A lot has changed since the global financial crisis. The insurance industry is different now, as customer demand has increased. A dynamic industry that needs to adapt quickly to market changes, insurance companies are always in a balancing act between business strategies and customers’ demands.
Insurance companies can identify and meet market needs with new products. During the pandemic, many insurance companies discovered that customers wanted to purchase policies. To fulfill these requests, they rapidly developed new products. It’s more difficult to make rapid product launches a success because not every product or policy will be a hit.
According to the Marketing Research Association, not every product makes it into the market. Only 40% of developed products succeed and survive in the market.
Following are some steps for Rapid Product Launch:
1. Understand the correct product/policy:
Most of the product launches get affected at the beginning of the launch and collapse. As the product that the market demand and business provide is different. An insurer should create that market demand and look forward to it.
Here are some other reasons for the product launch failure:
1. Wrong target customers
2. Inaccurate estimation of consumers needs
3. Time for product launch
4. Lack of promotion
5. Poor after-sales service
For the insurance business, providing the right product at the right time to the right audience is essential.
2. Apply ideas
Research about the customer’s needs and market demand helps to build the right policy. Multiple ideas if implemented properly help to minimize the errors. These ideas can be a combination of different assumptions and strategies. For the rapid product launch, the decision-makers should choose ideas that are efficient and clear to implement. Some businesses apply all the assumptions about the market before launching the product, while others prioritize working ideas. For the rapid product launch, the insurance business should choose a strategy that saves time, money, and energy.
3. Connect with customers
When you neglect to take your customer into account, you end up with an unsatisfying product. Consider what customers are looking for and make changes in the product accordingly. For the rapid product launch, businesses should consider customers’ needs and wants. Taking Customer feedback and asking them questions helps to add essential features and make changes to the product.
4. Product is the primary while features are secondary.
The rapid product launch is for fulfilling the instant demand of the customers. It is provided to the customers as soon as possible. Adding basic features at the start of the product makes the product ready for sales.
For example: During a pandemic, when customers were not using vehicles. They were looking for a premium option that gives them the leverage of paying when they drive. Many insurance companies launch the product “pay as you drive”. This product provides the benefits of paying an insurance premium amount when they use the vehicle. The companies that launch the product sooner get more sales than those that start a little later. Many companies provided the products to the customers and generated sales. After the product launch, the business added the features like video upload and photo upload for claiming the insurance.
Sometimes it is better to not waste thousands and millions of dollars on identifying and adding features. For digital product content, user interface, user experience, and customer support are significant.
5. Test your plans
The reaction of the customer decides whether the product stays in the market or gets thrown out. For the rapid product launch, the insurer can make a very pricey mistake if they do not test their product on a customer. Talk to the customers, identify what they are looking for, ask them for feedback and implement the plans.
6. Digital platform
It is difficult to align the IT resources, connecting data and new product ideas. When it comes to the rapid product launch, an insurer should look for a platform that gives more flexibility to add new policies or products. To survive in the competitive market, rolling out the competitive product is key. Select the digital platform that provides the flexibility and features required for the business. Launching a new policy and product requires less time if the digital platform is perfect.
7. IT expert team
An insurer should look for IT members who are insurance domain experts. Insurers most of the time, commit mistakes while choosing the technology partners. While selecting the IT partners, an insurer should look at the following points:
1. Acknowledge the company’s experience
2. Companies’ adherence to industry standards
3. Companies’ dedication towards delivering promised results
4. Experienced members
8. Marketing and promotion
Gone are the days when an insurer needs a large amount of money for product marketing. Now online platforms like social media, websites, blogs, and paid advertisements are some ways for marketing. Using the power of digital platforms, an insurer can launch and start selling new policies. These platforms connect businesses with customers. Promotional activities like the presale offer, launch offer help to generate sales. These offers generate revenue while the product or policies are still under development.
9. Policy launch
There are multiple factors involved in the successful policy launch. Some of them are time, place, platform, brand, customer support system, and strategies.
10. After the launch
For the rapid product launch, it is the time where the actual work started. Take feedback from the product, answer customer queries and provide solutions, and upgrade the product.
The rapid product launch needs fast decisions and actions. A good insurance business knows how to launch the product. An insurer should choose a technology partner wisely. For the rapid product launch, the insurance business needs support from technology experts.