17January

AB60 Presents Opportunity for Service and Sales

Generosity and Service as Marketing

AB60 Presents Opportunity for Service and Sales

I was attending an agency meeting a short time ago and the topic was Assembly Bill 60 (AB60), and it struck me that there are opportunities available to insurance agents who market and sell in communities that will benefit from the passage of this bill.

Did you know that 1.4M are expected to get licensing over the next 3-years as a result of AB60? The reality is regulatory or political change can often be a boon for a business.

In our own industry we know that several insurance companies and multi-location insurance agencies profited by taking advantage of the change created by Proposition 103 back in the 80’s, and 10 years later when the mandatory insurance laws were implemented.

What is the opportunity from AB60?

According to recent statistics from the California Department of Motor Vehicles (CADMV), only 36% of non-English speaking test takers are passing their exams.

There are many reasons the non-English speaking among us struggle with the exam, and it’s often not related to capability.

This is your opportunity. As an insurance agent you can insert yourself into the conversation, and both provide a benefit to your community, and turn those you help into paying customers? 

Enter “generosity marketing” and your opportunity to profit from change

One of the latest trends in online marketing is “generosity marketing.” But this marketing device can be used in offline marketing as well, and AB60 and the multitudes of non-English speaking test takers that need assistance are an awesome place to execute a “generosity marketing” strategy.

My proposal to you, if you have not already considered this, is to develop an in-house assistance program that can facilitate connecting those interested in taking their driver’s test under AB60. You can provide them the study materials, make appointments for them, and even give them space in your offices for study time.

Additionally, you can employ a “joint venture marketing” strategy, and pair up with a local driving school to assist in this process.

When you help your community, when you provide true heartfelt, pro-bono services, you can develop relationships with prospective consumers that goes well beyond the call-to-action from conventional marketing.

What you should not do in an assistance program

Do not charge fees for these services. Sure, you’re a good business owner and you understand the value of time and services, but this isn’t quite the same. Think of this as an investment in a marketing campaign.

When you leverage a “generosity marketing” campaign, you do this to spirit good will that will build loyalty and trust between you on the prospective consumer. This type of loyalty can turn into a long-tailed relationship that you profit from for many years.

If you charge fees, you are more likely to create a trust-wedge between you and the prospect, and while you may make some money in the short term, you'll create a shorter customer relationship and lose money on the lifetime value of the customer.

So, what’s stopping you?

All of the materials you need are freely available online. The only thing that stops you from getting this started is … well nothing.

Good luck!

Posted in Auto Insurance