Finding the Right Niche During an Ongoing Pandemic
As the pandemic persists, there is no part of any community that has not felt the impact in some way. Restrictions have crippled different industries at varying levels. Some businesses had to limit traffic while others had to shut their doors temporarily. And while safety remains primary, it has unquestionably negatively impacted the economy.
While some businesses have had to close permanently, some have found success despite the pandemic’s challenges. Here are some niches producers may find thriving amidst the chaos.
Technology companies –
There is denying that technology has been one of the most desired commodities during this pandemic. Everything from internet providers, communication tools, and streaming services have been in high demand from day one and a critical part of the functionality of our professional lives and personal well-being. While you may have been an occasional Zoom user in January 2020, it became a primary human connection source during the pandemic.
Many technology companies are growing by leaps and bounds as a result of this pandemic. We are dependent on it to run businesses and stay connected to friends and family. Technology firms that can continue to serve their communities’ needs and evolve with changing demands will be a win for insurance agents.
Businesses Ready to Shift –
Flexibility has been the name of the game throughout the pandemic. The ability to pivot operations has been the difference between success and failure for many businesses. We saw this as restaurants dependent on traditional in-house service offering curbside pickup and contactless delivery options. Mattress manufacturers started making personal protective equipment. Other assembly line driven businesses shifted to making respirators.
While the ability to pivot is not an option for all businesses, business owners and leaders willing to get a little creative and look for opportunities have found it. While the income stream may not be what it was before the pandemic, it has allowed them to stay in operation and keep employees working. These types of businesses have found ways to navigate the challenges of the pandemic and are prepared for future economic disruptions.
Industries Experiencing a Downturn –
Counterintuitive as it may sound, industries that have been hit hard during this pandemic can pay dividends in the long run. Jump in while rates and premium are lower, service it, be prepared to reap the benefits of a rebound. It may feel like a losing game for a while but look at it as an investment in that industry’s comeback and growth. Simply being responsive, providing support, and being the advisor they need without focusing on the commission can quickly set you apart from the competition and create life-long loyalty from the client. Most of these types of industries will continue to see reduced premiums, but if you’re willing to play the long game, you can see substantial gains down the road.
Regardless of what niche you choose, it will always come down to the value you are able to provide as an insurance advisor. Using these tips, you can start building your expertise and pipeline!
For more on this topic, check out the full episode of The Independent Agent here.