With the insurance industry spending roughly $6 billion a year in advertising to bring “Mayhem” and the like into America’s homes 24 hours a day, local independent agents can feel frustrated when it comes to branding. However, building a local brand within their communities can ensure a path to success no matter what Flo and the gecko are up to on the national stage.

A four-step process to build a local brand

Get out in your community

Professional insurance agents magazine2 0 www.Pia.org 2 1www.Pia.org 2 1

—Reprinted with permission from PIA Management Services Inc.— —Reprinted with permission from PIA Management Services Inc.—

Professional insurance agents magazine2 2 www.Pia.org 2 3www.Pia.org 2 3

It can be daunting for an agent—or anyone for that matter—to fathom the amount of dollars put forth by insurance companies for advertising each year. In fact, the insurance industry ranks among the top-10 industries in the U.S. when it comes to annual advertising spending growth, according to Insurance Business America. A recent report from SNL Financial, also quoted in the story, found that Berkshire Hathaway, parent company of GEICO, was the top spender at $935 million in 2015—the most recent year for which data was readily available. Other leading spenders included Allstate at $655 million, State Farm at $608 million, Progressive at $604 million and Nationwide at $297 million.

What is a professional, independent agent, who operates on Main Street or in a local strip mall, rather than high atop a big city corporate high-rise, to do in order to stand out? The answer is: Play up his or her best assets and develop a local brand.

To find success in local branding, independent agents need a multipronged approach with a plan for tracking results. They need to explore a variety of mediums and use the tools that work for them, including: websites, social media, email, newsletters, community involvement, referrals, direct mail and more. Further, they need to remember that they can provide something else the big exclusive agencies can’t—significant variety in carrier offerings.

While all of these tactics can be useful, let’s look at four ways independent agents can stand out from the pack by building a local brand.

No. 1: Accept that small, local appeal with community involvementFor every independent agent who says, “I can’t compete with GEICO,” I say, “Why would you compete with GEICO in the first place?”

Independent agents need to tap into their strengths to be the best community-based service providers they can be. We’ve all seen the bumper stickers—“Buy Local.” In fact, many consumers in the marketplace like to buy local and keep their business dealings local when they can. Independent agents need to capi-talize on that and promote the personal touch and variety of product options that the big guys just can’t offer.

Placing a banner for an agency in the little league outfield still goes a long way. Clients, as well as potential clients in the community, see the agency’s name and know that agency supports their hometown teams and groups. Tried-and-true methods of local advertising are still effective today. Agency owners might consider advertising in the local coffee shops or diners, in the church or temple bulletin, sponsoring a local charity run or walk, or buying a banner to hang in the school gym. The community residents will get to know the agency’s name—creating awareness for that local brand.

Technology and social media may be creating new ways to communicate with current and future clients, but some of these classic tactics never lose their luster. That’s not to say that these forms of communication can’t complement the more traditional methods. Agents should consider using these tools to help with business-to-business support on a community level. For example, they could host a seminar for small-business owners to inform them of the

importance of cybercrime protection (with insurance as well as business processes) and promote the event online and via social media.

No. 2: Tap into carrier resources Often, independent agents argue that they don’t have the numerous resources and tools at their disposal that the national insurers do. But, in fact, they usually do.

Many carriers offer tool kits for independent agents with marketing materials, like signage, brochures and newsletters, as well as risk-management advice, online tools, website design assistance and more. Independent agents can inquire with their carriers to find out what resources are available.

Further, agents should ensure the carriers they represent are clearly displayed on their websites and social media, and stay in regular contact with them to see how they can partner in local events.

This approach can provide maximum impact, with little or zero money. These carrier tools can help agents reach all their existing and potential clients, whether homeowners, auto, life or commercial. It’s about the local agent leveraging the strength of another known brand.

No. 3: Develop an active referral programWord of mouth is, and has always been, one of the most powerful and effective promotional tools around. A customer referral can be valu-able—so valuable that an agency owner may want to consider offering rewards for those referrals. Agents

can do this in two ways. Reward the customers who directly offer a referral, depending on the state in which they operate, or reward the staff employee who obtains the referral (or both).

For example, in New England, there are agencies that raffle off a televi-sion, hand out lottery tickets and award gift cards for customer refer-rals. Sometimes a little incentive can go a long way.

Agencies need an active referral program and staff ought to know when and how to ask for referrals from customers. An ideal time to request a referral or testimonial is after a claim is settled and all parties are satisfied. In any case, staff should have a scripted and well-rehearsed referral request at the ready. An agent’s top customers usually are the best referral sources.

No. 4: Engage on social mediaCreating regular content on Face-book, LinkedIn and Twitter can bring an agency’s branding into the social-media world, but the competi-tion out there can be intimidating. Social media is a great tool, an exten-sion of what agents already do and can provide significant exposure to an agent’s brand; however, it takes time, patience and commitment.

Consider tip No. 1 (Think local) listed above on the importance of community involvement. Use social media to amplify that involvement and community presence. Dedicate at least 10 minutes a day to social media and consider the following tactics:

• Sponsor and post pictures of anagency sign at the local baseballfield; sponsor community eventsand share the spotlight.

• Promote other local businesses in the community as well. Small business-es will return the favor. By sharing the spotlight, agents welcome peoplein and show good will.

• Engage local youth groups. Promote their events ahead of time andshare live video of the activities the agency supports and as part of thecommunity brand strategy. Don’t be afraid to promote the agency hereand there.

• Share photos of reaching milestones, new hires or staff volunteer events.

In addition, independent agents can get their staff involved in social media. Let your staff know of the agency’s presence online and encourage them to view your social media and be responsive. Within a few weeks, the agency can increase its reach exponentially.

Agents would do well to focus on increasing “likes,” “followers,” and joining public groups. Additionally, posting photos, video and relevant content will keep your readers coming back to your sites. And, agents always should remember to follow the 80/20 rule. In other words, only 20 percent of social media posts should be sales related. Don’t sell all the time—build the presence of the brand!

Be your brandOnce an agent has established that local brand, he or she has to embrace it, talk about it, tweet about it and then get others to do the same. The goal is to make the brand pervasive in the community.

Times have changed. With technology and Main Street at their disposal, independent agents have a stronger opportunity than they’ve had in years to compete with industry giants. Professional, independent insurance agents can offer what big corporations can’t—a variety of products and services from different carriers, community involvement and a personal touch.

Agents can enhance their local brand by getting engaged and providing personal service that leads clients to want to share their experiences with others. That brand represents a commitment—to the clients, quality and community.

Matt Masiello is executive vice president and COO of SIAA (Strategic Insurance Agency Alliance) and CEO of SAN Group. He can be reached at mattm@siaa.net.

—Reprinted with permission from PIA Management Services Inc.— —Reprinted with permission from PIA Management Services Inc.—