Insurance belongs to a special group of goods known as unsought goods (Kotler et al., 2020). This group of goods is characterized by the fact that consumers are hardly informed about the products and alternatives and have little to no interest in buying the service. The main problem is that the target group is not aware of the added values. At the same time, there is the advantage that consumers know less information about competitors' offers than is the case with physical goods.
The following key challenges for unsought goods can be identified.
- Low customer awareness: Customers have little information about the service offered and its added value. Aggressive marketing measures can reduce this information gap.
- Furthermore, trust is an essential pillar, which can be supported by empathic communication on the one hand and certifications on the other.
- Explanations and clarifications are also important. Many insurance policies protect the customer from events that are not foreseeable and/or are more relevant in the distant future. It is important to explain why it is important and sensible to make early provision. Since the attention span of many customers is very short and there is not much interest in dealing with the topic, it is important to convey the main messages briefly and concisely.
- Finally, it is important to focus on building long-term relationships. Insurance companies, as customers' lifelong companions, should place particular emphasis on maintaining the relationship after the contract has been concluded through regular touchpoints and personal support.
One way to overcome the challenges is to take advantage of the unique benefits of digital marketing and implement influencer marketing. Influencer marketing can raise awareness of the service offered, build trust in the company, educate customers and build a relationship. Influencer marketing offers a unique opportunity because they already have a relationship with their followers. The obstacle of convincing customers of the service is lower. Through personal storytelling, an emotional connection can be established that the customer can relate to.
Customers can be made aware of the insurance company's social media channels through influencer marketing, among other things. When structuring and setting up the channel, there are several ways to make it more attractive.