Consulta is always at the forefront of uncovering the leaders in customer satisfaction through our independent measure the South African Customer Satisfaction Index (SAcsi). Hippo, a short-term insurance aggregator which is essentially distinctive in its own right, presented us with a unique challenge as the company doesn’t fall into any category of direct competitors that we could compare them against. Never the ones to shy away from a challenge, Consulta conducted a proprietary customer satisfaction research study for Hippo using the SAcsi methodology and measured the customer satisfaction of Hippo customers, parallel to the Short Term Insurance (STI) SAcsi 2017.
This is what we found:
Hippo’s SAcsi score was a remarkable 84.3, which is well above the international benchmark of 80. Their customer expectation index score ranked at 83.3, which means that Hippo is currently exceeding customer expectations by 4.5 points. They also had an exceptional 0% complaints incidence rate with the sample analysed, placing them well above the “below 10%” benchmark. Hippo’s very high loyalty score of 79.8% was a strong indicator of the probability of customers using the short-term insurance again in the future.
In relation to their high loyalty score, Hippo also ranked above the market on the “Treating Customers Fairly” metric. There is a significant correlation between customer satisfaction and customers’ perceptions of being treated fairly by brands, which Hippo seems to have mastered.
In line with the high overall satisfaction and loyalty scores, Hippo also managed to achieve a high Net Promoter Score (NPS). The NPS, gauges the likelihood that customers will recommend a brand to their family and friends (promoters) compared to customers who would actively discourage a relationship with the brand (detractors). 71% of the sample stated that they were highly likely to promote Hippo to family and friends, this in itself indicates the value that customers see in the brand.
Compared to the other 69 household brands assessed in the SAcsi national benchmark; Hippo ranked third highest alongside Capitec Online Banking, achieving a higher score than Apple!
In an increasingly competitive Short-Term Insurance (STI) industry, Hippo is providing a fresh approach that customers clearly seem to appreciate. It might be argued that Hippo’s value proposition is straightforward and provides an overwhelmingly positive experience for their customers- which is exactly what customers want. It is Hippo’s uniqueness that makes it difficult to compare them with other STI brands; building on a framework where comparisons can be made not only on price, but with what makes a valuable contribution to overall customer satisfaction.