Last week we discussed the higher value-generation expectations that Digital Transformers have for their digital investments. This week I would like to take a look in more detail at how Digital Transformers plan to leverage their digital strategy to differentiate themselves in the marketplace.

One of the most interesting differences in approach certainly relates to their views and priorities in terms of revenue generation.

What will contribute most to premium growth?
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As you can see, Digital Transformers are much more focused on attracting digital customers than on improving the efficiency of traditional channels. It’s also interesting to note that they are more sharply focused on launching new digitally enabled products and services than the rest of the pack. In line with this second priority, Digital Transformers are much more advanced in leveraging all forms of connected insurance to transform their relationship with customers, and correspondingly expect this strategy to deliver a much higher proportion of their revenues in the next three years.

When we asked CEOs what stage their companies have reached in the implementation of digital solutions such as telematics, personalized real-time services and connected homes/buildings, we tracked the following:

Emerging topics in digital transformers
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This is very much in line with one of my mantras: Connected insurance, while challenging in requiring new capabilities, is a fantastic opportunity for insurers to deepen their connections with their customers and build an ecosystem of value-added service providers – offering, for instance, merged connected car and connected home insurance services.

So expect to see a lot of activity in this space throughout 2015, as the most active Digital Transformers combine new partnerships and new digital capabilities to achieve deeper segmentation and personalization to differentiate themselves and their offerings.

Next week, I will conclude this discussion on the Digital Innovation Survey results with a look at the steps you can take to begin implementing your own digital strategy.

For more information download the report: Accenture Digital Innovation Survey 2014: Seizing the opportunities of digital transformation and explore the data using our data visualization tool.

 

Other papers on the topic that you might find interesting:

CMOs: Time for digital transformation Or risk being left on the sidelines

Accenture 2013 Consumer-Driven Innovation Survey: Playing to win

Read our latest thinking on Customer Centricity

Double the profits: How high-performance insurers can create business value from digital transformation

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