I am sure all of you have heard about jumping generations when it comes to technology and its usage. We all want to win it fast. The fear of missing out was never so intense. The need to know more and availability of information is better than ever. Social media has started to trickle down to every possible cross-section of the socio-economic strata.
We know many who never held a fixed line phone who now hold a dual-sim smart phone. Insurance as a space is no different. In the last five years, we have seen disruptors changing the way all products and services are sold and bought. We expect the change to continue and as a result we can well see customers getting far more empowered. We need to realise that generation Y is now the major portion of our market and millennials are fast growing.
They are far ahead when it comes to acceptability of technology and digital space. They have grown up seeing the transition and it is important to make sure we run at the pace they need us to run. They bring in a different depth of opportunity for the market to evolve. More so for a sector like insurance where the customers are historically made to believe the complexity of the subject and the need to depend on an intermediary for advice. Now, the time is changing, we need to empower our customers and give them what they want. The truth is ‘To be sold you need to be bought’. It is important for all of us to understand. Customers are at the centre, and they need to be made stronger.
The technological evolution did bring in the change we need when it comes to options. Customers have learned to live with multiple options. Marketing and selling are now focusing on how to reach more people in more ways at a lower cost than ever before. Similarly, on the demand side, customers now have the power of technology and digital revolution. They compare prices, features, reviews and reputations with the click of a button or the tap of a smartphone app. These tools have given them the knowhow they needed and power as customers. You must give them a reason to buy from you: You are selling yourself as much as you are selling your product.
Products such as insurance and financial services are the basis for long-term, trust-based relationships. It's easier to form these kind of connections when we work with people who come from our own background. But to market and sell to Generation Y, we need to understand how to bridge the generational divide.
So, here are the ways to connect with them.
Connect with their uniqueness Appreciate their individuality and accomplishments. To many, Generation Y may appear too casual and unconcerned. They might split time between talking with you and answering the hundreds of text messages they exchange every day. Don’t sweat: They aren’t trying to be disrespectful. And, if you send them signals that you’re put off by their behaviour, you likely won’t connect with them.
Be concise and to the point Gen Y most of the time is in a hurry. They deem every transaction to get completed as quickly and painlessly as buying something from their favourite e-commerce site. They lack the patience for long meetings or long discussions. They would rather deploy their surfing finger to look up on the web. They like their information bite-sized.
Showcase transparency Be yourself. Don’t try to act any younger or hipper. That will smell like desperation to these prospects. Instead, be upfront and convey how you can help. Always divulge and disclose everything. They will check everything on the Web — about you, what you say, and everything that you just sold. If what they find doesn’t jibe with what you say, you’ll find your relationship dead on arrival.
Go digital Generation Y lives a connected life, and your digital presence is just as important to them as your brick-and-mortar building, maybe even more important.
Make sure your website is informative and accessible and that it allows Gen Y clients to “visit” your business, anytime they feel like it. Be prompt in answering them if they have any queries.
Offer them access to your office. Put up a sign that says ‘Free Access’. Very few things in life make Gen Y as happy as free access, be it internet or information.
And most importantly make sure you give your best to know who he/she is. It’s time to go beyond the loyalty cards.
Be their guide Gen Y may still need support when it comes to fast decision-making. They may know what they want, but they need help getting there.
Give them complete information and support rather than sales pitches. Guide them to some resources on the Web where they can find more information – sources they trust, rather than ones they might randomly find.
Explain to them how insurance works and why it’s smart for them to buy it now rather than later.
They are looking for simplicity. You need to listen to what ‘Simple Says’.
Connecting with Generation Y may not come easily compared to the older generations, but by following a few generational guidelines, one can form a relationship with this generation’s prospects, one that is sure to shape the future of the insurance market.
Shamik Banerjee is Chief Marketing Officer, Aegon Life Insurance