Other parts of this series:
Those insurers that adapt and become a living business will reap huge benefits
Exciting opportunities await insurers that hone their focus on their customers. Our research, and our own experience across the UK insurance industry, have confirmed that the most important strategic shift an insurer could make in today’s market is to become a ‘living business’. In the context of rapidly evolving customer attitudes and near-certain disruption from digital competitors, insurers should take every opportunity to adapt and become more relevant within their market.
Defining a living business
At Accenture, we define a living business as one with a highly adaptable, customer-centric approach, underscored by a willingness to try new operating models and new, data-driven product offerings.
How to get there
Bringing the customer-centric opportunity to life requires sophisticated capabilities in data and technology. Above all, it requires a cultural shift – a mindset open to innovation, experimentation and change within the core leadership team, and across the business itself. While the merits of becoming a living business are clear, the key question faced by insurers is which growth opportunities to pursue without abandoning the core business.
The path to value
In the earlier posts in this series I defined a path for insurers to turn their focus to foster a customer focus and unlock new value.
- Step 1 – Prioritise
Identify the greatest opportunities for growth in your business in terms of your ability to deliver customer and business value.
- Step 2 – Experiment
Start to experiment with new customer propositions and experiences (‘treatments’) to capture the opportunities identified in your prioritise step.
- Step 3 – Optimise
Select the best-performing treatments and roll them out to a wider customer base, while continuing to track their impact across a defined set of KPIs.
In conclusion, there is no question that insurers need to become more customer-focused; the only consideration is how they do so. Insurers that prioritise carefully, test and roll out plans mindfully and scale them across the business will be sure to reap the rewards.
The full presentation can be accessed and downloaded here. If you would like to discuss your journey to becoming a living business, contact me.