BCG deftly bridges traditional pricing models with advanced techniques in big data analytics and client research to help insurers develop better pricing models and new customer propositions. In a fast-evolving industry, this comprehensive roadmap can very quickly bring a boost of 2% to 8% of an insurer’s top-line revenues.
Our approach doesn’t simply update your pricing policy. It closely aligns with your firm’s overarching business strategy and goals, adjusts to changing consumer preferences and marketplace realities, and builds in pricing capabilities organizationwide to ensure adaptable and sustained success.
Most critically, we enable your staff to effectively price your product portfolio and design new customer propositions. We work directly with your staff during the assessment and implementation phases to help them learn critical pricing skills, understand evolving pricing models and inputs, and understand changing customer expectations and willingness to pay. The end result is that your team is fully able to set the right pricing strategies in a changing market long after our consultation is completed.
We do this using four sets of customized tools and building blocks:
We approach each project in a customized fashion, working closely across disciplines with senior management, actuarial teams, commercial functions, and finance, operations, and IT departments to link any new pricing solution to your firm’s overarching strategy and business goals. We also seek out the perspective of frontline employees and clients to accurately identify client behavior trends, decision-making rationale, and other key insights.
Throughout this process, we put in place infrastructure, processes, and practices that will provide your company with the sharp managerial oversight and organizational change needed to translate business strategy into a disciplined, dynamic, and successful pricing strategy.