The Health Insurance Store

[policy doctor]

Nothing new under the sun

Years ago, back in the 80"s, I was a career agent with Metlife. They had a kiosk in cumberland Mall, one of the malls here in Atlanta. We had scheduled hrs when we would man the booths, and we were hoping to pick up leads, mainly for auto ins.

Well we didn;t generate the business, even tho a few got good leads, to justify the costs. That's why you don't see any in the malls, even today! I remember when Dean Witter had an inside sales team, along with Allstate, in the local Sears Stores...also in the malls. Wonder what happened? None are there.

And then even K=Mart had an insurance venture. I knew a gal who was selling life, or trying, inside one of their stores. Never amounted to anything.

Now we hear Wal-Mart is going to venture into this with their quasi-banking mtg...etc.....which is upsetting their critics. But insurance is a strange animal....people procrastinate on life and health, so it has to be SOLD and when they need P&C they seek an agent/co they know.

Retail has been tried, and unless it's working in your town, it's not working here.

 

[Crabcake Johnny]

My idea is un-manned kiosks and I think people will readily grab the brochures. Making it manned and linking it with insurance kills the deal. Most people do NOT want to confront an insurance agent in a mall!!! I've done three trade shows - the last one was indeed my last. People do not want to be pitched by insurance agents.

I know the Florida Blue concept is working....or is it. 33 policies per week in a mall with very heavy traffic is "so so." If any one of us tried to pull that off with as-earned Blue Cross commish, rent and advertising expenses we'd be filing for BK in six months.

I also like the idea of kiosks place were people have to wait. The mall concept is rough because it's a flow of traffic and objects in motion tend to stay in motion. I know my wife hates going up to any mall kiosk just to browse if someone's manning it. She hates the sales pitch.

You could get very creative with placing them. Here in MD seafood is a huge deal and there's a ton of carry-out places. How much would an owner want for me to stick a small kiosk there? Who knows.

 

[somarco]

Metlife. They had a kiosk in cumberland Mall

I have a vague recollection of that.

At that time you still had decent clientele at Cumberland. Last few yrs has been mostly thugs. Even the recent facelift doesn't seem to have changed the kind of folks who wander around there.

 

[djs]

I know the Florida Blue concept is working....or is it. 33 policies per week in a mall with very heavy traffic is "so so." If any one of us tried to pull that off with as-earned Blue Cross commish, rent and advertising expenses we'd be filing for BK in six months.

In almost every state, this is a working business model for insurance to be sold in retail establishments, its hardly a new idea. Just most places have names on them like 'State Farm', 'Allstate', 'Farmers', etc.

For Blue to be selling 33 policies a week, my guess is a large portion of these are their Tonik plans. With any luck, this covers their storefront expenses, probably not much more. It does give them a much higher degree of visibility, similar to the Dell kiosks in malls, which in turn drives more sales not necessarily at the store / kiosk. They also have some significant marketing expenses as well, I'm sure. People don't just walk in, they recieved a mailer, or something that made them come in.

Kiosk / Mall / High retail type endeavors are a bit risky. They have a pretty good $$$ rate associated to them, usually require staffing, and the audience they attract are not necessarily the core market you are looking for. My guess is that you would write a decent number of deals, but that your retention would be pretty low.

It's a good idea for volume, not necessarily a good idea for profit. If you had the right location though, it could probably work out well. My guess is you would do better next to a hardware store (indicating homeowners, and some sense of stability), rather than next to a liquor store.... In the end, it would all be about location, location, location!!!

Dan

 

[J.R.]

Anybody ever tried advertising via plane banners you sometimes see during the summer?

 

[somarco]

advertising via plane banners

Seems to work for Hooters.

Maybe we need an insurance store staffed by girls in skimpy outfits. Offer hotwings, cold beer & insurance.

Works for me.

 

[policy doctor]

Somarco: There's THUGS in dem 'dar Hills!!

At that time you still had decent clientele at Cumberland. Last few yrs has been mostly thugs. Even the recent facelift doesn't seem to have changed the kind of folks who wander around there


You've got to be kidding! What about thugs in Sdy Spgs, Lenox, All of Dekalb,..Clayton Co....bet they all buy Life insurance....Would you please name a place that is "thug free"?

Re takeouts: indy owners might participate and tape your flyer to their boxes, for a fee. But the control might be tough....Also, any public place displaying brochures gets them picked up by kids and trashed. Ever see that? Ouch...costs money.! Those little cardboard display stands work better if the retailer/dr office allows. You're hitting a more targeted and captive audience. Great if owner is your client or you his. Like an auto repair shop.

(pardon the smilies...can't get rid of 'em) No matter what you do it will cost money . The most successful have several mkt plans going on.

One of my FMO's said an agent went to a trucking expo and they wrote up a bunch of accident policies while there. Paid for their booth.

 

[Crabcake Johnny]

The display boxes work very well and it was a main source of leads for me when I was with UGA. I'd go B to B and a lot of business didn't mind at all if you put on in their store.

 

[The New Guy]

Contact information

If you contacted me for Kiosk, or Mall information. I have either left you a PM, or an e-mail with my contact info.

 

[Crabcake Johnny]

If anyone wants to place take one displays just type in "brochure displays" and there's a lot of these out there: http://www.brochureholders4u.com/productcart/pc/viewPrd.asp?idcategory=&idproduct=7

Try to stick with $1 a piece and get the plastic ones - not cardboard. That way people can see the entire take on card.

Then hit a place like: http://www.colorperfect24.com/ and grab 5,000 postcard/flyers for $129.