You’ve probably heard it a million times: “The Millennial generation is becoming the largest consumer demographic in the world.”
Not only are they the largest, but the way they spend their money is vastly different from the generations before or after them. Businesses around the world are having to change the way they operate in order to reach Millennial customers. And this includes independent insurance agencies.
As of 2015, only 24% of Millennials used an independent insurance agency. That has to change as Gen X and Baby Boomers become smaller demographics, and Millennials continue to grow.
As an independent agent, what can you be doing to better market yourself and your product to Millenial customers? Here are 5 ideas that we have found to work.
Millenials are digital natives, meaning they have grown up with and are accustomed to technology. They often turn to Google to start their insurance search. In fact, when searching for a product, 55% of millennials turn to a search engine to learn more, according to Google’s Consumer Barometer.
This trend continues on social media sites like Facebook that see over 2 billion searches a day among over 2.5 trillion posts. Additionally, 90% of Millennials go online daily. So it is key for your agency to leverage technology. This means having a website, being active on all forms of social media, and adopting new technologies as they evolve. Why? Because millennials live on the internet. Need help getting started or looking for a way to get more out of your social media? We can help.
Independent insurance agents have long focused on customer service. While that is still important, Millennial customers are prioritizing customer experience over customer service. The difference between customer experience and customer service is that experience is the sum of all interactions a customer has with a business and its products or services. That means that, not only do you have to be on your game, so does everything around you.
So how do you, the agent, turn the insurance buying process into an experience? Well, act like a tour guide. To Millenials, buying insurance is a complicated process that they don’t fully understand. It is becoming the job of the insurance agent to walk the Millennial through the insurance-buying process while making each step as exciting and engaging as possible. This can be something as simple as getting to know your Millennial customers ‘hobbies or as complicated as redesigning your office into a modern layout.
A study conducted by the Boston Consulting Group found that one of the primary attitudes exhibited by Millennials is: “I trust my friends more than corporate mouthpieces.” In other words, traditional advertising methods do not carry the same weight as testimonials and referrals from friends or colleagues. In fact, 51% of young adults prefer product reviews from people they do not know. It is important to obtain testimonial reviews from your clients whenever possible. Once you get a testimonial, share it on your social media platforms and website to get the most impact from it. Additionally, you should ask your clients to review you on Facebook and Google. Need help with testimonials? Our testimonial generator does it for you.
The messaging that Millennials sometimes hear is that they lack initiative and have a sense of entitlement. Counteract this negative messaging by appealing to their emotions and giving them a compliment. The more you can appeal to the emotions of your Millennial clients and make them feel good about themselves in your marketing messaging (and when speaking with them in person), the more likely you are to attract their business. For example, start with a compliment in your sales pitch, “You are a part of a very financially savvy generation, so….”
Stray From the Traditional Family Model
Millennials have been hammered their entire lives with State Farm, GEICO and other large carrier ads that emphasize the standard family. Why have millennials tuned out this messaging? They aren’t living traditional lives! Millenials are more likely to get married, have children, and buy a home later in life. They are also less likely to respond to messaging featuring a traditional nuclear family, complete with a white picket fence, because that is no longer the norm. Know who your Millennial clients are and make sure that your messaging represents the lives they are living.
It is important to remember that Millennials are unique–just like every generation before them! So don’t be afraid to use non-traditional marketing methods to approach Millennials. Use these 5 tips to increase your business among Millennials–and to leverage tools like InsuranceSocial.Media that do a lot of this for you. Work smarter, not harder, when it comes to attracting Millennials to your business.
–By Matt Lavery