The facts are the facts: in the ultra-competitive insurance market, we will always share the path with firms that offer the same or similar products. Should this be of concern? Not at all.

As prices and products are more often than not standardized, customer loyalty will be based on the quality and personalization of the services offered to them; two factors that only we can control.

As such, the competition and their positioning is a crucial starting point when it comes to establishing your value proposition. What marketing and prospecting tactics do they use that work well? What services are they able to offer which could be of interest to your most profitable customers?

According to a 2015 study, 80% of your revenue stream comes from 20% of your customers while 10% of your customers account for 90% of your profits.

Shouldn’t you focus on ensuring a full service offering to meet the needs of this profitable segment? As you are close to your customers, you know their needs better than anyone. Be proactive! Otherwise, your competition will use their strengths to try to seduce them.

Of course, nobody will dispute the fact that if you spread yourself too thin, you may do more harm than good. You have high quality standards to respect and you should never neglect offering true personalized service to your customers. If you lack the time or internal resources to develop these new services, there are alternatives.

For example, you might choose to offer group insurance or key person insurance to your best commercial clients through a business partner you can trust. In addition to helping you close the door to the competition, certain agreements, such as the one offered by the Vigilis Partner Network, allow you to get a share of commission on each contract and easily market your personal line products to their employees.

Several arrangements are possible. Learn more by visiting the Vigilis Partner Network website at www.vigilis.ca/partenariat or drop by our booth at the RCCAQ convention held under the theme of The client experience: guaranteeing your success.

In short, always remember that when it is part of a continuous improvement process, competition is not a problem. It’s a sign of a healthy market.