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How AlfaStrakhovanie Group Increased CRM Marketing Profit by 714% in 4 Years

Date: 2023-07-20 | Time of reading: 9 minutes (1640 words)

AlfaStrakhovanie: Increasement of Profit by 714% in 4 Years

AlfaStrakhovanie is the largest private insurance company in Russia, offering a wide range of insurance programs for individuals and corporate clients.

Since 2019, the company has been engaged in marketing communication automation through the Altcraft Platform. In the first year, the marketing team achieved excellent results, with a 42% increase in CRM marketing profits. We discussed how they achieved these results in this article.

Currently serving over 30 million customers, utilizing 15 communication channels, and processing data from 80 repositories, AlfaStrakhovanie has successfully adapted Altcraft Platform to its scale, automating customer communication and freeing up time for the development and implementation of new strategies. Learn how AlfaStrakhovanie enhances customer communication with the help of the Altcraft Platform.

Currently, AlfaStrakhovanie serves over 30 million customers, utilizing around 15 communication channels and processing data from 80 repositories. Their Customer Journey Map (CJM) consists of 200 touchpoints. Altcraft Platform has successfully adapted to such a scale, enabling the specialists at AlfaStrakhovanie to automate customer communication and free up time for the development and implementation of new strategies.

We share how AlfaStrakhovanie improves customer communication using the Altcraft Platform.

Profit of AlfaInsurance from CRM marketing (comparing with 2018)

Why they chose Altcraft Platform

1. The ability to work in tandem with the internal CDI system without data transmission to cloud services. A key priority for insurance companies is customer data security. Altcraft, as one of the few providers in the domestic market, offered an On-premises solution, allowing AlfaStrakhovanie to have full control over their data by deploying the software within their own infrastructure.

2. The capability to gather all data in one place and manage marketing processes in a unified interface. Within Altcraft Platform's Customer Data Platform (CDP), a unified profile is created for each client based on their personal and behavioral data. This enables a better understanding of customers and facilitates more personalized communication.

3. Сustomization functionality. Altcraft Platform also provides additional communication channels with clients. The willingness of the Altcraft team to tailor the platform to meet customer requirements played a crucial role in the decision-making process.

Tasks and results

The customer journey in AlfaStrakhovanie consists of over 200 touchpoints. By configuring scenarios and trigger campaigns in the platform, the company automated customer interactions at each of these touchpoints. Let's discuss the tasks it solved.

Task 1: Customer retention and increasing repeat sales

Retaining existing customers is a less costly endeavor compared to acquiring new ones. Therefore, a significant portion of marketing communications in AlfaStrakhovanie is focused on addressing this task.

Currently, over 500 triggers are active, with thousands of message variations across various communication channels. Among the implemented mechanisms are:

  • Abandoned calculator. If a customer starts entering data into the insurance cost calculator but fails to complete the action, the system automatically sends them a reminder with an offer to finish the calculation.

  • Bonus accrual. After successfully completing a transaction, customers are awarded bonus points. The company then sends them an email notifying them about the accrued points. The email includes an individualized link to other insurance services that may be of interest to the customer.

  • Customer reactivation. If a customer has not made repeat purchases for an extended period, the company sends them an email with a link to a personalized survey. The survey aims to identify the reasons why the customer is not interested in renewing the service. After completing the survey, the user receives a discount on their next purchase.

Policy renewal

For effective policy renewal, the company actively engages with the customer at every stage. The following triggers are used:

1. 30-Day policy expiration reminder. One month before the insurance policy expires, the customer receives an email offering the option to renew the service.

2. Policy expired notification. On the day the policy becomes invalid, the company sends a notification to the customer.

3. Abandoned payment. If a customer starts the policy purchase process but does not complete the transaction, they receive a reminder email.

Each trigger sends a message with an individualized link. When clicked, the customer is redirected to a page where they can quickly renew the service. From the customer's perspective, this simplifies the renewal process. Additionally, timely reminders minimize the risk of missing the deadline and being left without coverage. From the company's standpoint, these triggers increase the likelihood of a successful transaction.

Cross-Selling

AlfaStrakhovanie offers 35 primary products and over 50 additional ones. With such a wide range of options, cross-selling becomes one of the most effective tools for increasing repeat sales.

However, it is important to offer products that genuinely interest the customer when implementing this strategy. For example, if a person purchases mandatory motor insurance (MTPL), they can be offered comprehensive motor insurance (CASCO). And if they have obtained "Insurance for traveling abroad," they might find "Green Card" service useful.

AlfaStrakhovanie creates a list of relevant products within its internal CDI system, utilizing machine learning. Based on the user's previous actions, ML algorithms generate the best recommendations from the available options.

To timely deliver such an offer, a scenario is set up in the Altcraft platform. After the customer completes the insurance service purchase, they are awarded points and receive an email. Three days later, the platform checks which specific product the customer has purchased. The CDI system gathers relevant additional offers and transfers the data to the platform. Based on this data, a template is generated, and an email with a list of recommendations is sent to the customer. Subsequently, the platform tracks the customer's actions after receiving the email and transfers the data for processing in the CDI system.

Cross-selling

Policy renewal, abandoned calculator, cross-selling, and customer reactivation — all these mechanisms are automated and continuously work to retain customers and stimulate repeat sales. As a result, in 2022, the level of repeat sales increased by 98%.

Task 2: Increasing subscriber engagement

When it comes to email marketing, the level of subscriber engagement reflects how actively subscribers interact with the emails. Metrics such as open rates, click-through rates, and conversions are important indicators to consider.

Personalization is a key factor in driving customer engagement, and AlfaStrakhovanie has always excelled in this aspect. As previously mentioned, Altcraft Platform has been working in tandem with the company's internal CDI system from the beginning. All emails in the platform are generated based on data from this system. Let's explain how it works.

The CDI system segments users into micro-segments for each touchpoint based on various parameters: active products, customer interactions, insurance claims, website calculation stages, psychographics, and more. Personalized links and datasets are generated based on this segmentation and later transmitted to the platform. The platform performs additional customer load segmentation and triggers activation. As a result, customers receive the best offer from over 1 billion possible combinations. The average click-through rate (CTR) for such messages is 39%.

However, the company didn't stop at personalized email campaigns. The next step was to increase email open rates. Two different techniques were used for transactional notifications and promotional mailings.

Transactional messages contain important information, so it is crucial to ensure that the customer receives them. A cascade mailing approach became an obvious solution, and the AlfaStrakhovanie team implemented the following scenario:

Cascade mailing

The message is sequentially sent to various channels. If the recipient does not open the message in one channel, the platform sends the same message to another channel. This process goes from the cheapest channel to the most expensive one. If the message still doesn't reach the recipient, a specialist from the call center will contact them.

By using cascading distribution, marketers have achieved almost 100% message open rate.

To increase the open rate of promotional campaigns, marketers have employed a new ML module in the Altcraft Platform called "Best Send Time." Machine learning algorithms analyze the history of message openings in campaigns and determine the day of the week and hour when a specific profile is most likely to read the message. Therefore, each subscriber receives the email at the optimal time for them.

As you can see, conservatism is not characteristic of AlfaStrakhovanie marketers. They are always ready to embrace new technologies in their strategies, which is why their subscribers have long been receiving AMP emails. The level of interaction with such emails is much higher than with regular HTML versions.

Task 3: Attracting new clients

To find new clients, the company expanded its coverage by setting up new communication channels - Telegram Group and Telegram Bot.

Through Telegram Group, AlfaStrakhovanie's specialists automated the posting of posts in its official channel. There they report on important news and share useful tips in the insurance industry.

The main task of the channel is to increase brand recognition and gain the trust of potential clients.

As for Telegram Bot, it performs the function of a support service. Here, messages are sent directly to the user, but they should first start a dialog with the bot. After that, their data gets into Altcraft's database for further communications.

In addition, lead generation takes place through omnichannel scenarios in the platform. Through API requests, contacts of potential customers are transferred to agents, brokers and the call center. At the same time, the collected data allows for the automatic creation of a personalized script for each lead.

Conclusion

The company "AlfaStrakhovanie" has been automating marketing communications with customers through the Altcraft Platform for over four years. The collaboration can be considered successful as the profit from CRM marketing consistently increases year after year. In 2022, it grew by 98%, marking a 44% increase compared to 2021.

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Author: Polina Zakaryan

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