Phy-gital Roundtable: Breakfast Roundup from Germany and Netherlands

02 May '15 | Debjyoti Paul

German Shoppers: Meet Them in the Fast Lane to Phy-gital

15 January '15 | Ralf Reich

Shoppers Will Share Personal Information (But They Don’t Want to be “Friends”)

15 January '15 | Anil Venkat

Modernize or Perish: Property and Casualty Insurers and IT Solutions

14 January '15 | Manesh Rajendran

Benelux Reaches the Phy-gital Tipping Point: Omnichannel Readiness is Crucial

13 January '15 | Anil Gandharve

The New Omnichannel Dynamic: Finding Core Principles Across Industries

13 January '15 | Debjyoti Paul

Technology does not disrupt business – CIO day 2014 Roundup

02 December '14 | Anshuman Singh

Apple Pay – The Best Is Yet To Come

02 December '14 | Indy Sawhney

Digital transformation is a business transformation enabled by technology

01 December '14 | Amit Varma

3 Stages of FATCA Testing and Quality Assurance

06 October '14 | Raman Suprajarama

3 Reasons why Apple Pay could dominate the payments space

18 September '14 | Gaurav Johri

Beacon of Hope: Serving Growth and Customer Satisfaction

05 August '14 | Debjyoti Paul

The Dos and Don’ts of Emerging Technologies Like iBeacon

30 July '14 | Debjyoti Paul

What You Sold Us On – eCommerce Award Finalist Selections

17 July '14 | Anshuman Singh

3 Steps to Getting Started with Microsoft Azure Cloud Services

04 June '14 | Koushik Ramani

8 Steps to Building a Successful Self Service Portal

03 June '14 | Giridhar LV

Innovation outsourced – a myth or a mirage or a truth staring at us?

13 January '14 | Ramesh Hosahalli

What does a mobile user want?

03 January '14 | Gopikrishna Aravindan

Impact of Social Media in the Insurance Sector

Posted on: 12 April '13

Influence of social media on the insurance sector is not as critical as that of other sectors like retail or media. This is because people of the younger generation who are usually the most enthusiastic on social media networks are not the typical target segments for insurance companies. However, in the modern world, ignoring the impact of social media in any industry is unacceptable because this generation which is fed on mobile and social media will sooner or later start interacting with insurance organizations as they start growing older.

Social media can be leveraged to address one of the most common perceptions which many consumers share about the insurance industry, i.e. of being devoid of emotions. Moreover, insurance companies which typically come into action during a time of distress can increase its touch-points with consumers through social media during their happier times. By doing so, they can create a more cheerful perception of the brand in the mind of the consumer. Let’s focus on a couple of areas where we think that social media can make a positive impact on the industry.

Build trust with your consumers showing that you care
One of the most important areas where insurers can leverage the social media is for building trust with its potential customers. Every organization feels the necessity to build a strong bond of trust with its consumers so that they remain loyal and potentially become brand advocates.

In case of insurers, trust is perhaps the most important element because of the very nature of its business. Social networking media provides an ideal platform where the insurers can show that they care for their customers without being intrusive. Social media users do not like to be treated as buyers, but they do not mind if these organizations provide them the right tools, suggestions and necessary warnings about hazardous events.

Auto insurance companies are providing safety tips, impending storm warnings, best practices during driving through twitter, YouTube and Facebook to establish themselves as credible brands and potentially reduce or avoid claims. Similarly, life and health insurance organizations are providing necessary advice on healthy habits, early detection of dangerous diseases and other healthy living tips to customers. Highlighting corporate social responsibility initiatives undertaken by insurers also generates positive vibes about the company.

Keeping an interesting conversation going during happier times
By the very nature of its business, the traditional touch point of insurance agencies with its consumers has been when consumers go through stress. This is not in a very positive frame of mind. Perhaps, because of this, among a large majority of people, a wrong perception has developed where they view insurers and insurance agents as people devoid of emotions.

Social media provides a golden opportunity to change this perception. Insurance companies can change this by maintaining an interesting conversation in social networks and be a part of their lives during happier times. Adding some fun or amusement to these conversations can help in engaging the younger population who frequent social media and are potential customers for insurance companies in the coming future. With an active social media presence, insurers can generate a positive vibe and create a buzz around their products for the younger generation. I would love to know your thoughts on this. Please feel free to add comments.

  • Tulika Mukherjee

    This was quite a revelation. a generalistic view which gave a good direction on how i can better my social media marketing.

  • Internet marketing Calgary

    Tulika like it. this mostly points of post is going in right direction for upcomming social media industry. thkx for this

  • General contractors insurance

    Valuable information and excellent post.I would like to thank you for sharing your thoughts and time into the stuff you post!!