The past several years provide ample perspective on what it means to grow a business via social media, teaching us what works and, perhaps more importantly, what doesn’t. Early adopters are getting their social strategies down to a science; insurance companies commonly generate significant business value by enhancing existing customer relationships and expanding business through social channels.
Research shows that the initial rush to get customers to simply “like” corporate pages on Facebook was misguided––“likes” for a brand have little value when compared with interactions between agents or reps and customers on an individual level through social media. Personal interactions can lead directly to sales, whereas a “like” rarely translates to dollars. Our own data at Hearsay Social supports this. One major insurance client shared that its agents who used social media to personally connect with customers and prospects had an average of greater than 20% more sales than those who don’t. Customer retention also improves drastically.
Based on our experiences working with numerous large, multi-line companies, I want to share four simple reasons why insurers need to become “social” businesses.
You will notice that these four principles have always applied to successful agencies and businesses; the communication channels are simply evolving.