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eINDEPENDENT 11/15/2012

5 Ways to Increase Your Life Insurance Referrals

Referrals are crucial to your success as a life insurance agent. Having customers suggest you to their friends and colleagues is the most organic and inexpensive form of marketing. Agents who regularly get referrals are able to build a stable business with high revenues.

What is their secret? Below you will find 5 tips for increasing your referrals and growing your business.

Be attentive to your current customers.

This is the basis for all of your success gaining referrals. You need to make sure that you provide your customers with exceptional service. It’s not enough to simply close a sale. You need to provide an overall experience that your clients can’t wait to rave about. This includes listening closely to your customer, answering all questions honestly and knowledgeably, always returning phone calls and emails promptly, and following up regularly both during the sale and beyond. Give your customers the kind of treatment you would like to receive.

Ask for the referral.

When you close sales with customers, always ask them to refer their acquaintances to you. Have a simple presentation prepared. First, assure your clients that you will check in on them periodically. Then, ask if there is anything else you can help them with. After answering any questions, explain that you enjoyed working with your clients and that clients just like them are the lifeblood of your business. Then, explain that you would appreciate it if they recommended you to their friends and neighbors. Ask if they know of any people that may be interested in your services. If you have provided them with an exceptional sales experience, they will be happy to assist you.

Have your current customers contact the referrals first.

Before contacting your referral, ask your current customer to contact them first. This way the referral is prepared for you and will not be confused by your call. You can even provide an email template that your customers can use to send to their friends so that your call does not appear to come out of the blue.

Thank your past customers for their referrals.

Referrals are valuable. Make sure you show your appreciation to the customers that provide them to you. Obviously, you should thank them in person at your presentation. You should also keep them up to date on the progress you have made contacting their referral. Send a physical thank you card with a personalized message expressing your gratitude. Many agents also give small gifts such as coffee mugs and pens.

Form partnerships with other sales professionals.

You’re not the only salesman in town that relies on referrals. Mortgage agents, realtors, lawyers, and other businesses also depend on them. Meet with other local businesses and sales professionals to create informal partnerships. For instance, if you have clients that are looking to buy a new home, you refer them to a real estate agent. That real estate agent, in turn, will refer customers looking for life insurance to you. It is a mutually beneficial relationship that many other sales people are happy to enter into.