In today’s market, it is nearly impossible to be everything to everybody. It’s inefficient at best. From the nuances of mastering a wide variety of carrier appetites to closing more sales—defining and identifying your ideal client is imperative.

There are a variety of things to consider as you define your ideal client. Ultimately, what makes a client ideal is up to you. For some, qualities that make the client ideal could include premium size, location, or industry. For others, it’s personal or commercial clients—but at the core, an ideal client can make life in the insurance business easier. Mick Hunt, CEO and President of Premier Strategy Box notes the following reasons for focusing on ideal clients:

Efficiency and Resource Allocation:

Focusing on ideal clients allows agencies to use their resources more efficiently. By targeting clients most likely to convert and bring the most value, agencies can optimize their marketing and sales efforts.

Tailored Products and Services:

Understanding the needs and challenges of ideal clients enables agencies to tailor their insurance products and services accordingly. This leads to higher customer satisfaction and loyalty.

Profitability and Growth:

Ideal clients typically contribute most to an agency’s profitability. They may purchase more products, opt for higher-value policies, or remain loyal over the long term. This focus also fosters sustainable growth, as satisfied clients are more likely to refer other potential ideal clients.

Stronger Client Relationships:

By understanding and meeting the needs of their ideal clients, agencies can build stronger, more meaningful relationships. This improves client retention rates and enhances the agency’s reputation through positive word-of-mouth referrals.

Your ideal client will find value in the solutions you bring to them. This allows your staff to focus on finding ways to serve and surround clients with solutions that will deepen your position as a trusted advisor. This goes beyond the initial sale to finding ways to meet all their needs. You and your staff will feel more connected to your clients and less like you are spinning your wheels. By focusing on a specific ideal client, you as a local agent can develop expertise in the specific products and services that their target market needs. This expertise can help you build trust and credibility with potential clients and can also lead to more referrals.

When you lose a client, it hurts your agency more because of the time and attention you spent developing a mutually beneficial relationship with them. Knowing this, it is valid for the long-term success of your business to be selective about who you accept as a client.  This means finding artful ways of refusing business that is outside of your ideal client profile – shocking, we know.

“As a local agent, saying ‘no’ to a potential new client can be a superpower. In short – pursue those clients who hit your ideal client profit and pass on those who don’t.”

Ted Stuckey, President, Nationwide Brokerage Solutions

So, is defining your ideal client the same as finding your niche market? Maybe. Your niche market mixes your personal interests with your unique understanding of the insurance needs of people in those markets or industries. A careful evaluation of the opportunity provided by that niche is crucial to determining if it is viable as a source of ideal clients. Consider if the volume of potential customers that are also ideal customers provides a large enough number of clients to meet your agency goals. If you decide there are enough ideal clients in a niche, you are going to need insurance carriers and brokers who can help you be successful.

Once you have defined your ideal client and perhaps your niche, take the initiative to connect with those potential new clients. Social media, email campaigns, and your agency website can play a crucial role in connecting with your ideal client. A strong online presence is important for local agents to establish themselves as experts. While many insurance searches start online, Google reports that 60% of insurance shoppers call during the purchase phase and most purchases are made offline, in person, or over the phone.

Consumers are seeking out local agents for their protection needs. At the same time, it is becoming more challenging than ever for local agents to access and maintain the breadth of carrier appointments they need to serve the diverse needs of their clients. From underwriting discipline to skyrocketing premiums; current market conditions require local agents to secure a partner with broad market access, expertise, and support to confidently handle complex risks.

Nationwide Brokerage Solutions (NBS) supports local agents by providing expertise in underwriting and in placing complex personal and commercial lines risks, while also providing access to a broad array of insurance carriers. NBS can also provide consultation and access to Excess & Surplus (E&S) markets as well as specialty products to truly meet all the needs of your ideal client.

In an ever-changing market, Nationwide Brokerage Solutions is here to help you turn the connection to your prospective ideal client into the reality of a growing, thriving book of business.

Ted Stuckey

Ted Stuckey leads Nationwide Brokerage Solutions, a wholesale brokerage and market access provider. In this role, Ted is responsible for the strategy, growth, and transformation of this strategic asset. Prior to joining Nationwide, Ted served as the Chief Growth Officer at Brown & Brown National Programs, one of the largest collections of program administrators in the U.S., where he helped to take advantage of market disruptions to launch innovative products and drive organic growth. Ted’s industry experience also includes QBE, Travelers and FirstComp (now Markel) in strategy, digital, innovation, underwriting, analytics, and transformation roles. Ted holds a bachelor’s degree in economics from the University of Nebraska-Lincoln, and both a Chartered Property Casualty Underwriter (CPCU) and Associate in Reinsurance (ARe) designation.


Pin It on Pinterest