Nothing happens until somebody sells something. To make sales happen, IMMS.com Key Sales Consultant Randy Schwantz has created a comprehensive series of 43 Producer Success Lessons. Used singly or in combination, these powerful tools can help your producers build their skills - and grow their sales.
Consider this conversation a salesperson might have with someone who calls:
Salesperson: Hello, may I help you?
Caller: Yes, I need a quote on my Homeowner's policy.
Salesperson: OK, I can help you with that. May I ask what prompted you to start shopping?
Caller: I just wanted to be sure I was getting a good deal. The company I'm with recently raised its prices.
Salesperson: Makes sense to me. I know price is always important, but if I may ask, is there anything else that's important to you about your insurance?
Caller: Coverage. I also think service is important.
Salesperson: Let's talk about coverage. When was your last renewal?
Caller: Last month, and I just got the bill.
Salesperson: When your agent sat down and explained the coverage, did anything new or different come up?
Caller: Well, he didn't sit down with me.
Salesperson: Oh. Well, when he called you to go over the policy... .
Caller: He never called.
Salesperson: You're not buying insurance mail order, are you?
Caller: Well, I sort of am.
Salesperson: So at this point, you called me because you're happy with your service, and you just want a cheaper price?
At this point, if they say yes, cheaper price is all that matters, you know this isn't someone you can help. If, on the other hand, they're uncomfortable about their present insurance situation, maybe you can help them.
'But wait,' some would say. 'Don't let that guy get away. He could be a buyer - never let a caller get away! You need him.'
That depends on your paradigm. If you believe prospects are scarce, you'll try to work with someone you really can't help. On the other hand, if you think time is scarce and prospects are everywhere, you should have no problem letting this caller go.
LOOK FOR PAIN
This was an intellectual exercise. The caller in our example may not have been in pain at all. He may have been just looking for a better price. We'll talk more about intellectual hurt and emotional pain in the next lesson. For now, keep in mind that it takes emotional pain to make a sale. Intellectual hurt won't do it. So don't waste time with a caller who's not in pain. You're in the insurance selling business, not the insurance quoting business. And you're very busy. So guard your time appropriately.
The process the salesperson in the example went through is called prequalifying. The objective of prequalifying is to weed out the prospects who won't buy from you for one reason or another and to focus only on those who will.
Sometimes we feel as though we're obliged to answer questions for or provide service to anyone who asks. That's simply not true. Your primary obligations are to your clients, your company, and your family. If you're taking time away from any of these people to work on quotes or interviews that don't have a good chance of success, you're cheating the important people in your life. Don't do it.
THE REHEARSAL
If you agree that working only on cases you can close is the fair thing to do, then you're ready for the next step in prequalifying - the rehearsal. In the rehearsal, you take the prospect through the process of buying from you, being careful to inoculate for the objections that you expect to come up.
For example, you've determined that a prospect is willing and able to switch agents. She has told you about the pain she's in, and it seems pretty motivating. You're confident you can help her. Your rehearsal might go like this:
Salesperson: Let's assume I can solve your problem. When you tell your current agent that you're switching to me, what will he say?
Prospect: He's a family friend. I don't know how I'll tell him. It'll be hard.
Salesperson: Well, what will you say?
Prospect: Ooh, I hate this. I don't think I could do it.
Salesperson: So the pain of telling your old friend about switching agents is stronger than the pain of getting poor service?
Prospect: Well, I hadn't thought of it like that. Yes, I guess it is.
Salesperson: So you'd rather keep your current agent than get better service.
Prospect: Well, yes - the bond between us is too strong.
Salesperson: That's fine - I understand. Is there anything about my offer that might be stronger?
Prospect: No, not really.
Salesperson: Well, what do you think we should do?
Prospect: I don't know.
Salesperson: You could tell me you're happy to live with this problem.
Wait! Stop! You did it again. You turned down a perfectly good customer! Are you independently wealthy, or what?
I'm not independently wealthy - which is exactly why I can't afford to spend time with anyone who won't buy insurance from me. Let's try another rehearsal:
Salesperson: Let's assume I can solve your problem. How will your current agent feel about that?
Prospect: Hmm. I hadn't thought about that. He's a family friend.
Salesperson: Well, when you tell him, what are you going to say?
Prospect: I'll just have to tell him. Something like 'Joe, I hope this doesn't affect our friendship, but I've got to change insurance agents. The service we've gotten from the insurance company just isn't sufficient.'
Salesperson: How do you think Joe will react?
Prospect: Oh, he's a great guy. I also think he already suspects I'm looking around. I was pretty upset over a screw-up the insurance company made last year.
Salesperson: So you don't think that's a problem?
Prospect: No - not at all.
It's easy to see that this sale is almost made. The rehearsal technique is designed to do three things:
- It prequalifies the prospect. If they can't make a change, don't expect to make a sale.
- It causes the prospect to see beyond the sale to the point at which their problems are solved - by you.
- The rehearsal technique prepares you for the most common objections, in this case that the current agent is a friend or relative.
The point of the two techniques discussed in this lesson is to make sure you're working only with people who can buy if you do all the right things. Don't cast your pearls before swine. Save your efforts and expertise for people who want and need your help.
EXERCISE
Commit to only working with people who want and need your help. Work out a script to use the next time you're asked to quote on any line of insurance or give expert advice on any P/C issue.
Use the scripts to weed out the people who only want information and to focus on the people who can benefit from your expertise.