In today’s competitive landscape, the line between product and price offerings among Asian insurers is blurred, finding innovative ways to attract customer attention and secure business I’m forcing it to do that. As a result, customer engagement and experience became paramount to success. Despite the customer-centric approach and the efforts of insurers to prioritize personalized experiences, 74% of consumers felt overwhelmed and abandoned their purchases.Authorized Consumers”Accenture’s global consumer rEsearch 2024. Furthermore, consumer trust and loyalty remain surprisingly low, with only 39% of consumers believing that businesses have sincerely the highest interest.
Why is this happening? We have summarized some important findings, both globally and in the Chinese market, as well as in recent studies conducted by Accenture.
- Information overload: Consumers often encounter excessive information and struggle with filtering and verifying information, leading to frustration. 62% of consumers Feel overwhelmed by the abundant options available.
- Crowded market: in Reinventing the relevance of an era of overloadfound that almost 80% of Chief Marketing Officers (CMOs) across China’s industry noted that their product offering and marketing strategies are homogenized. There are more options, but this has caused confusion and decision paralysis among consumers.
- Evolving customer expectations: Consumers are increasingly focused on buying brands, not just buying products. A positive brand experience is particularly important for insurance, as purchasing decisions are less frequent compared to other consumer goods. To succeed in this complex environment, insurers need to reform their customer relationships through adapting, innovating and utilizing technology.
Taking these into consideration, this blog focuses on three levers to promote and maintain profitable growth by improving customer engagement and experience.
1. Drive data-driven marketing using AI.
Advances in data analytics and artificial intelligence make superpersonalisation more accessible and guides customers through their decision-making journey. 94% of Chinese CMOs We believe that GEN AI’s capabilities will help to increase organizational efficiency and agility in response to market demand.
The integration of AI tools allows marketing campaigns to focus on relevant topics and upcoming plays, generating marketing messages to keep you on the mind. It also enables agents with customized recommendations and advanced insights based on customer interests, engagement history and lifestyle factors.
By developing AI capabilities that match products to customers based on various data factors, insurers distinguish themselves and provide recommendations based on the degree of alignment between the product and the customer’s needs . Demand for Usage and behavior-based products and services It has been going on since the Covid era in 2020.
Data is the foundation of AI capabilities, but many organizations struggle. 65% challenges in building end-to-end data foundations. They often lack clearly as to which data is relevant and are unsure where to start. As insurers navigate this complex landscape, the possibilities for AI transformation can be unlocked by fostering prioritization of data organizations and collaboration between technology and human insights.
2. Adopts marketing techniques to promote innovation and speed
68% of Chinese CMOs Customer expectations are evolving faster than companies can keep up. Being able to respond quickly to these requests is essential to success. To bridge this gap, insurers need to leverage marketing technology (Martech) to gain valuable insights into customer preferences, responding faster through automated campaign workflows and more targeted marketing It enables. This means offering campaigns at the right time and in the right format, tailoring to each customer’s unique preferences.
To further strengthen their marketing strategies, insurers should consider integrating Martech into their core and data platforms. This integration creates a more seamless journey from planning to tracking campaigns, allowing marketing resources to focus on key tasks that drive creative innovation rather than straying into management tasks. Masu. We collaborated with a major financial institution in Hong Kong. To enhance Martech capabilities and improve marketing operations. They launched a new strategy focused on attracting customers through targeted marketing campaigns, leveraging customer segmentation, product analysis, analytics and insights from various media channels. This comprehensive approach has produced impressive results. A 65% increase in new businesses, a 10% increase in reactivation of existing customers, and a 25% increase in efficiency in marketing operations.
While adjusting your marketing strategy based on customer behavior and preferences, Martech must enable omnichannel capabilities at multiple touchpoints. Ensuring consistent messaging and seamless transitions between channels enables insurers to effectively engage with customers and bring together a cohesive brand experience.
3. Promote meaningful interactions and build a customer-centric ecosystem
When products and services between companies become very uniform, customers will not only evaluate their business relationships but more importantly, their broader experience with the brand. They want unique and memorable interactions that may not directly relate to the product they are purchasing. 76% of shoppers Those who find joy in shopping are more likely to recommend a brand to others, highlighting how positive and engaging experiences can have a big impact on brand advocacy and customer loyalty. The emphasis on unique experiences is particularly important for the insurance industry where purchasing decisions are less frequent compared to other consumer goods.
Insurers can build ecosystems internally by integrating a variety of product lines and services, or by working with external ecosystem partners to expand their expertise. In fact, few insurers use ecosystems to bring value-added experiences and expand their customer base. This includes partnerships with health and wellness, retail, entertainment and travel organizations, providing policyholders with unique perks and experiences. You can also place events such as outdoor yoga classes, running events, and outdoor movie nights to position yourself as an inclusive health and wellness partner.
For example, one of the Hong Kong insurance companies enter Online and cross-industry partnership fThe Ood and Beverage Guide Platform offers exclusive loyalty experiences, health and wellness incentives, becoming Hong Kong’s first insurance company and protecting accidents related to dining experiences.
Because they are truly excellent, insurance companies must strive to provide a unique and memorable experience. Most customers may not grasp the technical disparities between the products offered by various insurance companies, but they do realize when they encounter exceptional “wow” moments. A proactive desire for ways to assess your current position among your competitors and provide a unique experience will help your brand leave a lasting impression on your customers.
Conclusion
Standing out in a unique experience is key to ensuring lasting customer relationships and leading the way in dynamic insurance situations. As insurance companies navigate this challenging topography, customer engagement and commitment to differentiation will catalyze sustained business growth. We believe that the insights we gather in Asia can inspire other regional major insurance companies for future customer engagement efforts.
Insurance Consumer Survey: See the People Behind Insurance. Insurance companies need to have a deeper understanding of the people behind their policies and can prepare solutions to create protection ecosystems to suit each unique risk profile.
