Behavioural economics boosts annual premiums by 60%

Project name:
Using behavioural economics to boost retirement saving contributions

Service:
Applied behavioural economics

Sector:
Financial services
Insurance and asset management

Area of Expertise:
Choice architecture build
Behavioural change

Client:
Large asset manager

Date:
2018 - 2019

Country:
South Africa


The Applied Behavioural Economics team was commissioned to improve the conversion rates and the premiums collected for an asset manager’s retirement-product campaigns. The campaigns sought to migrate customers from old-generation products to new ones, while also increasing monthly premium contributions.

The insights that surfaced during the understanding phase of the work revealed that the proposition communications were information heavy, unclear on the customer benefit, and did not provide a salient course of action for interested customers.

The team redesigned the process by embedding behavioural economics throughout the customer journey. A rigorous test was implemented and resulted in a 27% increase in conversion rates, as well as a 60% increase in the annual premiums collected. The 2.5 times ROI in this work paved the way for continued applications of behavioural economics in the client’s product campaigns.

Search

Search for more Genesis projects

Subscribe

Sign up for Genesis News

All questions must be answered unless indicated optional.