This year, we teamed up with NAILBA (National Association of Independent Life Brokerage Agencies) to present our first-ever BGA Study (which starts on page 36). It sheds a lot of light on agents' experience in the marketplace and focuses on their relationships with their BGAs -- showing you what to look for in a brokerage agency, how to maximize your relationships, and when to leave if the going gets tough.
There were some interesting findings, as well as some we already know -- prospecting continually challenges agents, producers thrive on referrals, and they're usually loyal to only a few brokerage agencies.
But what happens when we take a look at how agents in different income brackets and with different levels of experience differ in the marketplace? Mastering the sale seems to be less of a challenge the higher you go, but all agents just might be the same on the inside.
Prospecting is a constant challenge across the board, but those earning $100,000 or more in total commission income in 2005 (as opposed to those earning $50,000 or less) have slightly less trouble prospecting. Ted Stevenot, author of the book "Prospect Factory," says those who are most successful at prospecting have a systematic approach -- they set aside time and don't let anything distract them during their scheduled prospecting time. New agents, on the other hand, seem to struggle more because they haven't developed that system. In other words, successful agents tend to prospect more often and more efficiently, therefore making it less challenging.
Agents in higher income brackets and with more experience also have less trouble understanding insurance products and less trouble closing a sale. Makes sense -- if you can grasp the fundamentals of selling insurance, you'll earn more, and a good way to learn those fundamentals is through practice.
But as far as what they need from BGAs, it turns out that's pretty much the same across the board. Most agents strongly favor products that are best for their clients, as well as product training and sales support. They are lukewarm on leads (though those in higher income brackets and with more experience tend to shy away from them more than their counterparts do). And higher commissions, as we've usually found, are "nice to have but not essential."
So, while those who earn more and have more experience have mastered insurance selling tactics, most agents' basic needs seem to be the same. The question is, how can they make sure those needs are met? Partnering with the right BGA is a good first step. Recognizing whether you and your BGA are a bad match is also necessary. Always be on the lookout for a BGA that offers a great product that suits your clients' needs, along with good product training and sales support -- even the most seasoned professional needs to keep learning and stay fresh.
Have more questions? Turn to our Brokerage Study on page 36 to gain more insight from fellow agents and industry experts on how you can make the most of your business -- no matter how much experience you have or how much money you earn.
I didn't know I could sell that...
Did you know your clients can sell their annuities on the secondary market? What about selling life and health products with long term care insurance riders that give clients more flexibility with what to do with their money? Well, you can offer both -- and more. This month, we explore new and untapped markets, markets that are emerging and ready to explode. Glean some examples of what you can sell from our New and Untapped Markets Handbook and expand your horizons. You'll even find out just how to crack into these new fields, products, and services, diversifying your portfolio and offering your clients even more options. That handbook starts on page 14 -- don't miss it.
Sincerely,
Christina Pellett
ASJeditor@AgentMediaCorp.com
