BrandZ Top 100 Most Valuable Global Brands - Landor Associates

Part 3 | The CategoriesFinancial Institutions | InsuranceFocused marketingMore sophisticated data analysis willenable insurers to tailor messages to theneeds of particular customers or potentialcustomers. Agents will receive more reliableleads and be paired with customerswho are more relatable according to ageand other demographics.This kind of interaction should helpinsurers more effectively differentiate andbuild their brands around service. Today,brands generally compete on price and thespeed with which they can offer consumersrate information or respond to claims.Aggregating sites, which are especiallyactive in the UK, intensify price shopping.Along with data analysis, social mediais also changing the potential—and thevocabulary—of insurance marketing.The idea of customer social lifetimevalue is supplanting the simpler notion ofcustomer lifetime value.This newer metric considers not justthe lifetime purchase potential of theindividual customer, but that potentialcompounded by the size of the customer’snetwork of contacts.Social media reaches new clientsSocial media is especially critical forreaching the uninsured and young people,often less inclined than their parents toinvite an insurance agent into their homefor a conversation about term life aroundthe kitchen table.Brands like Geico, State Farm, Allstate,and Progressive were active in socialmedia. The Internet and social mediaare transforming the traditional view ofinsurance, from being a product sold topeople, to being a product people buy.Leading brands also developed mobileapps for smartphones and tablets,particularly in property and casualty,where apps sometimes can be used tofile claims. And brands continued multichannelcommunication strategies thatincluded telemarketing and direct mail aswell as agents.Non-traditional channelsInsurers also tried to reach youngpeople and the uninsured through nontraditionalchannels. Some of thesepotential customers are more comfortablein a “third space,” neither home nor office.State Farm experimented with a storefrontespresso bar in Chicago called Next Door.Visitors can enjoy refreshments and freeWi-Fi, while gaining access to financialcounselors, with no hard sell.Efforts to reach the under-or-non-insuredincluded a program by MetLife to sellinsurance packages in a box, which begantesting in pharmacy departments at severalhundred Walmart stores late in 2012.Customers who purchase policies, whichcome with relatively low face values,subsequently call a toll-free number fora health screening from MetLife. If theypass the screening, the credit on a prepaidcard is activated. Those who fail toqualify for the insurance can either receivea refund or use the credit anywhere thataccepts Discover.Social media isespecially criticalfor reaching theuninsured andyoung people,often less inclinedthan their parentsto invite aninsurance agentinto their homeStrength in Asia,North America drivebrand value reboundThe insurance category grew 19percent in brand value, recoveringfrom a decline of 16 percent a yearearlier, when a perfect storm ofeconomic uncertainty and largepayouts depressed financial results.The brand value of German-basedinsurer Allianz bounced back 25percent, the greatest gain in theBrandZ insurance ranking, drivenby stronger performance in the USand rate increases in Germany thatimproved earnings.The brand value of Zurich, the Swissbasedinsurer, and France’s AXAgrew by 15 percent and 18 percent,respectively, following declines ayear ago. AXA made two significantacquisitions to increase its presencein fast growing markets, particularlyAsia, where it’s a partner of China’slargest bank, ICBC. ICBC-AXA Lifemainly offers medical insuranceplans for expatriates in China.The three Chinese insurance brandsin the BrandZ insurance rankingincreased in brand value comparedwith declines a year ago. Despite theslower expansion of China’s economy,all the Chinese insurers continued tobenefit from insurance demand amongChina’s rising middle class.China Life, the country’s largestinsurer, developed telemarketingand online distribution channels. Inits transition to a financial servicesbrand, Ping An continued tostrengthen its Ping An Bank andintegrated Shenzhen DevelopmentBank into its operations. CPIC, ChinaPacific Insurance Company, addednew products and attempted toimprove customer experience.Travelers appeared in the rankingfor the first time this year. The USproperty and casualty and life insurer,with the well-known red umbrellalogo, has enjoyed steady earninggrowth and share price appreciationover the past several years.AIA, established only two years agoas a spin-off from AIG, appearedin the ranking for the first time. Theinsurer’s profits increased 89 percentin 2012, based on investmentincome and operating results in its16 Asian markets, primarily HongKong and China. Its share price hasappreciated about 66 percent sincethe brand’s October 2010 IPO.88 BrandZ Top 100 Most Valuable Global Brands 2013 89