Session # 276Tweet, Tweet, Ping, Ping: Social , , g, gMedia Strategies for Insurance

Monday, June 73:30 – 5:00 PM

Introduction

Housekeeping Items Turn off cell phones, pagers, etc.R b fill i Remember to fill out your session surveys

Q&A at the end of the session

Today’s Topic Tweet, Tweet, Ping, Ping: Social Media Strategies for Insurance

Jennifer Overhulse‐King, Principal Owner – St. Nick Media ServicesJennifer Overhulse‐King is the principal owner and founder of St. Nick Media Services.  She is a writer, as well as a marketing and public relations expert, with more than 20 years of journalism background and expertise.  Jennifer began working with the insurance industry as a copywriter for The National Underwriter Company, and she subsequently held various marketing leadership positions with National Underwriter, Tech Decisions, Claims Magazine, and Florida Underwriter.  As principal owner of St. Nick Media Services, Jennifer works with vendors and insurance companies alike to tailor marketing, PR, advertising and sales messages/efforts specifically for constituent groups important to the insurance industry.  She has recently published expert articles in Insurance & Technology, Tech Decisions, Best’s Review, National Underwriter, Insurance Networking News, AT&T’s Networking Exchange, IASA’s Interpreter and the Journal of Insurance Operations.  She is a member of the Insurance Marketing Communications Association (IMCA), the Insurance Accounting & Systems Association (IASA) and is editor of IASA’s Interpreter.

June 7 June 7June 7Agenda What is social

June 7(continued) Where do I start?

media? Why is social

media

How do I manage and maintain it?

important to the insurance industry?

Can I measure it?

What are the Do I need it? How can I use

it?

Wh t thdangers?

What is it?What is it?

Social media is…

…user‐generated content distributed through socialthrough social interactions facilitated on an almost real‐time basis by the Internet or other forms of electronic distribution. 

What else is it?What else is it? It’s a vehicle for electronic 

advertising

It’s a market research tool

It’s a customer feedback mechanism

It’s a networking platform

It’s a thought leadership forum

It’s a way to stay in touch with remote offices or workersremote offices or workers

It’s a relationship builder

It can also be…

…a great waste of time, money and resources!

Some statistics to considerSome statistics to consider… More than 77% of all employees today have a Facebook account.

More than 61% of employees access their account during work hours. 

A recent study by researchers at the University of Melbourne –Australia indicates that workers who took the occasional “mental break” at work by engaging in cyber‐socialization actually increased productivity by approximately 9%.   Do you believe it?

Whether you believe this or not, do not give employees carte blanche with social mediacarte blanche with social media.

Why should you monitor social media use by employees?

Potentially increase productivity

Protect your company’s network from dangerous downloads

Reduce cyber‐slacking or time wasted by employees online during work hours

Prevent data leakage

Ensure downloads are free of viruses and other malware

Do I need it?Do I need it? The short answer is…YES!

Sheer numbers tell us that social media is not a fad, it’s here to stay.

LinkedIn has over 60 million members in over 200 countries, plus executives from all Fortune 500 companies are LinkedIn members.

In March 2010 alone, Twitter recorded 1,500% growth in the number of registered users, and over 70,000 registered apps have been created for the micro‐blogging platform to date.

K i i dKeep in mind… It’s the way the next generation of consumers prefers to 

communicate.

Your competition is using it…

Your prospects and current customers are using it…

“Social media is like teen sexSocial media is like teen sex. Everyone wants to do it.  

b k hNobody knows how.  When it’s finally done, there is surprise it’s not better.”bette

‐Avinash Kaushik‐Avinash Kaushik, Analytics Evangelist – Google 

OK OK social media is obviously the greatest thing sinceOK, OK…social media is obviously the greatest thing since sliced bread…but how can I use it?

Brand recognition

Tech support

User group/forum User group/forum

Customer feedback mechanism

Thought leadership

Reinforce messaging

Network with peers

Different strokes for different folksDifferent strokes for different folks… Agents

Community involvement

Lead generation

Carriers

More effective underwritingMore effective underwriting

Pre‐employment screening

Fraud detection

V d /S i P id Vendors/Service Providers

News portal

User groups/forums

Advertising/marketing channel

Where do I start?Where do I start?

Set a policy in place.Set a policy in place.

Resources:

1. Agents Council on Technology or ACT (www.iiaba.net/act) 

2 I M k l S d d A i i IMSA2. Insurance Marketplace Standards Association or IMSA (www.imsaethics.org) 

3. (Insert shameless self promotion here.) St. Nick Media3. (Insert shameless self promotion here.) St. Nick Media Services

If “l li ” i l i !If you “legalize” it…you can regulate it!

Where do I start?Where do I start?

Take time to gather competitive intelligence

Listen Lurk LearnListen. Lurk. Learn.

Examine available options

Determine your comfort level

“B f j i i h d d f h l l di “Before jumping into the deep end of the pool, always dip a toe in to test the water.  If we’re talking about having children, that means get a dog.  If we’re talking about involvement in social media that means get a blog ”media, that means get a blog.

Define your purpose and goals

Why do you want to participate in social media? 

Are there hard dollar targets tied to your goals?

Where do I start? (continued)Where do I start? (continued) Identify internal resources

Employees/SMEs

Partners

Industry Analysts

Collaboratively set strategyCollaboratively set strategy

Involve the right internal groups or individuals  

Decide what vehicles will you use

D id hi h t l ill b t ff ti i h l i hi Decide which tools will be most effective in helping you achieve your goals

How do I manage/maintain it?How do I manage/maintain it? Reinforce/Reuse Content & Messaging

Make it consistent

Take an outside in approach

Deconstruct long complicated messages

Repurpose content

Implement an integrated plan

Tie new social media efforts back to Tie new social media efforts back to existing tools  

Pick a single starting place and own it

B ild t t l d Build a content calendar

Recruit contributors

How do I manage/maintain it?How do I manage/maintain it?

How do I manage/maintain it?How do I manage/maintain it?

Can I measure it?Can I measure it? Common measurements

# of followers

Oft‐overlooked measurements

Upsell opportunities

# of friends

# of fans

Positive feedback provided

Click‐throughs to website or link

ReferralsPositive feedback provided

Customer interactions Conversions

Activity/engagement level

Brand mentions Brand mentions

Virality (retweets, sharing content, etc.) 

What do I do with the information I gather?gather?

Analyze your measurements

Test new strategies Test new strategies and ideas against benchmarks

Set new goals on a Set new goals on a regular basis

Keep adding to your mixmix

What is the downside? The Dangers of Social MediaWhat is the downside? – The Dangers of Social Media The biggest danger is inaction or lack of participation.

Social media can also result inSocial media can also result in…

Legal implications/liability

Regulatory concerns/privacy

U d f i d /f ll Unwanted friends/followers

Negative comments/feedback

What is the downside?What is the downside?

Questions?

Jennifer Overhulse‐KingPrincipal OwnerSt Nick Media ServicesSt. Nick Media Services15695 Glencoe‐Verona RoadVerona, KY  41092

Phone: 859‐803‐6597Email:  jen@stnickmedia.com

www.twitter.com/stnickmediawww.facebook.com/stnickmediawww.linkedin.com/in/stnickmedia

And now, our next speaker, Craig Lowenthal of Glatfelter Insurance.

Craig Lowenthal, Social Media Strategist – Glatfelter Insurance Group

Craig Lowenthal has been a technology professional for 25 years, and focused in the insurance industry for more than 21 years.  Prior to joining Glatfelter Insurance Group, Lowenthal was the CIO for NYMAGIC, INC. in New York City.  Before joining NYMAGIC, he was the Managing Principal and Chief Information Officer for the startup, Integro Insurance Brokers. Prior to joining Integro, Lowenthal was with Hartford Financial Products, a unit of The Hartford, where he was Vice President and Chief Information Officer.  During his tenure there, he led the effort to reestablish Hartford Financial Products business after the offices at 7 World Trade Center were lost on September 11, 2001. Before joining The Hartford, he held a senior leadership position with Reliance National Insurance Company, where he was Managing Vice President and Chief Technology Officer for eleven years. He earned his BS in Accounting from the State University of New York at Albany and is a CPA licensed in New York. He is an active member in the Insurance Accounting & Systems Association (IASA).

Most of the following content is basedon the research and findings fromg

The Customer Respect Group21 Market Street

Ipswich, MA 01938

www.customerrespect.com

Social Media

Can’t ignore itCan t ignore it OR

it’s the biggest load of hype since…

Reasons to ignore social media

Reasons to ignore social mediag

How many of you have said this?

Social media is full of noise and confusionSocial media is full of noise and confusion

…but the numbers are compelling

Facebook has in excess of 400 million active users on global basis. Twitter now has 75 million user accounts.

Li k dI h 60 illi b i f d 1 b th

g

LinkedIn has over 60 million members, an increase of around 1m members per month.

Facebook claims 200 million users log on every 24 hours The average Facebook user has 130 friends. 70% of bloggers are organically talking about brands. 38% of bloggers post brand or product reviews. 5 billion pieces of content (web links, news stories, blog posts, etc.) are shared each week on

Facebook. The average number of tweets per hour are 1.3m.

More than 700,000 local businesses have active pages on Facebook. Purpose-built business Facebook pages have created more than 5.3bn fans. More than 250 Facebook applications have over a million combined users each month.

..who are these people?

Have you been influenced by customer review of a product, a

movie, or a restaurant?

Who is using social media?Facebook Statistics

YouY f il Your family

Your friends Your employees

YB t th i t t d i Your target prospects Your customers

But are they interested in insurance?

..but are they interested in insurance, surely this is about sharing pictures?

Company FansUSAA 77,734

Allstate Insurance  17,797

AAA  15,439

State Farm Insurance  14,409

American Family Mutual Insurance  10,185

Progressive Insurance 9,459

Nationwide Insurance  5,156

Progressive Motorcycle 2,981

Liberty Mutual Insurance  2,582

Low in comparison (but growing fast)

Verizon Wireless - 866,000 * Coca Cola - 5.7 million * Starbucks - 7.4 million

Isn’t social media a minefield?

We’ll get sued We’ll lose control ofWe ll lose control of

the brand Employees will waste

time People will say bad

things about the brandthings about the brand Employees will give

away corporate y psecrets

The coordinated attackThe coordinated attack

Customers will say bad things about the brand

Losing control of the brand

Even if you understand social media,you need a complete strategyyou need a complete strategy

Even if you understand social media, you need a complete strategy again it’s not about technologystrategy, again it’s not about technology

Even the best can get it wrongEven the best can get it wrong

I i f i k b dIs it worse to forget to register a key brand on Twitter or leave a prototype iPhone in a bar?

Social media is a minefield – none of these pages are ‘official’

Social media is a minefield

Allen Nelson, general counsel, chief administrative officer and executive vice president at Crawford & Co. (a $1.1 billion claims administrator in Atlanta Ga ) started taking a look at social media because he wasAtlanta, Ga.), started taking a look at social media because he was concerned that the company could be the subject of disparaging comments on the Internet. Once he began looking around, Nelson was surprised to find multiple Facebook pages with the company name on them, set up p p g p y , pby employees who were using them to communicate.

Jon Bidwell, chief innovation officer of Chubb. "Businesses are tapping that , pp gpower to enhance their brand awareness and deepen their engagement with customers and other constituents. This continuous dialogue also creates substantial risks, which companies are wrestling with throughout their organizations, from HR to IT to legal and marketing."

So what can/should you do?

Just 19 percent of insurance companies have an official Facebook page

Over 60 percent have some Facebook presence

So what can/should you do - DefenseSo what can/should you do - Defense

Build an Inter-departmental team• Compliance, marketing, customer service, web-

development, sales, public relations, corporate affairs

• Senior level appointment to lead the teamSenior level appointment to lead the team

Create social media guidelines and policy• Cover all compliance considerations• Internal and external (agent) training( g ) g

Listen and learn• Don’t jump in to respond too quickly

Take stock of existing assets and sitesTake stock of existing assets and sites

The Offense – strategy firstgy

• What are you trying to achieve?• Build brand awareness and familiarity• Brand reputation• Enhanced trust• Create and manage customer engagement – it

is a dialogue• Use greater personalization and develop a

customer recommendation and referral process

Create a goal• Create a goal • Understand progress measurement• Do not focus on the technology (but

keep an eye on Facebook)keep an eye on Facebook)

The Offense – distribution

The distribution model • Carrier web strategies have

suffered for years trying to fit into existing agent and agency models

• Agencies and agents have a big g g grole to play in social media but it needs to be complimentary

• Both carrier and agents will:• have a dialogue with customers• have a dialogue with customers• recruit fans and followers• Own Facebook and other social

media pages

The Offense - tactics

Image, brand and content strategys a egy

• Must accept the role of content creator

Fan and follower recruitmentWho do you want to recruit• Who do you want to recruit

• How many do you want to recruit• Extend reach beyond traditional

marketing

E t d di l Engagement and dialog• For what purpose• Grow customer recommendations

and referrals

Website Examples

Social Media Examples

Progressive – engaging customersg g g g Reach out to customers on

Twitter Quick switch to more robustQuick switch to more robust

channels – telephone, email TwitService is available in travel,

telecommunications, high tech, and other industries

Progressive has a conversation index (one to one messages) in the 70% 80% rangethe 70%-80% range.

Provides an alternative channel for mobile users in natural disasters

Effective use of Twitter Background

Liberty Mutual – Brand Extension Be “where the customer

already is”

Blogs containing extensive content

Create a dialog and beCreate a dialog and be associated with a subject area – Responsibility

Provide interactive extension to commercials

Attracts high numbers of mid–Attracts high numbers of midage female consumers

GEICO – enhancing a brand image

A range of video content• Company commercialsp y• Informative education content• Customer service • Careers• Viral video – Warren Buffett plays AxlViral video Warren Buffett plays Axl

Rose

New content developed specifically for online viral growthspecifically for online viral growth

GEICO channel has 3 million views of video contentviews of video content

Nationwide - extending reach

Interesting content can reach a much wider audience

Social media makes it really easy to spread information

Nationwide • 2 000 Twitter followers• 2,000 Twitter followers• In a recent 3-day period the iPhone

tweet reached at least 25,000 people through “Re-Tweeting”

Some will become followers other Some will become followers, other will re-tweet another level

• One tweet we followed recently reached at least 1 million followers through redirectionthrough redirection

Target demographic groups

Chubb – Crowdsourcing

Fan recruitment

Attract with content Use dialog to engage Widen your reach through

redirections Narrow your focus to the friends

f fof fans Fans are opt-in, self-

maintaining, loyal and visible recommenders of yourrecommenders of your products

Referrals and recommendationsThe all powerful LIKE button

Tells a Facebook user whichTells a Facebook user which of THEIR friends LIKES (and recommends) a brand

It is from someone YOU trust

If a person selects to ‘LIKE’If a person selects to LIKE a product or brand, all of their friends get a message to say that

YOUR friends that like this company

Recommendations – the next stageg

• Now extended across the webthe web

• Personalization of the web will intensifyy

• Social media will be integral to every aspect of the businessof the business

• Retail will create customer expectations, insurance will follow

Retail we get, but insurance?

• User reviews have been highly successful for retail companies for while

• Proven to increase purchasing

• Can it work for insurance?

Platform statsLeading Insurers by fan count

• USAA 77,734 • Allstate Insurance 17,797

Growing support of native applications making Facebook an ultimate destination

• AAA 15,439 • State Farm Insurance 14,409• Progressive Insurance 9,459

(Interesting correlation to the brand reputation data)

Greater levels of core business functionality

Growing dialog fan to fan and fan to company (Interesting correlation to the brand reputation data)

Most Comprehensive Facebook Sites• American Family

company Industry fan base increasing 6% per

month Increasingly sophisticated fan

i • Liberty Mutual Insurance • AAA • Allstate Insurance • USAA

recruitment Facebook fan base runs on average

about 4 to 1 over Twitter follower count • USAA

Facebook’s platform use has been central to personalization and social experience

Platform statsLeading Insurers by Follower count

• USAA 9,311• State Farm Insurance 5,973

A driver to content on blogs, YouTube, Facebook, website

Growing importance on ‘re-tweets’• Allstate 4,789• Progressive Insurance 3,720

Most active tweeters (per month)• State Farm 175

Common topics includes NASCAR, golf, tennis and other events

Business topics include mobile apps safety tips motorbike season

• Progressive 149• Liberty Mutual 62• Allstate 55• Esurance 51

apps, safety tips, motorbike season, website updates

Has a role as alternative service channelI d t id t t ti it Most engaged with customers (Conversation Index)

• Progressive 77%• GEICO 58%• Esurance 48%

Industry wide average tweet activity – 1 per day

Industry follower growth rate has decreased since last summer, now Esurance 48%

• State Farm 41%• Amica 40%

about 8-10% per month

Other odds and ends…

RecruitinggPer a recent study conducted by the National Association for Business Economics, Social media recruiting is on the radar screen of 31% of the surveyed insurance companies Most insurance companies using socialsurveyed insurance companies.  Most insurance companies using social media to help recruit are mainly using LinkedIn, followed by Facebook.  But most companies do not have a strategy for using either platform to recruit. 

Riv Data Corporation – provides employers with the tools to monitor and evaluate employee online behavior.  Companies now have the ability to review and evaluate information to assist in both hiring decisions and the mitigation of existing employee riskmitigation of existing employee risk.

They provide active monitoring of the online behavior of an employee or potential hire by collecting reviewing and filtering user‐generated datapotential hire by collecting, reviewing, and filtering user generated data found throughout the internet.  This includes social networks, blogs, message boards,  and anywhere people share information online.

Embedded Twitter Functionality in U ifi d C i ti W b Cli tUnified Communications Web Client

7 things to stop doing now on g p gFacebook

1. Using a weak passwordg p2. Leaving your full birth date in your profile3. Overlooking useful privacy controls3. Overlooking useful privacy controls4. Posting your child’s name in a caption5 Mentioning that you’ll be away from home5. Mentioning that you ll be away from home6. Letting search engines find you7 Permitting youngsters to use Facebook unsupervised

As published in June 2010 issue of Consumer Reports

7. Permitting youngsters to use Facebook unsupervised

What now? Accept that social media is important

to your business• Appoint a senior leader and team• Provide a budget

M d f Manage your defense • Develop guidelines and policies• Provide training

“Social media WILL be Plan the offense

• Develop a content plan to attract the right fans

Social media WILL be integral to your business”

Look past the noise and j k i l• Build a recommendation strategy

• Build, grow and evolve• Let it simmer, do not rush

junk, ignore your personal feelings about Twitter and

get on with it

Thank you for your time and attention.  If you have questions specifically regarding this portion of the presentation, please contact:

Craig LowenthalSocial Media StrategistGlatfelter Insurance GroupEmail:  clowenthal@glatfelters.com

Download The Customer Respect Group’s latest “Insurance Social Media Digest” atwww.customerrespect.com/IASA2010.htm

And now, the Q&A portion of today’s presentation. 

Q&A with Today’s Speakers

Jennifer Overhulse-King, Principal Owner – St. Nick Media Services

Craig Lowenthal, Social Media Strategist – Glatfelter Insurance Group

Thank you for coming!

f ld l k f h lIf you would like a copy of this presentation, please contact:

Jennifer Overhulse‐KinggSt. Nick Media Servicesjen@stnickmedia.com859‐803‐6597859‐803‐6597