Royal London – the changing face of the mutual
28 April 2014
- New direct-to-consumer business
- Move to a single brand
- New advertising set to go live this week
- Company plans to shake up the industry
Royal London today made the first move in its aim to become a household name, by launching its first TV campaign in over a decade.
Royal London is the UK’s largest mutual life and pensions company with 5.3 million customers and half a million members. It owns Scottish Life, Scottish Provident, Bright Grey and Royal London Asset Management, and all four brands will come under the Royal London name over the next eighteen months.
It’s new advertising campaign, ‘We’re so yesterday’, celebrates the fact that Royal London has stood by its customers with the values the company was originally founded on back in 1861.
Phil Loney, Group CEO of Royal London says:
"The move to a single brand emphasises the scale and reach of Royal London across the investment, pension and protection markets, and seeks to make the benefits of our mutual approach tangible for all of our customers.
But we are going further so next week we launch a new way to buy insurance products from Royal London via our direct to consumer (D2C) business. Royal London’s insurance business has grown through a single-minded commitment to distribution through financial advisers. This remains our primary focus but we recognise that there are a number of sections of the population who will never turn to a financial advisor. We think there are several areas where customers are not well-served by the current market for financial services with poor value products or incomprehensible jargon-filled buying processes.
The market for 'Over 50s' life insurance plans is a good example. This remains a very popular product with people who have low levels of lifetime savings but want to leave a legacy after their death. It is also a market which has historically offered poor value for money for many customers.
We are looking to completely transform the Over 50s market by offering a straight-forward, value for money product designed with the specific needs of these customers in mind.
We know that there is also a market typically with a younger profile that feels confident to buy insurance online but is confounded by the jargon and complexity of the buying process. We have completely re-engineered the process to make buying life insurance simple and intuitive. Our new life insurance product will be available to buy online in July.”
Royal London is planning to challenge the financial services industry by looking at sections of the market in a different way.
Phil Loney continued:
“The budget was a game-changer for the pensions industry and for consumers, which means that most people, not just the well-off, will need access to advice, not just the Government’s pledge of 'guidance'. A free and impartial guidance service will help customers to narrow down the retirement options available to them, but many will need an advisor to help them access the best deal in the market rather than the option that their insurer is trying to push.
Currently advice is too expensive for many customers but we believe that the FCA can enable new focused advice delivered through the internet at a fraction of the current costs. This is the glaring omission from the Government's current plan to transform our experience when we retire."
The Group’s annual reports and accounts are issued this week, giving members the first experience of the new brand. The company’s TV adverts will go live on Saturday May 2nd, and the campaign also includes digital outdoor, press advertising and a take-over of Bank Tube Station travelator.
For further information please contact:
Group Head of External Communications
020 7506 6719 / 07919 171907
0207 294 3605 / 07765 567 842
0207 294 3631 / 07809 441803
Royal London is the largest mutual life and pensions company in the UK with Group funds under management of £73.6 billion. Group businesses serve around 5.3 million customers and employ 2,880 people. (Figures quoted are as at 31 December 2013).
Over the next two years the Group is moving to operate all of its UK life, pension and investment business under a new version of the Royal London brand. Royal London Asset Management comes under the new master-brand as of 28 April, and the Scottish Life, Scottish Provident and Bright Grey brands will migrate over the next eighteen months.
The Group's wrap platform will remain branded Ascentric, and the Caledonian Life brand will be utilised in the Irish Republic.