The smart strategy behind gamification

Gamification is here and it’s here to stay. But what is gamification? Simply put, it is a method of achieving an outcome using game-like mechanics in areas that are often not associated with games, for example, creating leads in the saturated insurance industry.

Over the last few years, there has been much talk around the effectiveness of gamification. It may be a relatively new concept but when implemented correctly, it shows sound results and also opens companies to a wider consumer base (inclusive of Millennials).

Discovering gamification

In South Africa there are some insurers who have leveraged off gamification, arguably better than many of its competitors.

It is important to note that the success of gamification stems from the human psyche. Humans have a natural desire for competition and want to bask in their achievements, and there are insurers who leverage on this critical information.

The most successful gamification programmes are designed around clear goals and objectives. They create a sense of belonging, community and provide opportunities to learn and grow while also providing positive competition.

By use of telematics data, one programme in the market differentiates itself by providing detailed driving data to clients. This includes data regarding harsh braking, accelerating and cornering. This data is benchmarked against other drivers in a dashboard, available daily and summarised in a monthly emailed report.

Innovative engagement

Gamification is no longer just a buzz word. An ideal way to get people to change their behaviour or learn something is to make a game out of it.

Enjoyment is key, which is the reason why gamification also appeals to Millennials who are notoriously difficult to engage with and market to. Millennials rely heavily on technology, grew up on video games and believe that access to technology they like makes life more enjoyable.

Masaichi Hasegawa, a principal at Deloitte Consulting, says "The other angle in gamification is marketing and building loyalty, engaging consumers in a way that gets them hooked”.

Taking responsibility

With gamification comes the increased risk of distracted driving as people’s eyes get glued to their phones without them being aware of their surroundings.

An example of this is the recent craze around Pokemon Go. There have been reports of people driving recklessly while trying to catch Pokemon, while others have found themselves in dangerous situations purely because they were not aware of their surroundings.

People need to be more responsible, now more than ever in the age of gamification. With 90% of car crashes being attributed to driver behaviour and the fact that our roads are rated among the most dangerous in the world, rewarding good driving behaviour, which includes people not using their cell phones has become even more critical.

We should all ensure that we play our role in making our roads safer. We cannot afford have senseless loss of lives, we need to take responsibility to ensure that we engage with games in safe environments which will not cause any harm to us or anyone around us.

Gamification has grown into a multibillion dollar industry, and more and more companies are adopting it into their strategies. With Millennials becoming one of the most important markets, companies need to make a concerted effort to cater to them. If not, then it is game over.