3 disruptive insurance marketing trends
Technology is causing the insurance landscape to continuously evolve, opening the way for the emergence of fintech companies. It is, then, perhaps not surprising that a PwC study found 90% of insurance personnel admitted concerns about losing business to fintech.
In order for insurers to stay relevant and develop an effective strategy, CMO advises they bear in mind these three disruptive insurance marketing trends:
Changing customer expectations
Customers are willing to take their time and research products before they purchase, and are increasingly going online to do so.
But when it comes to buying and getting information, consumers want speed and convenience and they are willing to share their personal data in exchange for these benefits that digital channels provide.
These expectations mean consumers are also now willing to look at non-traditional insurance models.Capgemini and Efma’s World insurance report 2017 found that nearly a third (31%) of the 8,000 people questioned said they have received insurance products through insurtechs.
Research by Accenture also revealed that 60% of customers would consider buying insurance from a bank. Meanwhile, 38% would contemplate buying from a home service provider, 30% would buy from a retailer or supermarket, and 29% would be happy to buy from online service providers, such as Google or Amazon.
In order to stay ahead of this disruption, insurers need to focus on digital transformation and providing customers with the digital shopping experience they want and expect.
Integration of data and the mobile experience
From reducing costs to building relationships with customers, digital channels provide insurers with a wealth of benefits. However, many are still failing to capitalise on this.
In particular, CMO claims that insurers are failing to address mobile and integrate data from multiple channels.
According to Adobe Digital Insights’ Mobile Metric Refresh report, large car, home and life insurance companies have seen an 84% increase in smartphone visits in the last two years.
What’s more, insurers are missing opportunities to enhance customer relationships and to cross-sell products as they fail to make use of omnichannel data.
To stay relevant, insurance companies need to provide customers with a seamless mobile experience and use data from numerous channels to enhance their purchasing journey. Just 59% of insurance companies surveyed by Adobe and Econsultancy said they agree that they have “access and control over customer marketing and application data”.
Companies that undergo digital transformation are better equipped to compete in the 21st Century, and enjoy lower operational costs. And this means going beyond a ‘paperless’ office!
Insurance companies need to ensure they embrace the cultural shift across the whole organisation. Without this, data and communication will break down between departments, and they will fail to unlock the efficiencies of digital.
Digital marketing was found to be “very much separate” from the rest of the company by nearly a quarter of respondents to the Adobe and Econsultancy survey.
Just like any other sector, insurance companies can reap the rewards digital transformation has to offer.
Fireworx can help you build long-term customer relationships through your digital channels and improve the customer journey. To find out how to take advantage of these disruptive insurance marketing trends, give us a call today.