that they end up paying more by having to piecemeal their insurance needs. The best way you can snap them out of this mindset and communicate real value is to examine their specific situation — both the present and any future plans they may have in mind — and show how they can save by stacking one policy with another. You may not be able to cut them the best deal on auto insurance, but if you can give them the best overall price on auto, life, and homeowners, they’re going to snap out of the lowest-price mindset. They’re also going to appreciate the fact that you were able to turn them on to more savings for whatever needs they have now and in the near future.


3. By being a person first and an insurance agent second.

We don’t pretend to be the people, who invented this memorable catchphrase, but we do subscribe to it wholeheartedly. There is still something to coming across as relatable. That’s because, while most insurance leads & customers shop online, they still prefer to buy from insurance agents. For starters, you have a deeper knowledge of insurance products than they do, and they understand that. They rely on you to steer them in the right direction, and people only like to be led by someone they can trust. If you approach them as a person rather than a guy in a suit trying to close a deal, then you’ll be much more likely to actually close that deal.


In Summary

If you’re frustrated by your “sales technique,” don’t be. You could simply be overthinking that part and neglecting the area that really matters — educating your client and building trust. Shift your focus this next week, and see how it colors your interactions with prospects. You won’t win every time, but it will change the landscape in your favor.

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