Piggy-backing on someone else’s message to get your own across

High customer churn means that insurance providers must constantly prospect for new customers. According to David Jefferies , marketing director of Pitney Bowes, the challenge of customer retention is one that is going to increase for insurers, not diminish. The last decade, he argues, has been typified by unproductive price-led competition. Every company now has rapid quotation engines, often online, so speed of decision is no longer a real differentiator. Drawing on recent research from Pitney Bowes, Mr Jefferies looks at the use of affinity marketing techniques by insurers to improve customer retention

Typically, when it comes to marketing budgets, the well-worn “customer is king” mantra holds fast. Businesses are acutely aware of the comparative expense of attracting new customers over retaining and nurturing existing clientele, and marketing spend is accordingly weighted towards patrons over prospects.