Apia has headed up the leader board as the most recommended Australian insurer in recent years. Their property insurance consumers have been most likely to recommend them for five years running. And this year, Apia has reclaimed top position for the motor insurance industry after a brief hiatus when YOUI pipped them at the post in 2013.

What is it that has virtually cemented Apia’s place as number 1?

With years of gazing into the shifting sands that is the consumer experience in Australia and capturing snapshots of customer engagement in a category that is becoming increasingly commoditised, Engaged Strategy can confidently point to a key driver of Apia’s success: their value proposition.

Apia’s unique value proposition focusses exclusively on the over-50s segment.

The magic of having a value proposition that is distinctive is that your offering itself does not have to be. Apia’s 50+ year old consumers believe they are getting something unique merely because Apia is perceived as the specialist for their segment.

You may be asking then… if the secret to developing loyalty is as simple as designing a good value proposition, why is it that more organisations are not basking in the warm glow of customer recommendation?

Because creating an effective value proposition is simultaneously so simple and deceivingly elusive. A value proposition is just smoke and mirrors without something concrete to back it up. That is, Apia is able to work their focus on over-50s into every communication and touch point with their consumers.

It follows that the value proposition draws its powers from the delivery of a superior customer experience. One without the other is not enough to engage your customers into empowerment, to take charge as your most effective marketing channel and promote your services to others.

Apia knows this which is why they are currently reaping the rewards, and if the trend endures, they are likely to continue to do so in the future.

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