The businesses that thrive will be those that adapt their business model and diversify their product offerings.
Whilst most brokers already offer some form of ASU, Life or B&C cover, cross-selling a wider range of GI products, such as landlords cover, business, travel, or even pet insurance, can help to maximise every sale and your business is differentiated from the competition.
If Direct Line covers your clients pets, then how long do you think it will be before they also cover the client in promotional mail for every other financial product under the sun? I’ll leave that one with you.
Cross-selling need not be as daunting as it sounds, and understanding the needs of your existing customers is a good starting point. For example, if you have a self-employed client that buys home insurance from you, then you can offer to quote for all of his or her business insurances, be they for premises, fixtures & fittings, plant & machinery, vehicle fleet, public liability or employer’s liability cover.
Maybe there’s a BTL property in the mix too, so landlords insurance is also needed, along with perhaps some contents cover and income protection for the tenant.
You may be uncertain about entering into these markets, so it’s important that you get help from your GI provider, who should be able to give you all the support you need. Not all GI providers have access to the same breadth of products – some are limited to the more traditional products.
If you don’t want to deal with the sale yourself, then again you should speak to your GI provider about using their introductory service. You’ll still earn a commission, ring-fence your customer, boost customer loyalty, and improve your bottom line.
You are your biggest selling point, so don’t be afraid to think outside of the box. Your clients already trust you to help with their mortgage, so demonstrate what else you can be trusted to do for them.
Don’t die, diversify.
Geoff Hall is director at Berkeley Alexander