Cross-Selling And How To Get It Done

Cross-selling is an excellent resources for agents who already have an established book of business. Clients who already know, like and trust you are great prospects for selling more than one product that you have available.  So, when it comes to growing revenue for yourself or your agency, cross-selling to existing clients is a certified win-win..

Studies have found that nearly 80% of your future revenue will come from your existing customers. In addition, customer retention is often cheaper than prospecting new clients.

CROSS-SELLING 101

Cross-selling involves selling an additional or complementary product to a customer based on their individual needs. For example, if your client is starting a business and asks for a quote about General Liability you can also see if they’d be interested in Workers Compensation and Commercial Property since they will likely need all three to successfully launch a business.

So, before you increase your budget for lead generation or spend hours trying to network for new clients, you should first focus on the ones you already have. Here are four easy, actionable tips that will help you cross-sell more insurance policies.

1. SET UP YOUR GOALS

You should already have sales goals for your agency, and cross-selling should be a factor in those goals. When setting your cross-selling goals, make sure to:
Know your data as it stands. This will help you establish a baseline for your team’s capabilities and what can be improved on.
Pick the perfect prospect. Everyone on your team has their own strengths and weaknesses. If you have one agent who is stronger at cross-selling, put them in charge of leading this effort.
Keep an eye on time of year.  Make sure you factor in any slow times that will impact your goals.

2. DETERMINE A SYSTEM TO USE

The key to building up your cross-selling is to develop a system to help you identify opportunities. This could include:
Keeping track of your customer renewal dates and sending them reminders.
Staying updated to your client’s business. 
Identify targeted products for your clients based on the industry they work in. That way when a cross-sell opportunity arises you’ll already know which products are best for them.

3. BE ASSERTIVE BUT NOT PUSHY

No one likes a pushy sales agent, if you press too hard you might lose a client’s business. Make sure you always handle a client’s immediate needs first, then offer them information about other policies. If a client isn’t interested in additional policies, respect their wishes, you can always follow-up at a later time.

One way to push cross-selling, without being over-the-top, is to educate your clients on how they can bundle policies to save money. For example, if a client is only interested in General Liability, explain to them the benefits of a Business Owners Policy (BOP), which combines GL and Commercial Property.

Another cross-selling strategy can include offering your clients a free business assessment. For example, offer your client a free consultation to help them identify potential coverage gaps. This is a great way to educate your clients on the value of purchasing more policies.

4. WATCH HOW THINGS UNFOLD

Just as it’s important to set goals, you also need to analyze the results. Measure how well your agents are performing on their cross-selling opportunities and identify areas for improvement. On a monthly or quarterly basis analyze your data by looking at:
Looking at which policies were frequently bought together
Are there days or times when you cross-sell more policies?
Are there any seasonal trends?
​Your sales trends may change over time, so it’s important to closely monitor these metrics so you can make improvements in real-time.

If done correctly, cross-selling could prove to be very lucrative for your agency and beneficial for your clients. If you keep these four tips in mind, you’ll be able to increase your revenue in no time.