WHAT INDEPENDENT AGENTS NEED TO KNOW ABOUT · That said, mobile can impact your business in four...

WHAT INDEPENDENT AGENTS NEED TO KNOW ABOUT

“MOBILE” TO THRIVE

Insurance Agent Mobile Application www.GoInsuranceAgent.com

White Paper: The Mobile Transformation/ September 2016-17

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October, 2016

Friends:

This whitepaper reinforces how the smartphone continues to transform society in so many ways, and outlines the tools your agency can deploy to be relevant on the mobile platform for prospects and clients- but your agency must act to utilize them. By now you likely recognize that the mobile platform is the most utilized digital platform to consume content and help us all be more productive. Other business categories/verticals have done a terrific job of training us all to engage via mobile, and via mobile apps in particular. The insurance industry still lags, however, and it is a mistake to rely on the companies with which you work to help you understand what’s happening on the mobile platform because they’re still evolving their mobile strategies. Your agency does not have to wait…. We invite your comments and look forward to the opportunity to discuss your mobile technology plans and how we can help.

Sincerely.

Matt Aaron, Co-founder

Kiki Johnson, Co-founder



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WHAT YOUR AGENCY NEEDS TO KNOW ABOUT “MOBILE” TO THRIVE

By now everyone knows that mobile, and smartphones in particular, have radically altered consumer

behavior - but in a way that’s different from the internet boom of the 1990’s to the early 2000’s.

Back then the internet/world wide web allowed us to access information that in theory made us more

knowledgeable. However, it took years for the internet to become the proficient transaction engine that

it is today, and most accessed the internet via computers at home and work, not on-the-go.

Then Apple debuted the iPhone in 2007. It was the first in a new generation of smartphones. Yet surfing

the web or making a purchase on the original iPhone was not a great experience. In fact, Apple’s App Store

opened for business in 2008 - a year AFTER the first iPhone was released!

It’s been ten years since the iPhone’s debut.

If you are an insurance industry professional who still thinks of mobile devices as “toys”, it’s time for you

to get with it and harness the power of what mobile can do for your business.

If you’re a Millennial who already “gets” mobile because you were raised with a mobile device in your

hand, keep the faith that your agency principal(s) will come to know that mobile is to be embraced

because of how it makes us more productive.

Let’s agree that if your agency knows everything it should know about “insurance”, it’s unlikely you know

how consumers utilize the mobile platform. And that’s how it should be. As we say to our agency clients:

“We promise not to sell insurance if you promise not to develop mobile apps!”

That said, mobile can impact your business in four primary ways:

1) Branding – how your business is seen by clients & prospects

2) Engagement – with clients & prospects

3) Service – before and after the sale

4) Productivity – reduces costs and increases revenue

So it’s important that you read-on to:

- Understand what’s happening on the mobile platform;

- Recognize how your agency can learn from other verticals;

- Know what your agency must do to be relevant on the mobile platform;

- Determine how the right mobile app can greatly benefit your agency.

Today the evolution and confluence of internet and mobile technologies has forever

changed the way we discover, purchase and receive products and services. That

includes insurance!



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“MOBILE” IS HOW CUSTOMERS & PROSPECTS CHOOSE TO ENGAGE

There are tons of data about how mobile has transformed the way in which most people conduct their

daily routines.

Whether you believe mobile devices are utilized to help people be more productive or simply pass time,

your business needs to pay attention to these statistics:

~ 250 million mobile phones in the US

80% of them are smartphones ~ 200 million

97% of those smartphones are either iPhones (43.7%) or Android devices (52.9%) - comScore

Smartphone users spend up to 220 minutes/day on their device – Flurry Analytics

90% of that time is spent using mobile apps – Flurry Analytics

It’s not just the Millennials who utilize the mobile platform. Mobile app use spans all age groups:

MOBILE HAS ALSO CHANGED THE WAY THE INTERNET/WEB IS ACCESSED

Over 60 percent of all internet traffic now happens via a mobile device. That traffic takes place using a

mobile web browser like Safari, Chrome or Firefox, or a link in an app like Facebook.

Importantly, the number of users who access the web with only their mobile device continues to

increase, while those who use only their desktop/laptop decreases.



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The numbers below have major implications for how your agency will engage with clients and prospects.

Source: eMarketer Feb 2016

INDUSTRY RESEARCH IS TELLING AGENCIES THEY NEED TO TRANSFORM

ACT – The Agents Council for Technology - Hard Trends Report Released February 2016

24.6 27.8 31.1 34.4 37.3 39.6 41.6

32 23.2 18.8 16.5 14.2 11.9 10

196.5 208.7 215.7 219.7 223 225.5 227.7

0

50

100

150

200

250

300

2014 2015 2016 2017 2018 2019 2020

US Internet Users by Device 2014-2020 millions

Mobile-only internet userss Desktop/laptop-only internet users Dual desktop/laptop & mobile internet users

ACT cited the #1 Hard Trend for independent agencies is MOBILE. The Report said: “Data need to be

available anytime, anywhere and any way that the customer wants it. Our industry needs to adopt a

“mobile first” strategy. Mobile should not be an added feature but rather the core strategy for the

development of new processes, procedures, products and services.”



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Insurance Digital Transformation Study – August 2016

OTHER VERTICALS HAVE ALREADY TRANSFORMED THEIR CUSTOMERS’ MOBILE EXPERIENCE

In 2002 Wells Fargo Bank deployed a mobile banking service. Only 2500 customers signed-up. The

service was quickly withdrawn.

- By 2008 even smaller banks began to offer mobile banking services.

- By 2012, 21% of all smartphone owners were using mobile banking apps according to

Federal Reserve research conducted for their Board of Governors.

- In Q2 2016, 43% of Bank of America’s 47 million consumer and small business customers

utilized B of A’s mobile app, and in a typical week they logged into the B of A app 72 million

times. That’s more than double the number that login online, and 12X the number of

customers that visit a branch!

We are B of A customers and can attest to how their online and mobile app offerings have evolved over

the past 15 years. It’s taken a long time for B of A to get where they are now as the leader in consumer-

facing digital offerings – but they got there, and they continue to evolve their customer experience.

“The digital economy is here, and no industry will be left out. The property-casualty insurance

business is complex — both in terms of the products themselves and the ways they are sold. And

while this complexity creates natural barriers to change, customers expect to be able to buy

insurance, file claims, and make changes with the click of a button, just like they can do with their

banking and buying other goods and services. “



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Ask yourself which came first……

1. B of A building a mobile app because they believed their customers would use it, or

2. Customers demanded B of A develop an app because it helped them be more productive?

The answer is probably somewhere in between 1 & 2, but we believe the real reason why B of A (and

banks in general) WANT their clients engaging via a mobile app is because it lowers their costs, and

generates revenue:

- A mobile app deposit costs one-tenth that of an in-branch deposit;

- Banks receive deposits sooner via a mobile app thereby earning interest sooner on your

money via the float;

- An estimated 289,000 digital (online & mobile app) appointments were scheduled at the bank

in the Q2 2016. Digital servicing also cuts down on the demand for call centers, which should

play into Bank of America's goal to reduce annual expenses by an additional $3 billion by 2018.

All agency principals need to be thinking like B of A. They found a way to delight their mobile customers,

reduce costs and generate top line revenue all at the same time. Your agency can do that too via the

mobile platform – not overnight, but definitely over time!

IMPLEMENT A MOBILE MARKETING STRATEGY

If your agency is similar to most well-run agencies you’ve probably got a business plan and you review it

regularly. That plan should have a marketing strategy that includes a mix of old and new marketing

channels – online and offline media. Regardless of how you’ve “always done it” today’s agency marketing

strategy must have a mobile marketing component that includes:

1) Mobile website

2) Mobile app

At the risk of over-simplifying, think of your mobile website as the digital entry for prospects, and the

mobile app as the personalized and targeted way to engage and contain your clients on the mobile

platform.

When considering how you want to utilize your mobile website and a mobile app, first ask yourself: What

does your agency look like on the mobile devices of prospects and clients?



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MOBILE WEBSITE

When thinking about how you want to present your agency to prospects who access your website on a

mobile device it’s helpful to ask this question: Why would someone be coming to your website on a

mobile device?

Maybe your agency specializes in a particular LOB, or someone needs a quote. Answering THAT question

will help you determine how you want to present your agency to prospects when they get to your mobile

website. You can “build” your mobile website from there.

It’s critical your mobile website (often referred to as: “mobile web”, “web app”, “mobile responsive”) be

optimized for viewing on a mobile device because:

80% of personal lines insurance shopping starts on mobile - IIABA

2/3’s will depart if website is not optimized - Google

A mobile shopper is 17% more likely to complete a quote request form than a

desktop shopper - Everquote

Mobile Website

Does it answer the question:

Why would someone be

visiting our site on their mobile

device?

Mobile App

Does it help clients get the

info they need quickly?

Non-Optimized Website

Or is it non-functional….

forcing user to pinch, squeeze

and zoom to be useful?



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Google favors “mobile-usability”. If your website is not optimized for mobile,

Google will lower your agency in search rankings.

Today any good web developer knows how to cost effectively optimize a website for mobile. It may

require you to re-think your primary website, but it’s worth doing.

RE-MARKETING / RE-TARGETING

Earlier we asked you to think of your mobile website as a terrific way to generate leads for prospects, and

the mobile app as a great way to engage and contain your clients on the mobile platform. You want

prospects to your website. But when they do, you need to know that Google and other search engines

take note of that visit and will “remarket” to those visitors most likely with insurance-related advertising.

That’s why you don’t want your clients searching for your website - where they can be re-targeted with

insurance-related or competitor’s advertising. So don’t send them there. Have clients use your mobile

app to access your mobile website with one tap. Once there, your agency can have them do a myriad of

things – e.g. they could take quick survey or your agency could conduct a review.

According to Google, 51% of mobile “searchers” end up purchasing with a company other than the one

they intended to buy from initially! Think with Google, June 2016



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MOBILE APP

In 2013, the Insurance Agent mobile application was developed for agencies to help them engage and

contain clients on the mobile platform. As with any new service, customers need to be told and reminded

of its availability and how it can assist them, but agencies recognize the value of doing so.

The number of ways your business benefits from deploying the right mobile app is significant. It’s all about:

- Branding - an app connects your agency with clients - visually & emotionally

- Engagement - clients can engage with your agency actively, and not just by dialing a phone #

- Service - for all kinds of support/CSR functions

- Productivity - reduces costs and increases revenue

Before we discuss why your agency should have a mobile app for clients, let’s talk about the app icon

above – the mobile app “I” icon that your clients will see on their mobile device.

APP BRANDING

Agency owners are constantly told by colleagues that their brand and the branding of their agency is

critical. Agency owner Chris Paradiso in Stafford Springs, CT is a good example. Chris’s brand is everything

to him – yours should be to you too.

Chris gets a lot of questions from agency principals about why he uses a mobile app that has an “I” for

“Insurance” icon. The answer is simple: Chris tells fellow principals that the mobile app icon is all about

his clients, not his agency. Here’s why:

1) Smartphone users have a lot of apps on their devices these days – it’s hard to get an accurate

number – but it is at least several dozen. Everyone recognizes that an insurance app is not going

to be utilized every day like a Facebook, Pinterest, Instagram, Twitter or LinkedIn, so asking them

https://goinsuranceagent.com



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to recognize your brand on an app icon in a sea of icons on their smartphone is difficult. However,

your clients can find their insurance app by looking for the “I” for “Insurance” icon.

It’s like “F” for Facebook. Once that “I” is tapped, the app loads and it’s branded for your agency,

and ready to be personalized by your clients.

2) All agency principals like to think that every one of their clients remembers the name of their

agency. As much as agency principals think that ALL their clients remember the name of their

agency when they think of “insurance”, the simple truth is that they may not.

If you ask policyholders the name of their agency many are likely to recall the name of a company

with which they are insured, or the name of a CSR or producer that works with them. Asking

clients to recall the name of their agency, or recall the branding/logo of your agency – AND THEN

FIND THE AGENCY’S APP IN A SEA OF ICONS ON THEIR MOBILE DEVICE – is not easy to do. That’s

especially true after an event has transpired like a vehicle accident or similar loss.

The “I” icon is all about keeping it simple for policyholders on their mobile device. When a client knows

that they can be in touch with their agency by locating their “insurance app” and then tapping it…. well,

that’s simple. Simple is better for the client.

One more thought…. You want family members of a policyholder to have your agency’s app on their

smartphones too. Do you think a teen driver on a policy knows the name of your agency? And can locate

your agency’s app on their device?

The icon is all about the insureds…. Once the Insurance Agent icon is tapped, the branding of who you are

and how you can assist opens for the client.

CHANGE YOUR MINDSET ABOUT APPS

We hear two comments all the time from agency principals:

- My clients are lazy – they want us to do everything for them.

- My clients will never use an app.

Our responses are:

- How do you know (that your clients are lazy and will never use an app)?

- Just as you train your employees you can train your clients….

- That’s what the banking industry used to say too!

Agency owner Jason Cass said:

“App developers will dangle the fact that you can have your very own shiny icon hanging in the

iTunes App Store or Google’s Play Store. If no one knows what your branding looks like (and

most of my clients don’t) what good is it? But, my clients can find their Insurance Agent app.”



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Earlier it was pointed out how the banking industry has evolved their mobile app strategy and offerings.

Independent agencies and brokers have the same opportunity to evolve. Take a look at the five primary

functions of a mobile banking app below.

1. Accounts / Balances 2. Bill Pay 3. Transfer Money 4. Deposit Checks 5. Alerts

The five most basic functions

in a banking app….



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Notice in the following image that a banking app’s primary functions are not much different than five of

the most important tasks your agency does every day.

Many agency principals think it’s great that banking and other verticals have a head start on insurance –

forward-thinking agencies should embrace those efforts and learn from them. We believe it is imperative

that agencies pay attention because those verticals are training your policyholders to expect good service

via mobile.

Hundreds of agencies believe that the approach taken (and the features offered by) the Insurance Agent

mobile application are precisely what independent agents need now. The app will evolve – it already has.

And by the way, this is all we do – we don’t build apps for doctors, lawyers and dentists the way a lot of

other insurance app developers do.

These are not early days for mobile apps, but it is still early days for insurance mobile apps. The longer

independent agents wait for directs, captives and competitors to deploy their apps, the greater the risk

independent agencies will be displaced. Don’t let it happen to your agency.

Carpe Mobile!

1. Accounts/Balances = Policy Info

2. Bill Pay = Bill Pay

3. Transfer Money = Change Request

4. Deposit Checks = POI ID Card Image

5. Alerts = Notifying Clients

6.

….Are very similar to the five most

basic service functions we deal with

every day at an insurance agency, and

the Insurance Agent mobile app

facilitates



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Here is a partial summary of all the Insurance Agent mobile app can do for your agency and clients:

24/7 access to your agency

Sends email invites to clients to assist with app installs

Sends push notifications (that come in like a text message)

to all or as few as one customer

Retains POI ID Cards for easy access

Integrated version automatically loads policy info & ID’s

Mobile claims kit for vehicle accident reporting

“App within the app” inventory reporting

Client web portal access (if your agency uses one)

Simple & effective referral feature

Cloud storage and syncing – Very Important!

Small app size (so users won’t want to delete the app)

Engineered to integrate with agency management systems

Simple to administer

App automatically loads info for all carrier claims & billing

Speeds-up claims process - good for your agency’s loss ratio

Reduces CSR service time spent on tasks the app handles

Feedback on whether clients have installed your app and when they last used it

Feedback on client email addresses that are defunct

No “bloatware” – useless features

The Insurance Agent mobile app helps agencies provide tremendous value and service to clients during

their mobile moments. It also gives them the technology to help customers do exactly everything

they’ve been telling them to do.

With one tap your clients can connect with our agency any way they want. They can also:

- Record, store and share info in case of an accident or claim

- Connect with us or the carrier to pay a bill or check a claim

- Receive push notifications (displays as a text message) that connect me with my clients and

my clients with the app

Agencies want customers using the app so that their brand and services are with them at all times. That

engagement builds trust and loyalty.

Agencies remind clients about the app when they talk about new drivers, fire safety, renter’s insurance,

claim coverage – you name it – 80% of the time the app can help!

The Insurance Agent Mobile Application is a product of Blue I, LLC headquartered in Charlotte, NC, and

operated by a team of mobile developers who are insurance consumers and proudly use the

independent agency system. For more information, contact us on our website at

https://goinsuranceagent.com, call (980) 322-7723, or email us at [email protected]

https://goinsuranceagent.com/

mailto:[email protected]

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