04.14.2015
Insurance companies in the US, the UK and Germany are well on their way to making the most of digital strategies in their business. However, for many, the success of digital initiatives is threatened by a lack of focus on the customer experience according to a survey commissioned by Infosys (NYSE: INFY), a global leader in consulting, technology, outsourcing and next-generation services. The study surveyed 200 IT and business decision-makers at insurance companies.
The study reported recognition among insurance companies that digital can play a major role in their growth (47 percent) and drive a unified customer experience (44 percent). Specifically,
- 44 percent identify digital self-service as a key priority to improve customer experience and thus drive revenue growth
- 29 percent believe that Big Data is having a positive financial impact on business, primarily through improved underwriting
- Over one-fifth identify Internet of Things as a catalyst for creating positive financial impact on bill payment, policy administration and agent management
- 25 percent acknowledge the role of digital marketing in winning new business
However, the study reported that when exploring the challenges and obstacles that organizations face around leveraging digital for customer portals, 60 percent of insurers highlighted that they are hampered by poor quality customer insights, meaning that some insurers could be making wrong choices about their digital investments. The report also revealed that:
- Nearly two thirds (65 percent) said that their digital technology portfolio is the result of an as-needed/ad hoc procurement approach
- 50 percent said that the lack of a digital innovation strategy prevents delivery of digital marketing initiatives that drive growth
- The biggest obstacle to making digital technology effective (reported by 24 percent) is the lack of right skills
