20140716 presentation all channel experience insurance slideshare v1.0

1. Pascal Spelier, July 16th 2014 Customers want an All Channel Experience

3. 3 Three drivers for change Changing customer behaviour New technology Changing regulations & legislation

4. 4 The customer wants change Lack of trust has changed the relationship between Insurers, banks and customer The credit crisis changed the purchase drivers Traditional insurance customer is shifting to A new generation insurance customer Customers demand transparency and simplicity Customers become more and more self-‐directed Social medial create a fundamental shift in the way we communicate

5. 5 Technology creates new opportunities 25 years ago, introduction of internet 10 years ago, introduction of social media 5 years ago, introduction of smartphones Big data Quantified self Internet of things

6. 6 Regulations limit opportunities Basel III Solvency II Local regulations & legislation

7. 7 It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change. - Darwin -

8. 8 Inside Out → Paradigma Shift → Outside In Single Channel Customers experience single touch point. Insurers have a single type of touch point. Multi Channel Customer sees multiple touch points independently Channels are functional & technical silos). Cross Channel Customer sees multiple touch points as part of the same brand. Single view but insurers operate in functional silo’s. All Channel experience Customers experience a brand, not a channel within a brand. ACE is about engaging with customers at every stage of the journey in all their channels

9. 9 Do you have the right cards for an All Channel Experience (ACE)?

10. 10 Is the insurance industry ready for a digital transformation?

11. 11 Digirati: 9% more turnover, 26% more profit

12. 12 Customer understanding Customer touch points Top line growth Worker enablement Performance management Process digitization Digital globalization New digital businesses Digitally-‐modified businesses Digital Capabilities All Channel Experience Customer Experience Operational Process Customer Experience Business Model Your building blocks to a digital organization

14. 14 Customer understanding Customer touch points Top line growth All Channel Experience Customer Experience Your building blocks to a digital organization Customer Insights & Customer Journey (Digital) Marketing & Sales (Digital) Channel Strategy

16. 16 Product/service differentiation Employee satisfaction Process efficiency Process effectiveness -‐ Customer satisfaction -‐ NPS -‐ Sales -‐ Share of wallet -‐ Retention -‐ Referral -‐ NPS -‐ Growth revenue -‐ Market share -‐ Profitability -‐ Share holder value People Product/service offering Process Customer Experience Customer Behaviour High level company KPI’s Leading indicators Lagging indicators Changesinregulationsandtechnology developments Context Source: based on Schmitt – Managing the Customer Experience Determine your motivation for improving customer experience

17. 17 Price Product Service (Digital) Customer Experience The road to loyal customers ‘Commodity’ Distinctive by ‘value added services’

18. 18 Customer Life Cycle Awareness Orientate Purchase Receive Use Service Advise Creating a seamless (Digital) Customer Experience by (re)designing the Customer Journey

19. 19 Customer Life Cycle Awareness Orientate Purchase Receive Use Service Each Customer Journey has a Customer- & organization side Processes Midoffice Customer Relationship Management Customer Financial Management Document Management Communication Management Business Process Management Security Advise

20. 20 ‘Beware of putting lipstick on a pig‘‘

21. 21 How to become really digital? FRONTEND hello customer ISN’T THIS ENOUGH? self directed CAN I INSURE MYSELF? the customer is becoming part of the processes! only decoration?

22. 22 Customer Journey Awareness Oriëntation & comparing Advice Insure Advice prevention Damage & claiming Technology Life events / Products / Services Voice of the customer: I want..., I need... Voice of the employee: I want..., I need... Service Renew insurance Car Insurance

23. 23 Credits: Yvonne Kroese To Measure is to know Quantified Self

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26. 26 Pay As You Drive Insurance per mile

27. 27 Pay How You Drive Insurance

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31. 31 Warning Smoke or CO2 detection

32. 32 The Sharing Economy: sharing is the new buying

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35. 35 What if cars don’t clash anymore?

36. 36 This Mercedes S-‐klasse can drive by itself, well… almost

37. 37 For $ 10.000,- every car can drive by itself

38. 38

40. 40 Integrating and optimizing the commercial-‐ and service activities in channels

41. 41 Customer Experience (Social) Behavior (Big) Data Intelligence What Makes Homer Click? Observations

42. 42 Cross-channel ‘Marketing’ Engine Observation (data & information) Trigger (right message, right channel) Interpretation (intelligence) Reaction (call to action)

44. 44 Our view of the customer should be a collection of observations

45. 45 Observations… … in the de customer journey (also outside the borders of the organization!) … in processes … in transactions … in the context

46. 46 The gap of untapped Big Data 23% Usefulif Tagged and Analyzed 3% Tagged 0,5% Analyzed Source: IDC’s Digital Universe, sponsored by EMC, December 2012

47. 47 “Big data management is not viewed strategically at senior levels of the organization.” 56% “The issue for us is now not the growing volumes of data, but rather being able to analyze and act on data in real-‐time.” 84% Source: Report ‘The Deciding Factor:Big Data & Decision Making’, Capgemini en Economist Intelligence Unit, June 2012 Three biggest impediments: 1) Too many silo’s, data is not pooled 2) Lack of skilled people to analyze the data 3) Time taken to analyze large data sets

49. 49 Age, income, location Transactions Products/ services bought Property, unemployment Preferences regarding products/services Preferred channels Sustainable customer relation Last product bought and value Engagement with different media ‘Depth’ of product categories Behaviour regarding recurring sales or switch Use of services Taking part in loyalty program Customer DNA Traditionally Use devices

50. 50 The future marketeer is a nerd with empathy Privacy as a currency

51. 51 ‘Feature’ Vector Customer X: (A,B,C,D,E,....K) Share of wallet Preferred channels Churn Life events Next best sell Et cetera Customer DNA Derived from data Bron: IBM

52. 52 More rocket science: clustering Bron: IBM

53. 53 Data-driven persona’s Rank Action Cluster % of Customers % of Spend 1 Brand lovers 7% 35% 2 Regular customers 12% 15% 3 Online ‘socialites’ 8% 14% 4 ‘Poor’ customer 7% 6% 5 Promising customers 2% 7% 6 Make me an offer 11% 5% 7 Negotiators 2% 4% 8 Try and find me 5% 2% 9 Non loyalists 36% 8% 10 Spoiled customers 1% 2% 11 I’ll be back, maybe 3% 1% 12 Just looking, not buying 6% 1%

55. 55 richness -‐ + confidential -‐ + urgent later now relevant 1-‐n 1-‐1 intrusive -‐ + archive -‐ + richness -‐ + confidential -‐ + urgent later now relevant 1-‐n 1-‐1 intrusive -‐ + archive -‐ + Message Channel Match Find the ideal match between message and channel

57. 57 The future marketeer is a nerd with empathy

59. 59 Channel Introduction Channel Optimization Channel Migration Channel Rationalization Channel Integration Focus on the right (digital) channel strategies

60. 60 Channel Introduction Channel Optimization Channel Migration Channel Rationalization Channel Integration Focus on the right (digital) channel strategies

61. 61 Leveraging mobile’

62. 62 We Never Looked up

63. 63 “Yes, they’ve got WiFi here”

64. 64 Isn’t it time for a mobile strategy? Plateau → Time → “I want an app too” Mobile 1.0 ‘quick & dirty’ Mobile 2.0 ‘neatly integrated’ Mobile, leveraging touch points 1 2 3 4

65. 65 Isn’t it time for a mobile strategy? Plateau → Time → “I want an app too” Mobile 1.0 ‘quick & dirty’ Mobile 2.0 ‘neatly integrated’ Mobile, leveraging touch points 1 2 3 4 Online ________

66. 66 Report car damage by using mobile

67. 67 ‘Mobile first’ insurer

68. 68 Digital scanning of healthcare bills

69. 69 Your website Anytime, Everywhere?

74. 74 We can help insurers to become a Digirati

75. 75

76. 76 What is your most important…

77. 77 Pascal Spelier Managing Consultant All Channel Experience Banking & Insurance Reykjavikplein 1, Utrecht, The Netherlands Mobile:+31 (0) 6 53 29 90 17 pascal.spelier@capgemini.com Thank you! @spelier