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Illustrative Life and Pensions Assignments
Life Assurer
Entry into Defined Contribution Pensions

Our client is a global composite insurer with a major UK life company with a relatively weak position in the UK pensions market. Analysis of the pensions market indicated significant growth was likely and our client wished to build a major business at a time when Government policy was very unclear. We developed a detailed scenario analysis highlighting the major drivers of change in these markets, the resulting opportunities and the likely timings. Based on this, we identified the most attractive options for our client under each scenario and used this to develop a strategy to enter the market and to hedge the main uncertainties. (ref 365)

US Life Assurer
Development of New Modular Products

We worked with this life insurance company to develop novel customer propositions based on modular components. These included investment, critical illness, term assurance and PHI. We then carried out trend research, customer focus groups and internal sales workshops to test the initial thinking, and to recommend which of the modular structures was most attractive. (ref 390)

Major Retail Bank
Strategy for Customer Management
and Cross Selling

Our client had the lowest level of products per customer in the sector and wished rapidly to improve cross-selling performance, but in a manner that would have minimal systems impact. We worked with management to identify the top 20 initiatives from around the organisation that would impact cross selling and developed these as sales and service propositions as a basis for prioritisation based on the scale of immediate revenue impact and minimal IT involvement. Some of these involved system-based triggers to identify emerging needs, but most involved sales and service propositions that could be taken up directly by customer-facing staff. We piloted the most promising propositions in branches and with telesales teams that resulted in typical increases in lead generation, referral and closure rates of up to 25%. (ref 402)

Mortgage Provider
Strategy for Selling Protection
to Mortgage Customers

This leading mortgage lender was keen to increase the value of its mortgage book through the sale of protection products. However, we identified early on that a key driver of value was increased persistency of the mortgage relationship, rather than brokerage on protection. We therefore developed a range of protection products that complemented the mortgage in terms of their features, pricing structures and excesses, and were seen to add value to the mortgage relationship.  The first three will be launched later this year. (ref 403)

UK Life Assurer
Sales and Profit Growth via Branch Restructuring

This company wished to reduce costs and improve efficiency by restructuring its branches. We worked with them to understand the role of their various branches in the acquisition and development of intermediary and customer relationships, and the economics of this at the branch level. We then helped to determine criteria for assessing branch performance and devised and helped implement a new more efficient branch structure. (ref 386)

Rapid Diagnostic Of Pensions Strategy

The life company subsidiary of this major UK clearing bank needed a rapid appraisal of their effectiveness in the group personal pensions (GPP) market to inform a near term decision to reposition a new product launch as part of a cohesive group-wide GPP strategy. Due to time constraints, we conducted the analysis on the basis of readily available data and our own experience in the pensions sector. It became quickly apparent that there was a huge opportunity to sell GPPs and other services to existing banking customers, in particular small businesses, but that the proposed new product would be unsuitable for this market segment. We identified further obstacles in a brand with weak pensions credibility and in a sales process that relied heavily on generalist advisors with too little pensions expertise. As a result, the product launch was postponed and a full strategic review has been set in train. (ref 366)

Leading US Life Assurer
Entry Into UK Pensions Markets

Our client, the small UK subsidiary of a leading US Life Assurer, was contemplating a major entry into the UK group pensions market at a time of significant regulatory change and uncertainty. Based on research with intermediaries and companies and significant research into the literature, we gained a deep insight into the underlying drivers of change and concluded that future market conditions would become very much tougher and that, to be successful in the future, our client would need, amongst other things, to re-brand. (ref 367)

Composite Insurer
Identifying Opportunities
in the Post-retirement Market

For a large composite insurer we assessed the opportunities in the post-retirement market, in particular, for annuity products, and helped to develop a low-cost distribution channel targeted at the most promising segments. This involved a close study of the current pattern of distribution for annuities, a new segmentation, and an understanding of evolving legislation. (ref 368)

European Life & Pensions
Growth via Improved Sales Force Model

A leading life assurer wished to review the relationship it had established with its self-employed salesforce in the light of changing Government policy and new FSA regulation following Pickering, CP121 and Sandler. We worked with the client to develop a programme involving financial analysis from the various sales models that had evolved over the last 5 years, from individual self-employed salespeople to substantial practices with their own administration, and a review of alternative sales models that were being used elsewhere in Australia, Scandinavia and Germany. (ref 387)

Friendly Society
Growth Strategy via Sales and Out-Sourcing

A top 5 friendly Society wished to pursue a more aggressive growth strategy involving affinity marketing as well as the provision of administration services to smaller Societies wishing to out-source. We reviewed their position in the market, and the upcoming opportunities. We then recommended they focus on fewer products to provide direction and cost-control in their core business, develop sales through third party affinity groups, and create a new proposition to offer administration services to smaller Friendly Societies with high cost business models. (ref 369)

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