ACG - Agency Consulting Group

The PIPELINE

A national monthly newsletter for agency principals dedicated to agency management topic

The Referral Tree Program

Since the fantastic debut of the Asset Protection Model, teaching agents a non-sales oriented model of cross selling that provides every agency product and service to every agency client, a common question has been, “How do we combine the Asset Protection Model with an active referral process?”

Agents are very interested in the Asset Protection Model to eliminate Price and Cost-oriented sales methodologies in favor of consultative and relationship selling. This model finally gives agencies the ability to cross-sell all agency products to all clients. However, a second nagging problem has been the general inability of agents to pro-actively solicit referrals from their existing clients to new ones. All acknowledge that client referrals results in much higher closing rates than any form of marketing or cold calling. Yet most agents simply wait passively for clients to create referrals for the agent. No matter how pleased a client is with your service, if they don’t think about referring you to others, that form of agency growth is denied you.

In May, 2004 we introduced the Referral Tree concept as an addendum to the Asset Protection Model. Now, we not only train your staff into consultative selling skills and a disciplined cross-selling process, but we can also provide you a tool (The Referral Tree) to gauge the value of a client through his referral value. Here’s how it works.

Using the relationship selling skills taught by the Asset Protection Model, your staff (producers AND service staff) request referrals from each client at least once each year. The client (including his products and commissions derived there-from) and the referral he generates (and the products sold to them) are entered into The Referral Tree. The program begins to calculate the value of that client in terms of TOTAL VALUE of all of his revenue generating products including the value of every revenue-generating product of each referral generated by him (and their subsequent referrals, too).

The result, over time, is that clients solicited for referrals may only have bought a single form of coverage from you, but may be worth thousands of dollars in annual revenue to your agency due to the referral tree built under that client. Reports generated by the program will tell you how much each client is “worth” to your agency and the sources (producers, AE’s, CSRs) of those client referrals. You will have the flexibility of running reports by policy type as well as by client, producer or CSR. This program could be used as a tool to determine what other products to offer each client, as well.

A sample of this program can be on its way to you soon WITH NO OBLIGATION TO PURCHASE! Use it and see if you like it. If so, you can own it for unlimited use (sample can be used for up to 10 customers) at a one-time cost of only $350 (includes all future upgrades) or at an initial cost of only $150 and annual renewal costs of $100. Of course upgrades and support are included for the term of the program agreement (lifetime or annual).

The Referral Tree will be sent to you at an initial charge of $150. Should you decide not to purchase it, simply return it for a full refund. Should you choose the lifetime, instead of annual, subscription, simply call and tell us to convert you to a lifetime subscription and an additional $200 one-time charge will be made. Call us at 800-779-2430 to get your copy.