While many other dot.com businesses have gone to the wall
over the last two years, one has gone from strength to strength
and has just reached its second birthday looking very healthy.
elephant.co.uk launched in September 2000 as the UK's first
wholly interactive online car insurance provider. At that time it had
just 12 members of staff and no customers. Today elephant.co.uk
employs 105 people and has 92,000 customers. Its written net
premium this year is set to top £65 million.
Head elephant with the company, Tanzie Oliver, said, "We
launched at the height of the dot.com boom, but while other
companies have floundered we've surpassed our expectations
and are doing very well. I think our alternative approach to
car insurance at the beginning and our willingness to adapt
and change have played a big part in our success."
When elephant.co.uk launched, it was the first insurance company
in the country to offer online after sales services, as well
as quotes and sales. While most dot.coms were launching with
huge advertising campaigns, elephant preferred to make sure
the company was up and running before it splashed out on TV
adverts. In 2001, when the dot.com bubble burst and 64 online
companies were closing each week, elephant.co.uk nearly doubled
its targeted net premium.
Originally, it targeted its business at young urban professionals
who traditionally pay higher premiums. But over the years its
customer base has changed and expanded, as older people have
become more comfortable using the Internet.
The company has also had to adapt the way it deals with its
customers. It was originally envisaged that customers would
feel comfortable completing the whole sales and after sales
service without hearing a human voice. However, elephant.co.uk
soon had to ditch its premium after sales service line, as
it became clear that many people weren't easy just sending
an e-mail and were ringing up to check they had indeed bought
insurance. Tanzie Oliver, said, "Although most of our
customers are happy making the initial purchase online, a lot
of them seem to want the reassurance of a human voice. I think
it will be a few years yet before everyone feels comfortable
leaving everything to the Internet."
elephant.co.uk has smashed its targets since it was launched.
In 2001 it was expected to write approximately £16 million
net premium. In fact it wrote over £30 million net premium.
This year it is set to reach its target of £65 million
net written premium fairly easily. It also passed its expectations
on the number of customers it would have. Tanzie Oliver, said, "When
we started, there is no way we would have expected to have
nearly 100,000 customers within two years. We are now one of
the largest suppliers of insurance over the Internet in the
country. An example of this is that last year our website received
over 53 million hits."
Issue date: 28-08-02 |
