Aflac 2015 Annual Report Download - page 28

26
Expanding and Developing
Our Distribution
We believe sales will benefit from our
streamlined and multifaceted approach to
distribution. To reach our sales goals, our
objective is to be where consumers want
to purchase our products. To this end,
we are continually working to enhance
our sales capabilities through our career
sales force of traditional/individual agents
as well as our broker channel. Because
the needs of our distribution channels are
quite different, we strive to customize our
approach to support their particular sales
efforts and accommodate their particular
customers’ needs.
At the end of 2015, our extensive distri-
bution network was made up of more
than 40,000 monthly average producers.
We have seen promising results and
improvements in distribution following
the modifications we made to our sales
management infrastructure in the second
half of 2014 after a thorough evaluation
of the market and our business model.
These included tactical initiatives centered
on better performance management
and competitive compensation more
closely tied to corporate goals that link
sales management’s success to Aflac’s
success. With these changes beginning
to take hold in 2015, we believe they will
continue to enhance the value we deliver
to our policyholders and shareholders.
In addition to these tactical initiatives,
we continue to deepen our relationships
with insurance brokers on local, regional
and national levels to improve our access
to businesses employing more than
100 workers. As we continue working
to enhance relationships with larger
brokers, we are pursuing avenues to
have our products offered on their private
exchanges. As consumers’ preferences
change with respect to how and where
they want to buy health insurance, we will
continue to hone our distribution opportu-
nities and provide more voluntary product
solutions to help consumers dealing with
a major health event or unexpected illness.
Owning Our Customer Experience
by Leveraging the Aflac Brand
We’ve created a strong brand that is
incredibly popular with consumers,
while at the same time, establishing a
strong reputation for paying claims fairly
and promptly. The well known and now
beloved Aflac Duck has been the star of
one of the most successful advertising
campaigns ever. Since the Aflac Duck
emerged on the scene on the eve of
the new millennium, he’s appeared in
85 commercials that have placed our
rambunctious feathered friend in situation
after comical situation, propelling Aflac’s
brand awareness to new heights and
helping us tell our story. These days, he
comically tells the story of how we take
care of our policyholders – by paying
claims faster than ever before! As a result
of leveraging the popularity of the Aflac
Duck, nine out of ten Americans now
recognize the Aflac brand. The Aflac
brand isn’t only about the Aflac Duck
or our advertising initiatives – it’s also
about how we take excellent care of
our customers, including policyholders
and payroll accounts. We believe it’s
important not only to meet, but also
to exceed the expectations of all of
our customers.
AFLAC U.S. DISTRIBUTION
CHANNEL MARKET SEGMENT PRODUCTS
Career Agent < 100 employees Individual
Broker
100-1,000 employees Individual/
Group (standardized)
> 1,000 employees Group (customized)