Allianz Customer Centricity: Is Simplicity the Way Forward?

By: Emilie Billaud and Eva Ascarza

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Synopsis: This case explores the tradeoffs between product personalization and simplicity as companies grow. The case presents an opportunity to understand whether and how each of these approaches enables and/or limits companies' abilities to provide customer satisfaction while being efficient in their operations. In October 2018, Allianz was one of the world's leading insurers and asset managers with 103 million retail and corporate customers in 70 countries. It was one of only two insurers to rank amongst the world's 50 strongest brands in 2017, a sign that the company's customer-centricity approach drove value and resonated with clients. Allianz's ambition was to reach the top 25 brands in Interbrand's ranking by 2025. For the insurer, the key to success was to focus on simplicity-reducing the complexity of products and processes in order to create a more unified customer experience. However, such a move did not align with current trends in insurance markets, where Allianz's main competitors had opted for hyper-personalization. Furthermore, a strategy focused on simplicity implied a radical move in certain key markets where Allianz had traditionally offered a large diversity of products. Was simplicity the right strategy? Would Allianz be able to embrace customer needs successfully within and across markets while simultaneously growing its business?