InsurTech is raising and threating big companies.
The reason is simple, new insurers don't have big overheads (some not even small overheads.) They don't have legacy systems they need to maintain. They don't have thousands upon thousands of papers to store.
They don't even have a reputation they have to maintain. They don't have to coordinate international teams. They don't have to wait for decisions to get approved, voted and planned to implement.
We all know what that means. This means you have limited movements.
And it also means, innovation, disruption is really difficult. At least coming from inside.
Also, operational margins are every time lower. And even though the market is expanding, growing because of population growth. We have seen 5% growth year over year with a 15% reduction in premiums.
And struggling to get clients - as cost per client (acquisition) is an all-time high.
This is science
Marketing wise, there are only 3 ways to increase business:
- Get more clients
- Get your clients to spend more money with you
- Increase the frequency of purchase
Certainly, the easiest one to do is the second one. And that's usually done through up-sells.
And here is where Kippie comes into play.
We know the best moment to produce an up-sell is just right after a customer has made a purchase. Yes! Weird as it sounds. And it goes against “common sense” – but it’s the best moment. And that's where we do present them an upsell.
We also know that these up-sells have to be relevant to them and it has to appear to be "magic". Clients should be asking "How can those guys always delight me and be always right on-spot with what I need?"
And by looking up at the user buyer’s history and doing a simple best match algorithm, we can find the relevant and best insurance.
Finally, we do know we need to build trust in order to sell and to up-sell. There are subtle things in building trust that resembles the flirting process, and if you get them right, you're way ahead.
And we incorporate all three of these elements (that's part of our secret sauce) we do a great job altogether.
Well, we do that and more. But this is a really important one. Oh yeah! and we also reduce acquisition cost/marketing cost by optimizing the on-boarding process. Which comes handy when you have many overheads to cover.
Another part of our secret sauce is: we define ourselves as a customer-centric company. What that means is: Your customer is our customer. And we better 1) engage them, 2) please them well and 3) make them happy – so you get a better quality relationship with this customer.