I recently read a case study on Esurance’s ebusiness strategy. There were many points which confirmed what we know to be true at Astonish Results. Independent insurance agencies MUST refine and develop their own ebusiness strategy if they don’t want to be left in the dust.
Here are just a couple “take-aways” from the case study. BTW, before I get into that, see the graph to the left that shows the share of online quotes. Esurance has 14% of the total.
Defined Customer Experience Process
Esurance analyzes the entire customer experience, from the point someone calls or visits their website to the time they decide to buy. They not only analyze, but they have a process to continually improve. They ask themselves, “What do we need the change; is it an obstacle to the customer; are there other alternatives?”
Having a strong commitment to see the world through your customers eyes and change what they’re seeing if it doesn’t impress them, will pay huge dividends.
Uses social marketing to generate demand
This is a strategy Astonish Results has been helping our clients implement. Facebook, YouTube and Twitter are all great avenues for getting the Independent Insurance Agent’s name out there.
According to the Forrester study, consumers’ use of social technologies exploded in 2008, with 75% of US online adults now participating in or consuming social media content at least once a month.
Develop closed-loop systems
This is something that I feel really passionate about. Insurance agencies have all this customer data, but they just aren’t using it to the full potential. To quote the study, “Traditional insurers typically have outdated legacy claims, policy administration, and customer database platforms. These disparate databases create silos of customer information, resulting in poor customer service experiences”.
“Silos” just means that the data is in different areas (databases) and are not connected to each other.
And again from the case study, “Esurance developed its infrastructure on .NET technology, integrating all customer data across service, marketing, and claims”.
It’s going to be increasingly important for Independent insurance agencies to mine their data and determine patterns that will allow them to be more effective and efficient for both selling and retaining customers. Currently, carriers use predictive modeling to price polices but the same information can be used for marketing activities.