iWYZE
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Old Mutual iWYZE:
Emerging
market
appeal
Emerging market (mass market) segments are increasingly important and the battle is being won by smaller, agile players, who offer cost- and technically-leading products and services. By Ian Armitage
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iWYZE focus insurance
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outh Africa’s emerging market has become a priority segment for many businesses in several industries, and the battle for market share, it seems, is being won by smaller, agile players and those able to interact with - and communicate effectively to - the market. One of those players, iWYZE valuables insurance, the direct short term offering from Old Mutual, was formed in 2010. “We’re a valuables insurance specialist whose services and approach lends itself well to the emerging market,” says Willem Smith, iWYZE Chief Executive. According to Smith, iWYZE was created as part of Old Mutual’s strategy to “exploit group synergies” in this market, where it “had built a strong position”. “iWYZE was formed to create a capability whereby, from an Old Mutual perspective, we have a wider product range and offering to specifically the emerging market in South Africa – and to widen that offering from a financial services perspective. We are targeting that market and it is where growth lies; it is the untapped part of our market. For instance, there are around about nine million cars on the road of which only 2.9 to three million are insured. So there is a huge opportunity.” iWYZE is a collaboration between the Retail Mass division of Old Mutual and Mutual & Federal, a whollyowned subsidiary of Old Mutual. Its unique approach, coupled with the strength of those brands - especially in the mass market - provides a solid platform for the future, Smith says. www.southafricamag.com
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PFK Electronics is a leading electronics company focused on the design and manufacture of innovative products, encompassing electronic vehicle security systems, telematics systems, alcohol interlock devices, convenience modules, body control modules, CANBus controllers, diff lock and gearbox controllers, exhaust emission controllers and instrument clusters. Products and services are supplied to original equipment manufacturers (OEM’s), the aftermarket, major fleet and freight companies, as well as the public transport sector in global markets. PFK was established in Durban, South Africa in 1985, and has regional sales offices in Durban, Johannesburg, Cape Town, Port Elizabeth, UK, Sweden and Mauritius. In November 2012, the company acquired Pi-Shurlok based in Pietermaritzburg. The production plant is now based at these premises. In South Africa PFK vehicle security products are sold under the Autowatch brand and reach the market via a national network of approved Fitment Centres, selected insurers, direct sales to transporters, and fleet and freight companies. OEM business is featured under the brand, PFK Shurlok. More than two thirds of PFK’s products are exported, reaching 26 countries worldwide via a network of dedicated global distributors. PFK is accredited with ISO 16949, ISO 14001, ISO 9001, FORD Q1, BMW : VDA 6.3 A rated , IPC 610 : D Compliant , PQESE : C rank, SPICE ISO/IEC 15504 Automotive SPICE Level 3 PFK has experienced significant annual growth in recent years, and key to this success is innovation, quality, flexibility in design and manufacture and keeping engineering at the core of the business. With product design and business systems driven by a culture of innovation, and an in-house, state of the art SMT production facility, PFK is able to provide full lifecycle solutions from concept to production, or build-to-print under licence from major first tier suppliers. PFK’s market dominance in vehicle security systems and recent rapid growth in alcohol interlock devices and telematics systems is due to innovative features, extremely high quality products and unparalleled after-sales support. PFK has been recognised a number of times for its leadership in the industry.
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Some of the more recent awards are: • The Supplier Merit Award from GMSA (2005, 2007, 2008 & 2009) • Technology Top 100 – Winner for Excellence in the Management of Systems (2007, 2009, 2011) ; Winner in the Management of Innovation (2012) • KZN Exporter of the Year Award – Winner, Large Category (2009, 2010, 2011) • Automechanika SA Innovations Award – Silver Award Winner (2009) • KZN Top Business Award – Large Category (2010) AUTOWATCH • Autowatch The Autowatch range of vehicle security products has been a market leader for many years. The brand has a 75% local market share, with products distributed through approximately 500 fitment centres throughout South Africa. • Autowatch Alcolock PFK is a leading designer and producer of alcohol breathalyser based immobilisers (also known as alcohol interlocks). Historically, these were supplied mainly to Europe and Scandinavia, but PFK has widened its focus with the launch of a tethered system, which specifically targets the South African, American and Australian markets. All alcohol interlock devices from PFK, meet the stringent CENELEC European and NHTSA USA standards. • Autowatch Tracking For a number of years, PFK has designed and manufactured tracking systems for major international tracking companies. In 2009, the company built on this strength by successfully launching their own full tracking service in South Africa for the stolen vehicle recovery and fleet management market. Under the Autowatch Tracking brand PFK is expanding on this core offering with a number of related products in the areas of asset tracking and driver behaviour profiling. PFK SHURLOK PFK Shurlok, encompasses automotive electronic systems for the OEM market. It includes convenience modules, body control modules, CANBus controllers, diff lock and gearbox controllers, exhaust emission controllers, security systems, keyless entry systems, telematics systems, instrument clusters, just to name a few! Full life cycle, from design concept to full production or build-to-print under licence from major first tier suppliers, in an ISO/TS 16949, FORD Q1, VDA6 environment.
A Ghost that Stops Thieves in Their Tracks Autowatch Tracking is a division of PFK Electronics, an award winning company, known for producing world-class vehicle electronic solutions. The revolutionary Ghost Wireless Immobiliser is a tiny but powerful device that is nearly impossible to find once installed, and capable of stopping a stolen vehicle in its tracks. The Ghost is just one of a number of devices in PFK’s Autowatch Tracking range. The range includes products focussed on vehicle and asset tracking, stolen vehicle recovery, fleet management and insurance telematics (mileage monitoring and driver behaviour profiling).
For more info visit www.pfk.co.za
We see massive potential, not just in terms of selling and fulfilment capability, but also servicing
“iWYZE is positioned for broad appeal in the South African market, but specifically targets the emerging market where it is believed a significant opportunity exists.” A very small percentage of those in the mass market have short-term insurance. “It is definitely a growth market and since our inception things have gone well for us,” Smith says. “From a growth perspective, it is above expectation and we have been doing really well. “We have been able to make a fairly significant impact in the Old Mutual customer base – about a fifth of those clients have not taken any insurance on their valuables before. Roughly, about 50 percent of our client book is existing Old Mutual policy holders. “The iWYZE product is not solely aimed at that market, but it is our focus. We’re more gaining traction on the emerging market.” This segment has been traditionally neglected and approximately 35 percent of South Africans have had no access to formal financial services. “You can’t approach this market in the same way you would the traditional market. The way these segments are accessed or communicated www.southafricamag.com
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iWYZE focus INSURANCE
to must differ significantly to the means with which traditional customer segments,” says Smith. The trick is reaching them effectively. The best way, he says, is online. “We see the future as going online. We see massive potential, not just in terms of selling and fulfilment capability, but also servicing. From an iWYZE perspective there is a big focus on ensuring our online experience becomes industry leading. We currently have a full procurement capability online and we are one of the very few insurers to have this in South Africa. Many have a quoting capability online. But no one has a straight through processing capability and we do. We rolled that out last year and it is becoming fairly successful. We’ve seen volumes pick up.” His view is that the market will grow steadily. “The market in South Africa is still a little bit slow but we have seen a pick-up in the online space,” Smith says. “My view is that for the next couple of years you will probably see a steady growth in the online space but not massive volumes. But there is clearly steady growth and we are at a tipping point here. I believe in the next five years, ten certainly, that tipping point will be reached. “If you think about the market we are in, most of your young and emerging market clients have cell phones and are technologically minded and inclined. Our view is that this untapped market is specifically well educated when it comes to technology. The best way to communicate to them is through that, online and social media.” 6
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Net Assess, your only choice in assessing With NetAssess, you will receive the most comprehensive and accurate assessing service for your business. The key features of our service includes: • Independent Web-Based Assessment Service • On-line booking service at our 54 nationwide drive-in centre’s • Expertly trained assessing technicians • High resolution photographs depicting damaged areas • Assessments signed off by senior management before submission • Work-in-progress system linked to insurance, repairer and client for each vehicle • Express Warning Notification (EWN) in case of a delay from any parties • EWN helps control ever increasing car hire costs “NetAssess not only guarantees service of the highest magnitude, we also pledge a scrupulous attitude towards an honest and sincere relationship with all clients.”
From the start of our relationship, we knew that we would be part in the making of one of the new market leaders in the insurance industry. Their brilliant management team, headed by Willem, a leader in the insurance industry, will ensure that everyone is proud to be associated with the iWYZE brand.
Tel: 010 593 2670 · Fax: 086 576 4498 · Email: lisa@netassess.co.za · Web: www.netassess.co.za
iWYZE’s promise is that it is straight and transparent with its clients. “Coming to us is straight forward,” says Smith. “We make it easy for people to come and get valuables insurance. “In terms of our offering, there are a couple of important things. First, we offer value for money – or at least try to offer value for money. We won’t necessarily be the cheapest in the market but we hope we give real decent value. Then it is about being transparent and clear. So the policy is clearly stated. The small print is accessible. We handle claims efficiently and quickly. “Client focus and experience is also critical. It is a competitive environment as you know. We’re up with a host of other players and unless you are on the field you’re not in the game. You have to ensure the client has a decent experience when they go through the application, that they understand the policy, that the policy works, and that they’re getting value for money. We try and make the application as interactive as possible.”
Smith doesn’t believe that organising the right insurance should be a five-minute decision, though. “That’s my view,” he says. “I also don’t believe that insurance that it should be bought without any advice. We have a team of consultants who are accredited under the Financial Advisory & Intermediary Services Act to give advice and they are trained to advise clients on the insurance options that suit them best. “To stress, we believe our target market wants value for money but also comprehensive coverage. We also realised that clients want the peace of mind that their valuable possessions are protected, but don’t want to be burdened with industry jargon and small print. We’re making it as easy as possible for people to protect their valuables through the Old Mutual Group, which has a solid track record of securing positive futures for clients for over 168 years.” END To learn more visit www.iwyze.co.za. www.southafricamag.com
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