NU: Fitting research seamlessly into account management

To get an idea of the scope of channel research carried out by the most advanced suppliers, we talked to Radan Payget, head of customer insight at Norwich Union.

NU has regular programmes to track how satisfied its intermediaries are with its product and services.

NU, for instance, wants to know about how independent financial advisers (IFAs) perceive NU service levels and how it compares to other large insurance companies. This tends to be quantitative.

Every six months it also buys in an omnibus industry report, which gives market-share and satisfaction levels for all the major suppliers.

But its research goes a long way beyond that. NU turns to its intermediaries for advice on product development, future marketing strategy and the whole shape of the industry.

Payget says:  ‘IFAs are close to the market, so we are constantly asking them about our products – how we could make them better, what they think of our advertising, our brochures, etc.’

This tends to be done in focus groups –  ‘we want them to brainstorm a solution.’

“NU also wants to understand how it can gain market share.”

NU also wants to understand how it can gain market share.   ‘Often an IFA can select from one of several products. We want to understand why different types of IFA select us or a competitor and how we can best change this.’ 

Not only does it segment the IFA market into 23 demographic segments, but it also segments IFAs according to NU’s market share.  Payget adds: ‘ We are very conscious of different levels of loyalty.’

Much of the research is to find out what the IFA market will look like in one or two years’ time.  ‘In the UK, IFAs are free to go down several routes right now.’

He adds: ‘My task is to forecast the shape of the industry accurately. Today it is a much more complex environment and so we are spending more money on it.’

So what does NU do with the data?  How does it fit into the business plan and the account management process?  Payget says that NU has very close account manager-links with IFAs. 

“Often account managers will tell us about a specific issue, which IFAs are raising.”

‘Ultimately, our account managers have built a relationship where they don’t just inform IFAs about new products, but they also advise IFAs on how to optimise their own businesses.’

‘For instance, we do studies that benchmark them against their peers.’

Market research fits relatively seamlessly into this process.  ‘Often account managers will tell us about a specific issue, which IFAs are raising, and ask us to carry out some research on it.’

He adds: ‘We will then come back with our findings, which the account managers can read and then show to the IFAs.’