A niche market that can boost your insurance business

One question I hear all the time is about directors. Qualified leaders. Successful companies. He leads the work.

Wow! It’s boring!

And my usual response is, “Either you need ‘qualified’ leads or all you need is leads to qualify.”

It affects your marketing plan and your work schedule – these are the things that will drive your business.

LIMRA has recently released a report on what is driving the purchase of life insurance in the global market. Lo and behold, within this informational report we see a trading plan.

Let me show you how I find the marketing plan in this report.

The report tells us that this niche market has a greater financial burden than the general population, and that financial stress has been exacerbated by COVID-19. Does this mean that an ad message that talks about how financial stress can be solved will resonate with a niche market?

What if our marketing message told the story of how niche market buyers can ensure that their family can pay their monthly bills or loans while preventing their surviving loved ones from having to face the hardships of an early death?

Well, I know. Duh… that’s what life insurance does.

But this is very important for 44% of the niche market, the report says.

Here’s what – the report tells me that this niche market is more likely than the average person to have life insurance. So can an accurate, targeted message to this niche market and a strong call to action lead to business? And didn’t we say we need a job?

Almost six out of 10 members of the niche market (58%) have people who provide services. Compare this number to the 52% of people who have private life insurance, and it seems like a huge market.

Another information I found in this report is 25% of this market segment has group life insurance, an increase of 5% from 2020. We all know what happens to group life insurance when you leave work or retire. So there is a marketing message that can be targeted to this niche – what do you think?

Why do they buy?

People buy on impulse and are motivated to act rationally, even people who say they buy rationally buy that way because of how it makes them feel.

So how do members of this niche market buy life insurance?

An interesting insight I gleaned from this report is that this niche market has a perception that life insurance is only a last resort expense, a perception that the report shows can result in their family not having enough money to replace them. These considerations may also cause them to lose the ability to use life insurance to transfer wealth to their loved ones. Do you see a call to action with this information?

You have the opportunity to help eliminate these feelings and protect their families.

I see a business plan starting to come together – what about you?

When I start putting my messages together, I find in this report that members of the niche market also see life insurance as a solution for things like:

  • To increase their retirement income.
  • To pay off their debt.
  • To replace lost money.

Now, for me, I see three different sales messages that I can use in three different pieces of email marketing, three different Facebook ads or three different points to open a conversation.

This is what I advise agents and consultants who ask me about leads.

Choose the problem you solve, who has the problem, where they gather, where they get information and create your marketing message.

Then, look for a growing market, whose members recognize that they have a problem, are willing to spend the money to solve the problem and see you as someone who can help them solve these problems.

A bigger market

Now I look at this report, and I find some of these things: This niche market is 44 million strong, 13% of the population. And they grew more than 20% in the last 20 years. Wow!

Their average age is 38 and 30% of them are under 20. This shows a growing market for me. The average annual income is $45,870 and nearly one in five earn $100,000 or more a year. Maybe they can understand your answers?

Finally, 43% of those in this niche market say they have used a financial advisor and 30% say they are currently looking for a financial advisor, according to the report. This is six percentage points higher than the average population. There’s a lesson for you in that data!

So what marketing message should you start with to reach this niche market?

According to the report, of the 44% of Americans who are uninsured, one-third believe they need life insurance.

That’s right, this niche market is the Black American market.

And this report tells us that, uninsured or uninsured, one in four African Americans – that’s 10 million people – identified as the market that says they need life insurance.

Yes, they calculate the cost of life insurance, assuming it is too expensive. This proves why you need a marketing message that starts with interest, a strong call to action and an easy way to do business with you.

The most important message I got from this report is that 55% of black Americans will experience financial hardship within six months of the death of a primary wage earner.

That’s why they want you.

Lloyd Lofton is the founder of Power Behind the Products. He is the author of Saleshero’s Advice on Dealing with Objections, rated 1 of the Top 11 New Books to Read in 2020 by BookAuthority. Lloyd can be contacted at [email protected].

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