Growth hacking is the most effective methodology available today in order to achieve business growth. However, does it apply to Insurtech? Can the Insurtech industry profit from it? Also, how can it help you or your business?
Growth hacking quickly tests ideas to discover which are capable of improving the customer experience investing little resources. Effective ideas will be used in the future while the rest will be discarded.
First, we start by selecting our key metrics, the ones that best deliver growth to your company, like new enterprise clients, number of actual contracts or company niches.
The next step is to set SMART goals (specific, measurable, achievable, relevant and timely). Increasing Net Profit Margin by 5% next month could be a revenue goal. In order to understand goals quickly, think of them as useful increments or decrements of your key metrics.
After setting up SMART goals we have to design growth drivers, actions that supposedly will help us achieve our goals. We will test if they serve their purpose through small campaigns, called experiments.
Insurtech refers to the phenomenon of startups that are innovating by using technology to fundamentally improve the current insurance business model. Possible growth drivers for the insurtech industry could be landing pages, email marketing campaigns or strategic partnerships. We should ask ourselves the following questions:
- Do they work?
- Which one works best for us?
- Which one should we focus on?
This is part of what we will be testing through growth hacking methodology.
Insurance is a complex subject. When consumers need help to understand it, many people will look for the information they need on the Internet.
Landing pages are pages on your insurance agency’s website that target specific, relevant keywords and are designed for conversion. The more you have, the more you can reach people in your target market who are actively seeking insurance. Your landing page can answer questions about different types of insurance (for example, auto insurance or life insurance), and it can also focus on the policies and insurance providers of the specific states you work with.
One effective way to get new clients is to reach local companies that are not direct competitors but still want to attract a similar audience. For example, you may request a partnership with an accounting firm. In this kind of partnership, you two can recommend each other´s products to customers that need services like yours. We can look at how your company can benefit from promoting this partnership on your website and social media, and they can do the same while promoting us.
Of course, partnerships are not limited to the digital realm. You and your partner can and should promote each other when talking face-to-face with customers, to make your partnership more beneficial. We can also explore the possibility of collaborating to host or manage a stand at a community event to further drive growth together. This is something we can test!
Insurtech enables individuals and businesses to quickly obtain insurance products and services, thereby saving valuable time and eliminating the ancient obstacles to purchasing insurance. Reinforcing these advantages can be the key to making customers trust us, it has to be done in the right way.
- What is the most effective way?
- What is the cheapest way?
- What should my target audience be and how can I get their attention?
Only after answering these and more questions will we have enough information to develop an effective marketing strategy capable of making us GROW.
Finally, we will compile all the information gathered. It is essential to collect the lessons learned in order to develop efficient strategies based on the things that work and avoid repeating those that do not.
Want to know more about how to apply growth hacking to your Insurtech business? Sign up for Hypertry and ask for a one to one session!