Last week, we kicked off our three-part series on the power of social media with an article that discussed why social media works for insurance agencies. Now that we’ve discussed “the why” let’s tackle “the how.”
We’ve all heard it before: “If your business isn’t on social media, it should be!”
It’s true. Businesses—including insurance agencies—should be creating social media business pages, soliciting followers and posting regularly. But, there’s more to it than that. Much more.
The true power of social media lies in targeted ads.
Social media advertising is a great way for insurance agencies to reach very specific target audiences (or potential clients), at a reasonable cost with measurable results.
We could talk about the power of social media advertising for hours on end, but we thought the best way to exhibit its impact would be to show an example of social media advertising in action. After all, the proof is in the pudding!
Targeted social media advertising in action
KRA Agency Partners is an independent insurance agency located in New Jersey. They offer personal insurance, business insurance and employee benefits solutions to their clients.
In February of this year, KRA wanted to drive website traffic to the Life Insurance Clickable Coverage graphic located on their website. In order to do this, we worked with KRA to develop a targeted social media ad for Facebook.
The ad content
Here’s a look at the Facebook ad we developed:
As you can see, the ad features an eye-catching graphic and a brief amount of text, which includes a call to action. In this phase, we also determined that the ad would run for one full week with a small ad budget of about $150.
The targeted audience
The Facebook advertising platform is a truly impressive tool. It allows target audience customization based on things like age, interests, income, geographical locations and much more.
In the case of our example, we chose to target those individuals in KRA’s local area who might be interested in life insurance. The customized target audience we developed included the following specifications:
- Geographical Location: Within 50 miles of Parsippany, New Jersey and/or within 50 miles of Springfield, New Jersey
- Age: Between the ages of 18-65+
- Relationship Status: Married
- Personal Finance: Income of $150,000 or more
- Other Specifications: Homeowners
With these specifications, we developed a potential target audience of about 6.2 million.
After running the ad for one full week in February, the results were in. Here’s a look:
As you can see, this ad reached a total of 13,473 people. This number indicates how many unique individuals (within the specified target audience) saw the ad in their Facebook newsfeed.
Of those individuals who saw the ad, 109 of them clicked on the link and visited the KRA Agency Partners website to explore the Life Insurance Clickable Coverage graphic.
Social media ads are pay-to-play—the larger the budget, the greater the results. But, even with a small budget, the measurable results are impressive. For only $150, KRA Agency Partners reached over 13,000 within their targeted demographic, and increased their website traffic by over 100 visits. Not too shabby!
The key takeaways
Posting ongoing social media content is important, but it just isn’t enough.
Insurance agencies can harness the true power of social media through the use of very targeted ads (like the one we ran for KRA Agency Partners in February). But wait… there’s more!
Believe it or not, social media ads can be utilized as an effective lead generation tool for your insurance agency. We’ll break it down for you in part three of our social media series. So stay tuned!