In my last blog post, I explained how the digital age is forcing insurers to re-examine their definition of loyalty, and to reimagine the entire customer experience as an opportunity to foster customer loyalty. Every interaction is an opportunity to deliver a personalized, relevant experience to provide customers with more value and better outcomes.
Accenture recommends five actions to drive loyalty in the digital age:
- Deconstruct existing loyalty programs. Typically, only a portion of a program generates sustainable loyalty. Insurers should examine their entire program and its components, keep what works and fund new capabilities that will contribute to its success.
- Focus on experience, not discounts. Insurers should design a loyalty program based on customer experience, such as exclusive access or the ability to obtain new rewards as loyalty grows. Importantly, loyalty programs must deliver what the brand promises—there is no faster way to lose a customer than to overpromise and underdeliver.
- Make loyalty part of the end-to-end customer experience. Insurers must align every step in the customer lifecycle with an interaction, and each interaction with an experience that fosters loyalty.
- Expand the ecosystem of loyalty partners. By aligning with organizations with complementary offerings, insurers can expand into adjacent spaces and become part of customers’ everyday lives.
- Make loyalty an enterprise objective. Done properly, obtaining customer loyalty benefits the entire enterprise. Accordingly, customer loyalty must be a priority throughout the business, with clearly defined metrics, ownership and accountability.
Learn more about Is Digital Killing Loyalty? including three examples of how forward-thinking companies have placed and won loyalty bets.