Project with management and technology consultancy BearingPoint identifies new opportunities to increase sales of LV=’s 50+ product
London, July 3, 2014 – LV= (Liverpool Victoria), one of the UK’s leading insurance and financial services providers, is expecting a double digit increase in annual sales of its 50+ life insurance product after optimizing its media budget.
Previously LV= had monitored sales attribution on a linear, channel-by-channel basis, which often resulted in a sale being attributed to the last media channel that touched a new customer when in reality a customer experienced multiple touch-points across multiple channels during the buying journey. Using BearingPoint’s marketing and media optimization solution LV= was able to see that this linear attribution approach created misalignment of its marketing budget across above the line and direct response marketing channels, and for the first time to truly see where its marketing investment had most impact.
Geoff Bates, Head of Marketing Analytics, LV= Life, said: “We selected BearingPoint as our analytics partner because of their strong industry and marketing expertise, and their advanced HyperCube tool which we believe will provide LV= with a unique competitive advantage. Not only do we have a better understanding of the impact of spend across channels on our customers, we now also have an integrated process to plan our spend by working across all our internal teams and media agencies.”
BearingPoint’s marketing and media optimization solution is powered by HyperCube, part of a new breed of data analytics tools using machine learning and data mining algorithms that go far beyond the capabilities of traditional statistics. Combining this unique analytics solution with BearingPoint’s expertise in the insurance industry the project team was able to carry out an in-depth analysis of more than 4,000 variables from LV=’s internal systems and external data providers to define the optimum way to allocate marketing investment within and across channels. For example, specific channel analysis of direct mail campaigns revealed that LV= could achieve better efficiency by targeting prospects that HyperCube identified as having a higher propensity to buy. Acting on these findings resulted in saving 57% of the mailing costs.
“What’s special about HyperCube is that it analyses all available data – a kind of big data analytics tool for marketing – without the need for hypotheses which typically cause traditional analytics to miss the biggest opportunities. We identify easy to understand business rules that our clients can implement for quick results. We are pleased to have won LV= as our customer, signing up not only for our marketing analytics service but also licensing our software, which demonstrates the confidence the LV= team has in our solution”, added Andreas Rindler, Partner at BearingPoint and responsible for marketing and media optimization in the financial services industry.
HyperCube is a software developed through over fifteen years of advanced mathematical research in the scientific field. It has been continuously enhanced to better reflect the needs of various industry segments. Its new non statistical approach is enabled by a state of the art mathematical algorithm as well as massive computing capabilities provided in a cloud computing environment (SaaS). The solution is highly respected by the scientific community. In 2010 it was awarded by the MIT Sloan School as innovative showcase and the international Pasteur Institute declared it as being the best performing data analysis tool.
BearingPoint consultants understand that the world of business changes constantly and that the resulting complexities demand intelligent and adaptive solutions. Our clients, whether in commercial or financial industries or in government, experience real results when they work with us. We combine industry, operational and technology skills with relevant proprietary and other assets in order to tailor solutions for each client’s individual challenges. This adaptive approach is at the heart of our culture and has led to long-standing relationships with many of the world’s leading companies and organizations. Our global consulting network of 9200 people serves clients in more than 70 countries and engages with them for measurable results and long-lasting success.
For more information, please visit: www.bearingpoint.com