What do you get when you follow around 106 insurance professionals at a conference? An insight into where brokers are investing to grow.
“Digital technology is driving fundamental and rapid shifts in consumer behavior,” said Reid French, chief executive officer, Applied Systems, “and changing demographics, including the economic and professional arrival of the millennial generation, are only accelerating this shift.”
The findings come from a survey of 106 insurance professionals conducted via the Applied Net mobile app at the Applied Net 2014 conference in Orlando, Fla.
Based on this study, organic growth (55 per cent), changing customer demand (54 per cent), and competition (48 per cent) are the top factors driving independent agency and brokerage technology investments.
“This survey further showcases the growing appetite for advanced technology solutions from agencies and brokerages to strengthen their competitive position,” said French, “organically grow their businesses, and better meet expectations for multichannel engagement – anywhere, anytime – from today’s insurance consumers.”
Technology Investment Trends
• 60 per cent of respondents indicated agency or brokerage management system updates as the highest-priority technology investment area; and
• In line with the need to meet changing consumer demand, 47 per cent of respondents indicated online client self-service as a top technology investment area; similarly, 37 per cent of respondents cited mobile technology as a top investment priority.
Growth and Productivity Gains
According to Applied Systems’ findings, forward-thinking agencies and brokerages today continuously evaluate and evolve their customer service models, products and services, and operational processes to ensure productivity, client growth, and overall business profitability. (continued.)
#pb#
When considering technologies that drive growth and productivity, participants indicated:
• Standardized agency and brokerage management workflows (64 per cent) deliver the greatest value; and
• Client self-service offerings (44 per cent), cloud technology (33 per cent), mobile technology (32 per cent), and business intelligence applications (27 per cent) also were recognized as technology areas with the greatest potential for positive impact on the business.
Focus on Business Intelligence Grows
Big Data and business intelligence strategies are producing improved productivity rates and profitability among key industry stakeholders.
“Data growth and availability continues at an exponential rate, which is creating a wealth of untapped information that can deliver new insights into business operations, potential new markets, client retention and business opportunities,” said Michael Howe, senior vice president of Product Management, Applied Systems. “These findings clearly demonstrate growing agency and broker interest in business intelligence applications to improve business operations and ensure the greatest level of staff productivity.”
• According to the Applied Net Technology Survey, 58 per cent of respondents indicated staff productivity as the most important business insight to be derived from a business intelligence application; and
• Similarly, the two biggest perceived benefits of implementing a business intelligence application are identifying growth opportunities (46%) and increasing staff productivity (23 per cent).
“Additionally, the implementation of business intelligence applications will quickly deliver the insights desired by agency and brokerage executives to extend current client portfolios,” said Howe, “as well as identify new geographical markets to further expand their client base.”
