Insurance is one of those things that everyone has but nobody really wants. In some ways, we feel that we are throwing money away, until that rainy day or unforeseen event arrives, and we are all too happy to have the insurance. As much as we hate the experience, we do it because we know that it’s the best way to ensure that we don’t have a sever disruption, financial or other, that will negatively impact our lives.
Rich people are always over insured, the rest of us have to be more selective, what do we need to ensure, and can we afford to leave “exposed”, risking come what may. When times get tough, cash-flow is squeezed, most people pull back on discretionary spending, then less discretionary spending. This includes things we consider “good to have”, but when the immediate expense is greater than the perceived risk, or having to go without, we cut back on those things. When you’re feeling good in your 40’s, but tight for cash, you may feel you have to make choices; you’ll likely forgo disability coverage in favour of car insurance, as you need to drive to work daily. As cash becomes tighter, you make more choices, not always in line with your long-term goals, but just enough to get you through the here and now.
It is a lot like prospecting, we all hate to do it, especially the traditional type, where we have to engage with prospects who are not lined up at our door, or downloading the latest ditties of wisdom your content teams pinches out. But oh we like prospect when we have them, there is nothing like a full pipeline brimming with opportunities. Assuming they are all real opportunities, some will close, some won’t, but one way or the other they all have to be replaced; and replaced by a multiple of your close ratio. Simply, if your conversion rate of opportunities that go into your pipeline is 4:1, every time you close one client, you will need to replace it with four prospects. The condition is that they have to be real, a lot of sales people keep opportunities in their pipeline even when the chance of the closing are low and declining, because the illusion of opportunities allows them to make choices, similar to insurance choices above. In this case, it is forging prospecting in a regular and disciplined way.
But as you work your magic, and close the deals in your pipeline, which I know takes time and effort, giving you plenty of reason to make choices about how you use your time. The consequences of not prospecting are off in the future, if you have a 3 month cycle, and you have “a lot” of opportunities, you’ll tell yourself that you can afford not to prospect. “Look at all the money in the pipeline, I need to focus on that, I can prospect next week, or when I close all this.” But by the time you do close them, it will be too late to replenish without a gap in income.
Time to get insurance to avoid this void, in the case of your pipeline, the best insurance you can get, is prospecting!