Take the Time and Effort to Educate Customers

In this economy, every customer counts. How well are you doing at maintaining—and growing—your customer base? One cost-effective way to build customer loyalty, attract referrals, and increase word-of-mouth is to improve customer service through education. When you share deep knowledge of your product, you will have an advantage over your competition. According to a recent J.D. Power and Associates survey, insurers who educate their customers are more likely to have a higher retention rate. The survey concludes that “initiating proactive contact with customers after they initially sign on can help prevent them from falling into the at-risk category in the first place.” At the same time, a recent National Association of Insurance Commissioners (NAIC) survey shows that while most Americans believe they understand insurance, on average, they could not answer basic insurance questions. So this means that people don't really know what they are buying.

Insurers and moving and storage company owners have an opportunity to reduce customers' anxiety by offering guidance and expertise. The processes of moving and putting items into storage are already stressful enough, and many people may not realize the difference between valuation and insurance coverage. Our experience shows that many of our customers feel confused about moving and storage insurance. We responded by expanding the FAQ sections on our websites to help explain the complex terms of insurance and its importance for your moving and storage needs. We also provided our customer a way to review the insurance terms and conditions prior to starting an insurance application, and added many tips visible while the customer is processing the application, Other ways to reach out to customers include utilizing social media tools (Facebook, Twitter, LinkedIn), seeking free public speaking opportunities, and offering workshops. The lesson here is if you want to brighten your business prospects, don't leave your customers in the dark.

Most accidents occur when you least expect them or when you're not covered for them.

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