For those who are in the towing business, insurance companies are perhaps their biggest clients. This is so because it is mandatory for all vehicles to be insured not just in the United States of America, but all across the world.
This is how it works, once an insurance company insures your vehicle, it means that they are responsible for handling all the risks the vehicle will be subjected to as long as the owner of the vehicle has an active insurance policy with them. For example, when the vehicle is grounded as a result of an accident, the insurance company will be responsible for either towing the car to an automobile repair workshop or to a trash yard where condemned cars are dumped.
The fact that it is cheaper and easier for insurance companies to work with towing companies means that any towing company that partners with a thriving insurance company will always generate steady revenue.
So, if you are looking towards joining the league of towing companies that are working for insurance companies, then you may find this article very useful. In this article, we will look at how you can get towing contracts with insurance companies.
Steps to Get Towing Contracts With Insurance Companies
Choose a Good Location for Your Towing Service
One of the most important things to put in place as a towing services company owner if you want to get towing contracts from insurance companies is to ensure that you position your towing business in the right location. It cannot be overemphasized that the success of any business lies in the location you choose for the business.
Towing services companies that are located along busy routes are expected to stay busy and experience an increase in revenue.
Make Use of Reliable Towing Vans and Trucks
It is one thing to choose a good location for your towing service, but a different kettle of fish to possess the capacity to deliver on the job. If you want to continue to secure towing services contracts from insurance companies, then you should ensure that you have only reliable towing vans and trucks under your fleet.
Running a towing services business with reliable towing vans and trucks will give you an edge over your competitors as your towing vans and trucks will always be available to tow vehicles.
In order to achieve this, you may have to go for brand-new towing vans and trucks, although it might be expensive to acquire brand-new towing vans and trucks. In the long run, it will be more advantageous than purchasing cheap and used towing vans and trucks.
You will be able to cut down on maintenance and even fueling costs, your towing trucks will always be available and insurance companies will always choose to work with your company.
Make Your Towing Services Business Superior to Your Competitions
In order to get towing services contracts with insurance companies, you should project your towing company to be superior to that of your competitors not only in appearance but also in your service delivery. Your unique selling point as a towing services company should be your vast industrial experience and solid reputation.
Also trust, honesty, a good network and excellent relationship management, strong management, strong delivery fleet operations, transportation network, size advantages, cost advantages, supply chain, customer loyalty, and strong reputation amongst domestic industry players will count a lot for you in this regard.
Build a Good Business Network
Networking is perhaps one of the most effective marketing ideas needed to build your clientele base and you have to put plans in place to leverage all your networks if you truly want to do well in your towing business. In view of that, you should look out for gatherings where you can network with insurance companies that are most likely going to give you towing contracts.
Get Your Employees Involved in Marketing Your Services
As a towing services company, part of what you need to do if you want to get towing services contracts with insurance companies is to ensure that all your employees are directly or indirectly involved in the sales and marketing of your services.
Just ensure that you create provisions for your employees to earn a commission when they bring in contracts for the organization.
You can as well create a business model that will enable freelancers to work with your organization especially as it relates to bringing in towing services contracts. Ensure that whenever they refer clients to your organization, they will earn a percentage of the deal.
Build a Business That Will Serve Both Big and Small Clients
Another idea that will help you get towing services contracts from insurance companies is to design your towing services business in such a way that you can comfortably work with both small insurance companies that have few clients and big insurance companies that are involved in the regular towing of vehicles.
The truth is that some towing services companies miss out on towing contracts simply because they are either too big to attend to smaller clients or too small to execute larger towing contracts.
Form Strategic Marketing Alliances with Other Players in Key Industries
As a towing services company owner, if you want to get towing services contracts from insurance companies, then you should look towards forming strategic marketing alliances with key players in other industries.
Good enough, there are opportunities for towing services companies to form strategic marketing alliances with other players in the industry due to the fact that some towing companies may lack the capacity to handle certain towing services contracts.
Also, a towing services company can form strategic marketing alliances with automobile manufacturing companies and automobile repair garages.
Creating Brand Identity for Your Towing Services Company
You will quite agree that customers go for products or service providers that are always in front of them. So, if you want to get towing services contracts from insurance companies, then you should be ready to create a brand identity for your towing services company.
It is a fact that any business that wants to grow beyond the corner of the street must be willing to utilize every available means to promote the business.
You can make plans to work with branding consultants to help you map out publicity and advertising strategies that will help you walk your way into the heart of your target market (insurance companies). If your brand is visible you will be able to work with different insurance companies within and outside your business location.
Work on Your retention strategies (Improve Your Customer Experience)
A company that is good with marketing and winning contracts but not good with generating repeated sales from their existing customers will always struggle to maximize profits in the business. You cannot keep welcoming customers from your front door and watch them leave via your back door and expect to generate enough revenue for your business.
As a towing services company, if you want to get towing services contracts with insurance companies all across the United States, then you should put in place workable customer retention strategies. Part of the retention strategies you need to adopt is to leverage price to win over customers; your prices should be affordable and negotiable.
You should make provisions to give out discounts to your customers from time to time, make available flexible payment options for your clients, make use of effective customer relationship management (CRM) software to effectively manage your client base, and ensure that you carry your clients along when making decisions that directly affect them.
Visit Insurance Companies to Source for Towing Services Contracts
Lastly, if you are interested in getting towing services contracts with insurance companies, your best option is to take your proposals straight to the insurance companies who need your services. It is simple and straightforward, if you want to fish, go to the river. So if you want to get towing services contracts with insurance companies, you go to places where you can find them.
It is important to note that there are different levels of competition out there when it comes to securing towing service contracts with insurance companies, but if you are able to follow the tips stated above, you can rest assured that you will succeed in securing towing service contracts from some of the leading insurance companies in and around your city.