In today’s competitive landscape, the lines between the products and prices offered by Asian insurance companies are increasingly blurring, forcing companies to find innovative ways to attract customer attention and secure their business. As a result, customer engagement and experience have become key to success. Despite insurance companies’ efforts to prioritize customer-centric approaches and personalized experiences, a staggering 74% of consumers have abandoned a purchase because they felt overwhelmed, according to “empower consumers“Accenture Global Consumer rStudy 2024.
Why does this happen? Based on Accenture’s recent research on global and Chinese markets, we summarize some key findings.
- Information overload: Consumers often encounter an overabundance of messages, causing them to become frustrated as they try to filter and verify messages. 62% of consumers feel overwhelmed by the abundance of choices.
- Crowded market: exist Reshaping relevance in an era of overloadWe found that nearly 80% of chief marketing officers (CMOs) across various industries in China pointed out that product offerings and marketing strategies have become homogeneous. While there are more choices, this creates confusion and decision-making paralysis for consumers.
- Changing customer expectations: Consumers are increasingly focused on buying brands rather than just products, and a positive brand experience is particularly important for insurance because purchase decisions are less frequent than with other consumer goods. To succeed in this complex environment, insurers must adapt, innovate and leverage technology to reinvent customer relationships.
With these factors in mind, this blog focuses on three levers to promote and sustain profitable growth through enhanced customer engagement and experience:
1. Use artificial intelligence to drive data-driven marketing:
Advances in data analytics and artificial intelligence are making it easier to be hyper-personalized, guiding customers through the decision-making process. 94% of Chinese chief marketing officers It is believed that Gen AI capabilities can help improve organizational efficiency and agility to respond to market needs.
The integration of artificial intelligence tools allows marketing campaigns to focus on relevant topics and upcoming shows, generating marketing messages to maintain attention. It also provides agents with customized recommendations and advanced insights based on customer interests, engagement history and lifestyle factors.
We are seeing insurance companies differentiate themselves by developing AI capabilities to match products to customers based on a variety of data factors and provide recommendations based on the degree of alignment between products and customer needs.
While data is the cornerstone of AI capabilities, many organizations still struggle 65% face challenges establishing an end-to-end data foundation. They often don’t know which data is relevant and aren’t sure where to start. As insurers navigate this complex landscape, prioritizing data organization and promoting collaboration between technology and human insights can unlock the transformative potential of artificial intelligence.
2. Employ marketing technology to drive innovation and speed
68% of Chinese chief marketing officers It feels like customer expectations are changing faster than companies can keep up. Being able to respond quickly to these needs is critical to success. To bridge this gap, insurance companies need to leverage marketing technology (martech) to gain a deeper understanding of customer preferences to enable faster responses through automated campaign workflows and more targeted marketing. This means delivering marketing campaigns that target each customer’s unique preferences at the right time and in the right format.
To further enhance marketing strategies, insurance companies should consider integrating martech into their core and data platforms. This integration creates a more seamless journey from campaign planning and execution to tracking, allowing marketing resources to focus on their primary mission—driving creative innovation—rather than getting bogged down in administrative work. We partner with a leading financial institution in Hong Kong Enhance its martech capabilities and improve its marketing operations. They launched a new strategy focused on leveraging insights from customer segmentation, product analytics and various media channels to engage customers through targeted marketing campaigns. This comprehensive approach has delivered impressive results: a 65% increase in new business, a 10% increase in reactivating existing customers, and a 25% improvement in marketing operations efficiency.
While customizing marketing strategies based on customer behavior and preferences, martech should also implement omni-channel capabilities across multiple touch points. Ensuring consistent messaging and seamless transitions across channels helps insurers effectively engage with customers and deliver a cohesive brand experience.
3. Promote meaningful interactions and build a customer-centric ecosystem
When products and services become highly homogeneous across companies, customers will evaluate them not only based on the transactional relationship, but more importantly on their broader experience with the brand. They seek unique and memorable interactions that may not be directly related to the product they purchase. 76% of shoppers People who find joy in shopping are likely to recommend a brand to others, highlighting how positive and engaging experiences can greatly impact brand advocacy and customer loyalty. This emphasis on unique experiences is particularly important for the insurance industry, where purchase decisions are less frequent than for other consumer products.
Insurers can build ecosystems internally by integrating various product lines and services, or they can expand expertise by working with external ecosystem partners. In fact, few insurance companies are already leveraging ecosystems to bring value-added experiences and expand their customer base. This can include partnerships with organizations in the health and wellness, retail, entertainment and travel sectors to provide policyholders with unique benefits and experiences. They can also organize events such as outdoor yoga classes, running events and outdoor movie nights, positioning themselves as a comprehensive health and wellness partner.
For example, an insurance company in Hong Kong Enter Cross-industry partnership with Online FThe Dining Guide platform offers exclusive loyalty experiences, health and wellness rewards, and is the first insurance company in Hong Kong to provide coverage for dining experience-related accidents.
To truly stand out, insurance companies must strive to deliver unique and memorable experiences. While most customers may not understand the technical differences between the products offered by different insurance companies, they do realize when they encounter a special “wow” moment. Assessing your current position among competitors and actively seeking ways to deliver a unique experience can help your brand leave a lasting impression on your customers.
in conclusion
Standing out with a unique experience is key to ensuring lasting customer relationships and leading the way in the dynamic insurance space. As insurers navigate this challenging space, their dedication to customer engagement and differentiation will serve as a catalyst for continued business growth. We believe the insights we glean in Asia can inspire future customer engagement efforts by leading insurance companies in other regions.
