Use agency generated coupons to cash-in on new sales

Everyone loves saving money and getting something for nothing. It is why coupons exist and why they are so deeply entrenched in U.S. product marketing. Manufac-turers and service companies employ them to launch new items, attract new customers, and build client loyalty. P/C agencies don’t have to stand on the sidelines. They too can benefit from America’s love affair with these colorful squares of paper.

Coupon considerations
Start with the term coupon itself. If you are uncomfortable with the professional connotation of it, use words like certificate, gift certificate, or voucher instead. Then decide what you want to accomplish. Do you want to bring people into your office, get to see another agent’s or carrier’s policies, improve retention ratios, sell non-P/C lines, etc.?

Review the following 12 ideas for suggestions. Once decided, employ software like Microsoft Publisher or Word, and their many templates, to design and output the actual coupon. Note: Most coupon offers are best suited for personal lines and small business consumers, as they have modest appeal in the medium-to-larger commercial lines arena.

Design tips
Present one specific benefit to each person who redeems a coupon. Don’t crowd them with multiple offers. Individuals should understand, at a glance, their purpose and value. Similarly, keep the cash-in process as simple as possible. Print a brief set of written rules on the coupon itself. Allow people to drop off, mail, e-mail, or phone them in, depending on the goals of your campaign. Remind all staffers that this device is a goodwill/marketing tool and not to go overboard enforcing any small print terms.

Coupons that offer a tangible product should display the gift’s retail value. Caution: Don’t go above your state’s rebate threshold limit. And when offering a coupon for an agency service or checklist, don’t use a high subjective dollar value. Instead, enter “priceless” as its worth.

Distribution
Output coupons, in color, on pre-perforated postcard paper or as full-sized certificates. Then mail or hand them out to selected insureds and prospects. Or if you prefer, post electronic versions on your Web site for your target audience to print out and cash in. These can take the form of a Web-friendly graphics file or a downloadable PDF. They may also be posted in a password-protected area for insureds or on a public page for anyone to access. When your software has mail merge capabilities, as does Publisher and Word, you can easily output personalized coupons for individuals and businesses.

12 personal lines coupon ideas
Life-saving gift. Free fire extinguisher, smoke detector, shake flashlight, or first aid kit for monoline insureds and new prospects who bring in a current copy of their [auto, boat, homeowners, or BOP] policy. The tie-in to insurance is, of course, personal safety.

Policy organization session. Offer insureds the valuable opportunity to bring in their accumulated insurance papers for your staff to review. A CSR or producer helps them to discard any outdated policies and bills. The client gets organized. The agency gets the opportunity to physically see if there are any policies that it doesn’t yet write.

Homeowners insurance review. Offer monoline auto insureds and new HO prospects a detailed analysis of their existing homeowners coverage plus a free comparison quote.

Computerized home replacement cost survey. Offer auto-only insureds and homeowners prospects a free over-the-phone or on-premises survey.

Personal insurance discount review. Offer to check a monoline client’s current contract, and any policies that you don’t yet write, against a list of popular insurance discounts. This helps to increase retention and attract new business.

Identity-theft prevention checklist.Checklist helps consumers to reduce their exposure to ID-theft. Also provide a free insurance quote.

Discount on a home video inventory.Insureds save on an in-home video of their personal possessions. Agency optionally agrees to store a spare copy of the resulting DVD for as long as the insured stays a client.

Life insurance needs analysis. Free over-the-phone or face-to-face life insurance needs calculation.

Retirement income projection. Aging baby boomers are aided in matching up their post-employment expenses and projected cash flow.

Extreme weather preparedness checklist. Common-sense list helps consumers to plan ahead in the event of a hurricane, flood, tornado, etc.

Road map or atlas. People still love these classic insurance giveaways. Offer either gift to prospects who stop by your office with a current copy of their homeowners, auto, or small business policy in hand.

Second opinion on any policy that you don’t yet write. Offer insureds a fast free comparison quote on any personal lines or small business contract that is written elsewhere.

Alan Shulman, CPCU, is the publisher of Agency Ideas, a subscription-only sales and marketing newsletter. He is also the author of the 1001 Agency Ideas book series and other popular P/C sales resources. He may be reached at (800) 724-1435 or at: shulman@agencyideas.com. His Web site is www.agencyideas.com.