Right mix of bricks and clicks: What customers want today (1 of 3)

In this podcast, I discuss the results of the Accenture US Insurance Consumer Survey. The survey was designed to examine consumer preferences and behaviors in the insurance industry. Based on the survey results, I share recommendations for how insurers can use market segmentation—the right mix of bricks and clicks—to target the appropriate market and improve customer loyalty.

Rationale for the Accenture US Insurance Consumer Survey

Respondents to the Accenture US Insurance Consumer Survey represented a cross-section of the US population. Respondents were required to be at least 18 years old and own at least one insurance product.

Why was Accenture focused on consumer preferences at a time when the insurance industry was heavily focused on high-level, structural issues? While the high-level discussion is important, we felt it was equally critical to concentrate on the people who are actually purchasing insurance products. We wanted to find out the driving factors behind a purchase.

Specifically, we wanted to learn:

  • What are consumer attitudes toward insurance companies?
  • How do consumers want to purchase products?
  • How do consumers want to interact with insurance companies?

Results of the Accenture US Consumer Insurance Survey

We have all heard doomsday predictions that the insurance agent is becoming obsolete. However, the survey results say otherwise. The agent is still the dominant distribution channel, though a growing demographic is very interested in purchasing insurance products online. This market segment represents a significant growth opportunity for insurers.

Market segmentation is key

With two distinct demographics—those who purchase insurance through an agent and those who prefer to buy online—it is clear that insurers must customize products and distribution channels to the specific target market. Further, insurers must re-assess their approach as a customer’s needs change.

By using market segmentation to continually engage customers with appropriate products, through appropriate channels, insurers can improve customer loyalty and retention and achieve high performance.

Read more in the rest of this series:

Michael Costonis

About Michael Costonis

Michael Costonis is Managing Director of Accenture’s Insurance practice for North America. He is responsible for setting the overall vision and strategy for the practice, as well as pursuing new client relationships.

Costonis has twenty years experience developing, managing and deploying large scale technology systems, business processes, and strategies for some of the world’s leading insurers, including property & casualty, life, and multi-line insurance companies. In his career with Accenture, he has worked with more than 50 leading insurance clients in 14 countries around the world.

In addition to his role as North America industry executive director, Costonis is the lead for Accenture’s global claims services. In that role, he oversees claims strategies, assets, capabilities, and sales development. He also has led Accenture’s Insurance Solutions practice in North America, where he was responsible for driving growth for Accenture’s asset-based business in Insurance, including claims, underwriting, and policy administration.

Costonis has authored several articles in leading insurance trade publications, and has been quoted in The New York Times, Bloomberg News, Reuters News, Best’s Review, Insurance & Technology, InformationWeek, National Underwriter, Technology Decisions, and the Philadelphia Inquirer. He has spoken at several leading industry conferences in the U.S. and internationally.

Costonis received a bachelor’s degree in political science from Swarthmore College (Swarthmore, PA). He is based in Philadelphia.

Email

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title="" rel=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>