Insurance Marketing HQ

Insurance Marketing: How Agencies Should Be Competing

Posted on May 19, 2014

By Allie Viau

It’s no secret that the insurance industry is extremely competitive. The competition is even more brutal for independent agencies, which find themselves up against not only other local agencies, but major insurance carriers and captive agents as well. For years, large carriers with endless budgets have been building brands based on catchy slogans and humorous fictional characters. Let’s face it- every time we turn on our TVs we see Flo or Geico’s gecko. This leaves many independent agencies worried, wondering how their local insurance agency’s marketing efforts could ever compete with the large marketing and advertising budgets that carriers have.Branding

The bottom line is this: No, independent agencies cannot compete with major carriers when it comes to mass advertising and branding. But, they don’t have to compete on this level. In fact, they shouldn’t.

Modern independent insurance agencies are beginning to realize that they have other options and other ways to not only compete, but “win” against their opponents. While the carriers surely have assets that local agencies do not have in terms of reach, resources, etc; local agencies offer their own benefits to consumers that the carriers cannot.

The key to successful independent insurance agency marketing today seems to lie in the ability for the agencies to realize the unique value they can offer to consumers that carriers cannot, and to highlight these features in a modern sales and marketing strategy. Independent agencies can capitalize on a variety of strengths, including their local presence, personalized service, and other factors.

So, which digital marketing strategies should independent agencies use to successfully compete in the industry? And, more specifically, how can agencies utilize an integrated inbound marketing strategy to increase their return on investment (ROI)?

By utilizing an integrated inbound marketing strategy that includes blogging, social media, email marketing, website content, and more, agencies can compete and win against their opponents and achieve return on investment through these five main “levers”:

Retention: Keeping current customers by staying in front of them and connecting with them on a level that carriers cannot.
Conversion: Turning more prospects into customers by providing modern consumers with the type of information that is important to them and their purchase decision.
Round-outs: Taking advantage of the agency’s current customers by actively engaging with them and allowing them to learn more about the agency over time.
Referrals: Understanding and benefiting from the power of inbound marketing activities when it comes to referring new customers.
Opportunities: Reaching a newer, wider audience of local consumers and businesses.

The key is for agencies to understand that their relationship with customers is different than the one between carriers and customers. That is not only how it should be, but it is something they can capitalize on to help them grow and succeed over time.

For more information about insurance marketing, be sure to check out this Astonish blog that goes more in-depth into how independent insurance agencies can compete in the industry and achieve return on investment from inbound marketing.

About the Author
Allie Viau is an Inbound Marketing Specialist at Astonish. She creates a variety of content including website landing pages, blogs, and press releases. Allie is passionate about helping small businesses build their brand equity online through quality content and other inbound marketing strategies. She spends her free time baking, painting, and traveling as much as possible. 

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