Digital Transformation within the insurance industry is reshaping the way in which traditional insurance companies interact with their customers. In recent years, the emergence of both comparison sites and Insuretechs has resulted in the growth of both competition and customer churn, making digital transformation crucial to survival. Creating a desirable end-end customer experience not only adds value to the customer journey through enhanced convenience, personalisation and ease of use, but also provides ample opportunity for insurers to maintain a competitive edge. Nevertheless, the implementation of a successful digital transformation strategy presents several challenges, especially in an industry where the avoidance of risk is embedded within its DNA.
5 ways insurers can put their customers first
Provide easy access to your services
One of the most important things customers will look at when purchasing anything is how seamless their journey will be. Having a simple, user-friendly website that is always accessible is one of the first steps involved in granting customers this easy access to your products and services. Consumers are increasingly interested in looking to do more of the work when it comes to purchasing insurance. Consider offering a service that allows them to find out online quotes and use a partner or service to help you deliver this to them.
Gain insight on what the customers want
Find out why your consumers choose your insurance company over others. This can be done by reaching out to your customers via phone or sending them a personal e-mail asking what made them buy from you, why they stay with you and what you offer that other insurers don’t. Additionally, make sure you are engaging in social media activity and solicit feedback. It is important to get feedback on review websites and for you to interact with your audience on these sites, not only does it provide you with valuable insight into how you can maintain your customer base, but it also showcases your credibility to new potential customers.
Provide acknowledgements and reward programs
Loyalty and upselling tools such as bonus programs can be delivered digitally to customers and help provide incentive for them to stay. Loyalty is good for business. Companies that win the loyalty of their customer’s ﬁnd that they will purchase more products, recommend the company to others and be more inclined to remain with them despite competitive offerings elsewhere. Higher loyalty means lower churn, thus helping businesses reduce costs and expand margins. Effective loyalty programmes make it easy for members to redeem benefits and claim rewards. They don’t make the sign-up process lengthy or force people to log-in to numerous websites just to claim the correct codes to use at checkout. An easy, but effective way to add value to your products.
Deliver on Your Promises
Give them something good to talk about. The importance of providing an exceptional customer experience is even more significant now that customers have the ability to share their experiences immediately online and over social media. Provide your customer with an exceptional experience offering them solutions to problems before they even have to ask.
Know How to Adapt
In today’s world, the pace of change is continuing to intensify and accelerate, making the market increasingly competitive. Insurers taking a “wait and see” or “fast follower” approach must realize that Digital Insurance is just the beginning. Technology is rapidly changing how consumers want to research and purchase insurance. That doesn’t mean you need to become a digital direct-to-consumer producer. After all, your customers work with you because they value the personal relationship, but they also expect transactions to be fast and efficient. Don’t forget, your consumers will interact through the channel that’s most convenient at the moment, so you need to be available and ready to respond.