Think Digital : Transform your life insurance agency model in Asia


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This presentation by The Digital Insurer was given at IDC conference in Singapore in September 2013.

It is a strategy for digital transformation and argues that tablet toolkits are the pivotal technology for that transformation to more digital and customer centric future.

Published in: Business, Economy & Finance

Think Digital : Transform your life insurance agency model in Asia

  1. 1. Enhancing the Agency Network – The Digital Advisor Hugh Terry Editor & Principal The Digital Insurer
  2. 2. Think Digital: Transform your Agency insurance business Presentation is online
  3. 3. Four Discussion Objectives 1. Digital – it is a revolution 2. Digital will transform face-to-face advisory channels 3. Tablets point of sales toolkits are pivotal 4. How to Transform? 3 Life Insurance as focus For today’s discussion If there is time…
  4. 4. The Digital Revolution: it will not be televised Digital Convenience • Always on • Always there • Universal • Almost free Digital Connectivity • Access to information (Google) • Access to each other (Facebook) • Access through devices (Apple) • Location-agnostic (cloud services) Digital Expectations • Data “on demand” • Desire for clarity & simplicity • Dialogue not monologue • Easy to promote a product .. and complain Change, Change, Change…. 4
  5. 5. Two digital “Mega” trends : forces beyond anyone’s control 1. Technology is cheaper and easier to implement than ever – it is the fulcrum to meet consumer needs, reduce operating costs and to change your culture 2. Changing consumer behaviour – they are demanding and seeking a different experience 5
  6. 6. 4 digital Insurance business opportunities (& threats) Create New Models 1. Pilot New Digital models : Partner with companies with digital assets to create new models 2. Digital Worksite Marketing: unlocking the hidden value in your employee benefits business Transform Existing Models 3. Transform Life insurance Advisory Businesses : The Digital Advisor 4. Digital Cross Selling: personal lines, asset management, banking 6 Focus for Today
  7. 7. Welcome to Digital Customers : they are “Hybrid” The hybrid customer is… • Better informed • More demanding • “Multi-channel” for both sales & services • Will jump channels at any point – catch them if you can! The Hybrid Customer Face To Face Online Phone 7 Myth #1: Digital is a new distribution channel Reality : Digital enables customer engagement
  8. 8. Anchored to basics : Digital Advisor strategies need to leverage insurance fundamentals Digital impacts Trust is at the heart of insurance As customer research on-line trust will need to be developed and leveraged on-line Trust must be earned and reinforced in every interaction Great insurance advisors - always in demand When customers research online they will research their advisors as well…. Less time face-to-face – but no less important Insurance advisors need to be more mobile (digitally & physically) Customer service matters Mobile technology provides opportunities for cost effective customer service differentiation. Customers will expect this – a hygiene factor very soon Cannot transform customer service with current “back “office 8
  9. 9. 9 /App
  10. 10. 1. Managing the Sales Funnel • Co-partnership models for lead generation • Apps to generate leads from the “digital cafes” • Analytics has a big role to play • Get the lead to the right person • Lead management systems to manage multiple leads , measure ROI and promote better practices Business outcome: - More leads - Better quality leads 10 1. LEADS
  11. 11. Policy Record Systems 11 Customer Experience Centre 2. Build a “digital eco-system” around legacy policy system to treat customers like customers • Customer portals/apps : an on-line marketing capability for customer engagement leading to cross sell / upsell opportunities • Customer experience centre : multi channel customer support to connect customer interactions – a digitally assisted customer service revolution (the engine room for converting “big” data into business) • Advisor portals: customer data and advisor performance Business outcome: - Building deeper, richer and better relationships with customers and advisors - Facilitate and co-partners the advisors to better meet customer needs - Allow “farming” as well as “hunting” 2. SERVICE /App
  12. 12. 3. “connecting the eco system” 12 3. SALES
  13. 13. Tablet sales toolkits : a pivotal tool in the transformation process 1. Access sales aids/ brochures 2. Identify needs 3. Produce quotes and help to close 4. faster, easier and more accurate proposal submissionKey Success factors • Must be Designed for Advisors • Easy to use with a “wow” factor that encourages use with clients • Great usability is critical: engage/delight customers & advisors 13 Tablet Functionality: Focus on the parts of the sales process that engage with customer
  14. 14. Tablet sales toolkit : Easy business case Primary benefit Improved Sales effectiveness through a better customer experience Measured by : - High tablet usage from Advisors - Increased sales productivity per month Other Benefits after success 1. Back office productivity from digital proposals More efficient Faster & more accurate (clean policies in a day) 2. Reduced agency overheads : premises & technology costs 3. Business intelligence Benchmarking data Usage data “Bigger” data 4. Improved compliance to sales best practice (& regulatory requirements) 5. Recruitment training tool 6. Platform for more automated underwriting
  15. 15. AIA Case study: a tablet success story 15 Full AIA case study available on-line AIA’s Journey 1. Initial Pilot in Taiwan (end 2011) 2. Rollout in 3 countries completed (Singapore, Indonesia and Malaysia) 3. Further 6 countries to complete in 2013 (6-9 months per country) Compete set of functionality “The adoption of iPoS goes beyond our expectations. In one country more than 80% of the new business is coming in through iPoS within 12 months of launch and in another country it was more than 30% after 3 months. The agents just love iPoS. All other indicators such as productivity, activity or case size are equally positive and better than expected.” AIA Executive leading the development Results exceeding expectations
  16. 16. The Digital Advisor : Where should you be 5 years from now? Agency KPI’s for 2018 Leads 50% of leads from digital engagement activities Twice as many leads per advisor insurance advisors At least 2-3 times more productive 50% fewer advisors 100% tablet usage for all new advisors – core tool for sales Customer service matters 50% reduction in back office staff But at least a corresponding increase in customer facing staff supporting digital service, sales and lead processes 16 Digital will transform Agency operating models
  17. 17. Tips for successful digital transformation Strategic Alignment Digital as a transformation opportunity The importance of Tablet POS toolkits Comprehensive business case approved Resources dedicated New Implementation approach Customer centric (outside in) Fast pilot (AGILE) Explicit change management Distribution owned Launched like a product Advice : think about Tablet POS toolkits as the “pivot” for your change strategy Reality : Digital will challenge, and transform, your organisational structure
  18. 18. Mission accomplished? 1. Digital – it is a revolution 2. Digital will transform face-to-face advisory channels 3. Tablets point of sales toolkits are pivotal 4. How to Transform? 18
  19. 19. A Forum for Digital Insurance in Asia – Articles on digital insurance – Free subscription to the Quarterly digest & magazine Subscribe for free, and be the first to know Articles: – The Digital Advisor – Customer & Advisor portals – tablet sales toolkits – Implementation Tips – Worksite marketing Building tomorrow’s digital insurance business models, today. Hugh Terry 19 Sponsored by Insight Consulting: – Strategic Digital roadmaps – Implementation services – Digital ventures