Former Insurance Pros Find Next-Level Success with NEXTAFF Franchises
To say the last few years have been hard on American businesses would be a profound understatement. Just as things started to look up after the Great Recession of 2008, the Covid-19 pandemic threw the global economy into utter chaos. As many companies reduced operating hours, laid off staff, cut worker hours, suspended operations, or permanently closed, on the other side of the spectrum, workers made radical changes to their traditional career values and priorities, with many opting to accept new positions or quit the corporate grind all together in what’s now being called the Great Resignation.
Still reeling from dizzying pandemic-related demands, the nation was then shaken by several natural disasters across the country, such as the freeze that brought down the Texas electric grid, the wildfires burning beyond control in the West, smothering heat waves in the Midwest and Southwest, and devastating hurricanes that destroyed a sizeable slice of the Southeastern Coast. As if that weren’t enough, soaring inflation and escalating fears of another recession only made matters worse.
Given this overwhelming convergence of uncontrollable factors, one might assume that every business would suffer in one way or another; however, certain industries feel this economic pain more acutely, while others continue emerging from myriad economic disruptions almost entirely unscathed. The reason for this disparity is simple: Industries focused on essential services can weather any economic climate, but recessions can devastate nonessential markets that rely on disposable or luxury income to stay afloat.
One example of a somewhat ironic nonessential industry is the insurance marketplace. Although recent events have elevated both the awareness of and demand for insurance coverage, according to the CRC Group’s “2022 State of the Market Report,” 2002 has been exceptionally challenging for the majority of providers and sellers in both personal insurance lines (including health, home, life, and auto) and commercial insurance lines (such as property/casualty and professional liability). But unlike past “difficult” markets sparked by inefficiencies in capital, the sheer volume of unexpected losses and their staggering costs—along with low-interest rates and high inflation—is the true culprit behind the closure of so many insurance agencies.
With countless former agents and agency owners in every corner of the country suddenly needing new work, many will turn to staffing agencies to help them find it. Unlike the insurance sector, the staffing/employment industry enjoys an unparalleled degree of recession resistance simply because, no matter the economic state, other essential businesses will always need more employees. In fact, the U.S. staffing industry is expected to reach a record of $212.8 billion in revenue in 2022—a 14% improvement over 2021, according to Staffing Industry Analysts (SIA). The same organization indicated double-digit growth in 12 major occupational skill segments.
One forward-thinking and elite staffing franchise, NEXTAFF, is particularly well-equipped to meet the needs of former agents, maximize placement opportunities for their clients, and provide sales-savvy insurance professionals with a lucrative option to build a new business of their own. With an unrivaled placement success record, NEXTAFF’s proprietary recruiting and hiring method makes it fast and easy for Franchise Owners to identify the most talented candidates best qualified to meet the unique needs of every client. That explains why NEXTAFF earned a coveted ranking among the Franchise Business Review’s Top 100 Recession-Proof Franchises for 2022.
To learn more about the dynamics of this unusual pairing, we spoke to an authority on the matter—NEXTAFF’s CEO and Co-Founder, Cary Daniel.
Q: What, if anything, does the insurance industry have to do with the staffing industry, and how might insurance professionals benefit from working with NEXTAFF?
A: “The sales discovery process is very similar between the two industries, except staffing is business-to-business (B2B), and insurance is usually business-to-consumer (B2C). We both sit down with our clients to discuss their objectives and goals, and then we use that to determine our suggestions on the best course of action to take.
“Like all the talent we work with, former insurance agents are attracted to NEXTAFF Franchises for many reasons. In addition to benefits from day one, they can try out new industries on either a temporary or direct-hire basis, receive ongoing job search guidance, choose a more flexible schedule, and get paid weekly. And we really excel at streamlining job searches.”
Q: Are there any special qualifications insurance agents have that might make them a perfect fit for a different career? If so, which careers do former insurance agents tend to excel in once NEXTAFF has placed them?
A: “We have seen insurance professionals excel in sales careers. As many would agree, insurance is not a sexy business or an easy sale, so many insurance professionals find other sales professions much easier when compared to insurance sales.”
Q: As more and more insurance companies close, is NEXTAFF seeing a large uptick of professionals in need of placement in a new position?
A: “It’s still too early to tell.”
Q: For insurance companies still going strong, how can NEXTAFF help them hire the right agents to achieve even greater success?
A: “NEXTAFF offers a variety of screening tools that can assist in locating the right fit for their organization. After years of screening our sales reps, we’ve developed a very specific and successful sales screening process. If insurance companies want the best salespeople, we can help find them.”
Q: Health insurance agents have specialized knowledge of the healthcare industry. Does this expertise qualify them to be placed in any of NEXTAFF’s healthcare staffing positions?
A: “Not necessarily. Health insurance agents primarily sell their products to business owners and CFOs, whereas the health care professionals at our staffing locations are patient-facing.”
Q: Do you have any success stories featuring NEXTAFF Franchise Owners who come from the insurance industry? If so, how did a previous insurance career prepare them to become successful NEXTAFF Owners?
A: “We have quite a few Owners who come from that background—I can think of at least five who have prior insurance sales experience off the top of my head. And as I mentioned before, the experience in selling a problematic product lends itself well to selling staffing to businesses. So that’s certainly an advantage.
Q: Finally, over the years, you’ve seen many ups and downs in the economy as you worked to build NEXTAFF into its industry leader. In your opinion, what kind of mindset does a potential Franchise Owner need to be successful during times of economic downturn, and what can they do to maximize their success during these times?
A: “We always suggest this [period of economic uncertainty] is the best time to increase activity. Many competitors will become more conservative, maybe fretting about the future or cutting staff. But we believe this is the ideal time to be aggressive and increase sales activity.
“We’ve seen that even if companies indicate they are on a hiring freeze or are not hiring at the moment, simply planting that seed for when they ramp up has proven very effective. Since the staffing industry is an economic indicator, if a business waits for a rebound to occur, by that time, they’re already behind—our clients started ramping up six months before that point.”
Are you interested in operating a successful NEXTAFF Staffing Franchise of your own?
Visit the NEXTAFF Franchise Website to learn more about this unique opportunity. If what you see intrigues you, get even more valuable Franchise information and schedule a call to determine if you’re an excellent candidate to take NEXTAFF to the next level.