Insurance: Are We Making the Most of The Mobile Opportunity?

IS THE INSURANCE INDUSTRY MAKING THE MOST OF THE MOBILE OPPORTUNITY?

Every industry is being taken over by mobile marketing and insurance is definitely no exception.

More and more insurance consumers are spending time on their mobile devices.  Researching, comparing quotes, ratings and reviews, watching videos, and vitally making decisions and purchases. Every insurance industry mobile strategy needs to be clear and well calibrated for today’s market.

Mobile is a now an essential channel to reach today’s mobile insurance consumers. Brands can drive awareness, traffic, leads and ultimately conversions.  However, far too many insurers are not progressing their products and marketing strategies fast enough to benefit from this change.

 

Legacy holds no future:

Mobile internet penetration in the UK is expected to grow from 73.91% in 2016 to 84.55% during 2021. (Statista 2018) This means that there is only direction of travel. The insurance industry needs to move faster to embrace this powerful medium and platform.

Insurance businesses must be prepared and proactive about their mobile strategy. It’s crucial because a successful mobile offering is fundamental to an insurance company’s future success.

The challenge for many insurance businesses is the expense of migrating to new systems and technologies. These need to work across the operation and support a mobile front-end customer experience.

Legacy approaches and technology are providing a real barrier to capitalising on this opportunity.  Only the few progressive businesses, start-ups and insure-tech businesses are succeeding. Many successful insurance brands could be characterized as ‘traditionalists rather than technologists’ until now. However, mobile is the game changer. Mobile offers a ‘once-in-a-generation’ opportunity to both reduce distribution costs as well as generating new and profitable revenues and growth. Insurance businesses that haven’t yet identified this will certainly feel the fallout. Whether it’s direct, affinity or via brokers or even aggregated, everyone will need to ditch the ways of old as legacy technologies and traditional models will no longer hold a path to the future.

Affinity insurance organisations and providers will have to provide highly efficient mobile first journeys. From great front-ends, quote & buy to post-purchase and ancillary revenues.

 

Interaction to change perceptions

Mobile is a key platform which has the ability to improve consumer perceptions and levels of engagement with insurance as a whole. Gamification, IoT, connected and wearable technologies will become powerful levers to build greater customer engagement. These will mean enriched digital experiences as well as more customer-centric business models. Models such as pay-as-you-live offerings and UBI (Usage Based Insurance), will soon become the norm.

This shift in the way in which we can interact with new insurance propositions, may even change attitudes over time about the role of insurance in our lives.

Look at how connected insurers can now utilise the power of available web-based data to make quotation journeys easier for consumers.  You certainly know things are progressing.  Some insurance businesses are now delivering assumptive pre-population of fields. They are reducing the question set no more than 10 simple questions.  This can get a quote completed, even home insurance, through use of AI and scraping tools. These experiential improvements will make purchasing insurance on mobile even more popular too.

Click to call.  Mobile is the perfect platform to migrate in-hand screen research to voice with one click.  60% of mobile shoppers find it important to be able to call an insurance company (Google) during the purchase process.  It’s a natural progression and should be part of the customer journey.  When things get more complicated, calls can help to avoid losing the sale.

There are lots more ways to reach today’s mobile insurance consumers. Target them at different stages of research and provide exceptional experiences to ensure your brand stays top of mind.

 

1. Engage Your Audience with Video

By 2021 video is forecast to represent 82% (Cisco/Google). Video is a particularly powerful marketing tool for mobile users.  They can watch video content on the go as compared to reading pages of content.

Video can be used in a variety of ways to engage new prospects. It can also create brand loyalty among your existing customers. Here a just a few ideas as a starter:

  • Engaging Promotional Videos: Social, viral or even mini ads can be created to drive great levels of engagement and enhance your search ratings. Whether these are empathetic mini-stories or funny sharing content, they all help.
  • Client Testimonials:  Remember your audience is seeking authenticity and looking for real testimonials.  They don’t always have to be super professional or perfect. What’s key is that they don’t become promotional as in this context they don’t want to hear how great your cover or service is or how many awards you’ve won! Engender and include client responses, feedback and thoughts that will help prospects overcome specific objections.
  • Frequently Asked Questions: Establish your company as a brand that’s interested and who cares about its customers and provide a place they can freely go to for answers.
  • Educational/Informational Videos: Inform and educate your audience (without being condescending) on the importance of being insured, provide helpful tips, create “welcome aboard” videos for your new customers. Create Videos that can do anything to showcase your brand as a leading authority.  This will go a long way to establish confidence yourself as a trusted advisor.

 

2. Go Mobile First or at least Optimize Your Website for Mobile

If you can’t yet go mobile-first, or your mobile user volumes don’t support the case yet, make sure your website is at least mobile-responsive and has some fast load times.

43% of customers are unlikely to return to a mobile site that loads slowly.  74% of mobile site visitors wait up to 5 seconds, but 60% wait less than 3 seconds and never return. (source Gartner)

Last year Google announced that it will rank mobile-optimized sites higher in search results. There’s a significant boost over other sites for those that work well on a mobile device. Those insurance brands who invest in creating a great mobile experience, and created a great website, must also be sure of not falling off the radar with new prospects by not getting found in search.

 

3. Mobile Apps

Mobile apps are not new to insurance. Around 78% of companies now offer consumers the ability to report claims online.  79% offer that capability via a mobile device (Insurance Journal).

Consumers want convenience and access to their information wherever they are and your app should serve a variety of roles. In addition to “standard” content customers can find in a mobile app—such as their policy number or payment due date— apps are becoming more sophisticated in the types of features they offer. You only have to look at how organisations like Vitality have pushed the envelope.  They have wrapped a life solution around their product. Increasing data and engagement but also a greater all-round customer experience.

Insurance Mobile Strategies for Health

For example, if customers are uncertain of what policy they need, mobile apps can offer “e-advice”. If a customer gets into a car accident, apps can provide an easy way to file claims.  They can contact roadside assistance, or offer step-by-step instructions on what to do in an accident. All of which is available through many of the motor telematics insurance propositions. Apps can even use location-based services to track where an accident took place or provide services to locate and contact an auto repair shop – all helpful stuff.

Ultimately we think mobile apps should provide convenience, enhance the brand experience and be seen as a direct link to companies wherever and whenever customers need them.

 

4. Personalise Mobile Email Messages

It’s an obvious one but it’s amazing how this one slips under the net. In 2016, 67.2% consumers used a smartphone to check their email, according to research by BlueHornet but this has also increased to 81% (source Adobe “Email Use 2017 – US Report” (2018)).

Given those stats it’s now essential to ensure emails are mobile-optimized and use personalisation to make every campaign count. Personalised emails improve click-through rate by an average of >14% and conversions by >10% (Aberdeen).

When consumers were asked about what they liked least about receiving email messages on their phones, 39% said it was that they weren’t relevant.

Very interestingly, and in keeping with the importance of being mobile, 32% said that the email was too small to read and interact with. 26% stated that, “when I click through it’s too hard to see their full web-site on my mobile phone”. (source: Relevancy Group report 2017)

If you don’t have the data you need to send personalized email offers, consider using a third-party data source to append your prospect records. Common types of data that can be added for personalization include; demographics such as full name, age, home ownership, occupation, gender, estimated income, credit card, language spoken, hobbies, purchase behaviour, and lifestyle interests. Motor insurance providers should also consider specialty motor data on VINs (including make, model, year) or data on consumers who have just bought/sold a car or privately listed a car for sale. Most Life and property insurance brokers and providers should consider new mover data, though of course ensure GDPR compliance.

Consumers expect a fully interactive mobile experience offering easy access to product information on any device. This means mobile-first design and mobile optimised experiences for insurance ‘retailers’ who want to maintain and enhance their competitive advantage.

Key Takeaways:

  • Mobile’s pervasiveness is creating a fundamental shift in the insurance market
  • A crucial differentiator will be Mobile insurance access,  as well as being a source of competitive advantage
  • The primary portal for insurers and customers will soon be mobile (including third parties such as brokers, agents, and advisors). It is the place to interact, manage risk, engage services, and more
  • Mobile has shifted power from insurers to customers, who will readily embrace mobile-only companies for higher efficiencies and lower costs related tasks, such as reviewing policy information.
  • Insurance brands have the ability to create closer more sustainable relationships with customers through mobile
  • Mobile will also enhance CPA and revenue performance

The Opportunity:

Mobile is the future of personal and protection line insurance. And it’s here now. Those who move fast to adopt will benefit most and take big leaps ahead of slower moving businesses and gain the competitive advantage, they will enhance their conversion ratios and improve customer experience.

To discover more about how to make the most of Mobile, talk to us here at mobile specialist, Mobylise™.