Getting into the Millennial mindset

So what does that all mean for the insurance industry?

Happy, impatient and optimistic––Millennials don’t sound so bad.

Nervertheless, a J.D. Power study suggests “Millennials are different from previous generations,” says said Keith Webster, senior vice-president and general manager of service industries Americas at J.D. Power. “…It’s really the nuances of the customer experience that set them apart from the rest.”

Read: Tricks for managing the twenty-something crowd

The study, which classifies Millennials as those born between 1982 and 1994, found the young’ns haven’t absorbed the anti-establishment ethos of their parents’ Woodstock days.

“Overall, across the 15 industries studied, Millennials are generally more satisfied consumers… than Boomers,” who are born between 1946 and 1964. On average, their satisfaction is five points higher on a 1,000-point scale.

Millennials are also optimistic about their personal finances and the overall economy, despite earning less and owing more than their parents.

Nevertheless, the survey notes Millennials love a good deal. “Unlike other generations that tend to buy things for status, image or brand loyalty, Millennials are most likely to make a purchase decision based on value for money—across virtually every product category.”

Read: The truth about youth: attracting Millennials to P&C insurance

They also have the lowest tolerance for delays and mistakes than any other generation. But if a company resolves a problem to their satisfaction, Millennials are much more likely than Baby Boomers to remain a customer.

J.D. Power also notes Millennials are okay trading their personal data “if it comes with benefits in the form of targeted offers and personalized services.”

So what does that all mean for the insurance industry? Keep prices competitive, talk about long-term planning and a rebounding economy, respond to problems ASAP and offer telematics.

Copyright © 2018 Transcontinental Media G.P.
Transcontinental Media G.P.