Over the course of your career, you have probably benefited from a successful marketing campaign. Whether it is a commercial that the home office funds to generate awareness for the company, or the Yellow Pages listing that you pay for our of your own pocket, marketing plays an important role in generating demand for your services, establishing your reputation, and differentiating you from your competitors.
Of the many marketing strategies available to insurance agents, none is more important and visible than direct marketing. Put simply, direct marketing seeks to evoke a specific reaction on the part of the recipient. This is in contrast to general types of marketing or advertising, which do not include a specific offer or an urgent request to act. The benefits of “going direct” are obvious. By carefully selecting your targets, you can better predict what the response will be and secure the appropriate resources to support that response. The flexibility of direct marketing allows you to test a small portion of the market before rolling out a full campaign. Additionally, by seeking to obtain a specific result, you are better able to measure your campaign’s success, modify it if necessary, and try it again.
These direct techniques have been used in a variety of environments to achieve an assortment of goals. However, where many companies use direct marketing to acquire new customers, you may want to consider this strategy to acquire something different…New agents. Utilizing an integrated direct marketing campaign has proven to be a very successful recruiting tool. Every year, for example, the IRS (and your local tax preparation office) often uses a combination of direct response television (TV commercials), classified ads, and even direct mail to recruit seasonal workers. Consider using these same tools to increase the number of qualified applicants for positions within your office.
As you know, the most commonly used direct marketing tool is direct mail. Because of the relatively low cost of direct mail, the ability to quickly tabulate its effectiveness, and the opportunity to reach a large number of potential employees in a short period of time, companies are beginning to make direct mail an integral part of their recruiting operations. Creating such a direct mail piece may appear to be a relatively simple process, but there are actually several different components that go into a successful campaign. As such, you may want to consider consulting with a direct marketing professional prior to incorporating direct mail into your overall recruitment plan. This professional may be someone at the home office or a local marketing agency. Regardless, it is a good idea to have an understanding of direct mail fundamentals when contemplating its use.
The most important component for using direct mail for recruiting new agents is determining who will be targeted. What list you use is a function of the response you are seeking to generate. There are a number of local resources that may have access to lists of recent college graduates, individuals looking for employment, people who have recently been licensed in your state, etc. Begin with local community colleges or universities. Contact local employment agencies and recruiters. Consider purchasing the subscriptions lists for magazines that are popular with individuals who might consider a career in the insurance field. Above all, make sure that you take the time to carefully define your “perfect candidate,” and work towards securing a list that coincides with that definition. Make sure to “scrub” the list against any existing employee records you, or the home office, may have. It’s not worth spending postage on direct mail pieces that are being sent to individuals that are already out collecting apps (or who interviewed and were not hired, for whatever reason). Additionally, make sure that you are following your state’s guidelines for mailing unsolicited advertising. Many states now maintain a list of people who have requested not to receive direct mail. More information about these lists is available from resources such as your state’s Attorney General Office or the Direct Marketing Association (www.the-dma.org).
Once you have selected your mailing list, the next step is creating the message. Assuming that your direct mail piece will take the form of a postcard or letter, make sure that your copy is clear and concise, and offers all of the information that someone interested in business opportunities would want to know. Focus on the best that the insurance industry has to offer…the opportunity to be an entrepreneur, unlimited income potential, a career in a regulated, professional environment, a job that looks for individuals with an outgoing personality and wide network of friends and associates…Always start any direct mail piece with the single most compelling idea you wish to communicate. A marketing professional can help you translate this idea into easy to read, visible copy that will generate calls and resumes.
A successful direct mail campaign requires a a specific call to action. Limited time offers usually outperform those without a definite expiration date, so include a specific deadline in your piece. Make sure that the potential recruit clearly understands what you want them to do. If it is to expect a call from your office, be sure to state that. If it is a request for a resume, consider including a postage-paid envelope. If it is to call your office, make sure that you have the staff on hand to field calls, or that your voice mail system is easy to navigate. Drive the recipient to a dedicated web site; one that is capable of capturing resumes and other information.
Don’t forget the most important aspect of any successful sales venture: the close. An effective closing is absolutely necessary in a successful direct mail campaign, just as it is in a telemarketing campaign or presentation. Even if your piece is only 5 sentences long, each sentence should support the close. The best closing statements incorporate aspects of the entire piece: a personalized explanation of a limited-time opportunity that creates a sense of urgency. The tactics that bring you success in the field will also bring you success in finding qualified recruits to join your office.
Aside from direct mail, there are other methods of direct marketing that you may want to consider. As indicated above, short form direct response television has proven very successful in the recruiting of new employees. Even a 30 second commercial, targeting a specific demographic, can yield hundreds of requests for more information. Locally produced commercials are often highly affordable and can be edited and reused over time.
Do not forget the best resource you have for seeking out qualified talent…your current employees. Many national insurance companies offer cash bonuses to agents who successfully recruit new employees. Asking every current agent to bring in two qualified resumes can create a portfolio of potential talent that can be tapped for months. One effective way of accomplishing this is through e-mail. A tightly-written, attractive e-mail requesting resumes and offering employment opportunities can be sent to everyone in your office, with the expectation that it be forwarded to at least five other individuals. Assuming you have 10 agents in your office and each send the e-mail to five friends, who in turn send it to five more, you have reached 250 potential applicants. Multiply this ten-fold, and with a 2% response rate you will have 50 resumes. All at a minimal cost to your office.
In the current economy, where many qualified individuals are considering shifts in employment or are looking for new opportunities, these direct techniques can prove very successful. By closely tracking response rates, you will be able to modify the message or the audience as necessary to achieve your goal. Additionally, by using traditional marketing methods in a slightly different way, you will differentiate yourself from others who use what have become traditional avenues of recruitment (“headhunters,” Internet-based job web sites, classified advertising). While these methods hold a place in any overall recruiting effort, integrating them into a full direct marketing campaign will help increase the number and quality of qualified applicants seeking to become agents in your office.
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