Three-Dimensional Marketing

• Lori Chordas
• January 2014
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Three-dimensional marketing may not have reached the point where viewers don stereoscopic glasses to view special-effects marketing messages spiraling directly at them.

But many insurers and agents are following a 3-D marketing approach of their own.

What that entails is a trifecta of traditional, social and digital media. Not only are video and online components being incorporated into marketing strategies, but insurance marketers also are relying on social networks and traditional print ads and sponsorships to create successful campaigns.

Industry experts at A.M. Best Company's Eighth Annual Insurance Marketing and Advertising Summit in Jersey City, N.J., said social media platforms, such as Facebook and LinkedIn, are the "new wave" that's helping carriers brand themselves and communicate their messages.

Those platforms even have a place in bringing together niche markets and assisting in catastrophe response plans, the latter of which New Jersey Manufacturers Insurance Co. put to the test in 2012. Facebook and Twitter connected the predominantly single-state writer with policyholders during Hurricane Sandy and provided another venue to answer questions and expedite claims generated by the costly storm.

Social networking sites also are communicative tools to connect like-minded members of niche markets. American Collectors Insurance turns to those platforms so hobbyists and collector-car enthusiasts can share what CEO Jill Bookman calls a "treasure trove of stories ready to be told."

Visual messages also are gaining traction in the industry. For instance, gamification, in which game-design thinking is applied to non-game applications to make them more fun and engaging, is helping industry organizations like the Council for Disability Awareness showcase the need for disability insurance protection. And video is adding a whole other dimension for marketers to drive home their message and strengthen their brand.

While newer media continue to make a home in insurance, more traditional approaches certainly aren't going by the wayside. In fact, companies like Sun Life Financial U.S. are combining digital, social and video with a blend of traditional print ads, TV commercials and sponsorships into their marketing campaigns.

Recently, Sun Life entered into a partnership with the National Basketball Association and the NBA Development League, and netted the naming rights to the Boston Celtics' Courtside Club.

"Sponsorships may sometimes be blimps, billboards and big-dollar items," said Ed Milano, vice president of marketing for the Wellesley, Mass.-based carrier. "For us, however, it's not about money but all about the activation."

The key, he said, is personalization. "We have an internal rallying cry at our company, which is to help people protect what they love about their lives. What's important is to make that personal."

Four keynote speakers at the 2013 IMAS conference highlighted the ways they are reaching across various channels and using digital, traditional and social media to communicate insurance messages, reach wider audiences and brand their organizations.

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Curating Content

Content marketing and social media are connecting American Collectors with hobbyists and collector-car enthusiasts.

The two "Cs" at the heart of American Collectors Insurance are collectibles and collector cars.

But when it comes to marketing, the managing general agency recently added another critical "C" into the mix.

Content marketing, in which marketers create and share valuable content to acquire clients, allows companies to focus on what their customers care about and connect with them on a personal and deeper level, said CEO Jill Bookman.

For American Collectors, which insures hobbyists and collector-car enthusiasts, much of that content comes from what she calls a "treasure trove" of stories gathered from its policyholders.

The need for content marketing stemmed from the company's move onto social networking platforms like Facebook, LinkedIn and Twitter. "Social media allows us to create a fan base or engage fans to make them better fans of our brand," Bookman said. "And we wanted to develop content that would help us connect customers and agents and give them information they could use to help build strong relationships and promote sales and retention."

That process began with experimenting to see what works on the social medium, said Laura Packard, vice president of sales and marketing. "People don't want to read blog articles or post thoughts on our Facebook page. Rather, what works for us are quick photos that they can post captions about."

American Collectors also engages with social media users through contests like My Cool Ride. There, collectors can submit photos of their cars; one car is showcased each week, and at the end of the year people are asked to vote on Facebook for "the coolest ride of the year," she said.

Content posted on social sites is key, Packard noted. "When we began thinking about how we would execute our strategy and meet our goals for content marketing, we started talking about content curation. There's content creation where we're creating content, and there is content curation. I think both are equally important; however, one is a little easier and maybe less expensive."

American Collectors looks at content curation as "low-hanging fruit," she said. "It's where we will find great content and become a curator of that content. You have to know what will appeal to your audience."

The company also curates content for its broker partners. "We do the heavy lifting and encourage them to share our content with their clients," Packard added.

"Creativity in insurance is nothing new. We don't have the luxury of offering discounts because we're so highly regulated," she said. "We always had to speak beyond sales and discounts and do that by connecting with our customers, listening to what's important to them and providing them great service. Content marketing is a great extension of that."

Is the company's content marketing strategy paying off? "It's like hitting the content marketing lottery when people are liking your content enough to share it on their own page," Packard said. "There's also the added benefit that your logo and brand go along with those shares."

In 2012, the company took a detour with its American Detours Web TV series.

"We focus on scenic parts of the country and invite our fans and policyholders to go on Facebook and vote on what they want to see featured on the series," she said.

A number of "unexpected happy accidents" have resulted along the way, Packard said. "One is additional PR that we didn't expect but had hoped for, including being featured in various blogs and auto magazines."

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A Unique Approach

Social media is a key part of New Jersey Manufacturers' marketing and catastrophe response plan.

NJM has often been dubbed "one of the best kept secrets in New Jersey."

That's because its marketing efforts don't include any billboards, TV commercials, radio ads or direct mail, said John Hardiman, director of corporate communications and policyholder services.

"However, to say we don't market isn't entirely true. We just don't do it through mass media."

Instead, the company turns to its policyholders to help spread its message.

As a carrier that operates in a mutual fashion, NJM doesn't face many of the typical demands, such as gaining market share, that many publicly traded companies experience, Hardiman said.

"While consistently writing good, quality business is always important for us, the ultimate measurement of our performance is how well we're meeting the needs of our customers. It's through their positive experiences, and their willingness to share them, that our marketing model was established, which is primarily word-of-mouth."

Via messages provided to policyholders through renewal letters, newsletters, the company website and other communications, "customers become our brand ambassadors, and that plays a huge part in reducing their own costs," he said. "If policyholders are marketing for us at no cost, it's that much less that we have to invest, and savings are passed down to them through lower rates or higher dividends."

That model continues to prove successful, he noted. "Sixty-five percent of our new business now comes by way of word-of-mouth. But that didn't happen overnight. It's consistency in the mission and messaging that helped establish that model and sustains it today."

Hardiman describes NJM's marketing strategy as simple. "We don't just say it, we do it. It's not about words but action. Our focus, first and foremost, is our customers, and the effects of those actions are often shared by our policyholders. We're not boastful. As a marketer, it's instinctual to want to talk about the things that you think make you good. But that's not our job, it's the customers' role to say whether or not we're doing a good job. And when we receive positive feedback, that's what we use to promote ourselves."

Word-of-mouth continues to transform, he said. "A lot more people will hear what we say when we use social media as the platform. Through our own admission, we were a late arrival to the social media party. We wanted to carefully contemplate what value we'd get out of it and didn't want to dedicate human resources to something only because we felt compelled to or because our competitors were doing it. So three questions we contemplated in advance of an expanded social media presence were: What is its value, what are the risks, and is social media an added service to our policyholders?"

In 2012, NJM put social media's effectiveness to the test when New Jersey was hard-hit by Hurricane Sandy. Through Facebook and Twitter, the company connected with insureds and provided a place to answer questions and expedite claims.

"Ahead of that, senior management asked the most obvious question: 'What if a claim is denied because of policy terms and policyholders take to social media to air grievances?'," Hardiman said.

"Our response was summed up in one word: opportunity," he said. "If we are serious about our mission to serve policyholders, then we believe every problem is an opportunity in disguise and that's how we approved social media leading up to and in the wake of Sandy."

While several claimants did post concerns on Facebook, "all they really wanted were answers," Hardiman said.

Will NJM's model work for everyone? No, Hardiman said. "We have different objectives and corporate goals. But the single greatest attribute that you can have as an insurer is to put customers ahead of all else. As a company focused on mutuality, we might have an advantage there. However, regardless of the type of company, the key to long-term success is keeping customers coming back."

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Driving Home Digital

Project CAP provides independent agents with digital marketing strategies to reach consumers online.

Today, nearly 80% of consumers go online to research or shop for insurance, according to recent studies.

That opens up a host of opportunities for independent agents to work with consumers to make the process as seamless and efficient as possible.

Digital marketing factors into the mix by helping agents create an online presence and brand themselves. Independent agents don't want "to leave business on the table" because consumers can't find them online, said Mark Iverson, senior vice president of Project CAP.

Project CAP, a partnership started by the Independent Insurance Agents & Brokers of America, state associations and six investor carriers to create a tool to help agents compete and win back commissions, is helping agents by arming them with the tools, insight and content needed to launch digital marketing campaigns.

Some of those tools include better websites, plug-ins and add-ons for Facebook campaigns, training courses on how to use LinkedIn and prospecting to brand their agency and connect with customers.

Project CAP also offers its TrustedChoice.com consumer portal to provide real-time personal lines rate quotes from a number of carriers and connect consumers with local independent agents for ongoing service.

Digital is becoming a desired marketing approach among many independent agents, Iverson said. However, he added, the challenge is finding a way to do it quickly and cost effectively.

"Insurance is very confusing to the end user, and when talking about belongings, family and other complex issues, they don't always know how much insurance they need or what kind of deductibles to pay," he said.

"When consumers shop online they make about 3.5 visits to get a quote," Iverson noted. "There's a lot of personal info that they must enter. In the end, they usually call a professional to make the purchase. We introduce consumers to hundreds of carriers to get quotes or information. Then, we introduce them to independent agents in their area.

"Your website is just part of the digital strategy," he said. "There are also things like social media and search marketing." Social media, for instance, "helps independent agents connect and foster personal relationships with their clients." Updating a Facebook status, tweeting regularly and sharing insights online help build relationships and drive consumers to agents.

"When our senior management team came onboard we realized we needed to be in each of those areas," he added. "We had one vendor that opened up the garden, and now we have much competition. We cover four main areas and will expand as we grow."

Those areas, which Iverson dubs "the four pillars of digital marketing," include site, social, search and services.

"Whether agents are in search of a website or social program," Iverson said, "we have different solutions." Choices range from basic, do-it-yourself digital marketing packages to comprehensive website development and custom marketing programs that include a full suite of professional services, he added.

In the middle of all that is TrustedChoice.com, said Iverson. "Our goal is to someday have all those programs drive traffic to our prospect center and feed into agency management systems. That way everything will be in one location."

TrustedChoice.com is reaping the rewards of its efforts. Organic searching is up nearly 300%, and organic traffic has climbed almost 200% since the launch, Iverson said. "We're now the No. 1 page rank for reinsurance. We can't do a lot of big spending on ad words, so we're finding different ways to grow.

"We rely on content, like videos, blogs and crowd sourcing of data," he added. "We launched with over 1,000 pages of content, and expect to reach 100,000 pages by the end of 2014."

Feedback in test states has been overwhelming, Iverson said. "We're seeing closing ratios around 80% to 85%, so we're not tossing money away. More than 2,000 agencies have already signed up with us."

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Teaming Up

Sun Life Financial U.S. combines digital and traditional media to reach national consumers.

Sun Life Financial U.S. is striking a balance between digital and social media components with traditional methods in its marketing strategy.

Social networking platforms like Facebook are helping the company broaden its reach and create greater scale. "We have a lot of basic social media efforts in motion," said Ed Milano, vice president of marketing.

But, tried-and-true traditional marketing media also are helping to play up Sun Life's local commitment and retain a sense of personalization and face-to-face interactions with clients and potential customers, he said.

Sun Life's goal, Milano said, is to connect with its target audiences--employers, brokers and its own employees--on a more personal level.

One way it's doing that is through a number of sponsorships, such as its recent multiyear partnership with the National Basketball Association and the NBA Development League.

In 2013, Sun Life netted the naming rights to the Boston Celtics' Courtside Club and created a series of Chalk Talks across the nation to allow brokers and employees to participate in exclusive Q&A sessions with NBA legends.

Sun Life, Milano said, has an "internal rallying cry" to help people protect what they love about their lives. Sponsorships, and the personalization that accompanies them, are helping the company do just that.

Often, companies ask themselves whether or not people care about content, he said. "Your audience will know if it's good. It's your job to deliver so you don't have to ask if they will care. Every one of our sponsorships is completely integrated with content, generally with philanthropy and with brand association with our sponsorship properties.

"While our NBA partnership is small compared to some big carriers in terms of dollars, what we have are more dimensions than anyone else I can see," he added. "Almost every time we go into an NBA market and a sponsorship, we precede that entertainment with education. We'll frequently put due diligence meetings right into the context of sponsorship entertainment opportunities and encourage every partner to do philanthropy with us. Our broker customers participate with us in judging and awarding scholarships, educating their own workforce and watching activities we sponsor. But that's only after we've done a ton of hard work."

The key, Milano said, is activation.

"It's not really about money but about the dimensions. Anytime we sponsor an organization, we do so with an eye toward community service and business education."

Having a partner like the NBA, which is committed to the community and community service, is invaluable, he added.

"You can't buy that with money but rather with work, which is more bonding."

Milano also suggests marketers remember that "it's all about the 'why'. Constantly hammer why you are doing something. Sponsoring sports is a very old play in the insurance playbook, but doing it for a very strong reason in terms of community service is news and adds dimensions."

Another question insurance marketers sometimes ask themselves is whether they can talk about what matters most to consumers, even if those issues are controversial, he said. "We've proven that you can with our recent 'Wake Up Summit' webcast on American health care reform and the Affordable Care Act."

The event launched in October 2013 on the day public health care exchanges opened nationwide.

"We wanted to shed some light on reform, including brokers' critical role in helping people navigate the system.

"One thing we learned is that if we are going to talk about something controversial, we have to do it in the most transparent way. Otherwise, you'll be spinning and have no credibility," Milano said. "We had an overwhelmingly positive response, even by those concerned about ACA's implementation. So, can you talk about tough subjects? Absolutely. You have no choice. The only other choice is irrelevance."

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IMAS Highlights

Communicating Disability Benefits To Younger Wage Earners

Presenters: Marc McFarland, senior vice president of strategic services, Adams & Knight

Tom Morgan, vice president and director of channel strategy and analytics, Adams & Knight

The Council for Disability Awareness, in partnership with integrated marketing agency Adams & Knight, created a campaign and website (www.defendyourincome.org) where visitors can learn about the risks and potential threats to their income and even battle animated characters, representing the top 10 causes of income-limiting disability.

Six ways to spark connections with young wage earners include: changing the conversation, meeting them on their own turf, engaging people or they will disengage, continuing the conversation, mobilizing the influencers and minding the metrics.

Test assumptions and find what language resonates most with an audience; also, deliver messages in a "cool" environment, like a virtual dojo.

Digital media offers greater scale and is an efficient way to stretch dollars.

Make sure the experience doesn't stop with the creative and the website. CDA created specific Facebook and Twitter pages for Defend Your Income, and pushed out much content on those sites.

Mind the metrics. Always be responsive to how a campaign is performing. CDA created a metrics dashboard up-front to ensure it was tying metrics back to its goals.

Results: More than 85 million paid impressions were generated through the digital campaign, supplemented with more than 33 million earned impressions through the public relations campaign.

Assurant Case Study: How Marketers Are Monetizing Big Data

Presenters: Jeff Hughes, director of pricing and analytics for consumer direct, Assurant Inc.

Andy Meng, director, analytics practice lead, Merkle

Many buzz words about big data exist today; it's really an evolving concept.

The three frequently discussed dimensions of big data are volume (getting more records and attributes of data), velocity (the speed in which data comes in) and variety (types of data, like location data and Web-browsing data). Also, the value of data is important; not every piece of data is the same.

The first thing to do before starting with big data is to ask "Do I have it?" In many cases, you already do; start with what you already have.

Big data is valuable but poses challenges to traditional analytics. You can have lots of data but it's more important to have the right analytical skill sets to leverage that data to the full potential.

Carriers are finding new ways to meld in-house, third-party and social information to better identify prospective customers and share marketing messages.

As this information becomes more available, adherence to customer privacy law is more important than ever. For example, Assurant does not share any customer information with others.

Big data is becoming a component of insurance professionals' marketing functions, including lead management and mass messaging.

Video: The Next Insurance Marketing Frontier

Presenters: John P. Greene, president and chief operating officer, WRIN.tv

Colleen McCarthy, director of communications, Willis North America

Bob Meola, vice president of corporate communications, Chubb Group of Insurance Cos.

Michelle Reo-Regan, video manager, A.M. Best Co.

The insurance industry deals with complex issues and competition for services; often it comes down to how fast companies can bring information to clients. Video is a "superior" medium to demonstrate that and make it simple.

Video creates involvement in a message and allows companies to tell a whole story because it appeals to two senses: sight and sound.

Often what drives topic selection for a video story is what is newsworthy and interesting to the industry. Companies strive to tell audiences something they don't already know.

Not all topics lend themselves to video. Some subjects are tough topics to convey visually; companies may have to reposition an item so it is more of a story and less of a print piece being transitioned into video.

Monitor metrics and analytics to tell who's watching and for how long.

Videos can be distributed in various ways, such as daily email alerts, social media and press releases.

Video allows insurers opportunities to disseminate information; serves as a platform for products and services; builds an image and awareness; and, when necessary, helps with damage control.

By Lori Chordas, senior associate editor, Best's Review: Lori.Chordas@ambest.com