Editor's Note: In this era of digitalization, all industries that are not keeping pace with the times will fall behind. Only by constantly innovating and changing ourselves can life insurance companies find a way out in the future. McKinsey recently published a paper describing the current situation of life insurance companies in terms of digitalization and analyzing the direction of digital reform. The following is the text.
Life insurance companies are post-knowledge people in the digital age. This phenomenon must be changed.
In the mid-1970s, 38-year-old entrepreneur Charles Schwab began reforms. He founded a new brokerage firm that offers discount commissions and self-service telephone services. This company has enabled customers to finally have the ability to buy their own stocks and bonds. His company's computerization was many years ahead of the big companies on Wall Street, and he changed the way brokerages work and how customers manage their investments.
Similar changes are emerging in the life insurance industry, but so far the digitalization process has been slow. Life insurance companies still sell in the same way as they do, and they are sold to clients by brokers, rather than getting people involved in the buying process and making their own decisions. In addition, policy sales still require a lot of face-to-face communication and signing too many instruments.
However, today's customers need speed, relevance and convenience no matter what channel they use or what they buy. The insurance industry is no exception. Every month, millions of people search for terms related to life insurance in Google. The top ten operator websites for life insurance each month have millions of visits. This means that people are interested in online life insurance. But searching, evaluating and buying policies on the web is still not as easy as imagined. More than 70% of people like to collect life insurance information on the Internet, but less than 33% of people eventually buy life insurance on the Internet.
In order to stay ahead of the digital revolution, this requires operators to provide a full range of customer service. Regardless of how customers choose to contact them, operators must provide attractive service methods. This is not just as simple as creating a mobile app. It requires fundamental changes in the organization's operational capabilities and ways of thinking. This affects agent roles and new advanced data analysis capabilities.
Operators must make changes in three areas: (1) modernizing all channels of customer communication, (2) channel interconnection to provide a comprehensive customer experience, and (3) creating personalization by analyzing extensive and ever-expanding digital user data. product.
Aspect 1: Digitalization – existing channel modernization
There are great opportunities for modernizing channels. First, incorporating life insurance into people's daily lives and using daily life events as a starting point for purchasing life insurance should be one of the top priorities for each operator. Fortunately, the opportunity already exists. People post life on social media and search for life insurance information through social networks. Operators only need to use social media platforms to listen to such tools to discover contacts and proactively contact potential customers early.
The second condition is to redesign and automate the interactive process so that customers don't have to wait another 30 days to get a response, and they won't let customers abandon the use of the site because the site information has expired or is difficult to find.
Operators should use technologies such as click-to-call, collaborative processing, and live video chat to enable customers to interact based on their needs. Electronic signatures can replace all the cumbersome paperwork. Such innovations not only improve the customer experience, but also improve operational efficiency. QNB FinansBA nk redesigned the loan application process to serve existing customers through the company's mobile app. The work required for a large number of documents has been modified so that customers can complete the “discovery†to “complete loan approval†in less than a minute, which is beneficial to both the company and the customer.
Finally, operators can use existing technology to digitize the agent's daily life. Customer information and interactions can be digitally managed through CRM tools, and advanced analytics can turn result data into an entry point to improve sales techniques.
Aspect 2: Differentiation - Delivering a superior customer experience
A good customer experience can create a strong competitive advantage, love base, net worth, and information. To achieve this goal, operators need to understand customers more deeply, not just basic demographic information and network habits. Companies can conduct quantitative and qualitative insights into customer behavior, pain, motivation, and desire based on individual consumers or developing “target customers.†For example, a hypothetical merger of the characteristics and behavior of a given customer segment is given.
Such customer intelligence should be concentrated in a "view repository" and link information such as activities on social media, purchase transactions, online behavior, family financial details, and demographics. This technology already exists. Companies like Pega Systems and ClickFox1 offer many online and offline tracking customer applications, and can mix data from multiple sources to create a unified view of different customer segments.
Once the unified view of the customer base is in place, the operator can accurately assess the customer's needs and personalize the interaction in a way that is appreciated. For example, some customers will prefer to use remote and/or automated consulting models (such as online chat features). Leading financial services organizations have begun to use chat robot 300024 to buy , for example, Facebook MessenGE r. Or start to develop a solution, such as aPP ointy.com can arrange for customers to talk to consultants. While some customers can solve problems through robotics and online self-service, many customers prefer to rely on consultants to help them with complex financial planning and to sort through the most personal conditions. Here, digital tools can help consultants in the background, allowing consultants to easily filter policies, summarize different products, and quickly match customer profiles. Ideally, an insightful profile would include specifying the relationship between the consumer and the company, whether or not the consumer has other types of policies, registration information, or initial inquiries. Aspect 3: Destruction - Using data to create personalized products and services
In the next five to seven years, the most devastating and successful life insurance companies will be those that are driven by customer needs and preferences to develop products, services and consumer digital experiences. There are four ways to personalize such products and services.
The first is risk taking. People's choices will no longer be limited to term life insurance, universal life insurance, or life insurance. It is the product that best reflects the customer's current life stage and risk appetite.
Secondly, the product can be personalized by serving the customer's contacts at specific times. For example, a new policy for online parents looking for baby products can be used to make short-term savings for specific goals, such as health emergencies or college savings, and then switch to retirement savings. The banking and retail industries have begun this more personalized path.
Third, the message itself can be customized according to the needs and wishes of the customer. Life insurance is fundamentally a customer's trust in operators. Marketing information should be based on this emotional connection to enhance the resonance between the operator and the customer.
Finally, the pricing of personalized products can be adjusted based on customer behavior, usage patterns, and the need to reduce losses. The US auto insurance policy has begun to use such pricing methods.
To achieve such a complex product customization, operators will need to invest in several new features: First, tools with data collection and analysis that have the ability to mark customer lifecycle changes and events. Second, with a customer interaction engine that accurately locates touchpoints and responds to company information in real time (what is beneficial to the customer's buying behavior company). Finally, the insurance company needs to become a custom based on customer behavior, usage patterns and pricing preferences. Products and bundled products factory.
Overcoming three major challenges
Any company that wants to succeed in digital innovation and omni-directional control must focus on customers like lasers, rather than observing customers through the channels generated by small teams, organizational agility, and testing and learning methods with real customers. They must also abandon ideas that don't work, invest in things that can succeed, and create key performance indicators that drive value.
However, insurance companies will also face three major challenges. The first is the lack of faith. Change is imminent and they must respond. Given the slow pace of innovation in the industry, it is understandable that even executives who are aware of change will feel that they have enough time to react. But the reality is that success with digital transformation capabilities can take a long time, and savvy leaders will build on their ability before the change begins. For example, there has been a talent war. Insurers should invest a lot of resources to develop organizational culture with digital knowledge and thinking, and to attract those who can make the transition when the time is right. For example, Allianz has invested 650 million euros to develop next-generation digital capabilities to carry more than 85 million customers. Operators need to ask themselves: If we don't invest like Allianz, will we be competitive in the future?
The second challenge is that consultants refuse to work on customer relationship management (CRM). Customers are the lifeblood of consultants, and it is understandable that they are not willing to share customers with the company. As a result, the leadership needs to clarify clearly the reasons for any change or the benefits of new technologies (especially its time-saving value and the potential to increase customer and revenue). More importantly, each company should initially consider the behavior and motivation of the consultant in this area. In fact, consultants should be considered “internal consumersâ€. For example, in the development of digital tools, it is also very important to consider consultants. Because consultants use tools or tools to communicate with customers. And consultants can provide valuable feedback to determine if it is useful and how it needs to be improved.
The third and final challenge for insurance companies is the legacy of IT systems. These products are not compatible with a full range of digital worlds. We recommend a phased approach to accelerate IT consolidation and facilitate the development of comprehensive solutions. It can be used as a pilot program at the beginning, with the goal of testing and learning. At this point, IT personnel may need to manually enter data. Next, the product will evolve to a level of scalability that does not require human intervention.
Throughout the process, programming interfaces are used to move more and more data from traditional systems to strategic and reusable components, ultimately completing a service-based strategic solution. While legacy systems may not be completely erased, they can wrap the end of the new system and connect the end of the old system to enable a new and improved full-channel customer experience.
Just as consumers have changed in nature, so is the life insurance business. Without changing the way consumers interact, or not having the customer experience as an organization's top priority, they will find themselves downgraded to selling undifferentiated products that are not eager for purchase. Finally, the digitalization of life insurance is more about requiring new ways of thinking and working than using new technologies and methods.
Finished Coil Zipper,YKK Sustainable Zipper,YKK Conceal Zipper,YKK Waterproof Zipper
YKK AUTHORIZED DISTRIBUTOR , https://www.ykkzipperdw.com