BodyShop Business
  Business - Insurer Relations
Targeting a DRP

Hank Nunn
2/3/2012


Page 1 of 2

So, the question is, “How do I get my collision center on XYZ Insurance Company’s DRP list?” Many are asking that question, seeing DRP participation as the key to success, or maybe survival, in today’s collision repair industry.

In reality, the decision to participate in a DRP is a marketing one. Certainly, DRP is an emotional topic. It always has been. But at its core, without the emotions, it’s a marketing issue.

Why Marketing?
“Marketing” has many definitions. The easiest one is, “Everything you do to bring a customer to your door.”

Marketing is big! It’s advertising, yes, but also how your customers talk about you, how your building looks and how your staff greets everyone seeking an estimate. Marketing is your Internet presence, your participation in civic activities, TV, radio, publicity and much more.

Why would anyone want to participate in a DRP?  It’s simple: to bring more work to the door. And to hopefully make more money, too! Since the primary reason any shop wants to participate in a DRP is to bring more work to the door, the DRP should be viewed as a marketing activity.

Every business should have multiple marketing strategies. Even the smallest collision repair shop should have a marketing strategy to develop repeat and referral business. You may have one marketing strategy designed to solicit dealer referrals, another one targeting owners or a particular make of vehicle, and still another directed at a zip code in which you wish to develop consumer awareness. A healthy business draws work from many sources and has marketing strategies designed to grow volume from all of them.  

Participation in a DRP is one of many ways to generate volume. Getting on a DRP requires a marketing strategy. Just like building a marketing strategy to generate volume from a nearby zip code, marketing for a DRP is done in steps using multiple marketing tools. By the way, DRP marketing has a cost, just like running a TV ad campaign.

Any marketing takes time. No matter what marketing target you have, there is simply no quick marketing strategy. You need to build a marketing strategy, and implement that strategy repeatedly over time if you expect it to work.  

How Do I Get on a DRP?

You’ve probably asked an adjuster or DRP coordinator, “How do I get on your DRP?” The answer is usually, “We’re not looking to add anyone right now.” Remember, “No” doesn’t mean “no,” it means “keep selling!” Find many ways to ask. Marketing for a DRP will take time.

1. Define Your Target
Which insurance companies share a common customer philosophy with you? Chances are if you fight and argue with XYZ’s adjuster every time they come in over compensation for standard, non-included labor operations, you won’t be happy being on XYZ’s DRP. Make a list of companies with which you do business. The ones you have good working relationships with are probably better targets for your DRP strategy than the ones you dread.

Insurance companies that you do a large volume with now are good DRP targets. If their adjusters are in your shop on a daily basis, they have an interest in adding you to their DRP to save the administrative cost of sending adjusters out over and over again.

2. What Are Your Target’s Needs?

Once you’ve decided which insurance carriers you want to target with your DRP strategy, determine their needs. Are they really concerned with reduced cycle time and high CSI? Do they want I-CAR Gold shops or manufacturer certification? What’s their stand on aftermarket parts? Some are simply focused on reducing severity, at any cost.  

Have open discussions with their adjusters. Ask other shop owners who are on their programs what they think of them. Find out what they’re looking for so you can decide if this is a relationship you wish to pursue and what you need to include in your marketing tools.

What Key Performance Indicators (KPIs) does your target insurance company use to determine shop performance, and which KPIs do they believe are most important?

3. Create Your Own DRP “Application”
Many of us have asked over and over again for a DRP application. Why wait? Everyone does that. Go to the grocery store and look at oranges. They all look pretty much the same. But the one that stands out is the one you buy. Marketing your shop is nothing more than making your shop that special orange. You don’t stand out doing what everyone else does.

Create your own DRP brochure, or application. Some refer to this as creating your resume. Once you know what your target insurer requires, build a brochure highlighting how your shop can fill their needs. Use lots of photos. Include the usual licenses, I-CAR status, ASE certification, equipment lists, etc.  But use photos to tell your story.

Make sure you can document the KPIs your target feels are most important. If your target company focuses on CSI and cycle time, you should include your CSI and cycle time reports in your application. If they’re focused on severity and supplement ratio, be sure to document your ability to provide an accurate initial damage analysis, reduce supplements and maintain a competitive cost structure.

Your resume is going to represent your company to the insurance DRP coordinator. Take the time to make it a good one. Many find it good to hire a professional photographer to take a series of photos of the shop and crew looking their best. Get the photos on a CD; you’ll find many uses for them.


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