Feeling a little distracted with a myriad of priorities and pressures in your agency? January is behind us and you might wonder, “I just set some great 2009 goals and now with one month gone I am not sure I am off to a good start. In fact, I am feeling a little bit behind already! I feel like I am trying to do a thousand things. I need clarity in this turbulent environment of change and competing forces. Amidst all that is important, what and how should I focus on my targets?”
Okay, calm down a little bit… Let me see if I can help you sort this out!
Let me share another story from my time in the Philippines some 30 years ago. Towards the end of my two year missionary experience I had become acquainted with several people at Philippine Airlines. I can’t recall exactly how it happened, but through some people I was acquainted with, I got a chance to board a brand new Philippine Airlines 747 at the Manila International Airport. The plane had arrived from the United States a day or so before. It was so new there was still plastic on the seats and protective covering and runners down the aisle ways. It had not yet taken its maiden flight with passengers from the Philippines, and so they were making final preparations for its first flight from Manila. In short, it still had that “new car” smell!
Another missionary and I got a chance to board the plane and to check it out from nose to tail. In a post 9/11 era this would never have been allowed. Oh, how times have changed! The culmination of the tour was an opportunity to sit in the cock pit. What an incredible experience it was to sit in the control seat of such a large plane. It was a beautiful work of engineering. I was overwhelmed with the number of gauges, levers, toggle switches and indicator lights that made up the controls to this large aircraft. As I sat in the captain’s chair it seemed no matter where you looked you were shrouded in navigation equipment and controls. To your left, to your right and all across the ceiling lay dozens of indicators and switches of every kind. My mind wandered to the intense training and knowledge a pilot must have to safely fly and manage such a large aircraft. As I gazed out the front window, I wondered what it would be like to be at its control and to know just what to do to guide it from destination to destination.
Sitting at the main controls, you would view a very organized main dashboard with just a few gauges and dials. No doubt these gauges were the main indicators that guided, and controlled the aircraft. I haven’t ever been trained to fly an airplane, but I would imagine that although all of the other lights, switches and toggles were very important, the main stick and that main "eye level" cluster of gauges were probably the most critical. They were the ones that captured your immediate attention, and most likely the ones that needed to be monitored most frequently to insure a safe flight.
Over the last year and certainly at our last District Meeting you have learned a variety of helpful agency building tools that if implemented can have a positive impact on the growth of your agency. Amidst all of these ideas it is easy to reach a point of overload. All of these options, initiatives, strategies and counsel might seem rather overwhelming, similar to my feelings when sitting in the cockpit of that new 747. Like the dashboard of that huge aircraft, there are also important gauges and indicators to watch as you lead and guide your agency. It’s important that you pay attention to these gauges. Their observation can determine your the success of your course.
I am not referring to the online Farmers Dashboard that we all are quite accustomed. Quite frankly, there is so much information there that a lesson in simplicity is in order after logging off each day! I am referring to a personal set of business building gauges that can guide your agency. Focusing too broadly can result in frustration and falling short of your desired objectives, and yet if you zero in on just a few indicators you will find a greater sense of confidence, a calmer spirit, and measured progress towards your goals. As you monitor and carefully monitor these gauges you will obtain meaningful feedback as you chart an exciting course in 2009. I would recommend narrowing your focus to four specific, simple gauges this year.
What are these four key gauges?
Gauge Number 1: Understand Your Sales & Marketing Pipeline
A key to your success is understanding and driving an effective Sales & Marketing Pipeline. How is it flowing? Is it producing the results you desire? Your sales pipeline will always be predictable. A certain percentage of whatever you load in the top, will most assuredly trickle to the bottom. The key is whether you want a trickle or a rushing current! Spend some time developing your marketing sources and methods. Your sources are Lead Generation, Circle of Influences, Referrals, and Existing Policy Holders. The methods that are applied to these sources are Direct Mail, Face to Face, Event Marketing, or Telemarketing.
It is really quite simple, but you must spend time planning out what specific sources and methods you elect to use and how those strategies are reflected in your daily action plans. I find that most agents do not spend the necessary time in effective planning to ensure success. The old adage, “Plan your work and work your plan” is in order. These key sources and methods are the raw material that drive the resulting contacts, prospects, appointments, presentations and closed sales.
If you are not hitting the revenue goals you expect then work backwards in your Sales Pipeline and pin point where you need to increase or improve the quality of your activity. Remember, the goal is to “See enough people and to say the right things.” When you diagnose a resulting revenue short fall from your pipeline, the cause is either a lack of people (volume) or your what you are saying (verbal expression). If you need some assistance with a volume problem, ask for my Marketing Hook Worksheet which can help you develop an effective layer of sources and methods for your agency! As you drill down, using S.M.A.R.T. Goals, you will see an added measure of detail that, when implemented with a consistent work ethic, will yield impressive results.
If you need help with improving your verbal skills, immerse yourself in the Consultative Selling Approach. There is ample training on this topic at the University of Farmers as well as online or classroom District Reserve Business Builder modules. Sometimes just a change in langage and verbal posturing can mean a huge difference.
Gauge Number 2: New Business 3:2:1
Once your sales pipeline is set, the next gauge to watch is your effort to execute on your sales and marketing plans. Driving towards this goal each day with a measured, consistent and persistent cadence is critical to success. Activity means results, but it must be the right activity! A key mental target that can keep you focused is a concept called 3:2:1. What is 3:2:1 and what does it mean? Consider its simplicity!
- Every day book 3 client appointments for the future
- Every day hold 2 client appointments
- Every day close 1 client appointment
Making 3:2:1 a daily focus will keep you on track and will yield meaningful results! Because the average closed VIP client appointment yields 2-3 property & casualty policies and 1 life policy, consider the idea of closing just one VIP sale a day. Run the resulting gross written premium and commissions on your own calculator. You will be excited with what begins to happen! Consider wrapping your staff around the 3:2:1 concept as well. Set goals and hold them accountable! At the end of each day ask yourself “Did I follow 3:2:1 today?” If not, make the necessary adjustments to your schedule and priorities for the next day. Over time you will begin to hit your goals!
Gauge Number 3: Retention
As you drive new business growth through your efficient Sales & Marketing Pipeline and use 3:2:1, don’t forget to keep your eyes on the retention gauge of your agency. There are many tools to improve agency retention, but here are just a few:
- Sell the Farmers Way! Simply said, “Do VIP’s!” As you sell more lines of business per household your retention rate will go up. It’s a proven fact!
- Don’t just have your e-CMS Campaigns turned on, work the out-going direct mail with meaningful follow-up phone calls. They want to hear from you!
- Don’t just talk about being the agent who cares about his/her clients. Implement an effective Farmers Friendly Review program to show your clients that you care!
Gauge Number 4: The Why?
I have often asserted that we spend entirely too much time discussing the "How" and never enough time talking about the "Why!" Clearly the "How" of building a successful insurance agency and most vocational disciplines is well chronicled. The last three recommended gauges fall into the relm of "How?" Although vital, understanding the "How" is not the most important element to building a successful business.
By themselves, proven business building steps and techniques will not build anything. The "How" cannot and will never implement itself! It needs the energy and passion of a spirited entrepreneur to bring it to a reality. This energy and passion comes from a core motivation, a dream or desire that becomes the high octane fuel that propels the "How."
What is this high octane jet fuel? I call it the "Why!"
You must ask yourself, "Why am I doing this?" Once you have answered this question you must develop an emotional relationship with your "Why?" There are endless strategies and details for how to become a great agent. There is no possible way to implement or emulate even a small percentage of these methods. You simply must get in touch with the core motivations in your life and then learn to push those buttons, keeping the gauge pegged to the right throughout flight! There are many ideas and tactics to keep your "why" a strong source of will, but I will leave that insight for another post...
As you watch and monitor these four important gauges you will see a measured increase in your results. You will feel an increased sense of control and excitement. You will sense that if you simply remain consistent, your desired results will come over time. And finally, you will feel a calmness that if you remain diligent, all will be well!
Have a great flight!
