This past year has been unprecedented in terms of the disruption to all aspects of our modern lives. Robust industries that seemed poised to capitalize on growing trends in technology and globalization suddenly found themselves scrambling to remain afloat — the airline industry alone lost over $370 billion in revenue since the pandemic began. The insurance industry was no exception. Last year, global insurance premiums retracted significantly, estimated to be on par with a $144 billion drop in 2017, the largest ever recorded. But, as Steve Jobs once fatefully said: “Sometimes life is going to hit you in the head with a brick. Don’t lose faith.”
According to Swiss Re Group, the insurance industry is set to overcome this year’s COVID-19-induced global economic recession, with total premium volumes returning to pre-crisis levels in 2021. Industry insiders have kept a positive outlook on the situation in light of expectations of a major rebound.
And the numbers don’t lie.
Though the global insurance market faced major historical declines in 2020, the global market only contracted 2.2% in the aggregate. According to Research and Markets “Insurance Global Market Report 2021: COVID-19 Impact and Recovery to 2030”, the global insurance market is expected to grow in 2021 at a compound annual growth rate (CAGR) of 12.9%. These figures are reflective of the general mood in the industry. In a 2020 Aon Programs study of 500 U.S. insurance brokers and agents, 93% responded that they were approaching the new year with a “glass half full” mindset. There’s a good reason for this careful optimism.
How can you best position your business to take advantage of the rebound, and get back on track? Just three words: triggered email campaigns.
Maybe you’ve come across this term before, but you’re still not sure what it means? No worries. That’s what our expert team at Pathway is here for.
In order to help you to chart the best email campaign for your business, we’ll be diving deeper into three central questions below:
- What are triggered emails?
- How can insurance brokers benefit from triggered emails?
- What are the top 10 most effective triggered email campaigns for you?
Let’s get started, shall we?
What is a Triggered Email?
As an insurance advocate, your job is to work with clients and help them understand the risks they face. Your services should enable them to more effectively protect their business, possessions, or themselves. The problem is, you’re not necessarily trained to be on the cutting edge of marketing, or have the insider knowledge of a high-volume advertising specialist, are you? So what can you do to employ the best communication techniques to maximize your ROI?
This may be obvious, but in our digitally connected world, 3.8 billion people actively use email. The ubiquitousness of email as a medium for human interaction and the ease with which it can be integrated into your business strategy makes email marketing a no-brainer to adopt. Consider this: An email marketing strategy is highly effective, simple to learn, and significantly cheaper than other means of outreach to existing and new customers.
How easy is it to learn, you may ask? It’s as straightforward as collecting the emails of your current clients, drafting your desired communication, and ensuring the proper feedback system is in place as a trigger. The advantage is that it establishes a regular cadence of touchpoints with your clients (e.g. by automating billing reminders) so that they know you can anticipate their needs, and save them time as an added bonus.
How do triggered emails fit into all of this? Triggered emails – also known as transactional and behavioral emails – are automatic messages sent to your clients based on predefined events. That means that when one of your clients performs a certain action or fulfills certain criteria, they receive an email relevant to them at that moment in time.
The main difference between regular marketing emails and triggered ones is that the latter are automatically delivered to individual clients. In traditional email campaigns, all recipients receive the same message at the same time.
Why should you invest your time and energy into triggered email campaigns?
They’re great marketing tools because they are timely, can be personalized to be relevant to your clients, and provide the recipient with actual value and usefulness. According to data from Forrester Research, triggered emails can generate 18x more profit than regular email campaigns.
That’s what we in the business would call “bang for your buck”.
What Are the Benefits of Triggered Emails?
Once you get the hang of email marketing, the next step is to start looking for ways to maximize your wins. According to a recent BtoB Magazine, 59% of B2B marketers say that email is their top revenue-generating marketing channel.
This makes sense considering the fact that emails are the most lucrative marketing channel by a longshot, with the median ROI at roughly 122%. That’s four times higher than any other digital marketing channel.
Triggered emails fit into this equation by helping to maximize your email marketing efforts. At a basic level, they expand your communication touchpoints with current clients and add depth to your marketing funnel through email campaigns. More specifically, the three biggest benefits of triggered emails include:
- Increase Your Email Open Rate
Unfortunately, many marketing emails end up in spam folders or get deleted by automatic safeguards in common email services such as Gmail. Automated emails can help you avoid these pitfalls.
As Smart Insights reports, email open rates and click-through rates for triggered emails are almost double that of other email types (e.g. newsletters and autoresponders). This makes sense considering that they are more relevant or immediate, and are connected to the context of an action that a subscriber has taken.
Additionally, it is worth noting that personalization is one of the fundamentals of email marketing. By addressing your clients by name and adding a personal touch, your email open rate will soar.
- Overall Higher Conversion Rates
The average B2C businesses that use automated email campaigns can expect conversion rates as high as 50%. Triggered email campaigns, when done correctly, reach clients at the right spot and time by addressing their needs in the present moment.
Realistically, the sheer volume of general email blasts will surely net you some successes when it comes to client outreach. However, it’s like using a sledgehammer to crack a nut. The approach is too broad, only a fragment of your email readership will have a real use for it, and you risk alienating loyal customers with overzealous communications. Triggered emails, on the other hand, are tailored to individual user needs when they need them.
- Create Engaging Email Campaigns
The ability to cater your communications to an individual’s need is extremely valuable in this age of sensory overload. Clients who feel their needs are being met are more likely to engage with your emails and will be more motivated to deal with what may appear to be arduous tasks, such as updating their policy documents or renewing their policy going forward.
Experts at the Lenskold and Pedowitz Groups have stated that businesses that use email automation are 133% more likely to send highly relevant messages to their clients. Triggered messages allow you to stay in tune with the customer journey cycle and motivate them to do something they’re already thinking about — but with that little extra boost to complete it.
Top 10 Triggered Email Campaigns for Insurance Brokers
Now that you’ve had some of the contexts behind the benefits of triggered email campaigns, you can start to apply these to your overall email marketing strategy. We guarantee you’ll immediately see the impact on important success indicators, such as your email open rates.
But, before getting started, we want to give you the proper tools to succeed as you take your business communications to the next level. Below, you’ll find 10 of the most effective approaches that every insurance advocate should have in their arsenal, starting with…
- Instant Access with eDelivery
Even as the workforce slowly returns to a pre-pandemic sense of normality, Pew Research Center found that more than half of surveyed Americans still desire to continue working remotely. For some clients, this represents an abrupt shift from the business/customer status quo, since they’re accustomed to dealing with an insurance advocate face-to-face.
However, going digital means you can help them deal with their paperwork remotely. Giving your clients access to their policy documents right away will give them confidence in the robustness of your business, the quality of your customer service as a serious insurance advocate, and general ease of mind.
Having eDelivery at the top of your triggered email campaign list should be a priority since it’s a commonsense strategy to have in place if you want to show your responsiveness as a brokerage. It’s a maximalist approach that covers a wider variety of processes: automated billing reminders, changes in digital/electronic proof of insurance, or updating policy documents.
- Digital Proof of Insurance/ID Cards
Digital proof of insurance is important to your clients for obvious reasons. They need immediate access to it at their convenience. As soon as they provide you with a valid signature, the appropriate documentation needs to be sent to their inbox as a matter of priority.
It’s important that their digital proof of insurance is optimized for a mobile format, as this is one of the most common means of accessing documentation on the fly. Clients also need to be able to read what you send them, without having to squint when deciphering every other sentence.
Failing to optimize for mobile is one of the biggest mistakes you can make in your email marketing campaign. As Brian Dean of Backlinko writes, more than 42% of recipients will delete an email without reading it completely if it’s not optimized for mobile.
- Sending Welcome Emails
Imagine this typical scenario — you just got a new client and you want to make them feel right at home, but you’re not sure what to do. In this situation, sending a simple “welcome email” is the right move. For many insurance brokers, a welcome email is the first touchpoint with a new client, so it’s important to make a good impression. You can also use this type of triggered email to cover other key subjects:
- The types of email communications they can expect from your insurance brokerage
- Links to social media accounts (encourage them to follow you)
- Recommend that they leave a positive review of your business on Google
In the past, welcome emails were considered optional. In today’s competitive environment, they’re a necessity. Research shows that 74% of users expect to receive a welcome email as soon as they give their address to a business or join a mailing list.
- Pre-Renewal Client Surveys
Client retention is arguably more important than client acquisition. That’s something that business owners struggle to recognize since an increase in the client-base doesn’t automatically equal a direct growth in revenue.
The cost of keeping a client amounts to roughly 20% of the overhead you need to spend on acquiring a new one. That’s why you need to do everything you can to keep your current clients on board and reduce the size of your marketing spend.
All insurance brokers know when their clients need to renew their policies. You still need to have an email that’s triggered one month to 60 days before the policy renewal time. That way, you’ll never forget to remind a single client when it’s time to renew their policy.
- Automate Billing Reminders
For insurance brokers, emails are a great tool for keeping track of invoices. If you have unpaid invoices, chances are you’ll be able to take care of the problem by email. A company such as Chaser, which makes accounting software, manages to take care of up to 80% of unpaid invoices through email reminders. At Pathways, our Renewal Bot can help you automate billing reminders and ensure you’re getting your accounts in order.
Never used a Renewal Bot before? Well, it’s an automated system that assists with client retention by sending out automated emails. Our Renewal Bot can help you streamline your workflow, send an email as soon as a certain policy expires, and as mentioned before, automate billing reminders.
- Lead Nurture via Prospect Emails
So you have a good number of leads, but you still aren’t sure how to turn them into revenue-generating clients. In this case, the key is learning how to nurture them properly. How will this benefit your agency? Businesses that excel at lead nurturing generate 50% more profit at a 33% lower cost.
As soon as you get a new lead from your quote page, you can target the potential client with a series of emails with relevant information about your brokerage and services. The point is to establish your brokerage as a brand and help the customer choose you over the competitors.
- Cross-Selling Campaigns
According to Marketing Metrics, the probability of selling to a new lead is between 5% and 20%. On the other hand, the probability of selling an existing client is between 60% and 70%. With those numbers in mind, it’s clear that you need to build touchpoints with your current clients to regularly communicate new offers. For example, you can offer bundle discounts to existing clients or offer higher liability coverage after a certain amount of time.
You can use a cross-selling approach to attract new clients as well. Based on our experience, there are two main types of cross-selling situations:
- Clients who’ve already bought coverage from another brokerage but are looking to do work with another agency
- Prospects with no current coverage, but who are looking for insurance brokers that will provide them with one
When leveraging cross-selling, you have to ask yourself the following: When is the best time to send emails? There is no set rule around when to do this. For instance, cross-selling life insurance has proven to be a good investment for many insurance companies during the pandemic.
- Conducting Follow-Up Surveys
When running your own insurance broker business, you want to know what clients think about you holistically. Without feedback, you can never effectively improve your products or services. The best way to find out? Just ask them directly. You can do this by triggering surveys in response to previous communications.
If they file a claim, a triggered email should go out in response. When following up with a survey, in order to avoid “partial completion” issues that are common, ensure that they can be saved and finished later.
As previously stated, mobile optimization is crucial, since users complete the majority of surveys on their mobile devices.
- Winning Back Lost Clients
As the old saying goes, sometimes you can’t win ‘em all. But inversely, that shouldn’t prevent you from using a few tricks up your sleeve to prove the aphorism wrong.
A win-back email is a message that’s automatically sent out to inactive email subscribers. This might be a customer who in the past bought a policy from you or one of your insurance brokers, visited your site, or opened emails, but for some reason has stopped interacting with your business. After a certain amount of time has passed, a triggered email should be sent out to the inactive customer. This is what’s known as a win-back email.
As a rule of thumb, win-back emails are sent out 6 months after the last known subscriber activity/interaction. However, timelines can be fluid and at the discretion of the broker. Again, this is where a tool like Pathways’ Renewal Bot can come in handy by automatically performing this follow-up.
The average open rate for win-back emails is 12%, and some 45% of those who open the email will actively engage with you.
- Encouraging Positive User Reviews
Email marketing can help you manage your brand image through publicly available referrals on your services. Customer reviews are incredibly useful tools in burnishing consumer perceptions of your business, providing real-time feedback on your services, and act as a force multiplier in the trustworthiness of your product.
A staggering 93% of people will read local business reviews in order to assess their quality. This plays a central role in the oldest form of free advertising — word-of-mouth — which can make or break a business. That’s why you need to tweak your email marketing strategy to encourage your clients to leave positive reviews.
When is the best time to send these emails? You can do it when your client has responded positively to your service. You can also send an automatic email whenever a client responds favorably to your satisfaction survey or Net Promoter Score® survey.
Increase Your Conversions and Revenue Today!
At Pathway, we pride ourselves on creating intuitive automation solutions for the most progressive insurance agencies and brokerages in the U.S. and in Canada. We do all this because the guiding principle that drives our work is a belief that every business, big or small, can benefit from the power of marketing automation at an affordable price. Our experience has consistently shown that adding automation to your brokerage or agency will dramatically improve your business: let us give you that cutting edge you need to stay connected to your customers, increase revenue, and attract new clients.
Adopting triggered email campaigns as a central pillar of your email marketing strategy is a best practice we recommend that all our customers follow. Whether you want to send billing reminders, electronic proof of insurance, or engage the best brokerage accounts, our Renewal Bot can help you accomplish that with ease. If this sounds interesting to you, make sure to request a demo and give it a spin.
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