Growing an internet life insurance business as an independent agent with the goal of attracting anyone and everyone is a strategy that will most certainly end in failure. However, growing a niche internet life insurance business to attract customers within your chosen demographic is a strategy that will almost certainly result in more traffic, more leads, and more sales.
In this article, you’re going to learn how to identify the best niche market for your internet life insurance business and what to do once you’ve found it. If you’re unfamiliar with the importance of selecting a niche, hit pause and read the first article in this series [link to the first article] which gives you seven reasons why being a specialist is better than being a generalist.
If you already understand that selecting a niche will give you greater pleasure in running your business, more recognition as an expert in your field, improved marketing opportunities, and a more streamlined path towards profitability, then read on.
Selecting the right niche
When selecting a niche, you want to find a balance between your own expertise and/or interests, the size of the market, and the level of competition. Right now, selling life insurance online is still in its early stages, which means that there are hundreds if not thousands of underserved or completely untapped niches just waiting to be dominated.
It’s your job to find the one that works for you and become the best agent within it. Here are some things to keep in mind when selecting a niche:
Choose a niche that’s aligned with your passions or interests
When you spend the majority of your waking hours selling something, it probably is best that you enjoy what it is you’re selling and the people that you’re selling it to.
If you find that you have a very hard time relating to and engaging with senior level executives, then you should probably steer clear of that demographic. Conversely, if you are passionate about traveling internationally, then you could easily focus on selling to others who enjoy visiting other countries. By doing this you’ll immediately have something in common, easy rapport, and a reason to connect.
So when selecting a niche, ask yourself the following:
- What are your interests?
- What can you speak about with passion, and more importantly, ease?
- What kinds of interpersonal connections come easily to you?
If you pick a niche you are uninterested in, it will be a long slog to profitability.
If you do ultimately select a niche you know little about but feel would be a smart move, then gain a working knowledge through research and interviews. That is the beautiful thing about the internet, we can become well versed in just about anything with a little curiosity and searching.
A niche that’s aligned with your expertise
If selecting a particular lifestyle or hobby isn’t of interest to you or if you want to niche down even further, consider focusing on a particular life insurance product, medical condition, or personal attribute that you’re familiar with.
Maybe you’ve been an agent for awhile and you’re especially good at selling or explaining a certain life insurance product. Perhaps you know a lot about a particular medical condition either through your own life experience or through selling it many times. You may have even developed an expertise in selling to veterans, large families, or Millennials.
Guess what? That’s your competitive advantage.
To come up with this, think back on your time as an agent and recall moments where you felt great at your job or where you enjoyed a conversation with a certain type of person. Ask yourself the following three questions to clarify your own expertise:
- Is there a certain life insurance product I’m particularly good at selling or have a deep working knowledge of?
Examples include term life insurance, final expense coverage, no medical exam, whole life, or cash-value.
- What health conditions do I have experience with personally or professionally?
Examples include diabetes, depression, sleep apnea, anxiety, high cholesterol or obesity.
- Are there people with particular attributes that I connect with easily or enjoy talking to?
Examples include military, veterans, young adults, families, federal employees, small business owners or people over 60.
Keep in mind you can always combine two areas if the market size supports it, such as term life insurance for diabetics or life insurance for military veterans with PTSD.
A niche that is worth your time
In order for a niche to be worth your time and energy, it must have a growing or stable audience and be able to withstand the test of time. By selecting an ‘evergreen’ niche, like diabetes or people over a certain age, you can ensure that your offering will still be relevant even years from now.
This also helps you to select a niche that is large enough to market to. Do some keyword research to see how many monthly searches are being conducted in your chosen niche with Google Adwords Keyword Planner. This will also help you understand how competitive it is and what you can expect to spend on PPC campaigns.
Be sure to pay close attention to growing trends across the US too, like the widespread use of e-cigarettes or the legalization of recreational marijuana in eight states. These changes are here to stay and will provide new opportunities for life insurance agents as these users begin to have questions about their ability to qualify.
Be careful to not select obscure medical conditions or lifestyle choices, like recreational ice climbers. Although it may be interesting to you, it may not provide a large enough audience to drive a high volume of meaningful traffic to your site.
What to do after you select your niche
Once you’ve decided what target market you’ll be selling to, it’s time to roll up your sleeves and become the go-to agent for that group. Here are four things to get you going on your path to success:
- Define your value. Chances are you’re not going to be the only one serving your niche for long (or even right out the gate), but you can be the only one selling to them in your own unique way. Ask yourself the question: why would my ideal customers want to buy from me instead of another life insurance agent?
Once you’ve answered this question you will have your Unique Selling Proposition, or USP, and a framework in which to guide all your business activities. Your USP is your promise to your customers about what they can expect from you and your business. Everything you do should be driven by your USP, which will help you be seen as consistent, reliable and trustworthy.
- Get focused. Now is the time to be laser focused in your efforts. From the way you design your site, to the content you blog about and the platforms you market your product on, everything must be specifically tailored to your chosen demographic.
- Be the best at it. You didn’t select a niche to be mediocre at it. Go big with your efforts, learn everything you can about this group, get inside their heads and anticipate their needs.
- Deliver incredibly valuable content. When people land on your site they are quickly going to see if you can answer their questions. By having a deep understanding of your niche, you can anticipate what questions they will have regarding life insurance and have a repository of helpful content that will help them through the buyer’s journey. Be sure to track the profitability of your content by adding tracking codes with a system like NinjaQuoter to see what’s converting.
- Find what works and double down. Test your marketing messages across a variety of marketing channels, including PPC, Facebook Ads, content, social media, link building, strategic partnerships, and more.
Once you see what’s converting, double down on those efforts and begin refining your strategies. Stop putting time and money into any marketing efforts that aren’t driving traffic or helping you convert.
- Rinse and repeat. Once you have found stable success in one niche, repeat your efforts and begin dominating another (and then another).
You are now ready to identify the niche market that will help you rise above the generalist noise, and become a respected leader in the life insurance industry. Using this information and working diligently on establishing your online presence is the single best way to thrive in the digital world. So go on, find your niche and build your empire.
Latest posts by Nic West (see all)
- How to Maximize Your Online Success by Choosing a Niche - February 14, 2017
- Reasons Why Selecting A Niche is Important - January 17, 2017
- When Is the Best Time to Reach Prospects & When Should You Follow Up? - August 23, 2016