What’s your favorite insurance selling “tactic”?
Referrals, social media, seminars, emails, direct mail, print newsletters, networking, cold calls, paid leads, door hangers, MLM? Great. But what are the strategies, the principles — what is the psychology of persuasion that makes those tactics work?
“Tactics without strategy [principles] is the noise before defeat,” said Sun Tzu in “The Art of War.”
Robert Cialdini outlined six principles of persuasion in his best selling book “Influence, The Psychology of Persuasion.”
Whether you’re selling face to face, writing sales letters or engaging in any other type of sales activity, these six principles of persuasion govern the effectiveness of your tactics :
- Commitment and Consistency – This is a two way street for insurance agents. Once people make a decision they tend to stand by it. So if someone decides to buy from you and you consistently deliver great service, a great price and a great product, you’ll retain your insurance clients year after year. If you don’t, well, that pattern of commitment and consistency may get interrupted.
People are creatures of habit though, so even if you screw up, they may not notice. But you’re vulnerable. If it happens to a prospect, you’re glad for the opportunity. Here’s a sobering thought though. On average it costs 5X more to get a new client than retain one.
- Social Proof — People are much more likely to buy from you if they know that others have bought from you and are happy with their decision. That’s why testimonials and online reviews are so important. Encourage clients to review you on YELP, Google and elsewhere. Half of all people who look at online reviews never visit the vendor’s website. They make their decision to contact the vendor based solely on reviews.
- Liking —Clarence Darrow said: “The main work of a trial attorney is to make a jury like his client.” Getting people to like you should be easier. Go out of your way to do a great job, put customers first. Remember birthdays. Return calls promptly. Call clients before they renew. Follow up on every claim. Thank clients for their business. Provide tips and advice. Be a caring person.
Come back tomorrow and I’ll give you the other three principles of insurance sales persuasion you must know. Meanwhile you can help people like you better by providing them with a monthly client newsletter.
Teach, build Trust and keep in Touch with clients and prospects.