Programmatic Advertising Increases Customer Value for the Insurance Industry

Programmatic Advertising Increases Customer Value for the Insurance Industry

Although labelled as a buzzword, the 'digital transformation' has made an immense impact in many areas of business, including the insurance industry. Disruptive innovations have placed further competition on an already highly competitive market, with insurers looking for new and efficient ways to create value for their consumers.

By investing in smart automation technologies and understanding the power of behavioural analytics, programmatic advertising has become a promising addition to the marketing mix and has already been proven to be a top converting digital marketing and advertising service for many within the industry.

What is programmatic advertising?

Programmatic advertising has become a highly sought after and widely talked about digital marketing technique in recent times, due to the technology's ability to utilise automated and instantaneous behavioural analytics and purchase intent that helps to serve the best possible advertisement, to the right person, at precisely the right time. It is believed that this highly targeted, and precise method is, therefore, more relevant for the consumer, leading to improved engagement, higher conversions and a significant reduction in wasted advertising expenditure. 

However, programmatic is actually much more complex and sophisticated than this. In fact, programmatic has been defined as an algorithmic media buying and selling process to place advertisements on digital channels, such as online, television and out-of-home displays. The highly complex algorithms gather various data points about a consumer, including their online behaviours, age, gender, location, and purchase intent to deem whether a particular advertisement and it's creative would be relevant and engaging to that particular individual. During the immediate and prompt process, the software automatically purchases, places and optimises media inventory through a bidding system to deliver the advertisement in the best possible place for that individual. Therefore, the method results in the delivery of highly precise and personalised advertisements in a more efficient way and at immense scale compared to other digital marketing methods.

How is programmatic media buying beneficial for the insurance industry?

A 2017 report by Ernst and Young identified big data and analytics holds the key to creating personalised user experiences in today's highly digital society. However, the global advisory firm also noted that a common shortfall of many insurance providers is their lacking use of data and analytics to provide real value for consumers and to improve the customer journey. The company goes on to recognise that analytics "listens and learns" customer inputs to identify patterns to provide brands and insurers with potentially profitable opportunities. In fact, as programmatic advertising is highly reliant on data and analytics to accurately place relevant advertisements to a specific consumer in an appropriate touchpoint along their consumer journey, the method increases conversion rates and helps transform consumers from leads into customers. 

Furthermore, programmatic advertising and media buying takes away a one-size-fits-all approach that many other traditional and even digital advertising methods adopt. For example, imagine, you have two consumers researching online about increasing the coverage on their current policy, while another consumer is simply looking for quotes. Perhaps both individuals find the companies social media page with content focusing solely on attracting new consumers with competitive pricing and advertising messages. While both consumers have two different intents, they both have the exact same consumer experience as the social media and content marketing strategy fails to address behavioural context. It's such experiences that fail to engage consumers and can result in wasted time and money as insurance marketers aim to target multiple consumers on a large scale.

Programmatic advertising and programmatic media buying is an excellent solution to this common problem and is exactly why expenditure in the area has grown enormously. In fact, according to Adobe Think Tank, it is predicted that by 2020, 80% of all advertising will be an automated process. The immense growth can be attributed to the increased ability for insurers and marketers in any industry, to tailor customer experiences in ways that have before been impossible at such a large scale. Programmatic advertising and marketing enhances brand experiences and ensures that advertisements are highly relevant and targeted to individuals, rather than an audience profile. 

This individualised and personalised approach to marketing communications is increasingly important, as consumers are increasingly blocking ads that they don't deem relevant. In fact, consumers are even more likely to provide brands with data if they will, in turn, be receiving something valuable to them. In this case, by collecting a consumer's data, they will be served with more relevant advertisements that address their needs and wants. Furthermore, a study by Relevance identified that personalisation has the ability to deliver 5-8 times the ROI on marketing spend, can even lift sales by 10% or more and is even believed to be a great tool in influencing behaviours. 

Personalisation and relevancy have become important competitive differentiators for the insurance industry as consumers are increasingly inundated with marketing messages from multiple brands in their digital habitats. While most consumers would simply switch off, or even worse, block the advertisements altogether, programmatic advertising promises greater relevancy with tailored targeting. The highly sophisticated method and its complex algorithms collect consumer data based on their online behaviour, intent and demographics to determine the best advertising message for them, leading to increased relevance, elevated engagement and improved conversions. Ernst and Young even stated that insurance consumers are increasingly benefitting from the efficiency of automation and expect tailored experiences. As automation and analytics become more important for the insurance industry, programmatic advertising is just one of many processes that utilises such technology to help create value and improve the customer experience in a more efficient manner.

At RGC Advertising, we are a full-service Digital Agency based in Sydney and offer programmatic media service with our in-house trading desk to connect consumers to brands in a more relevant, precise and efficient way. To find out how our programmatic media buying agency could benefit your insurance brand, please contact Richard on (02) 8883 2988 or email This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Like to see how we could
connect consumers to your brand?

 



https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_meta-descriptions.jpg
Writing Effective Meta Descriptions for Google's Ever Changing Rules
With irrelevant display advertisements being increasingly blocked, and no captivating merchandising to rely on in the online world, attracting consumers via digital platforms has always been a tricky and challenging feat.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_programmatic-insurance.jpg
Programmatic Advertising Increases Customer Value for the Insurance Industry
Although labelled as a buzzword, the 'digital transformation' has made an immense impact in many areas of business, including the insurance industry. Disruptive innovations have placed further competition on an already highly competitive market, with insurers looking for new and efficient ways to create value for their consumers.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_Voice_Shopping.jpg
How Smart Speakers Are Amplifying Sales In The Retail Sector
It is with no doubt that the digital age and online environment has had a major impact on the retail industry in recent years. While foot traffic into physical stores declines, online shopping and e-commerce sales have grown massively.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_virtual_reality_in_building_industry.jpg
How Virtual Reality is Changing Digital Marketing in the Building & Real Estate Industry
As the Oculus Rift, HTV and other virtual reality (VR) headsets increasingly creep into our homes and the augmented reality (AR) app phenomenon, Pokémon Go, took over our smartphone screens in mid-2016, VR and AR technology has been hot on everyone's lips.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_digital-transformation-in-education.jpg
Get Schooled On How Digital Marketing Is Transforming The Educational Industry
In Australia, the education industry is a $121 billion market and according to IBIS World has expanded at a faster rate relative to population growth in the past five years. 
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_insurance_chatbots_customer_service.jpg
Chatbots improve customer experience for the insurance industry
Technology has long played an important role in providing exceptional customer experience for many brands, including the insurance industry.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_Shoppable_Instagram_For_Retail.jpg
Instagram Shopping in Australia is Helping Create A Seamless Retail Experience
With over 9 million monthly active users, Instagram has become one of the most popular photo sharing, social media applications amongst consumers and businesses alike.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_automotive-seo.jpg
Keep your automotive website on track with a local SEO strategy
Long gone are the days where consumers pass through the doors of multiple dealerships to find their dream car. It is unsurprising that consumer shopping habits have evolved across many industries, including automotive, with a greater emphasis on the digital landscape to research, experience and in some cases even purchase a new vehicle.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_QSR-online-delivery.jpg
How QSR's can feed their audience's appetite for online food delivery
Satisfying after-hours' cravings or maximising convenience in our busy lifestyles has become increasingly popular in recent time through the significant adoption of online ordering and delivery.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_Retail_GDPR.jpg
How the GDPR is Going to Affect Retail Digital Advertising
Online shopping has inevitably prospered in recent years and has completely changed the retail game by providing consumers with a virtually limitless market and unprecedented convenience. 
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_data-for-automotive-digital-marketing.jpg
How is data fuelling digital marketing in the automotive sector?
Big data, predictive analytics and machine learning are common topics that have risen within the digital marketing space and are rapidly gaining traction from many industries due to the opportunities it provides.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_Facebook_Algorithm_Update.jpg
What Facebook's Update Means for Your Brand
The beginning of the new year often signifies change for many, and Facebook is no exception. In fact, just last week, co-founder and CEO of the social media giant announced a significant update to the platform that is creating a seismic shift for brands, advertisers and marketers.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_RGC-Webaward2017_MobileAward_BlogImage.jpg
RGC wins at the 2017 Best Mobile Application Awards
For the past 6 years, the Web Marketing Association recognises the best in responsive mobile web and application development with the MobileWebAward (MWA) competition, and is the only industry-based advertising award to do so.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_qsr-social-media.jpg
Why QSR's need to serve up an engaging social feed
Australian consumers are amongst some of the most active individuals on social media accounts today, accessing news, entertainment and interacting with others through various platforms. Social media channels have also significantly changed the way consumers interact with brands leaving companies constantly looking for new ways to utilise the platforms to engage their audiences.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_programmatic-advertising-for-retail.jpg
See How Retail Can Use Programmatic to Personalise Advertising
Digital marketing has fundamentally transformed the retail industry, providing an unprecedented opportunity to engage with consumers on a 1:1,  personalised level.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_digital-marketing-insurance.jpg
The Digital Disruption in the Insurance Sector
The digital age has caused significant disruption to many industries, but no sector has felt a complete shake-up in comparison to the competitive insurance industry. In fact, prior to the shift to digital, consumers and insurance companies shared a closed relationship where information from the insurer to the consumer was simple and easy to digest.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_automotive-websites.jpg
How can a website help the automotive industry?
The automotive industry is no stranger to the fast lane, particularly when it comes to the highly competitive nature of the business. In fact, according to recent studies, the industry is geared up and expected to spend over $14 billion by 2020 on digital advertising expenditure in order to position themselves favourably amongst consumers.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_online_shopping.jpg
The challenges of online shopping for e-retailers
In 2013, consumers worldwide parted with $1.2 trillion, to purchase a variety of products via the global online marketplace. What's more, a further $4 trillion worth of goods annually also had the potential to be sold, however, resulted in shoppers abandoning the sale.
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_afterpay.jpg
Embracing Technology For Success In The Digital Age
The digital age and the rise of social media have had a great effect on customer satisfaction and ultimately customer loyalty. Think about it. When you scroll down your social feed, undoubtedly, you will be exposed to hundreds of products. 
Read More


Click here to view more articles

https://www.rgcadvertising.com.au/images/easyblog_shared/2e1ax_wunderkind_home_instagram_stories.jpg
How Instagram Stories Can Benefit Brand's Content Marketing Strategy?
Every single day marketers are faced with the challenge to engage audiences with relevant and appealing content in crowded and noisy marketplaces. In fact, the average consumer is exposed to at least 285 pieces of content via social media on a daily basis, highlighting the necessity to consistently conceptualise, curate and refresh innovative marketing content that truly captivates an audience. 
Read More


Click here to view more articles