Blue Cross/Blue Shield Health Insurance has been ranked highest in overall brand equity in the health insurance industry, according to a new study.
According to the 2010 EquiTrend study, conducted online by global market research firm Harris Interactive, consumers ranked the top six overall health insurance brands as:
- Blue Cross/Blue Shield Health Insurance;
- Aetna Health Insurance;
- United Healthcare Insurance;
- Kaiser Permanente;
- CIGNA Health Insurance; and
- Humana Health Insurance.
The companies were also ranked according to likelihood of consumers to purchase their services. According to the study, these findings were:
- Blue Cross/Blue Shield Health Insurance;
- United Healthcare Insurance;
- Aetna Health Insurance;
- Kaiser Permanente;
- CIGNA Health Insurance; and
- Humana Health Insurance.
The study was based on a survey of 19,708 U.S. consumers ages 15 and over, conducted between January 12 and 21. Those surveyed rated 1,000 brands across 42 categories, "including a battery of health insurance companies," Harris Interactive researchers said.
Harris Interactive has been conducting the EquiTrend study each year since 1989; this is the first year the study has included health insurance companies, according to researchers.
For the study, consumers rated the brands on equity, consumer connection, commitment, energy, brand behavior, brand advocacy and trust.
"The keystone to the program is equity, which provides an understanding of a brand's overall strength and is determined by a calculation of familiarity, quality and purchase consideration," researchers said.
According to Debra Richman, vice president of healthcare strategy at Harris Interactive, healthcare reform could benefit health plans dramatically by generating billions of dollars of new revenue and millions of new customers, but health insurers must change their marketing strategies if they are to remain competitive in this evolving market.
"Now, as health plans compete for business, as well as in future insurance exchanges, it is important that insurers focus on their brand and understand how their company is perceived by consumers who are making purchasing decisions," Richman said. "In addition, it is equally important for health insurers to retain their existing customers since attracting new clients can be a costly, lengthy process. Customers' perceptions and brand equity are equally important in this scenario."
Health insurers should understand how consumers may or may not connect with their brand and how that impacts a purchase decision, along with what may motivate a customer to remain loyal to an insurer rather than switch companies, she said.
"As health insurers develop more of a 'retail' strategy, their approach will need to be increasingly targeted and consumer-friendly," Richman said.