Lysbilde 1

Report
How to Determine the right
Channel for the Right Customer
Trond Bergestuen
VP Commercial Marketing, Gjensidige (Norwegian Mutual)
Vienna, 17 September 2009
Agenda
Determine who are the decision makers in the purchase of insurance in
the SMEs
Understand what factors affect their decision process
Assess how customer channel preference varies according to the situation
How to create the optimal customer journey
2
21.07.2015
How to Determine the Right Channel for the Right Customer
Snapshot Gjensidige
Market Shares1)
• Total Market
Leading
Market
Position in
Norway
Customers
29.1% (#1)
– Private2)
– Commercial3)
– 897,000 in the private segment
27.7% (#1)
32.5% (#1)
– 95,000 in the commercial segment
(Same market share as If.. within Commercial)
FY2006 (GWP)
Diversification
into
Nordic/Baltic
Region
• Total number of customers 992,000 (30
June, 2009)
Nordic/Baltic
2.6%
6M2009 (GWP)
•
Nordic/Baltic
22.3%
MNOK 2,239
•
•
Norway
77.7%
Norway
97.4%
MNOK 7,780
Headcount 30 June 2009
New
Business
Areas in
Norway
New Businesses
753
General
Insurance
Norway
2,040
General
Insurance
Nordic/Baltic
892
Nordic/Baltic Operations
•
•
LF’s Baltic operations (2H-2009,
contingent upon regulatory approvals)
RESO Europa (Baltics, May-2008)
Fair and KommuneForsikring
(Denmark, Mar-2006, Jan-2007)
Parekss (Baltics, Sep-2006)
Tennant (Norway and Sweden, Aug2007)
New Businesses
•
Pension and savings (Gjensidige Pensjon og Sparing)
•
Online retail bank (Gjensidige Bank)
•
Health care services provider (Hjelp24 NIMI)
Total: 3,685
1) The Norwegian Financial Services Association (“FNH”), general insurance per 30 June 2009. Segments are based on company definitions, but drawn directly
from FNH report. Gjensidige market shares include Tennant
2) Products sold to private and agricultural customers. Product groups include: motor, property, personal accident, agriculture and other (travel insurance,
leisure boats and animals)
3) Products sold to SME and corporate customers. Product groups include: motor, property, personal accident, liability and marine
3
21.07.2015
How to Determine the Right Channel for the Right Customer
Key Figures (MNOK)
Earned premiums general insurance,
net of reinsurance
13.189
14.848
15.482
860
669
7.525
2006
Underwriting result general insurance
2007
2008
1H 2008
553
7.712
1H 2009
347
2006
Combined ratio
96,1
94,4
95,4
94,6
18,9
17,5
17,0
17,4
17,7
75,9
78,6
77,4
78
76,9
2006
2007
2008
1H 2008
1H 2009
4
21.07.2015
2008
1H 2008
1H 2009
Net income from investments
94,8
Loss Ratio
2007
417
Cost Ratio
3.711
*
2.820
*
1.079
2006
2007
(259)
(432)
2008
1H 2008
1H 2009
* The 2006 and 2007 figures include net financial items in Pension and savings and Online Retail
Banking. As from 2008 only financial items that relates to the return on the company portfolios in
Pension and savings and Online Retail Banking are included in net income from investments (i.e
operating items are included in Operating income and Claims, loss etc)
How to Determine the Right Channel for the Right Customer
Cost Discipline
Continuous Improvements
A continuous focus on efficiency in the
Norwegian general insurance operations
has yielded results
•
•
Number of branch offices in Norway
reduced from 151 in 2005 to 54 at the end
of Q2 2009
2600
30
2400
2200
25
2000
1800
20
1600
1400
15
1999 2000
2001
2002 2003
2004 2005
Employees
Cost Ratio improvement in the Norwegian
2006
2007 2008
Cost Ratio
16000
14000
MNOK
GWP growth from MNOK 7,000 in 1999 to
13,131 MNOK in 2008
Cost Ratio (%)
Reduction of employees in the Norwegian
general insurance operations from approx.
2,750 in 1999 to 2,040 at the end of Q2
2009
general insurance operations in the same
period; starting at 30.6% in 1999 improved
to 16.4% in 2008 (16.8% as of Q2 2009)
•
35
2800
Number of Employees
•
3000
12000
10000
8000
6000
1999
2000
2001
2002
2003
2004
2005
2006
Gross Written Premiums
A.D. Little: Gjensidige is among the top ten most efficient non-life players in Europe
5
21.07.2015
How to Determine the Right Channel for the Right Customer
2007
2008*
Agenda
Determine who are the decision makers in the purchase of insurance in
the SMEs
Understand what factors affect the decision process
Assess how customer channel preference varies according to the situation
How to create the optimal customer journey
6
21.07.2015
How to Determine the Right Channel for the Right Customer
Decision makers in the purchase of
insurance
Who is the main decision maker in the
purchase of insurance in SMEs?
CEO/Owner
CFO/Business controller
HR
Other
Source: Market study SMEs, Norway, 2008
n=400
7
21.07.2015
How to Determine the Right Channel for the Right Customer
Agenda
Determine who are the decision makers in the purchase of insurance in
the SMEs
Understand what factors affect the decision process
Assess how customer channel preference varies according to the situation
How to create the optimal customer journey
8
21.07.2015
How to Determine the Right Channel for the Right Customer
What factors affect the decision process?
Internet
Local branch
services
Risk
Price
management
Providers
advice
industry
Brand
insight
Key account
manager
9
21.07.2015
How to Determine the Right Channel for the Right Customer
What factors affect the decision process
Attribute importance when purchasing insurance
Price
Key account mgr.
Brand
Risk mgmt. advice
Industry insight
Local branch
Internet services
0
5
10
15
20
25
Source:
Conjoint analysis, SME segment, Norway
PA Consulting Group, 2006
n = 409
10
21.07.2015
How to Determine the Right Channel for the Right Customer
There are small differences in the preferences
when we segment based on geography
30
East
Inland
25
South
West
20
North
15
10
n= 409
11
21.07.2015
How to Determine the Right Channel for the Right Customer
Risk mgmt. advice
Industry insight
Key
Account mgr.
Local branch
Brand
0
Internet services
5
Price
Relative importance (sum = 100)
Segmentation by geography
The difference in preferences is noticeble when
we segment based on industry
Relative importance (sum = 100)
Segmentation by industry
30
Financial services
25
Healthcare services
Manufacturing Industry
20
Construction, transportation,
communcation
15
Retail, hotels and restaurants
10
Public services and education
5
n= 409
12
21.07.2015
How to Determine the Right Channel for the Right Customer
Risk mgmt. advice
Industry insight
Key
Account mgr.
Local branch
Internet services
Brand
0
Price
Primary industries
The differences are also noticable when we
segment based on size (premium paid)
Relative importance (sum = 100)
Segmentation by size
35
Micro
Small
30
Medium
25
Corporate
20
15
10
n= 370
13
21.07.2015
How to Determine the Right Channel for the Right Customer
Risk mgmt. advice
Industry insight
Key
Accout mgr.
Local branch
Internet services
Brand
0
Price
5
The average decision maker does not
exist!
Needs based segments
Price
Competence
15
10
0
Risk mgmt. advice
5
Inudstry insight
Key Account
Segment: 22%
20
Key
Account mgr.
Internet
Segment: 9%
Key account
Local branch
Local Relation
Segment: 25%
25
Internet services
Competence
Segment: 29%
Internet
Brand
Price Segment:
16%
Local relation
30
Price
Five needs
based
segments:
Relative Importance (sum = 100)
35
Source:
Conjoint analysis, SME
segment, Norway
PA Consulting 2006
14
21.07.2015
How to Determine the Right Channel for the Right Customer
The Price Segment selects almost entirely
based on price
Relative importance (sum = 100)
Price
(16% of
Segment
1: sample)
16% in sample
35
30
25
20
15
10
15
21.07.2015
How to Determine the Right Channel for the Right Customer
Risk mgmt. advice
Industry insight
Key
Account mgr.
Local branch
Internet serv.
Brand
0
Price
5
Source:
Conjoint analysis, SME
segment, Norway
PA Consulting 2006
For the Competence Segment it is
important to have a contact person that
knows the customer’s industry
Segment 2: 29% in sample
30
25
20
15
10
16
21.07.2015
How to Determine the Right Channel for the Right Customer
Risk mgmt. advice
Industry insight
Key
Account mgr
Local branch
Internet serv.
0
Brand
5
Price
Relative importance (sum = 100)
35
Source:
Conjoint analysis, SME
segment, Norway
PA Consulting 2006
The Local Relation Segment prefers a
contact person locally and a brand they
trust
Segment 3: 25% in sample
30
25
20
15
10
17
21.07.2015
How to Determine the Right Channel for the Right Customer
Risk mgmt. advice
Industry insight
Key
Account mgr
Local branch
Internet. Serv.
0
Brand
5
Price
Relative importance (sum = 100)
35
Source:
Conjoint analysis, SME
segment, Norway
PA Consulting 2006
For the Internet Segment price is an
importance factor but internet services
are also important (self service)
Segment 4: 9% in sample
18
30
25
20
15
10
21.07.2015
How to Determine the Right Channel for the Right Customer
Risk mgmt. advice
Industry insight
Key
Account mgr
Local branch
Internet serv.
0
Brand
5
Price
Relative importance (sum = 100)
35
Source:
Conjoint analysis, SME
segment, Norway
PA Consulting 2006
The Contact Person Segment would like a
key account manager that can handle any
issue/situation
Segment 5: 22% in sample
35
25
20
15
10
19
21.07.2015
How to Determine the Right Channel for the Right Customer
Risk mgmt. advice
Industry insight
Key
Account mgr.
Local branch
Internet serv.
0
Brand
5
Price
Relativ viktighet (sum = 100)
30
Source:
Conjoint analysis, SME
segment, Norway
PA Consulting 2006
Segment composition varies by
population density
Needs based segments by population density
100 %
Key account
80 %
Internet
60 %
Local relation
40 %
Competence
Price
20 %
0%
Rural
20
21.07.2015
Small
town
Medium
town
Large
town
How to Determine the Right Channel for the Right Customer
Agenda
Determine who are the decision makers in the purchase of insurance in
the SMEs
Understand what factors affect the decision process
Assess how customer channel preference varies according to the situation
How to create the optimal customer journey
21
21.07.2015
How to Determine the Right Channel for the Right Customer
In order develop an effective service model we
need to understand in what situations the
customer wants to use the different channels
•
Up to this point we have focused on attributes when the decision maker selects a provider of
insurance
•
It is also important to understand the customers’ preference related to service in different
situations
Situations with need for contact
Seek
info.
Proposal
Buy
Update
Claim
Service channel
Branch
22
21.07.2015
Internet
Phone
How to Determine the Right Channel for the Right Customer
Complaint
Choice of channel depends on the situation, but
calling a contact person is most often the
preferred channel
rnett
/ e-post
og brev
Total
sample
Ønske om kontakt via telefon
Ønske om besøk
Internet/e-mail/mail
Ønske om å bruk Internett
av
Internett / e-post og brev
Internet
Klage
Brev/fax
Letter/fax
Omfattende oppgjør
Enkelt oppgjør
Complex
Omfattendeclaim
oppgjør
Melde skade
Brev/faxoppgjør
Omfattende
Enkeltclaim
oppgjør
Simple
Oppdatere
Enkelt oppgjør
Melde
skade
Report
claim
Kjøpe
Melde skade
Oppdatere
Update
Tilbud
Kjøpe
Purchase
Skadeforebyggende
Tilbud
Proposal
Søke info
Seek
80 %
100 %
E-post
Ønske om kontakt via telefon
Contact
person
Fast
kontaktperson
Forsikringsmegler
Broker
Kontor i Klage
nærheten
Enkelt oppgjør
Klage
Internett
Klage
Complaint
40 %
Risk Skadeforebyggende
mgmt.
advice60 %
Call center
Bedriftssenter
Klage
Local ibranch
Kontor
nærheten
OmfattendeRepresentantbesøk
oppgjør
KAM visit
Ønske om besøk
E-post
E-mail
0%
Ønske om kontakt via telefon
Phone
Branch/Visit
Ønske om besøk
Klage
Melde skade
Omfattende oppgjør
Oppdatere
Enkelt oppgjør
Kjøpe
Enkelt oppgjør
Melde skade
MeldeTilbud
skade
Oppdatere
Skadeforebyggende
Kjøpe
Tilbud
0 %Skadeforebyggende
20 %
40 %
Kjøpe
Søke info
60 %
20 %
80 %
Tilbud
40 %
60 %
Skadeforebyggende
100 %
0%
20 %
40 %
60 %
Melde skade
Oppdatere
Kjøpe
80 %
100 %
Tilbud
Søke info
Skadeforebyggende
20 %
80 % 0 %
Forsikringsmegler
Enkelt oppgjør
Tilbud
Søke info
Søke info
information
Fast kontaktperson
Oppdatere
Oppdatere
Kjøpe
0%
Bedriftssenter
Kontor i nærheten Klage
Representantbesøk
Representantbesøk
Omfattende oppgjør
Omfattende oppgjør
100 %
40 %
60 %
Søke info
Skadeforebyggende
80 % 0 % 100 %20 %
40 %
60 %
80 %
100 %
Søke info
20 %
Respondent
could
indicate
channels
situation,
0%
20 %
40several
%
60
% 0 % for
80 %each
100 % 40 %
therefore sum > 100
23
21.07.2015
How to Determine the Right Channel for the Right Customer
Local relation and Internet segments have
very different servicing preferences
Ønske om å bruk av Internett / e-post og brev
Segment 4
Ønske om besøk
Segment 4
Ønske om besøk
Branch/Visit
Internet/e-mail/mail
Internet Segment
Ønske
om kontakt
via telefon
Ønske om
kontakt
via telefon
Ønske
Segment
4 om kontakt
Phone
Segment 2
Internett
Klage
Complaint
Klage
E-post
Omfattende
Complex oppgjør
claim
Brev/fax
Omfattende oppgjør
Enkelt oppgjør
Simple
claim
Kontor i nærheten
Kun
Klage
Kundesenterte
Fas
Representantbesøk
Klage
Omfattende oppgjør
Klage
Fast kontaktper
For
Kontor i Klage
nærheten
Omfattende oppgjør
Enkelt oppgjør
Forsikringsmeg
Enkelt oppgjør
Omfattende
Melde
skade
Meldeclaim
skade
Report
Representantbesøk
Omfattende oppgjør
Enkelt oppgjør
oppgjør
Melde skade
Melde skade
Oppdatere
Update
Oppdatere
Oppdatere
Enkelt oppgjør
Kjøpe
Purchase
Kjøpe
Melde skade
Tilbud
Risk
mgmt. advice
Skadeforebyggende
Skadeforebyggende
Enkelt oppgjør
Oppdatere
Kjøpe
Proposal
Tilbud
Melde skade
Kjøpe
Tilbud
Tilbud
Oppdatere
Oppdatere
Skadeforebyggende
Skadeforebyggende
Seek information
Søke info
Søke info
Søke info
Kjøpe
0%
20 %
40 %
60 %
80 %
Ønske om å bruk av Internett / e-post og brev
Segment 3
100 %
120 %
0%
20 %
40 %
Ønske om besøk
Tilbud
Segment 3
Skadeforebyggende
Lokal relation segment
Internett
Klage
Complaint
Klage
E-post
Omfattende
Complex oppgjør
claim
Brev/fax
Omfattende oppgjør
Enkelt oppgjør
Simple
claim
Enkelt oppgjør
Meldeclaim
skade
Report
Melde skade
Oppdatere
Update
Oppdatere
Kjøpe
Purchase
Kjøpe
Ønske om kontakt
via telefon
Segment
3
SegmentSkadeforebyggende
2
0%
Skadeforebyggende
Seek information
Søke info
Søke info
Skadeforebyggende
Søke info
21.07.2015
40 %
50 %
60 %
70 %
80 %
90 % 100
0 %%
Kundes
60 %
0 % 80 %
Forsikri
Fast kontaktpe
20 %100Forsikringsme
% 40 %
Kjøpe
RiskSkadeforebyggende
mgmt. advice
30 %
120 %
Melde skade
Oppdatere
Tilbud
20 %
100 %
120 %
Fast kon
Kundesenterte
Omfattende
oppgjør
20 %
40 %
Enkelt oppgjør
Kontor i nærheten
Enkelt oppgjør
Melde skade
Representantbesøk
Tilbud
Skadeforebyggende
10 %
80 %
100 %
Klage
Omfattende oppgjør
Tilbud
0%
60 %
80 %
Søke info
Klage
Søke info
Kjøpe
Tilbud
Proposal
Kjøpe
Søke info
0% %
20
%%
40 %
60 %
80 %
100
120
Ønske om
telefon
0 % kontakt
20 % via40
% Tilbud
60 %
Oppdatere
24
via telefon
20 %
40 %
60 %
How to Determine the Right Channel for the Right Customer
Søke info
80 %
0%
0100
% %
20 %
20 %
40 %
40 %
60 %
60 %
80 %
80 %
100 %
120 %
100 %
Agenda
Determine who are the decision makers in the purchase of insurance in
the SMEs
Understand what factors affect the decision process
Assess how customer channel preference varies according to the situation
How to create the optimal customer journey
25
21.07.2015
How to Determine the Right Channel for the Right Customer
The use of field sales, the phone and the
internet as direct sales tools
Segment
Micro
Small
Premium/
complexity
26
21.07.2015
How to Determine the Right Channel for the Right Customer
Medium
Corporate
The use of field sales, the phone and the
internet as direct sales tools
Segment
Micro
Small
Medium
Corporate
Premium/
complexity
Sales/
Call center
Field sales
Corporate unit
service
Effective sales and service channel for micro and
small segment (phone, e-mail)
27
21.07.2015
Tailored personal service to
larger customers by local sales
force
How to Determine the Right Channel for the Right Customer
Specialist service to
Corporate customers
The use of field sales, the phone and the
internet as direct sales tools
Segment
Micro
Small
Medium
Corporate
Premium/
complexity
Sales/
Call center
Field sales
Corporate unit
service
Effective sales and service channel for micro and
small segment (phone, e-mail)
Roles
Tailored personal service to
larger customers by local sales
force
Inbound
Key Acc.Mgr.
Outbound
Service consultants
Specialist service to
Corporate customers
Key Acc.Mgr.
Service consulants
Brokered customers
Service of indirect customers
(through) brokerage houses
28
21.07.2015
How to Determine the Right Channel for the Right Customer
The use of field sales, the phone and the
internet as direct sales tools
Segment
Micro
Small
Medium
Corporate
Premium/
complexity
Sales/
Call center
Field sales
Corporate unit
service
Effective sales and service channel for micro and
small segment (phone, e-mail)
Roles
Tailored personal service to
larger customers by local sales
force
Inbound
Key Acc.Mgr.
Outbound
Service consultants
Specialist service to
Corporate customers
Key Acc.Mgr.
Service consulants
Brokered customers
Service of indirect customers
(through) brokerage houses
Internet and Log in services
29
21.07.2015
How to Determine the Right Channel for the Right Customer
How to create the optimal ”customer
journey”
The customer ”travels through” different channels
Contact:
Purchase
Servicing
Renewal
Example
Segment x
Ansikt
Face til
to ansikt
face
Kundetilfredshet
Customer
nye kunder
satisfaction
bredde
Loyalty
levetid
Tlf og post
Phone/mail
Profitability
Nett
Internet
Customer
lifetime
30
21.07.2015
How to Determine the Right Channel for the Right Customer
Tusen takk!
(A thousand thanks!)
31
21.07.2015
How to Determine the Right Channel for the Right Customer

similar documents