As competition increases in the insurance industry, the market is experiencing saturation with products, options and competitive alternatives. This is leading to sophisticated buyers with a wider range of options to choose from.
To succeed in today’s crowded insurance marketplace, insurers need to understand that their business model must change focus. To compete, they must engage customers in real time and most importantly, deliver a personalized and customized user experience.
Thankfully, there are lots of opportunities for competitive differentiation for forward-thinking insurance companies, as the insurance industry is not traditionally known for offering customization. For generations, customers have had to choose from the options insurance companies provided, rather than what they wanted, or needed.
By offering hyper-personal experiences, companies can increase engagement in insurance, and in doing so, stand out from the crowd and become, or remain, their insurer of choice.
Personalization = Customer Retention
Personalized recommendations have become an ingrained part of our daily digital lives. Whether it’s Netflix suggesting movies or Amazon offering product specials, consumers are used to receiving personalized offers and customized solutions to meet their needs.
Although all the stats point to customer experiences being crucial in customer retention, many insurance providers are lagging and have not been able to deliver what their customers want in this regard.
Insurance companies can capture 40% more revenue from personalization tactics or actions.
Customers have come to expect a personalized approach in everything they do, and that includes their insurance. Customers want personalized offers, pricing and plan recommendations from their insurance providers. If a company can’t meet these needs, they may look elsewhere for a better fit.
Increase Engagement with High-Value Interactions
Insurers who want to deliver personalized services need to have a better understanding of customers’ behaviors and actions. They must focus on user experiences and use those insights to craft customized, frequent and high-value interactions.
Some ways to offer a highly personalized customer-centric experience include:
- Using more common words and less ‘insurance industry’ jargon. Not everyone understands the terminology, so this leads to less customer confusion and frustration.
- Engaging with customers more often, throughout the year, not only at renewal time. This works to build more engaging relationships.
- Add new channels to communicate with customers and offer a hybrid personalized experience that includes in-person and digital marketing. This is a great tool for customer education and answering questions about policies and claims.
Of these suggestions recently adopted by insurers, the last offers the most far-reaching benefits. Insurers that can reach their customers at the right time, with the right offering, can drive more leads, boost revenue and improve loyalty with results in lowered churn.
Increase Customer Satisfaction and Loyalty with Personalized Video
It’s time for insurers to jump on the personalization bandwagon. With personalization creeping into every aspect of our digital lives, the insurance industry has an opportunity to improve customer experience. From better customer service to more tailored offerings, there are numerous opportunities to increase customer loyalty and satisfaction.
As part of a personalized, data-driven approach to customer communications management (CCM), interactive videos can be used throughout the customer lifecycle to boost engagement and loyalty.
Video visually engages customers, and personalization is a powerful way to deliver information and offers that resonate.
From explaining supplemental insurance options to employees, offering customized insurance quotes, tailoring insurance bundles or streamlining highly relevant communications, personalized interactive videos can help move past transactional relationships to become trusted advisors’ customers want to hear from.
Personalized videos make it easier for customers to understand their insurance options quickly and easily. Simplifying complex information and enabling viewers to make informed decisions, increases engagement and acquisition, improves the onboarding experience, generates more online engagement and opportunities to upsell and cross-sell solutions to existing clients. Visual engagement and real-time interactivity made possible through video provides the ‘personal touch’ that drives increased customer satisfaction, better engagement and high conversion rates.
Jason Pothen has 22+ years of experience serving a diverse array of industries, across a wide range of print and digital communication technologies. Prior to joining Doxim in July 2020, he was a Senior Client Services Manager at Taylor Communications. In his current position as Senior Vice President, Sales, Jason is focused on developing long-term client relationships to facilitate account growth and expedient conflict resolution. He possesses deep knowledge in communication management for regulated industries, with a particular focus on the Utilities, Insurance, Healthcare, and Consumer Finance sectors.
