Auto insurance

Break the auto insurance buying cycle with telematics solutions – InsuranceNewsNet

Fred Dimesa

How does the buying cycle doom insurance marketers?

Traditional data targeting can lead to negative ROI

Some might say, “That’s OK; our pricing team will fix the issue when the user completes their quote. This would be true if the company had access to telematics data as part of the quote feed. But if not, carriers will continue to convert and undervalue riskier drivers using traditional pricing systems.

But it doesn’t have to be that way for your business. Your best customers are there, you just need the right data and targeting strategies to identify and acquire them.

Identify your ideal customers with telematics data and audience targeting

Using programmatic marketing techniques such as audience targeting, auto insurance marketers can target segments of drivers grouped by risk in their advertising campaigns across the digital ecosystem.

And by using telematics data in their programmatic marketing, carriers can either target only the most profitable customers, or simply modify their bidding strategy to raise the bids for the best customers and lower the bids for the riskiest customers.

Additionally, with a deep understanding of their ideal customers, carriers can customize ad creative to engage different types of drivers at different stages of the purchase journey. Once personalized messaging is developed, operators can run ads through their own demand-side platform in marketing campaigns across all digital channels.

Smart auto insurance marketers increase their ROI by augmenting their traditional data targeting strategies with telematics data and using audience targeting to reach the best prospects for their business.

Fred Dimesa is Head of Advertising and Aggregate Data Products Segment at Arity. He can be contacted at [email protected].

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