NU Online News Service, May 13, 10:21 a.m.EST

Improper managing of websites by insurers can negatively impacttheir companies, according to the head of a media consulting firmthat has polled consumers on website usage.

That warning comes from Thomas Harpointer, chief executive ofthe Atlanta-based AIS Media firm, which found in a telephone mediausage survey that 31 percent of those responding were dissatisfiedwith insurance website usability.

Mr. Harpointer said in an interview that his company's researchhas found that, "Consumers are embracing the Internet at a muchfaster pace than insurers."
Insurance firms, he noted may have a website, but simply sendingconsumers notice with a home page address is "inappropriate."

Everyone goes to a home page. It's like a lobby in a buildingit's not the actual destination. Simply advertising a home pageconfuses and frustrates consumers."

In addition he said that besides irking consumers simplyadvertising that a firm has a homepage does not allow the companyto track specific results from a marketing piece.

How does one measure traffic from a direct mailing when it fallsinto all web traffic? He asked rhetorically. Companies, he advised,must set up a personalized URL that specifically providesinformation on an offer it has sent out.

That way a customer doesn't have to search or dig and it is a"more efficient use of marketing methods and time," he said.

"If a marketer can't effectively measure, how can they makemarketing decisions?" he wondered. Mr. Harpointer said that wastedmarketing money has a trickle-down effect that costs everybodyinvolved with a company.

According to the executive, insurance companies are costingstockholders profits by not effectively leveraging interactivemarketing and continuing to rely heavily on traditional marketingchannels such as direct mail and telemarketing.

Amongst insurers, he said auto insurers are more advanced withwebsite usage and their interactive marketing is far higher thanthose that write other lines.

Among the key findings that AIS listed from the survey performedby Strategic Vision LLC, was that when interested by an insuranceoffer that was mailed to them 59 percent of respondents said theypreferred to visit a company website to obtain more informationcompared with 41 percent who would call the company.

When looking into insurance policy options 37.5 percent saidthey turned to friends and family, 32 percent said they used searchengines 27.5 percent unspecified other means and 3 percent usedYellow pages.

Thirty-three percent said they would consider purchasinginsurance online and the other two thirds said they would not.

Regarding satisfaction with insurance website usability, 5percent said they were extremely satisfied, 14.5 percent were verysatisfied, 49.5 percent somewhat satisfied, 26.5 percent somewhatdissatisfied, 3 percent very dissatisfied and 1.5 percent extremelydissatisfied.

Asked how they preferred to receive insurance offers,respondents said they liked a variety of sources with 68.5 percentmentioning print brochures, 54 percent a live salesperson, 41percent electronic brochure, 40.5 percent by email, 22.5 percentvia live online chat and 22 percent via telephone.

The factors that influence the insurance buying decisions ofrespondents were listed as industry ratings and reviews, 64percent; online consumer ratings and reviews, 57 percent; companywebsite 54 percent; television, radio and print ads 48 percent;postal mail advertisements, 37 percent; online advertisements, 25percent; social media, 22 percent and telemarketing 5 percent.