Yes, we know the energy broker business is challenging. And when you take a look at all of the obstacles, it can be enough to discourage you. Do not worry! You can overcome your fears and be successful as an energy broker with these tips. Here are some of the scariest things about being an energy broker…
If you’ve been an energy broker for at least the last several years you know that the current market conditions are unprecedented. Over the last decade, selling energy based on price was relatively simple since the market continued to drop year-over-year.
Now, we are faced with 15-year price highs and uncertainty like never before. Selling energy during periods of high volatility can be daunting. It is hard to have confidence when making recommendations to your customers when the market continues to surprise you!
Here are some tips for selling during times of high market volatility:
- Do not panic. What goes up must come down.
- Look at future start dates.
- Take advantage of price protection.
- Be prepared when the market subsides temporarily.
Another tough aspect of being an energy broker is having to prospect for new accounts. When first starting out, this can be a challenging task (refer to our guide on prospecting for energy customers here).
Prospecting can be a very rewarding aspect of the industry when you change your perspective. Not only does prospecting give you the ability to close a new customer and feel the overwhelming joy of productivity, it also allows you to forge new relationships and friendships in the marketplace. Some of our sales partners’ closest relationships are with their energy customers.
Pro Tip: You do not have to prospect forever! Once you get a good base of customers under your belt, you can work your contacts for referrals. Furthermore, you can build your recurring income to a certain level where you can simply maintain your customers and stop prospecting.
Another scary thing about being an energy broker is the thought of all the competition. Did you know there are several hundred registered energy brokers in each deregulated state? Yes, we know that sounds like a lot, and we are not here to discourage you! Keep the following in mind to overcome your competition:
- It’s all about relationships. Make better relationships with customers and you win.
- Know the market. The best advisers are the most trusted amongst customers.
- Be professional. Remember, most of your competition is just doing this part-time!
- Find a great broker. A good broker partner can make you look great!
Pro Tip: Align yourself with an energy broker who is licensed in all deregulated markets and has relationships with all retail energy suppliers. The last thing you want is to lose a deal over price because you could not get a quote from a certain supplier.
Being a commission-based salesperson is frightening in any industry. Your livelihood is based on whether or not you can perform. Rest assured knowing that the energy broker business comes with residual income. Unlike many other commission sales jobs that require you to keep selling indefinitely, you can build up your recurring monthly income one customer at a time!