It’s time for some straight talk, OK? Many of you have been reading the Consultative Broker™ Briefing for years (now the Analytic Broker™ Briefing.) So, I hope by now you know that we are one of the few voices in the brokerage industry that has consistently provided you with meaningful information on larger account production.
Ready for some straight talk? OK, here it comes.
Those of you who intend to be in the middle and upper/middle market business better hop to it! You need to change your entire perspective and do it quickly. The world of outcomes and analytics are here to stay, and most of you don’t know yours. If you did, you would be hitting the ball over the fence right now.
Virtually every middle market broker can’t answer these important questions from a client: ‘How have you impacted our financial outcome over the past several years?’ Or, ‘What will your impact be on our firm if we appoint you as our broker?’
Some of you are saying, ‘Of course we can answer that question!’ Then you provide a litany of information that all revolves around loss ratios, coverages, carriers and terms. With a bit of ‘Value Added’ services thrown in for good measure. You and every other insurance broker within a 100 mile radius. Oh, come on!
Now look… I’m being hard on you for a reason. If you don’t wake up and smell the coffee, your time will have come and gone. Take it from a grizzled veteran of the insurance brokerage world. Your top clients and prospects are not going to allow you to continue to operate like it’s 1975.
So, I want you to think about this: Let’s say you’re sitting in your office and the phone rings from your largest client. Here’s what she says:
‘We have a new CFO and he would like you to demonstrate the financial impact you have made on our firm over the past 3 years. Please don’t make your presentation based on the marketplace or risk management strategies because he‘s interested in results.’
Here is what the CFO actually wants to know… ‘How has your representation impacted our firm in the following ways?’
What was the impact on our profit?
How have you helped us reduce and recapture our Financial Leakage?
How have you added to our shareholder wealth?
What are your firm’s results with other clients like us?
If you can’t answer those questions, you’re doomed. Why? Because that same CFO is able to turn to his analytic dashboard and find a big hole in it. The hole is the information that you have not provided him. As a result, you have a client who feels under-served. That is trouble for you!
How did this happen? Because, you did not make the effort to learn and grow in the business you are now in… Providing clients with a financial impact that is superior to your competitor’s. Period. If you can’t demonstrate your true impact, then as Dr. Deming says, ‘you are just another person with an opinion.’
Now, I know it’s not really your fault. Until recently, the technology and analytics simply did not exist for you to be able to consistently quantify your client impact and track record, and then demonstrate that to your largest prospects and clients in a meaningful way. Fortunately for you, times have changed.
You might have had the opportunity to do all the things that the ‘New CFO’ was asking for, you just didn’t have the ability to do them. You didn’t have a way to get there . . . unless you were an Analytic Broker with TCORCalc®.
So, wake up. Smell the coffee. Those of you who keep up with your clients’ and prospects’ demands for knowing ‘what you are worth’ will prosper. This is selling to the highest degree.
Isn’t that what you have been trying to do for years?
Click here to watch a quick introductory video entitled ‘Welcome to Analytic Brokerage™’ and you’re on your way.
Best Regards to Analytic Brokers™
Rob Ekern, CAB (Certified Analytic Broker™)