Last year Zurich issued an interesting study ‘Big Decisions, Risk and choice in the 21st Century’ – http://bit.ly/PzuSz5.
There are two points that are particularly pertinent at the moment. Firstly, according to the report, the majority of us have a short definition of what counts as a long term future. We rarely think further than ten years ahead and don’t take life-long impacts into account when making big decisions. In fact, only 10% of people questioned consider the life-long impact of their decisions. Most people want to remain flexible in the decision making as long as possible. With the current focus on lack of pension provisions, this is a trend that needs to be changed.
Secondly, the report points out that whatever the approach to decision making, almost all of us turn to a range of trusted sources for advice along the way, but finding trusted advice is deemed to be more difficult than ever. The sad statistics are that 79% will turn to family or friends but only 45% to professional advisors. Lack of trust is a huge issue.
It isn’t surprising given the executive pay scandals, the financial meltdown, and one banking horror story after another that consumer trust for our Industry has gone. It will not be easy to win it back – but win it back we must with a collective objective of turning these statistics round. Friends and family are great – but rarely when it comes to sound financial advice!
This finding underlines two responsibilities for us in Financial Services.
- We need to design products with the flexibility to meet the requirements of the customer – and we need to ensure we have the technology capability to flex our products as these requirements change.
- We need to make sure our customers do not simply ‘put off’ big decisions about their financial future. Marketing and education is not ‘someone else’s problem’. We can’t sit back and expect Aviva or Zurich or Unum to do the job – we have a collective responsibility and must work together to ‘fly the flag’ of the importance of long-term financial planning.
Effective technology is essential to deliver both these objectives. Total Systems have developed our software for speed and flexibility and to deliver solutions that can help educate as well as engage the customer. Results can speak for themselves:
- A unique approach to on-line quoting delivered 30% uplift in interest from customers that were previously un-engaged.
- On-line instant quoting across multi-benefits to deliver bespoke combinations to meet individual customer requirements ensured 100% of visitors requested additional benefits.
- Instant quote capability allowed each customer to try an average of 15 different combinations of covers per visit.
Creativity is essential in Financial Services to start to win back the trust and attention of prospective customers. Here at Total Systems, we recognise you have the ideas – but we have developed our software to ensure you can deliver quickly, effectively and economically.