Internet Savvy Or Shabby Nashville 3 16 09 Final

Internet Savvy or Internet Shabby?March 17th, 2009

2

“Boomers” and Internet Usage

3

GOOGLE’s “A Pig in a Python”

4

MDI Perspective

Direct-Response Healthcare Marketing Agencyo Founded to support PacifiCare and the launch of Secure Horizons

o Head-Quartered in Saint Louis with field offices in MA, CA, IL, FL, NY

o Direct-to-Consumer Health Insurance Marketing for Seniors and Individuals

Focused Exclusively In Health Care (Managed Care & PBM)o Currently support 27 healthcare clients

o Mostly mid-sized, regionally dominant plans; many are provider owned

Deep Industry and Domain Expertiseo In-house staff of 50 Healthcare marketing experts

o Proficient with CMS guidelines

o Comprehensive understanding of economics of health insurance industry and impact of marketing activity on client organization as a whole

Proven Processes To Bridge The Gap Between Strategy & Tacticso Core offerings include: Strategy, Creative, Database and Analytics

StrategyAnalytics

Database Creative

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The Online Savvy or Shabby Test….Do you know???

o Who are you targeting? Is it working?

• Demographic or Attitudinal Segments:

Turning 65 versus “Young” switchers

• Baby Boomers

• Advisors, influencers, groups and consumers

o What are the objectives of your targeted users?

• Education on company, products, prices

• Enrollment, self service, etc.

o How do I organize my efforts? Where do I begin?

• Framework for guiding your efforts

• How am I measuring success?

o What are some examples of best practices?

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Understanding Boomers and the Web

To understand tomorrow’s Senior/ Baby Boomer, look at today’s under 65 market.

The web channel is always on

-With today’s defined enrollment windows, the web offers year round, 24X7 marketing

The web channel can provide both a revenue lift as well as a cost reduction

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Q: What sources did you consult the last time you shopped for/compared health insurance

Source: Washington individual consumer survey, 2008

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As Boomers age, they will take their preferences

with them

Example: Leading Mid-West health plan with more than 450,000 senior enrollees.

Today, direct sales via the web is the dominant fulfillment stream for the under 65 market. However, today’s seniors prefer agents, direct mail and the telephone.

Under 65

• 55% Utilized the Direct Channel

• Web: 55%

• Phone: 29%

• Direct Mail: 10%

• Direct TV: 6%

Over 65

• 35% Utilized the Direct Channel

• Direct Mail: 43%

• Phone: 44%

• Web: 7%

• Direct TV: 6%

Note: Numbers represent paid applications by distribution channel and/or fulfillment stream

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The Online Experience Framework

Website Features, Functionality (Customer Experience)

The typical steps in an online consumer experience

PPC, SEO, Brand

Offline Marketing

Transaction ease

Multi-channel

Cross selling

Comparison and

decision making tools,

Engagement methods

Customized offers,

Ongoing

communications

Retention campaigns

Self-service

Ongoing communications

Consumer engagement

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Understanding the Online Drivers and

Customer Engagemento Gather email addresses at all

customer touchpoints

– Opt-in programs

o Use favorable economics of email to drive web traffic

– House list v purchased

o Engagement

– Educate

– Nurture

– Convert

– Tools

o Design

o Call to action

o Video

o Analytics

Source: WSI- internet consultants

Attract

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Attract via PPCWeb Marketing - Medicare

# keywords = 13

Average CPC = $3.33

Annual Search Volume =

440,770

*At 4% conversion = 16,031

Average Cost per Sale= $83

* Average conversion across all

industries

Source: Google Traffic Estimator

Search Trends for “Medicare” KeywordSource: Google Trends

Attract

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Customer Acquisition:Case Study

o UPMC

• T-65 campaign

Offline to Online

• Multiple touchpoints

• Varied offers

• Opt-in email

• Clear calls to action

• Personalized

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Customer Acquisition:

o UPMC

• Campaign Integration

Offline to Online

• Turning 65

• Multiple and varied offers

• Lead capture

• Clear calls to action

• Personalized

Case Study

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Establishing an online shopping experience

o Typical Objectives

• Easy to use and understand

Multiple buying paths are supported

Comparison shopping available

Personalized recommendations and/or experience

• Integrated with other channels

• Engaging and interactive (often entertaining)

Relevant, accessible content

o Online Shopping Tools and Functionality

• Cost estimators (medical, rx)

• Quality and/or value information

• Side by side comparisons of product families and product types

o Relevant and unique content that is targeted to your audience

• Achieve balance of educational information with transactions

• Facilitate “goal seeking”

Shop

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Customer Engagement:o Humana

• Youtube

• http://www.youtube.com/watch?v=F

sAlXRV1yx0

o United Health Care

• “Gwen”; Interactive, personalized,

friendly shopping experience

• https://www.uhcmedicaresolutions.c

om/

Case Study

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Example:

o BlueCross BlueShield of

North Carolina

• Easy access to product

comparisons

Active call to “Enroll

Now” on every page

Addresses security

concerns

Easy side by side

comparisons within and

between products

In page linking for

PDFs, greater detail

• Active Customer

Research

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3 Easy steps to becoming online savvy

Step 1: Optimize your existing website o SEO, content addition, navigation improvements

o Add ecommerce capabilities and high priority functionality

• Lead capture

• Decision making tools

• Online enrollment

• Online payment

o “Work” the MDI online experience framework

o Establish performance baselines

o Plan your future website

Step 2: Market the improved website more aggressivelyo Integrate with offline marketing channels, campaigns and brand activities

o Evaluate paid search and pay per click

o Add email campaigns and/or touch points

o Refine conversion levers and harvest customer analytics

Step 3: Evaluate and pursue channel expansion opportunitieso Establish broker functionality

o Optimize the value of other e-channel partners

o Pursue affinity marketing, linking strategies

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Questions?

Peter Rodes

Marketing Direct, Inc

Prodes@marketingdirect.com

Office: 847-256-1931

Appendix