Changing regulations and a desire for greater customer interaction prompted an insurance provider to rethink its business model. Working with BCG, the company created a new strategy to address changing consumer behaviors and regulatory requirements while making the most of its existing assets.
A UK-based life insurer had a very strong market position in retirement savings, distributing primarily through independent financial advisors. However, the company wanted more engagement with its customers, who were increasingly turning to alternative insurance providers for their long-term savings plans. In addition, regulatory changes were forcing the company to rethink its business model.
With BCG’s help, the company carried out a market review to evaluate the market share evolution of both traditional and new competitors in various product categories. The team also conducted detailed consumer research to better understand high-value consumers.
Once the team identified the potential to develop new customer propositions, it turned to BCG Digital Ventures to help create a new method of directly targeting consumers. The joint team also developed a set of new customer journeys for the insurance company’s online offering in order to reflect changing consumer expectations about how they interact with their life insurer.
As a result of the work done with BCG and BCG Digital Ventures, the insurance company:
Defined a new strategy for the business that is much more focused on end customers
Maintained profitability during a period of change
Developed new customer propositions that make the most of the business’s existing assets, including a robust product suite, a strong brand, and the ability to engage directly with consumers