Our global study of digital insurance distribution revealed six areas that insurers should focus on. This week, I’ll discuss the push to create more intimate customer experiences.
Insight-driven customer experiences: Striving for intimacy
The survey found that 58 percent of insurers are prioritizing a move to a more customer-centric model, and the same number are prioritizing the use of customer data analytics at the point of sale.
Many insurers are striving to foster intimacy with the customer. To achieve this, they need to know their customers, their preferences, behaviors and needs—and be able to assemble these data points into a single view of the customer. However, knowing the customer is not enough. Insurers must also be flexible enough to take each customer profile and create a personalized, highly relevant customer experience through tailored products and services, actions and marketing messages delivered through the optimal channel at the right time.
This strategy of “know and flex” is central to the idea of insight-driven customer experiences. Keys to success include collecting and analyzing data, and then orchestrating customer experiences across marketing, sales and service functions. Orchestration is crucial because customer journeys are no longer siloed: a service event may trigger awareness of a life change, which can trigger a marketing activity.
At the same time, insurers must grapple with one central weakness: insurance does not typically have as many customer interactions as other industries do. However, looming changes—notably, the Internet of Things—are creating opportunities for insurers to have more interactions with insurers. Those may not be strictly insurance-related, but through ecosystems and partnerships, insurers may be able to foster more frequent interactions with customers and their environment. The result? Stronger customer relationships, as well as access to real-time data about customer behavior, needs and wants.
We’ll be taking a short break on the Accenture Insurance Blog. I want to thank you for reading and commenting over the year, and wish you a safe and happy holiday season with your family and friends. I’ll be back on Wednesday, January 6 to discuss what our study found about the changing role of the insurance agent.
- Read Reimagining insurance distribution, part 1: Channel digitization.
- Register to download Reimagining insurance distribution: Distribution and Agency Management Survey (PDF).
- Email me to discuss how Accenture can help you leverage data and analytics to foster stronger customer relationships.