Insurers’ perception of the effectiveness of their digital investments falls short of their customers’ expectations.
When I ask insurance executives how their digital strategies are panning out I get a wide range of answers. Most often, they’re happy because they don’t see any major gap with their competitors.
Most carriers recognize the importance of harnessing the power of digital technology to improve their customer experience. Many are committing substantial resources to their digital strategies. And some have begun implementing impressive digital solutions.
A recent global survey by Forrester Consulting, commissioned by Accenture, found that 75 percent of insurers believe their digital customer experiences meet customer expectations. And 9 percent reckon they exceed expectations.
How does this match up with what customers are saying? According to Accenture’s 2014 Global Consumer Pulse Survey, 15 percent of consumers are satisfied with the digital experiences their insurers provide. So there appears to be a considerable gap between what customers would like, and what insurers are providing.
The Forrester research points to some reasons for this disparity. Despite insurers’ confidence, only 14 percent of the respondents said they have mastered digital technology to the point that it differentiates them from their competitors.
If this is the case, carriers need to act fast. Their customers won’t wait long for them to improve their digital services. And there is no shortage of both traditional competitors and new ones from outside the industry trying to win them over..
The Forrester study highlighted several other reasons why carriers are not making the most of their investments in digital technology. In my next blog I’ll examine some of these obstacles. Until then, take a look at the full report. I think you will also find these other links interesting.Beyond Insurance: Embracing Innovation to Monetize Disruption