Post on 07-Dec-2014
description
BUILDING THE “WOW” EXPERIENCE
Modeling your agency for consistent profitable growth
Customer Expectations
Auto and Home insurance value is based on cost and cost onlyMost advertising promotes switch and save behavior!
CAN YOU CONSISTENTLY WIN THIS GAME?
What are the consequences if you don’t?
How do you WIN this game?
Do what everyone else does better!Stay close in the competitive arena!!Hope your staff responds in Fast Friendly and Accurate fashion every time.You lose when…an uncompetitive price meets a staff that’s not FFA every time!
WHAT IS SERVICE ?
Customer inquires must be acted on to satisfy expectations“service” must be FFA.Failure to meet expectations results in loss of customers.Just meeting expectations is not a point of differentiation!
Loss of opportunity
Processes Pay People
Is your personal lines operation reacting or… proactively touching your customers?
What’s said at point of sale?
Is contact made following a claim?
Are pre renewal calls made to all your customers prior to every renewal?
Is asking for referrals a way of life?
Are annual reviews offered every year?
Are cross sell opportunities explored annually?
Compensation…friend or foe?
Compensation is one of
the strongest forms of
incentive… are you
getting what you want?
PEOPLE
Do you have goals and strategies ?
Does your
present staff have the skill set to
accomplish your goals?
Will your staff implement your
strategies?
Do you have a plan if they
can’t or won’t?
Available Options
Continue with the current model. Reactive to customer inquiry Price as the focus for value
differentiation
Implement a business Model that will allow your customers to determine value by what you do and not by what you charge.
How to get OUTSTANDING results….
In any endeavor in life…first understand what others in the
same endeavor do… and then go 180 degrees in the
opposite direction and you will be phenomenally successful.
Earl Nightingale
Recommendation
Prepare your staff to grow personal lines while exceeding customer expectations.Assign an account manger to proactively sell and service to a predetermined customer baseAssign an operations manager/agent to oversee your personal lines staff
First “Golden Rule”
The sale and service of insurance is a process not a problem;
it only becomes a problem when it is
not a process.Ben Feldman
SECOND “GOLDEN RULE”
Commit to the process…not to people!
Third Golden Rule
To get bigger….. one must first get smaller!!!!
Current Goal state
“ Customers select agencyLead with price
Events not ongoing processes
React to customer inquiries
Agency selects customersValue added sales presentationRecurring processes that customers value
Proactive service replaces reactive service
The Right people
Processes for growth and retention
Pay for performance compensation plans
STAFF MODEL
Agent
Per.linesOps Mgr
Acct Mgr Acct Mgr
Satellite
Commercial operations
Financial operations
CSSR
Operations Manager/Agent
Successful training and implementation of the staff model processes Team leader of personal lines staff Reports results to agent weekly Conducts weekly staff meetings Coaches performance Hire and training of new staff
Account Manager
Manages assigned accounts to profitable growth by administering and conducting proactive processesUnderstand and evaluate growth and profit reportsAttend weekly staff meetingsSubmits weekly activity and production reports to operations manager
CSSR.
Customer requested policy level changesNew business quote preparation for account managersSet and verify appointmentsPrepare mailings
GROWING PREMIUM
There is only three things you can do to grow premium Increase new business Improve retention Increase average premium per
account
The processes in the staff model impact all three
Each customer will always experience…. (processes)
Value added sales presentation
Follow up appointment
6 month pre renewal call
Cross sell letter
Annual pre renewal call
Annual review
Claims follow up call
Interaction with their account managerFFA responses to inbound inquiry
Salaries replaced by a pay for performance compensation plan
Cost of compensation directly linked to premium in forceIncreases in compensation tied to premium growth for all positionsMessage to all is grow and prosper!! Six month transition period/maybe
Agent
Meet with the operations manager weekly to review roll up of production and activity for the agency
THIS IS A WIN ..WIN..WIN!!!
for all parties...!
FOR THE AGENT
More efficient, productive, satisfied staff motivated by a performance based systemIncrease in revenueImproved customer satisfaction leads to better retentionUltimately lowers expense ratio Frees up time for the agent to pursue their passion
FOR STAFF
Income not tied to a salary.Unlimited opportunity .Quality sales and product training.Common experience with others in the programBusiness opportunity without a large dollar commitment.
FOR YOUR CUSTOMERS
Direct contact with their Account ManagerAdvice and counsel at
Each policy renewal Time of claim, follow up after claim Annual reviews Annual missed opportunity discussions
Experience a new and better relationship with the agency
POSSIBLE PITFALLS
Possible initial staff turn overUnwillingness to follow systemCommitting to people not processesLack of attention to agency preparationWeak Operations manager