How important is office location?

[axeman462]

Looking to open my first office soon. I cant imagine location is too important in insurance, because I really cant imagine too many people impulsively buy insurance.
I guess a somewhat high profile place is important for branding reasons. But looking around town, I am finding it hard to justify the higher rent for a prime location.

Wondering what y`alls experience and thoughts is?

 

[LostDollar]

(caveat, not an agent)

2 years old, but see Newby in post 4 in this thread. .

https://insurance-forums.com/commun...-so-did-you-get-many-walk.87773/#post-1174849

This is Medicare Supplements, don't know what differences there might be in relation to P&C.

 

[AZDave]

If you need to get an office, I would suggest a professional building complex that currently has tenants such as accountants, realtors, attorneys and even other insurance agency's, and use these new relationships for new business. Unfortunately those settings may offer more space than needed or exceed the budget. Maybe consider office sharing.

If you don't need an full time office, consider a Regus or similar virtual office. But be aware of LexisNexis office requirements if you need to get a node with them.

Whatever you do, don't bank on the location to bring you new business. Walk in business is usually troubled business.

Good Luck!

 

[Markthebroker]

I am commercial p&c only and I absolutely do not need an office. It's probably only once or twice a year the clients come to my office. A good amount of the time I am making calls and emails from my vacation house up in the mountains. My clients don't know or care. Sometimes I'll tell them I'm working from up there, and the only thing they care about is that they're being taken care of, phone calls returned, emails addressed, etcetera. They could care less where I am.

If I didn't have an established reputation and client base, I can imagine that it would matter slightly more to people where I am and where I am working from.

 

[Newby]

Looking to open my first office soon. I cant imagine location is too important in insurance, because I really cant imagine too many people impulsively buy insurance.
I guess a somewhat high profile place is important for branding reasons. But looking around town, I am finding it hard to justify the higher rent for a prime location.

Wondering what y`alls experience and thoughts is?

Things that make my office location ideal for seniors are that it’s got no steps and the parking lot is right next to the door. It’s on a very high traffic street and right in front of a stop light (cars sit there for 5-minutes and notice our building).

If I would have put programmable signage when I was building the Medicare base I think we would have pulled in huge traffic just off of that. As it is with just a monument type of sign we will get maybe one a week from just drive by traffic but huge brand awareness from people seeing your name and logo day after day.

My wife just maintains our base of around 2,000 Medicare clients these days. We don’t try to grow it. I am always busy with the FexContracting agency and have no time.

I am surprised that more young agents don’t copy the “local” agent business model any longer. It is a much easier way to sell insurance than being a road warrior but does take some initial investment. It’s definitely not for everyone.

 

[LostDollar]

Things that make my office location ideal for seniors are that it’s got no steps and the parking lot is right next to the door. It’s on a very high traffic street and right in front of a stop light (cars sit there for 5-minutes and notice our building).

If I would have put programmable signage when I was building the Medicare base I think we would have pulled in huge traffic just off of that. As it is with just a monument type of sign we will get maybe one a week from just drive by traffic but huge brand awareness from people seeing your name and logo day after day.

My wife just maintains our base of around 2,000 Medicare clients these days. We don’t try to grow it. I am always busy with the FexContracting agency and have no time.

I am surprised that more young agents don’t copy the “local” agent business model any longer. It is a much easier way to sell insurance than being a road warrior but does take some initial investment. It’s definitely not for everyone.

Wow! You have almost doubled the client base in a couple of years!! That's pretty impressive.

 

[Newby]

Wow! You have almost doubled the client base in a couple of years!! That's pretty impressive.

Then I stated that number wrong. She has around $250,000 in annual renewals off that base. So if you average around $225 per average renewal (80% are Med Sups) closer to 1000 than 2000.

 

[marindependent]

I do not mean this question sarcastically, Why Do you Want an Office?

If the answer is that you need an office to do quotes, scan documents, hire employees, etc - than you might need one.

If the answer is that you would like it for marketing related purposes...I'd be pretty careful. The idea that paying more (or anything) for rent might not be justified in comparison to digital advertising, etc.

As previously stated, REGUS or the like can make a great first "semi virtual" office at a bargain basement price.

Much of this of course, depends on who your clientele are and what they are buying. Younger Millennial types are not going to flinch at an insurance agent working from home. Older, seniors, maybe more put off by this.