Insurer triples home insurance cross-sell with predictive analytics
A leading insurance and financial services provider wanted to identify and execute cross-sellCross-sell models are developed based on customer data and can identify which complementary products might most interest a specific customer. The goal of these models… More opportunities for various insurance types. The marketing and sales teams for auto and home insurance worked with Pecan to improve their cross-selling success.
Industry: Insurance and finance
Company Size: Over $60B in assets
Solution: Predict likelihood of cross-sell among policyholders
Platform Use Case: Cross-sell predictionA prediction is the ultimate goal of a predictive model. In Pecan, a prediction is often tied to a specific customer. After learning from data… More
Negative customer experience with unfocused upsell campaigns
The sales team was conducting generic upsell campaigns that offered home insurance bundles to current auto policyholders. The traditional outreach approach resulted in low upsell conversion rates, reduced sales representatives’ productivity, and negatively impacted customer experience.
Tailored, targeted home insurance upsell to maximize conversion
Pecan’s platform ingested all raw historical sales and customer data from the insurer and built a predictive model to identify the customers most likely to purchase home insurance.
The primary end result was tripling of the campaign conversions. But like many instances of upgrading standard BIBusiness intelligence (BI) includes gathering, storing, and analyzing business data, as well as using that analysis to inform the actions of the business. More to predictive analyticsPredictive analytics uses data, statistics, and machine learning techniques to build mathematical models that can generate predictions about things likely to happen in the future…. More, benefits spanned the entire customer journey. Sellers saved time by not having to target accounts unlikely to convert, while customer experience benefited because the team directed campaigns only to those likely to convert.
Tripled conversion rate from 5 to 15%
In only a few hours, Pecan delivered a fully functional model that outperformed a competing model developed by the internal data scienceData science combines statistics, computer science, scientific methods, and business knowledge to analyze, model, and predict using data. The data science toolkit can be used… More team over 6 months. Pecan’s model improved the conversion rate by 3x (from 5% to 15%).
Moreover, Pecan was able to enhance performance even further (up to 10x) by combining the platform’s model with the internally developed model, maximizing impact and demonstrating the power of combining traditional data science with the innovation and automation offered by the Pecan platform.