Auto insurance companies working on their customer service experiences
Automobile insurance companies are going all out to please their customers. Once upon a time we just called the insurance agent our parents dealt with for twenty years and gave them the information about our car and the amount of liability, collision and uninsured motorist protection we needed and sent in the premium. We didn’t shop around, and who would have thought that an automobile insurance company would actually cater to a customer?
Now less than ten years later all of this has changed. Insurance companies flood television commercials with proposals for the best services one can imagine. Amid the promises of the lowest cost policies, companies now have new ways to win you over. Progressive Insurance Companies promise you customized quotes and immediate personal service. Who doesn’t identify with Flo, the loveable and helpful cashier with the tricked-out name tag? Who doesn’t recognize the reptilian mascot with the Cockney accent for GEICO?
Still when it comes to customer service and brand recognition, Allstate might be onto a better way. No fancy gimmicks in their advertisements, but instead the company has been swaying customers with such programs as accident forgiveness, reward programs, and safe driving bonuses. Last week Allstate announced their new Claim Satisfaction Guarantee which promises its customers to be satisfied with their auto claim service or they will get a credit to their auto policy. This new feature which makes eligible customers who are not happy for any reason with the service they receive a finite opportunity to receive an actual credit on their auto policy.
Allstate’s new program actually lays a pretty big responsibility on the company because the satisfaction promises stretch from the agent, to the adjusters, to the claims representatives and to the very people who are entrusted to repair a client’s car Allstate, however states the repairs must be done through an Allstate Good Hands Repair Network or Sterling Auto Body Center. Still the network shows the company’s trust in the people they deal with thus helping to build trust with their customers.
And when once upon a time we could only call our insurance agent during business hours, Allstate as well as other insurance companies now have 24/7 service in case of a problem. Ten years ago, clients had to wait until Monday morning to report a collision that happened on Friday night – now there’s immediate help and advice.
Allstate tested their new program last year in Indiana, Ohio, Michigan, and Georgia and hopes to extend opportunities to even more areas in the near future.
photo credit: David E. Starr
My son was raised using the Internet and whenever we talk about buying a new product, he’s already on the corresponding website and has a wealth of information before I even find my car keys. In 2010, Forrester Research stated that retail online sales had grown 11 percent and expected increases of 10 percent a year through 2014. By 2014, consumer purchases using e-retail is expected to exceed $249 billion.
As kids we used to happily create personal gifts for our family and friends. It’s ironic, during my last move to my new home that keeping those special “Arts and Crafts” products made by my son are the very ones I still cherish the most. Of course, there’s the emotional ties included in those lopsided candy dishes and Christmas ornaments made out of popsicle sticks, but it reminds me of the latest trends labeled as “Go Green,” “Do-it-Yourself,” and “Buy Local Farmer Markets.” Buying custom merchandise, although a bit more sophisticated than the necklace made by my son with colored glass beads for my Mother’s Day present, still brings to mind being able to design a piece of custom jewelry in the colors I want to match an outfit, or even those custom sneakers specially made to lift my arches that truly commands a shopper’s appreciation of individualism – a concept we all cherish.
It seems the federal government is making some strong suggestions to companies such as Google, Microsoft and Apple that it’s about time they employ some technology to prevent advertisers from tracking consumer movement across the Web. In other words, why isn’t consumer privacy protected when we power up and go online? Isn’t that all part of customer service; to protect our privacy wherever we shop? Of course some tracking is needed for the Internet to function, but invasive practices by advertisers and online publishers have taken the privacy out of our virtual shopping carts too many times.
The environment matters! The concern over the environment does affect people’s choices of business. We bring our own recyclable grocery bags to food markets, we use less paper in our offices, we adjust our office lighting, we use more environmentally friendly detergents to wash our clothes, and most of us are willing to spend more for “green” products and packaging.
Most businesses tend to focus their efforts on growing along a single dimension: acquisition. Good ones take it step further and focus on “service recovery,” making every attempt to retain a customer’s business after something has gone horribly wrong.
Customer loyalty is an integral part of doing business, but what precisely is involved? Better yet, how do customers become loyal? Most of what we hear about loyalty centers around loyalty to products, but brand loyalty is different from service loyalty. The first element of customer loyalty to consider is reliability; either product or service, but more so, it is doing what you say your service will do. Breaking it down, customer loyalty is based on doing it right the first time, and doing it on time.
At one time only large organizations could afford the expense of customer surveys. Third party companies would construct and conduct the questionnaire, send them out to customers and clients, and tally up the results. Unfortunately, by the time the results came back, the product or the service was outdated. Surveys need to provide immediate actionable information that can boost performance and build trust and confidence.