Quite recently I found myself browsing through the web, as you do; clicking from link to link until your brain slowly shuts off. Well, during this period, I stumbled across something which caught my eye. A peculiar company, which uses a seldom seen marketing technique. The South African insurer, known as ‘Discovery’.
Quite a trustworthy company it would seem, covering over 5.1 million clients today; Discovery is a shared value insurance company whose purpose is to essentially motivate people’s well-being by protecting their lives. More recently, they’ve chosen to achieve this through the use of a pioneering business model called ‘Vitality’.
What is Vitality and how does it work? Discovery invites its customers to “Join Vitality” on any device; whether sports watch, phone, tablet or PC, only to earn “points” whenever they “take a step to understand or improve” their health. This can be anything from buying healthy foods at their local super market to climbing Mount Everest.
Regardless of the activity, you will earn ‘Vitality points’ if you access the Vitality database to record and manage your activities. The more points you earn, the more your ‘Vitality Status’ will increase, to one of five possible stages at any given time. You start at ‘blue’ (lowest) then bronze, silver, gold and ultimately, diamond.
Now this is where things get a little more interesting for just about anyone who is trying to save money.
Rewards include discounts on groceries at your local supermarket, discounts on personal care products and medicines, weekly cash-back offers, cash-back on cinema tickets and discounts on your insurance premiums. You can even save up to 35% savings on flights, holiday accommodation and car rental from major airlines worldwide.
Such loyalty or rewards programs are not something new, however coupling health with financial gains (er.. savings) whilst enjoying and improving your life is just amazing! Why would anyone say no? From a commercial perspective it allows cross-selling and marketing health-related products and services, which in turn creates a chain of demand for suppliers. This could also transformed how consumers experience insurance; from a boring necessity to an interesting and fun concept!
People can engage in managing their health and they can reduce their insurance premiums by getting healthier.