In the rapidly evolving insurance industry, the ability to predict market, brand and competitor performance has never been more crucial. The recently published half-year results of Aviva underscore just how powerful data insights can be in forecasting competitor outcomes, guiding strategic decisions, and ultimately driving success.
By leveraging comprehensive data analysis, our Insurance Insights manager Max Thompson surfaced key trends and performance indicators, providing a clear picture of Aviva's strong market positioning long before the results were officially announced, as published in Insurance Edge and Insurance Business.
Predicting strong growth
In their H1 results, Aviva reported an impressive 30% year-on-year growth, bringing their total Personal Lines Gross Written Premiums (GWP) to £1.8 billion. The firm attributed this success to price increases made to combat inflation and continued growth in new business from their Aviva Zero product and distribution through price comparison websites.
“Our data clearly showed strong performance from Aviva in new business quote competitiveness, with at least one group brand appearing the top five results on Price Comparison Websites (PCWs) for over double the number of risks in June 2024 versus a year prior. This was driven by pricing movements which not only increased competitiveness but allowed Aviva to better stack brands together in PCW results,” explains Max.
Our analysis also highlighted the continued success story of Aviva Zero, rising to be one of the most competitive brands on PCWs. To maintain this competitiveness in 2024 in the face of ongoing inflation, adjustments had to be made. In Q1 2024, we saw Aviva Zero increased premiums in a softening market, which reduced competitive share on PCWs. However, strong price cuts in April and May allowed share to return to 2023 levels in Q2. This meant Aviva Zero quoted premiums in June were lower than at the start of 2024, compared with strong increases in the first half of 2023.
Strengthening customer retention
In the results, Aviva describes itself as ‘The UK’s go-to brand across insurance’, and indeed the firm’s brand strength is serving it well. Not only is Aviva attracting new customers and driving growth, but they’re winning at retention too.
Our Insurance Behaviour Tracker shows that for both Motor and Home, customers who held a policy with the Aviva brand in the first half of 2024 were slightly less likely to shop around than those a year prior. Of those that did shop, a greater proportion were retained.
Additionally, fewer Aviva Home customers made a claim than the year before, though Motor claimants were above the market average for the insurer, having been below in H1 2023.
Further success in H2?
“If anything, Aviva’s success in H1 was more impressive than we had anticipated – however the signs were clearly there for the direction of travel. And the data points to an equally successful H2, with new products potentially leading to greater competitiveness,” suggests Max.
May saw the launch of several new tiers for the QuoteMeHappy.com motor product, first on Compare the Market with MoneySupermarket following in July. This has brought the group to 11 variations of motor brands, products and tiers live on PCWs currently, the joint largest in the market. Appearing on nearly 30 further products through partnerships and brokers, Aviva has an unmatched footprint with which to attract Motor new business.
July saw an expansion of Aviva’s Home insurance partnership with Lemonade. Already a market leading brand for contents-only products, a buildings and contents combined product was added to Compare the Market. While competitiveness is currently limited by low quotability, Consumer Intelligence expects this to drive further Home competitiveness through the second half of 2024.
Insights that will enable you to optimise your brand
In an industry where the landscape is constantly shifting, the ability to predict and respond to these changes through data-driven insights is not just a competitive advantage—it’s essential. With Trading View, you can harness these insights to gain a deep understanding of the market you're operating in, while also tracking your own brand's performance as well as that of your competitors.
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