As a technology boom threatens to pass the country by, the iPhone maker is worth more than Germany’s 30 leading companies which includes global insurer Allianz
"When Steve Jobs returned to Apple as chief executive in September 1997, the computer maker was valued at $3bn — less than one-tenth the value of German conglomerate Siemens, Europe’s largest industrial group both then and now. Fast forward two and a half decades, and Apple’s market capitalisation exceeds not only Siemens — at $1.35tn the iPhone maker is worth more than the entire Dax index of Germany’s 30 leading companies."
The digital giants are inserting themselves between customers and service providers. The data they capture on customer behaviour every minute of every day is leveraged for competitive advantage.
Insurers must become as adept as the digital giants to leverage data. In addition- as they move to prevention of risk rather than just recompensing policyholders for loss and damage they have to master the integration of sensors, the IoT and connected vehicles, property, people and their pets.
They are moving from their core strengths to those of the digital giants. That is a daunting challenge that Isabelle Connor Chief Customer & Marketing Officer at Generali discusses in "Why insurers lose customers".
I'll be writing about how to meet the challenge head on my next blog. For now consider the implications for your commercial and technology strategy and read:-
It is a concern shared by Angela Merkel, Germany’s chancellor. In an interview with the FT this month, she said that software companies were inserting themselves into producer-customer relationships, becoming essential “intermediaries” between businesses and their clients. German companies, she warned, had missed out on this development and were now at risk of falling behind. “It’s no longer enough to merely sell a product,” she said. “One also needs to develop new products from the data on these products.” Her fear: that without this expertise, Germany could end up becoming nothing more than an “extended workbench”, a kind of glorified assembly line.