Profitable New Sales
Since we started in 1987, we’ve run hundreds of Policyholder Marketing programs, delivering more than 4,000,000 new business policies or riders for over 75 financial institutions around the world.
We’ve learned how to design the most successful upgrade and cross-sell offers, how to select and target the most appropriate customers and how to implement the program to achieve the strongest sales result.
Starting with a rigorous analysis of your customer data, we build a program that offers a fully personalized and targeted upgrade or cross-sell policy or rider to selected customers.
We deliver this offer in a way that immediately captures the attention and interest of the customer – often through “conjoint marketing”:
communication that is designed to “look and feel” like a regular and important part of the ongoing customer relationship.
A typical and highly successful example of this is Statement Marketing, where we integrate a fully personalized offer into a policy statement program.
Examples of products we use for upgrade offers are AD&D, Critical Illness, Term and Whole Life.
Successful cross-sell offers include Graded Benefit and Short Form Senior Life, Hospital Income Plans and Travel Accident.
The LSI approach delivers outstanding results that often astonish the financial institutions we work with.
Our programs consistently produce paid response rates of 5% up to 15%, with annualized premium per sale of $100 – $700.
The table below sets out a range of results, all from Statement Marketing programs in the USA, targeting Term and Whole Life policyholders, offering the products shown:
Statement Marketing is a powerful channel for upgrade and cross-sell offers:
– Nearly 100% of statement offers are opened.
– Nearly 100% of statement offers are read.
– The offer is presented to the customer at a time when he or she is engaged and interested.
– The offer uses the same payment frequency and method as the existing policy held. This makes it easy for the customer to accept.
Sales results like these are highly profitable for the insurance companies we work with. But our Policyholder Marketing programs also deliver value through lower policy lapse rates and happier, more loyal agents and intermediaries.
Find out more about how you can build profitable new sales from your in-force insurance customer portfolio.
Call us at LSI on +1 302-339-5200 or email twartenberg@lsigroup.com
Increased retention rates: customers included in campaigns vs not included
| Product offered | Juvenile Term Up-sell | Senior Life Up-sell | Senior Life Cross-Sell | Accident Protection Cross-sell | Senior Life Up-sell |
|---|---|---|---|---|---|
| Policyholders | 2,000,000 | 2,000,000 | 2,000,000 | 2,000,000 | 800,000 |
| Paid sales | 210,000 | 100,000 | 26,000 | 34,000 | 36,000 |
| Response rate | 10.5% | 5.0% | 1.3% | 1.7% | 14.7% |
| Average Annualized premium | $125 | $300 | $700 | $120 | $300 |