Singapore is one of the most important markets for insurance companies in Asia. It has a population of about five million and a growing middle class. Its class structure is similar to the US, with the wealthy at the top and everyone else at the bottom. While this may seem counterintuitive, it’s true that with such a diverse population, there are many different groups who have very different needs and expectations. Insurance companies must tap into every market segment in order to achieve enough business to remain profitable.
In Singapore, that means looking at marketing as a way to increase your sales without having to spend huge amounts of money on advertising or buying expensive products or services.
Studies show that over 70% of people conduct research online when searching for financial products, but the difference between those who are successful and those who aren’t is that the ones that have been able to cut through the clutter have presented their information in a clear, concise manner so as not to confuse or overwhelm. They’ve made it easy for customers to find and access key information at any given moment.
Whilst it is true that consumers are more aware of insurance products available in the market today, it still requires the insurance provider to strive hard to generate leads and to make it attractive to the customers. How then can we do generate leads for the insurance industry in Singapore? What are the steps that are involved in this process? In this blog post, we’ll discuss some of the primary aspects of a well-rounded lead generation strategy for the insurance industry.
1. The Problem
The difficulty is that most people with insurance-related needs do not want to shell out for a premium, and they do not want to be sold a product that does not deliver on its promise.
With a better understanding of why people buy insurance, we can provide them with better insight into what they really need, how and when to buy, how much they should pay, and what makes them stand out from the crowd.
2. Marketing about Insurance
Insurance marketing is one of the oldest forms of marketing and has been around for hundreds of years. Insurance companies have been around as long as they have been operating as businesses. And they’ve done a great job of keeping their focus tightly on their customers, even if that means not being very specific about what they offer.
However, there are some good things about that approach — at least for the most part:
- The customer is happy to see you because you’re clearly communicating something unique and valuable. That’s why people are loyal to the brand. They don’t care if you specialize in all these other stuff; they just want to know who you are and what you do well.
- The customer may be willing to pay a premium for your product or service, but either way, it seems like a small price to pay to avoid having all these other things competing for their attention (like an alarm clock).
- But there is a problem with this approach: getting clients is hard work. You can do it in two ways: directly or through intermediaries. The direct approach is usually more cost-effective (especially when combined with research), but it can be quite time-consuming and while it works in some cases, it generally only works in one way: when you’re already in business with your client (and so there’s no risk of losing them). And on top of that, there are a lot of problems with intermediaries as well:
- They present information that leaves out relevant facts and context which could give away the importance or value of your product/service/branding; and
- They tend to assume clients know everything about everyone else (which might not be true)
2. Defining Lead Generation
Lead Generation is the process of generating sales leads, either in-house or through an agency, online or off. There are three major types of lead generation: direct marketing (by phone), online and offline. Lead generation is a very important part of any business. We all want to attract more customers and convert them into clients. But what exactly is lead generation and how can we do it for insurance in Singapore today?
Let us first take a look at what it is and what it does:
A lead is a person who has shown interest in your product or service. All leads are unqualified, so you don’t need an expensive database to get them. If you can verify that the person interested in your product or service has been in contact with other people with similar interests, that’s an added benefit.
We can classify leads in 3 ways:
Unqualified leads — these are people who have expressed interest in your product or service but haven’t been in contact with other people with similar interests (e.g., they might have shared a website on Facebook, seen your ad on Google). These are usually best served through more traditional methods like phone calls, mailings, and cold-calling.
Qualified leads — these are people who have expressed interest in your product or service but haven’t come across the same website or advertisement (or perhaps even seen it!). These are typically best served through online search marketing and social media efforts.
Qualified leads with the intent to purchase — they might be people looking to purchase an existing product but we want to offer them something new (e.g., a trial version of their current product). These lead generation efforts should be conducted via email marketing and social media outreach.
Keep in mind that most forms of lead generation don’t work well if the person who is receiving them doesn’t share an interest in what you provide: if someone buys something from you because he/she thinks it makes them look good then it probably won’t work well. You should remember that it isn’t just about selling; focusing too heavily on lead generation will eventually kill customer loyalty!
3. Generate insurance leads online
If your company is in the insurance industry, you probably already know a thing or two about lead generation. It is an important way of identifying and prospecting for new customers.
There are several ways to generate leads online:
- Online marketing: This can be done through your website, email lists, or social media channels, where potential customers can go to learn about your products and services. Coupled with Facebook Ads (and related tools like Facebook Pixel), Google AdWords as well as LinkedIn ads (and related tools like LinkedIn Pixel); pegged with the right offer and if done right; will generate a steady flow of leads.
- Direct Email Marketing: You can also target individuals through their email address by sending out tailored content such as sales pitches, promotional emails, etc. Do not underestimate email marketing as it has the potential to generate high conversion rates on both email newsletters and inbound links to our website. Even more so if we integrate this with the CRM system (More on this later) so all of these things are happening online simultaneously.
- List building: Most companies use some kind of list. You need to determine which ones are most valuable for lead generation and then build a strategy around them. For example, you could choose a specific segment of the population that needs your product/service – for example, senior citizens in the United States who want to save money on their insurance premiums – and then use those leads to develop their identity and brand so they will be more likely to refer other customers to you.
- Social Networks: There are various social networks available today (such as Facebook) where companies can create profiles so they can interact with their customers and prospects in a more personal way (and hence more likely to recommend them). This is especially interesting if you think of your niche as one that is relevant for millennials who want transparency when it comes to how much money they spend on those services or social media platforms (the idea being that you’ll attract younger users who have the kind of disposable income that allows them to be transparent with their spending).
A lot of insurance agents ignore this type of lead generation altogether but it shouldn’t be ignored either – particularly if you are not sure whether you actually need it or not; so you should at least know what these methods are.
However, to *REALLY* sustain a career in insurance, or if you’re heading an agency, you should consider investing in a lead-generating website and some form of a CRM (Customer Relationship Management) system to manage relationships with customers and your agents. A well-defined CRM system can make personalized recommendations based on their needs through segmentation and automation (Think Whatsapp and Email), and create a connection between them personally and professionally.
With this, you can create a non-intrusive, targeted marketing push that delivers exactly what customers are looking for: a simple way to learn about insurance services and the assurance that they’re getting that their agents are still around.
As the number of insurance agents in Singapore continues to grow, it has become more difficult than ever to find new business. To get the most out of your lead generation efforts, it is important to make sure that you have a well-rounded marketing strategy that focuses on both digital and offline aspects.