Allstate reaches out to customers across multiple channels
Allstate is rolling out a multiaccess program, the Good Hands Network, in which customers will be able to purchase and receive service on Allstate auto and property insurance products. This is being done through the integration of approximately 13,000 Allstate agents with customer call centers and the Internet.
The three-year investment of roughly $1 billion for the strategy was announced in November 1999 by the Northbrook, IL-based company. Allstate.com (www.allstate.com) went live last May. Currently the Good Hands Network is reaching across the United States state by state.
“We’ve taken what we had – an agency sales and service distribution system – and enhanced it with the ability to provide our customers access anytime, anywhere and any way they want,” says Steven Groot, Allstate president for direct distribution and e-commerce. “We were responding to what we thought customers were asking for. They still want the ability to deal with an agent on insurance questions, but they want the convenience of fitting the more routine procedures into their schedule.”
Allstate policyholders can report claims and perform service functions relative to their policies online, while others can find an agent with Allstate’s Agent Locator, receive an insurance quote or just peruse the value-added information about safety and public issues concerning insurance.
About 40% of the U.S. population is now covered by the multiaccess strategy, says Groot, who expects to have implementation in most of the country by the end of 2001. States with multiaccess ability are Alabama, Arizona, Colorado, Florida, Georgia, Illinois, Indiana, Louisiana, Maryland, Michigan, Missouri, Ohio, Oregon, Tennessee and Virginia. Additionally, the company has added call center capability to the District of Columbia.
Citing a recent survey, Groot says Internet insurance sales for Allstate and the industry are fairly small, since most prospects prefer to speak to an agent due to the sensitivity of personal and financial information. “People will come [to the Web site] for price comparisons, then speak with a human,” he says, describing the Web as an influence more than a selling tool. “I don’t think it has to do with technology. I think it’s the product that causes people to push the button online.”
But with Allstate.com receiving between 800,000 to 1 million hits a month, does it really matter if prospects push buttons on their keyboards for an on-line quote before pushing the buttons on their telephone for a policy? With that in mind, Groot foresees a lot of business originating online and plans to track customers who visit the site, then call an agent.
“We give the opportunity to save the quote to come back later,” he says. “In those cases, we’re going to see if business shows up written by agents down the road.”
For those who do register, Allstate’s online database and its traditional customer database are integrated with information shared across Allstate service channels. “They may buy the policy online, then call the 800 number with questions, and then make a payment at local agent if they want to,” explains Groot. He adds that a large number of people have started in the registration process. Allstate plans to personalize the site by recognizing the customer when they log on and, based upon existing policies, let them know if there’s anything else they should consider.
“We are in the early stages of developing push e-mail,” Groot continues. “But we don’t have sophisticated outbound e-mail programs at this point. However, if a customer e-mails a question or request for a quote, we respond.”
To increase awareness of its online presence and services, Allstate is advertising on MSN, The Weather Channel and Move.com. Segmented direct response mail activities have also been used to propel its multichannel efforts.
“We don’t think that just being online is a sufficient call to action,” says Groot. “So we’re advising people of potential discounts that may be available and letting them know that we can be reached in several ways. We’ve seen some lift from that.” Those efforts are targeted at both existing customers for cross-sell and prospective customers culled from various lists. Groot estimates direct mailings in 2001 will exceed 40 million pieces. “Going forward, we’ll be adding sales and service for Allstate insurance to the site,” he says. “Our future plans are to continue to enhance the value of the site for our customers and those people who just pass by.”
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