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How To Develop A Niche Insurance Marketing Strategy

Wednesday, April 2, 2014
Written By
Sales and Marketing Team

The local insurance agent is under incredible attack by many forces, including aggressive direct carriers and marketing savvy agency competitors. Look at most agency websites and you will find very similar approaches to standard insurance buckets: home, auto, business, health, etc.

So, how can you attract new customers while increasing revenue from your current book of business? The answer lies in creating a developing a niche insurance marketing strategy.

Why Focus On Developing Niche Insurance Marketing Strategy?

Consider these reasons:insurance company marketing strategy

  • According to Insurance Journal, niche markets provide higher than average profit margins because of built-in efficiencies.
  • Niche markets allow you to differentiate yourself from the competition.
  • Customized programs reduce competition and increase market opportunities.
  • Agents become viewed as specialists gaining value in customer’s eyes.

How Can Your Agency Develop Niche Markets?

The easiest way to accomplish this is by creatively bundling different types of policies into a new category to attract a targeted segment of the population. Then you can market specifically to this niche. You can easily start with your own book of business to round-out lines of business.

Let’s look at an example: Newlyweds. How can you attract this select group of individuals? Just bundle all the likely policies a newlywed couple might need such as renters or homeowners, life, health, auto, valuable items, etc., and set up a special landing page on your website describing all of the great benefits of why having insurance is crucial to them. You can highlight this new coverage on the first page of your website and design a special marketing campaign to attract this special group. Voila! You now sell newlywed insurance attracting a whole new set of customers.

Here’s a great way to jump-start marketing to this niche market we’ve just created. For newlyweds, contact local businesses catering to this market: bridal shops, wedding planners, floral shops, banquet halls, etc. Tell them you want to recommend newlywed customers (and potentially your other customers) to patronize their business. You’ll set up a Partner’s Page on your website and include information on their business. Then, you’ll steer your customers to the Partner’s Page, where they’ll find great wedding-related businesses the agency recommends.

Do you think you’ll get new commercial customers through this exercise? Absolutely. That’s an effective niche insurance marketing strategy!

Look at your current customer base to determine if there are other niche markets hidden within your client base. Watch trends in the news to capitalize on new niches.

Lately, identity theft is rampant. Consider developing a new insurance offering: Most Valuable Possession Insurance. Market to fears regarding theft of all kinds including identity theft (offer identity theft protection as a service), gold, jewelry, classic cars, guns, etc.

Customized niche marketing allows you to utilize great creativity, while gaining customers faster than targeting traditional niche or vertical markets. You can round-out current customers, utilize existing carriers in most cases, and reach a broader, yet targeted audience interested in this specialized insurance. Following this plan can open new doors in a fun, creative way. Zywave offers several powerful insurance agency marketing tools for to help you boost your sales. Check them out for yourself.

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