Personalization Is Now Key to Insurance Marketing ROI

Personalization has become a mantra for all direct marketers, but it is especially relevant to AccuList’s insurance marketing clients. According to an Accenture 2018 study, 80% of insurance consumers are willing to share data to get more personalized offers, messages, pricing and recommendations from auto, home and life insurance providers. Although over 70% of insurance marketing campaigns claim to use some personalization, surveys show marketers are not doing enough to satisfy that customer demand. As a result, marketers can miss out on personalization’s proven power to improve response and ROI, lower acquisition costs, and enhance cross-selling.

Personalization Revs Mail’s Acquisition Power

While digital data often leads conversations, the importance of personalization in traditional direct mail, still an insurance workhorse, should not be ignored. After all, direct mail is considered more personal than digital by 69% of recipients, giving personalized content extra power. Direct mail also gets an average 9% response rate for house lists and 5% for prospects, per 2018 DMA/ANA data, compared with 1% or lower for other channels. Plus, for the digitally addicted, adding direct mail to digital bumps up conversion by 28%. A recent article on insurance marketing from agency Ballantine advised on top ways to maximize mail ROI, and, no surprise, personalization dominated—assuming clean, up-to-date mailing lists with important targeting parameters. First, marketers can use variable data printing and database parameters to personalize content and images to match the consumer’s life stage, so, for example, auto policy creative targeting a young single first-time car buyer differs in messaging and images from the creative for an older couple with a minivan. Next, marketers can personalize rates by taking into account factors such as the age and gender of the targeted recipient. And they can tap personal interests by leveraging affinity relationships, such as a specific sports team or association affiliation, via targeted discounts. Personalization shouldn’t stop with the mailing package but should then continue through the customer journey. Marketers can study the sales funnel to find when leads are most likely to drop out so that processes can be simplified, streamlined and further personalized to boost conversion. Simple examples include pre-filled forms and postage-paid return envelopes.

It’s All About Prospect and Policyholder Data

Meanwhile, One Inc., an insurance software company, offers a helpful roadmap to digital personalization. As with direct mail, marketing begins with quality consumer data and analysis, taking a step beyond age, gender and location to parameters that identify unmet needs and customer value for targeting and prioritization—such as a recent move, a new home, a new baby or an upcoming policy expiration date. Next, marketers need to track lead and policyholder actions to decide on the specific digital behaviors that will trigger a personalized response, say following up an online request for information with a series of lead-nurture e-mails. Then, marketers can design and test small campaigns of personalized content and process before expanding to more channels and audiences. Once strategies and processes have been developed and tested, an investment in marketing automation technology can follow, including AI algorithms using real-time data and behavior to tailor offers, customer service, cross-selling, lead scoring and more. Indeed, the advent of AI in the digital world is accelerating consumers’ personalization expectations, and the impact on the insurance industry is expected to keep rising in 2019, per articles.

Retention Relies on Smart Personalization, Too

Meanwhile, studies show personalization is also essential to cost-effective policyholder retention. One Inc. provides this example: An auto policyholder has a documented poor experience when filing a claim, putting the client in a “high risk” category for churn. Based on industry data that policyholders typically shop roughly two months (60 days) prior to policy expiration and that roughly one-third of shoppers switch carriers, marketers use the policy expiration date and contact information to send a letter 60 days before the policy is set to expire, personalized by the policyholder’s name, of course. The letter includes a personal note that acknowledges the poor experience and pledges to do better, an offer of a discount for renewing early, and rep contact information for quick response to questions or concerns.


Make Sure You Have a 2019 Data Hygiene Plan

As marketers prepare to launch their 2019 campaigns, they should make sure that a complementary data hygiene plan is in place, and certainly AccuList USA data services stand ready to aid in ensuring the quality, up-to-date, enriched data essential for achieving marketing results.

Why Does Clean Data Matter?

Marketers don’t want to join the 88% of U.S. companies whose bottom lines are hurt by dirty data, based on Experian research. The top areas impacted by poor data practices are marketing (66% of companies) and lead generation (80% of companies), according to DemandGen. Dirty data leads to poor targeting and ROI for marketers, reduced revenue from customer acquisition and retention, wasted company resources and misdirected strategy. To avoid that fate, marketers need a plan to regularly fix any customer and prospect data that is incorrect, inaccurate, incomplete, incorrectly formatted, duplicated, or irrelevant, plus to enrich the database via appending of relevant but missing customer parameters.

Developing a Data Cleansing Strategy

Pete Thompson, founder of DataIsBeauty.com, has put together a useful primer for developing a data hygiene plan. Start with the basics: Decide what data is important for business decisions and estimate the ROI of data quality improvement. Then review existing data processes: types of data captured, where it comes from and how is it captured, the standards for data quality, how errors and issues are detected and resolved, etc. Other questions include the main sources of errors, methods for validating and standardizing data, methods for appending or combining multiple sources, automation used if any, accountability for data quality, and measurement of data ROI.

Key Elements of a Data Hygiene Plan

Without going into detail, the basic steps of the data plan will start with creating uniform data standards, preferably applied at the point of data capture. Then develop a data validation process, applied either when data is captured or, if that is not possible, at regular intervals for data already entered. After data has been standardized and validated, you can append missing fields by cross referencing with multiple data sources. Streamline the process through automation tools and scripts, saving time and money and reducing human errors. However, while it may be tempting to start with automation, Thompson cautions against putting the cart before the horse; success requires having data standards and a proven validation process in place before automating. And then set up a monitoring system of the hygiene process, whether automated or not, via random test samples and back testing, and implement periodic checks.

For regular monitoring, or overall scrubbing without an automated regimen, experts suggest a quarterly hygiene review for databases of 100,000 records or more, and semi-annual cleaning for smaller databases. Based on our own years in the data business, we think the best advice from Thompson and other experts is to enlist the services of data processing pros when hygiene is due!

Check out more details from Thompson’s data hygiene plan.




Push Your Event Marketing E-mails Ahead of the Pack

During close to 30 years of direct marketing to help trade shows and conferences boost attendance and sell exhibitor space, clients often have asked for guidance on event industry response for e-mail campaigns. Now we can enhance data pulled from our proprietary research and experience with Eventbrite’s new “2017 Event E-mail Benchmarking Report,” comparing survey responses from over 340 event organizers across the U.S. and U.K. for a range of event types and sizes.

Benchmarks to Emulate

If you’re an event marketer with a fuzzy notion of the basic response measure of click-to-open rate (CTOR), you’re not alone. The benchmark report found that 39% of respondents said they didn’t know their average CTOR. That’s an ignorance that these event pros need to remedy if they hope to catch up with even average e-mail results. The rest of the U.S. event organizers surveyed reported an average CTOR of 12%. That was higher than their U.K. brethren, who only cited a 9% average, but far behind the enviable 17% in the U.S. who reported a CTOR of 21% or higher! Festivals scored the best average e-mail CTOR (14%), while classes and workshops had the lowest (9%).

Copy & Design to Boost Click-to-Open Rates

Event marketers who want to improve CTOR can commit to a number of basic creative tactics. First, they can revisit layouts and make sure they direct recipients to a compelling and clear call-to-action. Then, copy should be relevant, personalized and spam-filter avoidant, running from a great subject line that entices opens to copy that wins clicks. Obviously, mobile-optimization is a must now that the majority of e-mails are opened on mobile devices. Note that the most effective e-mails today also include an engaging image. E-mail research has found that e-mail campaigns with imagery have a 42% higher CTOR than campaigns without images, for example. (Don’t forget to comply with CAN-SPAM opt-out and privacy regulations, of course.)

Target, Test, Automate, Integrate

As data brokers, we must remind that response is even more dependent on the quality of targeted opt-in e-mail data, whether house or rental lists, and use of professional software and database support for list segmentation, updating and permission management as well as results tracking, testing and analysis. Indeed, regardless of carefully crafted e-mail creative, results measurement and analytics are essential to a direct marketing basic: testing of creative, lists and targeting to find what works best. Automation of event updates and confirmation/thank-you e-mails has also proven its value in maximizing click-through rates and conversions/registrations. And, finally, e-mail gains the most reach as part of a consistently branded, multi-channel effort, leveraging social media’s e-mail list building strategies, for example, as well as the proven marketing power of direct mail. (Ask us about our Digital2Direct marketing program that matches postal and opt-in e-mail records to send targeted mail and e-mail to the same recipients.)

For more metrics from the new event e-mail benchmarking survey, get the free report at https://www.eventbrite.com/blog/academy/2017-event-email-benchmarking-report/

Data & Content Are Keys to Profitable Audience Building

After long experience supporting publishers and media owners in circulation/audience growth, AccuList USA can affirm that, in the age of big data and exploding digital content, targeted data quality and database management are more essential than ever to profitable audience development.

It’s All in the Data

A recent Marketo blog post backs up that assertion with their advice. Demographics and firmographics are a key starting point, but now media owners also can mine transactional data, behavioral data, and psychographics/interests across channels, the post notes. Smart use of first-, second- and third-party data allows for tailored content, offers and channel targeting. As the Marketo article explains, “For example, you may know that a reader is a part of a cohort that is female, between 18-35 years old, with a household income between $64-96K….But what could you do–in terms of engagement–if you learn through her content consumption patterns that she’s interested in football, responds to sponsored content from travel brands, and mostly responds to content that’s shared on Facebook?”

And Data Management

Yet more data from multiple sources–web, print, mail, e-mail, social media–also presents challenges, and Marketo cites Folio’s recent survey of publishing leaders, which found 71% citing data management as a top priority for creating and monetizing media products. The solution is a single hub for audience data and automated cross-channel processing in real-time, the post advises. With a complete data profile of the audience, the focus can turn to delivering the right message at the right time to the right target. And we would add that an effective database will require strategies and support for data hygiene, database appending, analytics, and segmentation as well as automated triggering of messages across channels. Automation doesn’t apply only to digital messaging, by the way; marketers can capitalize on direct mail’s top response and brand engagement with automated mail triggering based on digital activity.

Commitment to Content

In publication/media marketing even more than other brand marketing, content counts. Faced with ever-growing digital content noise, media owners must work even harder to deliver content that interests and engages the target audience. To that end, a helpful Content Marketing Institute article by Neil Patel recently listed four common mistakes. No. 1 is offering content of more interest to the brand/publisher (and its advertisers/partners) than to the audience. Only audience-centric content builds audience. No. 2 is to focus only on selling in marketing messages, especially if poorly targeted. The long-term value of authenticity and relationship building suffers when the sales pitch is obvious and not personalized. No. 3 is an SEO addiction to the point of stuffing keyword phrases and irrelevant links into content, which can turn off and confuse readers and even earn search engine penalties. And No. 4 is an obsession with content quantity over quality. Simply delivering more content more often than competitors, especially if it is unwanted, sloppy and self-serving, is likely to turn off audiences. For good content marketing examples, go to Patel’s content marketing article.