The Allstate Layoff: Warnings, Consequences, and a Better Future
https://agencyheight.com/the-allstate-layoff/
5 replies (most recent on top)
I don't even know my agent's name. I prefer to handle everything online myself, instead of being up sold every time I try to update my policy...
Lol, just lol, they want to get rid of agents as much as they want to get rid of auto techs. I’ve had Allstate 6 years and have never even Spoken to my actual agent, they just dumped my policy to him. Agents are truly outdated Boomer concepts and they are going the way of the dodo!!
Allstate will never be Geico or
Progressive...and will never defeat those companies on their home turf...EVER...
Also, the pronouncements that Allstate is giving the majority of their customer base what they want is premature....and is yet to be seen...
The last formal retention numbers were the worst in 10 years. That is not an endorsement that customers are getting what the my want...but quite the opposite..
If that number tanks further in 2021 and beyond, all of the corporate pronouncements of the customers wants and needs e.g. transformative growth have NO credibility...
This leadership team better be sweating the future retention numbers...if they continue to go the wrong direction, the value of the Allstate stock share will go with it as it will be proof that corporate leadership took this company in the wrong direction.....
I look forward to hearing the next formal corporate release of where retention is in 2021.
Dear @@vlw+19VV8nWU; Not sure where you got the " If Allstate goes direct they will loose 20% of their business to the disenfranchised captive agency force. That number will be to the tune of $7 billion." But I think it is wishful thinking, perhaps even self-serving. Do not underestimate the power of price and convenience in today's market place by overemphasizing the customer's need for an agent and loyalty to same. Customers have been conditioned to be more mercenary in today's world, think Amazon. That dog won't hunt anymore, sorry. Need evidence? Geico, Progressive USAA, etc. etc. Allstate must morph or die, and the sad truth is they don't have the leadership necessary to morph effectively, hence all the collateral damage. Someone should investigate the Allstate BODs as they are handpicked lackeys of TW and he is the root of all things evil at Allstate. BOD is not fulfilling their fiduciary responsibilities.
This was a very eye opening article. However, it was written by a company that is recruiting agents for its independent model. I believe it is posted for monetary means and to cause a bit of panic among Allstate’s captive agents.
The captive agents can survive transformative groowth. I believe Porky Glenn 🐷 and Tommy Boy 🤓will either come to their senses or sell to FLO and a hybrid distribution (direct/agent) model will be created. Allstate will NEVER be the least expensive carrier. The majority of sales will still come from the Allstate Agent.
Keep one thing in mind, if Allstate goes direct they will loose 20% of their business to the disenfranchised captive agency force. That number will be to the tune of $7 billion.