Last week, I introduced the idea of advice-led distribution for life insurance, and explained that insurers need the right customers, and the right offers and experiences, to create competitive differentiation. This week, I’ll discuss the three other pieces of the puzzle.
The right operating model
If insurers must create a seamless, multi-channel customer experience, then it follows that their operating model, technology and infrastructure must be able to support such an experience. However, most insurers are based on product-centric structures, rather than customer-centric ones. Insurers must deal with the need to separate product manufacturing from distribution, and embed separate measures of success.
The right talent
While technology underpins much of a multi-channel distribution strategy, insurers mustn’t overlook the importance of managing and deploying talent. As technology takes over insurance transactions, insurers need advisors who can address complex questions and foster customer relationships.
For instance, insurers should:
- Assess their hiring and retention strategies.
- Align sales and services expertise with customer segments.
- Employ collaboration techniques and technology.
The right metrics
A customer-centric distribution strategy is a “test and learn” strategy, with continual refinement and optimization. Insurers should design the customer experience to contain specific calls to action that can be captured and measured. Further, performance metrics should be updated from product-centric goals to customer-centric goals.
Accenture believes that to create profitable growth, life insurers must shift from product-centricity to customer-centricity. Doing so can create the competitive differentiation that’s needed into today’s competitive environment.
To learn more, download Achieving High Performance in Advice-Led Distribution.