Data analytics drives IAG's customer innovation efforts

Insurance giant talks through the achievements of its customer labs division as well as flags plans to extend the reach of its Ambiata data analytics tool to the wider market in FY17

IAG’s new Customer Labs division is looking to extend the commercial reach of its Ambiata analytics subsidiary as a service product offering as part of a raft of data-led initiatives over the next 12 months.

The insurance giant revealed its plans during its full-year financial results, announced today. The overall group reported a $1.18 billion profit for the 2016 financial year, a 6.8 per cent increase year-on-year, along with double-digit increase in insurance margins. Net profits were down, however, by 14.1 per cent to $625 million.

In its investor report, IAG highlighted the work done by its Customer Labs over the past six months to better utilise data for customer gain. Customer Labs is one of two new divisions established by the group in December as part of a new organisational structure as is focused on building customer experience strategy and driving product innovation.

It sits alongside Digital Labs, which continues on from IAG Labs and will provide digital and design innovation plus investigate disruptive technologies. The Digital Labs division is also in charge of building digital apps, ecosystems and simplifying core platforms.

Achievements by Customer Labs during the 2016 financial year included refinement of a single, real-time source of truth for IAG’s information assets by bringing all data warehouses together. This provides IAG with an immediate understanding of the actions its customers are taking across all channels, the group stated.

It’s also increasingly personalising the customer experience through deep analytics to better understand customer behaviour when buying insurance. This encompasses personalised offers, targeted marketing approaches and pricing options, all of which are being fed back into the loop to help improvement of customer experience or product offerings at the next interaction.

Test-and-learn as a principle and process is another key emphasis for Customer Labs, and IAG said this is being facilitated through in-market trials, as well as cognitive computing techniques such as machine learning.

Both personalisation and agility are the result of IAG’s ongoing investments into its marketing technology capabilities, a growing stack of solutions that is allowing it to optimise marketing spend and interact with customers directly.

The team has also been working to identify more collaborative opportunities with external partners for both customer experience improvements as well as the use of data and information.

Notably, IAG said it’s also been developing and testing the software capabilities of its wholly-owned subsidiary, Ambiata, which it acquired in the 2015 financial year, in order to develop it as a service product offering for the broader market. The company offers an analytics tool that provides the intelligent analytic layer connection an organisation’s data asset to its customers.

According to IAG, this places measurement and model-build in the hands of a corporation’s data scientists and cognitive intelligence at the centre of an organisation’s decision making process.

Going into the 2017 financial year, Customer Labs will look to take Ambiata’s product offering to market. The product is already deployed in a number of top 20 ASX organisations and will be available to Asian and North American customers over the next 12 months.

IAG said it’s also working to align customer measurement, introduce customer training and education programs for all staff, and extend the availability of customer insights to the wider organisation. At the same time, data analytics is helping IAG to further improving its pricing approach and models.

During his presentation to investors, IAG MD and CEO, Peter Harmer, said the opportunity for the group is the same as its customers:To embrace and harness innovation, not just be a passive observer of it.

“That means delivering products that make their lives better and safer and lead the change happening in their lives and industry, not just be disrupted by it,” he said. “We are focusing on two strategic themes: We want to lead the change customers need and demand from us; and to engineer the business to fuel our ability to deliver on these opportunities.”

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+: google.com/+CmoAu

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Latest Videos

Conversations over a cuppa with CMO: Microsoft's Pip Arthur

​In this latest episode of our conversations over a cuppa with CMO, we catch up with the delightful Pip Arthur, Microsoft Australia's chief marketing officer and communications director, to talk about thinking differently, delivering on B2B connection in the crisis, brand purpose and marketing transformation.

More Videos

The versatility of Live Chat is really what surprises me. I’ve seen it being used not only for customer support, but also as a tool to in...

Drishti Shah

Why Bupa tapped WhatsApp for new customer messaging channel

Read more

Hi This is George, Thanks for sharing this nice information about foodpanda blockchain. During this pandemic situation food delivery indu...

George David

foodpanda launches blockchain-based out-of-home advertising campaign

Read more

Did anyone proofread this document before it was published?

Beau Ushay

CMO Momentum 2020: How to embrace agile marketing

Read more

An honest and hardworking conveyancer doesn't need a marketing strategy. His past clients will spread the word for him. These days the ho...

Bagen Andrea

What this millennial marketer is doing to shake up conveyancing

Read more

Love the post. It is so insightful for companies getting stuck in their habits and missing out on the role innovation can have on revenue...

Alessia Del Genio

How Lego built its culture of innovation, brick by brick

Read more

Blog Posts

Innovate or die

It’s hard to know if famed management and marketing guru, Peter Drucker, coined this phrase for dramatic effect. My belief is he was emphasising the notion that few products and markets are static and few organisations can survive without innovation.

Michael Valos

Senior Lecturer, Department of Marketing, Deakin University

Commissioning personas that get used

How to avoid the bottom drawer, and how to get value from the work you’ve paid for

Melanie Wiese

Chief strategy officer, Wunderman Thompson

Why It’s Going To Be A Bumper Holiday Season Despite the Pandemic

Behavioural science expert Dan Monheit, co-founder and strategy director of creative agency, Hardhat, writes that marketing chiefs should hold their nerve, as they have reason to be optimistic

Dan Monheit

Co-founder, Hardhat

Sign in