Make it a priority to read the article "Annuity Marketing - Secrets Revealed Part 1".  In this section we will examine Market Share By Annuity Marketing Firms and Companies. At the end of this insider annuity marketing research article, you will be provided with some marketing tips proven to make your annuity marketing and recruiting more successful.

Trying to reach close to 20% of the total annuity broker penetration is quite a feat to accomplish and then maintain in any state. That means if you are able to recruit 1/5 of the available annuity brokers in that state, you should consider your annuity marketing skills are very powerful. If you need to know what that number is look at the chart in the article, Annuity Brokerage - State Counts.

In many states there are 350 - 500 total "active" life and health insurance company operations.  However, when carefully analyzed, our marketing facts reveal that the overwhelming market share relating to independent annuity production is the result of usually only about 30 "annuity companies" and another 15 to 20 Multi-Financial companies. These 50 insurance company annuity marketing departments are seriously vying for the annuity production of the same limited number of brokers that write annuities. Competition in the lucrative annuity field comes with a capital "C", therefore you need to know your true amount of competing companies and recruiters.

We consider a company "Multi-Financial" when a large chunk of their business comes from non-annuity areas such as  universal life, survivorship life, second to die, etc. One of these multi-financial companies has currently succeeded with a market share that an exceptional and at an unusually high degree of penetration.  This carrier using trained brokerage managers excels in contracting more brokers than their closest similar competitor in nearly every state they are licensed in. In fact, in California they have over 9,000 "active" brokers under contract, which is  slightly under a sixth of the total life/health brokers in the entire state. Very impressive, but contracting by itself means nothing. Do even 50% of their brokers actually produce applications for them?

While close to 1/2 of the agents brokering only represent one annuity marketing insurance carrier, it should be noted that 60% of this same group also represent a multi-financial carrier. It is fortunate that there is not an over abundance of agents simply signing contracts with every marketing firm offering them one. Of the 240,000 annuity brokers nationwide, only about one in 7 are contracted by a combination of 6 or more annuity company and multi-financial carriers. This "super broker" group includes the very heavy hitter premium producers, often the annuity marketing firms  themselves, and a small bunch of notorious agents who contract with everyone, yet produce for none.

So what's the annuity marketing secret? Should you suddenly only target the agents licensed with the top couple annuity carriers (competitors) in your territory? NO, Definitely not.  If you target the agents of just one or two annuity company organizations, you won't get all that many brokers to bite your offer. Remember the top producers are spread out among 50 carriers.

Certainly it is no sin to start directing your recruiting efforts only toward ALL agents already brokering annuity business. In fact this should become your agent focus, and only focus, if you want your recruiting money to pay off.  Your conclusion will be (1) the size of the pond is very limited, (2) with a little skill you can still catch big fish, and (3) keep a very wary eye out for the other recruiting working to snag your big fish producers!

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