Prospecting & Marketing

Middle Market Highlight: FUTURITY FIRST

Community-based marketing positions agents in uncertain times

by Susan Bumstead Chanley
Susan Chanley is a Principal of Crystal Communications
Group, Wakefield, Mass., and a regular contributor to Life&Health Advisor. She can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

In today’s volatile economic climate, no one can predict with any degree of certainty how the economy or stock market will perform or when they will recover their losses. What we do know with a high degree of certainty is that many hard working, middle-income Americans have been directly and negatively impacted by the economy.

The super wealthy and well-positioned affluent also have concerns, but their concerns have more to do with changes in their net worth than changes in lifestyle. The concerns of the affluent are different from those of middle-income Americans and this is the target market for FUTURITY FIRST, a two-year-old independent, career agency insurance group headquartered in Rocky Hill, Conn. According to Margaret Audet, Senior Vice President, five of the most common challenges this market segment faces are:

• Uncertainty about the security of their current income and employment
• Uncertainty about the financial strength of the banks and insurance companies they depend on
• The significant losses that they have experienced in the value of their retirement savings
• The increasing costs of healthcare and long-term care, for both employers and employees
• Growing concerns about the solvency of Social Security and Medicare

AGENTS POISED TO SOLVE PROBLEMS
“As many people tighten budgets to reduce spending, there is an increasing interest in reviewing existing insurance coverages to find cost savings opportunities,” Audet said. “This is where a well trained advisor can be a big help.”

The huge loss of value in retirement assets coupled with ongoing stock market volatility has created a “flight to safety” which has made the guarantees of insurance and fixed annuity products much more desirable. Consumers seeking safe places to put their cash are more interested in working with agents who can help them choose the right products At a business level, the pressure on employers to cut back or eliminate employee benefits to improve earnings has increased dramatically. “Employers are looking for less costly ways to provide benefits to their employees,” said Audet, “and agents with the knowledge and support to offer voluntary, supplemental worksite products can provide exactly the solution these employers are looking for.”

STANDING OUT IN THE COMMUNITY
While the current economy is challenging, it also offers some unique opportunities for community-based agents to position themselves locally to provide the products and services middle-income families and business owners need. Most middle-imcome consumers do not have a trusted agent, are suspicious of insurance products and companies and are uncomfortable with the insurance buying process. Audet believes these are key reasons for consumers to choose to do nothing, resulting in a market that is the most under-insured and under-protected in the country.

The solution, from Audet’s perspective, is for agents to establish trust. The best way to do that is by becoming involved in their communities, by developing “links” in their natural markets. Successful agents are always attentive to the opportunities to create links and then strengthen those links over time.

The best way for agents to develop links is to initiate and be actively involved in a wide range of community-based marketing activities. Three of the most effective activities are: developing relationships with the owners or proprietors of places where the agent regularly does business; joining organizations that have a visible, well respected presence in the community; and developing centers of influence. Other techniques include community-based mailings, signage, as well as print and radio ads.

“All community-based marketing initiatives and activities are designed to make the agent a more known and trusted member of the community,” Audet said. “The very best links for any agent, however, are the referrals received from satisfied customers.”

COMMUNITY MARKETING IN ACTION
The Branch Manager of FUTURITY FIRST’s Houston office believes that investing in community-based marketing is the best way to position his branch and his agents for the future, no matter how the economy performs. Agents are expected to “walk and talk” as the local insurance resource. Each new agent’s goal is to use community-based marketing initiatives to develop and earn the trust of 100 clients in their specific market area in the first year. The agent then begins year two with 100 clients to meet for annual reviews and to ask for referrals. “If agents do a good job in year one, they’ll get five to 10 referrals from each of their 100 customers. This will allow them, at the very least, to double their customer base in year two. They then begin year three with a minimum of 200 clients. The process begins again, and their success is all but assured.”

Agents do their own networking and community outreach through memberships in business networks, such as Chamber of Commerce, as well as meeting people at church fairs, offering seminars at senior centers, participating in town or community festivals, sponsoring holiday photo opportunities or getting involved in youth sports. According to FUTURITY FIRST, it’s all about being genuine, being involved and offering something of value.

Adrienne Sloan is an agent who works in the Houston branch. New to the business, she started to “work” her territory by developing her natural market, visiting the many stores, shops and vendors where she does business. She introduces herself to the proprietor or owner, mentions that she lives in the community, and tells them what she does for a living. She may offer to review their life insurance, provide them with quotes or prepare a complementary analysis of their employee benefit program. She is persistent, friendly and stays in touch, whether anyone accepts her offers or not. Sloan has also been successful in offering a seminar series to residents of a senior living apartment complex, assisted living facility and a new moms program. A husband and wife team, Kelly and Brenda Wuthrich, also in the Houston Branch, feel that their joint message of working together to meet the insurance needs of people in their neighborhood truly resonates with customers.

“It’s face-to-face, walk-and-talk branding that is helping us expand our client base even in a tough market,” says Kelly Wuthrich. “People don’t enjoy talking about insurance, but they know they need it. If you get involved in the community, build trust, and offer simple tools to help people understand what they need and how they can afford it, you’ll do really well and your customers will be very appreciative.”