Online consumerism driven by advances in digital technology has drastically impacted traditional market conditions for almost every business sector. The insurance industry may not be adapting fast enough to these changes, which is causing a failure in meeting customers expectations of the online services that insurance companies can deliver.
Replacing Traditional with Digital
Experts predict that online activity is going to continue to increase in the future as younger generations reach adulthood and replace traditional channels with digital technology. In fact, it is estimated that as much as up to 40% of current activities that are conducted in person, over the phone or by mail will be replaced by a digital service in just the next 3-5 years.
Customers are increasingly moving consumer activities online as they seek the convenience, self-control and 24-hour access that the internet has to offer. It is the insurance companies that adapt quickly to these changes, analysing and understanding what the digital consumers within the industry that they operate are looking for, which will be the most successful with future business endeavours.
Making Insurance Simpler
The traditional insurance business model worked remarkably well for a long time but this change in social trends has directly affected consumer behaviour and expectations within the insurance industry. Young people don’t want to buy insurance products in person. They are used to searching online for products and services and completing transactions without the need for any personal interaction. It is vital for these needs to be met in order to gain confidence and trust. Insurance services and products need to be made simpler and more accessible to ultimately achieve this.
Although most consumers are concerned about keeping data private online, if there is enough value felt in the exchange then they are usually more happy to provide this data. But the consumers of today will want more than just competitively priced high-quality goods to gain their trust. There is more value found in companies that are able to provide their customers with a quick and convenient service that fits perfectly into a typical online consumers life.
Policy purchasing, renewals, claims and customer service are just a few of the ways that insurance can be made simpler via digital channels. Ultimately providing a fast and efficient personal online service with communication and feedback through digital channels.
Influencing Customer Behaviour
If a business in the insurance industry can provide enough value to the consumer to gain trust then they will be in the privileged and capable position of strategically influencing their behaviour and future purchases. This may in turn positively influence other prospective customers through digital channels such as social media, trusted online review services and financial or insurance based forums.
Consumers of today are used to being offered products and services at the point of need. Studying consumer decision making would allow the insurance sector to develop new digital systems more effectively, thereby adapting an approach based on factors that are more likely to influence a positive outcome for everyone.
Automation at Ashburnham Insurance
Ashburnham Insurance are known as UK specialists for instant online insurance quotes. A wide range of insurance policies are available including business insurance, liability insurance, car insurance, home insurance, commercial property insurance and more.
Consumers no longer need to spend hours searching around the internet for the most competitive quotations. Our automated systems check for prices from a panel of different insurance companies and provide our customers with a wide range of quotations, automatically pointing out which one would be cheapest based on the requirements.