Personalizing Insurance Marketing with Decision Management

A key way for insurers to respond to disruption in the insurance market is to more effectively personalize their marketing. Targeting prospects and especially customers with unique, personalized messages is a way for traditional carriers to be “disruptive”. Indeed there are those who see personalization—reaching customers with targeted messaging, offers, and pricing at just the right time—as the future of insurance marketing (see this recent McKinsey post, for instance How traditional insurance carriers can disrupt through personalized marketing). Given what an insurance company knows about its customers, there is tremendous opportunity to replace one-size-fits-no-one batch marketing campaigns with more interactive, targeted marketing. And Decision Management is a proven way to deliver on this opportunity.

Decision Management works for personalized insurance marketing because it brings the right set of technologies to bear on the problem. It combines

  • Business rules to manage policy and regulatory requirements, so you don’t market something you shouldn’t
  • Predictive analytics to identify customers with retention risk, specific needs or opportunities
  • AI to determine customer satisfaction from the tone of feedback captured or social media posts

Decision Management also separates the decision – what’s the right offer or action to make this customer – from the range of systems and channels available to consumers today. It delivers a consistent, customer-centric decision that can be tailored as it is embedded in different channels. It identifies the right offer, the right action, so you can personalize the direct mail you send, the scripts you use in your call center, and even the recommendations for follow-up you deliver to your agents. It eliminates inconsistency and the need for repeat investment as new channels are developed or systems are upgraded. Done right – using our DecisionsFirst approach for instance – Decision Management also integrates continuous improvement and experimentation from the beginning for ongoing learning.

The keys to using Decision Management to personalize marketing include

  • Focusing on the decision – what offer or action to make to this customer at this time – and using decision modeling to really understand how you want to make that decision.
  • Thinking interactive and transactional not batch – make the decision for THIS customer
  • Investing in continuous improvement not a one-time systems implementation so you can learn and improve over time.

The best way to get started is with a business value pilot – learn more here on our Customer Next Best Action page or contact us for a consultation.