Progressive Corp.PGR -0.50% is hiring more data scientists as it ramps up experiments with real-time analytics tools to deliver more customized insurance offerings, Chief Information Officer Ray Voelker told CIO Journal on Wednesday. Such tools could help Progressive decide how and when to offer new products to a customer as they shop.
Say a customer visits Progressive’s website looking for an auto insurance quote. If that person also happens to rent an apartment, “do we offer renters insurance to this person up front, or do we just sell them the auto insurance today and then go back a month from now,” Mr. Voelker said.
The challenge lies in taking information about customers while they’re on the site, quickly combining it with other data sets, then using decision algorithms to determine the best quote or course of action for shoppers before they leave.
Getting it right will require Progressive to experiment with different real-time offers and to tweak its algorithms as it figures out which approaches work. “You can maybe get a read up front, but the results have to develop over time,” Mr. Voelker said. Read more