Executing a Successful Insurance Cross Sell Strategy
One of the many shifts seen within the Insurance industry over the last few months has been a renewed focus on customer marketing. First borne out of the necessity to communicate critical information, then to operate business as usual in a new format and now with an eye to growth, communicating with existing customers has become a priority – one with the potential to increase retention and drive new revenue. Critical bulletins, automated renewal flows and Cross Sell strategies have proven very effective for Insurance providers over the last few months. In our new 3 part blog series, we will be discussing these strategies, starting with how to execute a successful Cross Sell campaign.
Low Hanging Fruit
As Insurance providers return to the new business as normal, they are being forced to re-examine plans to drive growth and many are turning to their existing customers. Customers with whom there is already a relationship of trust present a great and largely untapped opportunity. As the breadth and depth of the customers’ risk portfolio deepens, the Insurance provider/customer relationship becomes stronger and stickier and provides increasing value for both.
If Cross Selling additional coverage to existing customers is of such great value for Insurance providers, why is it often overlooked? A successful plan requires several components: strategy, execution and measurement. Many Insurance providers are also challenged by access to their BMS data, limited bandwidth and gaps in technology platforms. As a result, they are often not able to realize the benefits of this strategy.
So let’s break down these three essential ingredients for success:
A good Cross Sell strategy necessitates a few key components:
- Defined targets and goals
- Ability to identify and segment target audiences
- Multi step content and communication plan
- Framework for monitoring and measurement
- Resources to execute and manage the campaign
For some Insurance providers, this can be challenging. Having an ad hoc conversation with a customer is one thing; building a plan at scale is another. It requires access to BMS data to identify the right group of customers, professionally execute a communication plan with content that resonates with the target audience, ability to monitor and make tweaks across the customer journey and expertise to ensure the plan is executed properly and professionally.
Some Insurance providers resist the need for a designated Cross Sell strategy as they feel they are already Cross Selling to customers. In most cases, they are relying on a conversation occurring whenever a CSR or producer is already engaging with a customer, and hinging the entire Cross Sell journey on that single phone call or email. The reality is that being successful requires a multi step, digitally enhanced program. CSRs and producers are often too busy to prioritize the Cross Sell conversation and most don’t have the bandwidth for consistent follow up. What is really needed is a digital platform, which can bring the strategy to life. This includes:
- Personalized emails which deliver multiple layers of right-timed content
- Messaging and creative which reflect the audience and coverage benefits
- Automated follow ups triggered by customer engagement
- Digital tools which allow customers to engage how, when and where they choose
Reporting & Insights
A good measurement framework is essential to evaluate results and make tweaks to improve overall success. More traditional Cross Sell programs don’t provide Insurance leaders access to reporting to even confirm that Cross Sell conversations are occurring, let alone if they are succeeding. A good measurement platform will be shaped by the targets, goals and audiences defined in the strategy phase and tracked along each step of the customer journey as laid out by the execution plan. Some KPIs that are important to track:
- Email open and click through rates
- Landing page conversion and content heat maps
- Quote & bind rates
- ROI to qualify overall success
A renewed focus on customer marketing presents a great opportunity for Insurance providers. A digitally enabled Cross Sell strategy, created with an execution plan and reporting framework can increase retention and provide new sources of revenue. The right platform can help Insurance providers execute these plans at scale and optimize their marketing without adding additional resources.
Want to watch a Cross Sell strategy in action? Check out our recent webinar recording.