This action might not be possible to undo. Are you sure you want to continue?
Insurance is a financial product that provides safety against the life; to be generic it provides security against uncertainty. The history of insurance in India takes us back to the period when Manusmrithi and Arthasastra were written. There were practices of pooling the resources in small units from every one and redistributing them in the time of emergency or calamity. The insurance business in India has a heavy impact and influence of other nations particularly England. In 1818 the first insurance business in India was started by Oriental Life Insurance in Kolkata. The Royal insurance, Albert life assurance and Liverpool and London globe insurance are a few foreign players who dominated. The business of life insurance in India in its existing from started in India in the year 1818 with the establishment of the Oriental Life Insurance company in Calcutta (presently Kolkata). 1.2. EVOLUTION OF INDIAN INSURANCE SECTOR
1912: The Indian Life Assurance Companies Act enacted to enable the government to collect statistical information about both life and non-life insurance business. 1938: Earlier legislation consolidated and amended to by the Insurance Act with the objective of protecting the interests of the insuring public. 1956: In this year 245 Indian and foreign players were taken over by the central government and it was nationalized. Life Insurance Corporation (LIC) was formed by an Act of Parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 5 crore from the Government of India. The general insurance business in India, on the other hand, can trace its roots to the Triton Insurance Company Ltd., the first general insurance company established in the year 1850 in Calcutta by the British. Some of the important milestones in the general insurance business in India are: 1957: General Insurance Council, a wing of the Insurance Association of India, frames a code of conduct for ensuring fair conduct and sound business practices.
1968: The Insurance Act amended to regulate investments and set minimum solvency margins and the tariff Advisory Committee set up. 1972: The General Insurance Business (Nationalization) Act, 1972 nationalized the general insurance business in India with effect from 1st January 1973. With largest number of life insurance policies in force in the world, Insurance happens to be a mega opportunity in India. It's a business growing at the rate of 15-20 per cent annually and presently is of the order of Rs 450 billion. As of 2011 the contribution of insurance sector to the GDP is about4.5%. Gross premium collection is nearly 2 per cent of GDP and funds available with LIC for investments are 8 per cent of GDP.
A well-developed and evolved insurance sector is needed for economic development as it provides long term funds for infrastructure development and at the same time strengthens the risk taking ability. It is estimated that over the next ten years India would require investments of the order of one trillion US dollar. The Insurance sector, to some extent, can enable investments in infrastructure development to sustain economic growth of the country. Insurance is a federal subject in India. There are two legislations that govern the sector- The Insurance Act- 1938 and the IRDA Act, 1999.
In India, insurance is generally considered as a tax-saving device instead of its other implied long term financial benefits. Indians are prone to investing in real estate properties and gold followed by bank deposits. They selectively invest in shares also but the percentage is very small. Even to this day, Life Insurance Corporation of India dominates Indian insurance sector. With the entry of private sector players backed by foreign expertise, Indian insurance market has become more vibrant.
PRESENT SCENARIO IN THE INSURANCE SECTOR
The Indian insurance industry is cluttered with 51 companies out which 24 companies operate in Life insurance and 27 in Non-life insurance business. The development of the insurance business can be traced by the Insurance penetration and Insurance density ratio. Insurance penetration is measured as the percentage of insurance premium to the GDP where as Insurance density is calculated as ratio of premium to the population. Insurance density for the year 2010 was USD 55.7 and the Insurance penetration was 4.40 per cent. Both penetration and density suffered a fall in 2010 due to macro economic conditions. LIFE INSURANCE: In 2011 India was ranked 9th in life insurance business among 156 countries for which data are published by Swiss Re. The growth of estimated life insurance premium was 4.2 per cent (inflation adjusted) in India which was a decent figure when compared to the global growth which was 3.2 per cent. In the life insurance business the first year premium collected for the year 2010-11 was Rs 1,26,381 crores that comes to 15 per cent growth. The growth rate of new business secured for 2009-10 was 25.84 per cent. The growth rate has fallen by 10.84 per cent. Indian life insurance sector contributed 2.69 per cent to the global market in the year 2010 which was 0.24 per cent more of the previous year. NON-LIFE INSURANCE: In non-life insurance business India is ranked in 19th position. In 2010 the non-life insurance business experienced 8.1 per cent growth which is very impressive when compared to the global growth rate of 2.1 per cent. In 2010 contribution of non-life insurance business to the global market also increased by 0.58 per cent. In terms of first year premium collected (new business secured) the non-life insurance business registered a higher growth rate of 22.98 per cent in 2010-11 to that of 14.06 per cent in 2009-10.
The prime reason for the fall in growth is that the savings of people are being parked in gold and land as they give higher returns than insurance. More than 55 per cent of the household savings are invested on gold and land. If the contribution of insurance to GDP is to increase, people should be educated and convinced about the benefits of insurance
MODERN MARKETING APPROACH
Marketing strategies for insurance in the emerging scenario could be understood in terms of the following steps; In India Insurance is sold and not bought. The agents / Advisors by using various strategies sell the product by convincing the customers. Moreover, they push Policies with the highest premium to pocket a higher commission. The consultative approach to selling is the modern approach, which helps customers and prospects to buy. A consultant makes calls and sells just like any other sales person. The difference is in their attitude, their approach and their commitment. Here, the customer is seen as a person to be served and not a person to be sold. It helps the purchaser to make an intelligent decision. The four-step process includes: * Need discovery * Selection of the product * Need satisfaction presentation, and * Serving the sale This approach to selling their products requires understanding of concepts and principles borrowed from the fields of psychology, communications, and sociology and needs a lot of personal commitments and self – discipline from the seller.
1.4.1. PRODUCT INNOVATIONS Insurers are continuously innovating new products based on forward-looking models. They have developed new products addressing the new challenges in society and products to address the hazards from new environmental issues. Understanding the customers better has enabled Insurance companies to design appropriate products, determine price correctly and to increase profitability. Product development is made possible by integrating actuarial, ratings, claims and illustration systems. At present, the Life Insurers are concentrating on the pension schemes and the Non-Life Insurers on many innovative schemes of various realms and thereby enriching their market share. Moreover, with increased commoditization of insurance products, brand building is going to play a vital role.
4.4. Corporate agency. Now days. which are being tapped by the insurers to reach the appropriate market segments. which eventually creates sustainable competitive advantage and enables to build long lasting relationship. a key differentiator is the professional customer service in terms of quality of advice on product choice along with policy servicing. the urban masses are tapped with the new techniques provided by Information Technology through Internet.2.3. insurers are looking to innovate and find new methods of delivering the products to customers. Banc assurance. CUSTOMER EDUCATION AND SERVICES In the present competitive scenario. 1. Servicing focus is on enhancing the customer's experience and maximizing his convenience. brokerage. Moreover.1. This calls for an effective CRM system. DISTRIBUTION NETWORK While the traditional channel of tied up advisors or agents is the chief distribution channel. Rural masses are attracted by the consultative approach adopted by the Insurers. they attract the customers through telephone and mobile also. 5|Page . e-insurance cooperative societies and panchayats are some of the channels.
5.1. MARKET SHARE OF INSURANCE COMPANIES 6|Page .
and To find out the perception on different marketing communication tools.1.7. The study deals with the various communication tools that are vital in enhancing the brand awareness.6. A large number of new players have entered the market and are vying to gain market share in this rapidly improving market. To study the brand awareness of IDBI Federal. 1. OBJECTIVE OF THE STUDY The prime objective is to study the brand awareness and provide suggestions on promotional mix that will facilitate effective enhancement of brand equity of IDBI Federal Life Insurance Company Ltd. SCOPE OF THE STUDY A big boom has been witnessed in Insurance Industry in recent times. 7|Page .
India. India’s private sector Bank. since its inception. Federal Bank and European insurer Ageas (formerly Fortis). The bank provides over four million retail customers with a wide variety of financial products. IDBI Federal Life Insurance Co. As on 30th June. 21882 Cr in Sum Assured. IDBI Federal endeavors to deliver products that provide value and convenience to the customer.97 lakh policies with over Rs. In this venture. IDBI Bank Ltd. India’s premier industrial development bank. continues to be. The company offers its services through a vast nationwide network across the branches of IDBI Bank and Federal Bank in addition to a sizeable network of advisors and partners. the company has issued over 3. in just five months of inception we became one of the fastest growing new insurance companies to garner Rs 100 Cr in premiums. Through a continuous process of innovation in product and service delivery we intend to deliver world-class wealth management. Created in 1956 to support India’s industrial backbone.2. was formed on March 2008. It has a strong network of 708 branches and 749 ATMs spread across India. COMPANY PROFILE IDBI Federal Life Insurance Company Ltd is a joint venture between three financial companies – Development and Commercial Bank. with a wide range of innovative products and services. protection and retirement solutions to Indian customers. it is amongst India’s foremost commercial banks. Today. IDBI Bank owns 48% equity while Federal Bank and Ageas own 26% equity each. Having started in March 2008. 8|Page . The Headquarters is located in Mumbai. 2012. Ltd. serving retail and corporate customers in all corners of the country from 720 branches and 1228 ATMs. Federal Bank is one of the first large Indian banks to have an entirely automated and interconnected branch network. with a dominant presence in the state of Kerala. IDBI Bank. IDBI Bank has since evolved into a powerhouse of industrial and retail finance. Federal Bank is one of India’s leading private sector banks.
Luxembourg (Non-life). MISSION To continually strive to enhance customer experience through innovative product offerings. Thailand and India.2.Fortis is an international insurance group composed of AG Insurance. 2. 2. protection and retirement solutions that meets the needs of our customers and adds value to their lives.1. dedicated relationship management and superior service delivery while striving to interact with our customers in the most convenient and cost effective manner. distributing its insurance products through the network of BNP Paribas Fortis Bank and independent insurance brokers. Turkey. Russia and Ukraine. Hong Kong. and Fortis Insurance International with subsidiaries in the UK. 9|Page . Germany. To be transparent in the way we deal with our customers and to act with integrity. China. France. the overall market leader in life and non-life insurance in Belgium. VISION To be the leading provider of wealth management. Portugal. Malaysia. and joint ventures in Luxembourg (Life).
3. Amit Tripathi TRAINING HEAD Mrs.Nageshwara Rao COUNTRY HEAD Mr. Radhika Venkatraman MARKETING HEAD Mr. ORGANIZATIONAL CHART CHIEF EXECUTIVE OFFICER Mr.2.Murali HUMAN RESOURCES HEAD Mrs. Vaishali 10 | P a g e .
2. ZONAL – WISE ORGANIZATIONAL STRUCTURE COUNTRY HEAD Mr. Vijay Kumar m AREA HEAD AREA HEAD 11 | P a g e .3.Balaji MUMBAI LUCKNOW COIMBATORE BENGALURU HYDERABAD AREA HEAD Mr.Murali NORTH ZONAL HEAD EAST ZONAL HEAD WEST ZONAL HEAD SOUTH ZONAL HEAD Mr.1.
3.Shanthi Yagyanath DEPUTY MANAGER SENIOR EXECUTIVE BAND 1 BAND 2 BAND 3 BAND 1 BAND 2 BAND 3 BAND 1 BAND 2 BAND 3 AGENCY BANKS DISTRIBUTION CENTER MANAGEMENT TRAINEES CORPORATE CHANNELS 12 | P a g e . AREA – WISE ORGANIZATIONAL STRUCTURE COIMBATORE AREA HEAD Mr. Vijay Kumar BRANCH HEAD CHIEF MANAGER Mrs.2.2.
for those who don't want to take any chances with money saved for their retirement. MICROSURANCE: IDBI Federal Microsurance Plan is a one of its kind insurance plan which can be very useful for various Micro Financial Institutions and NGOs. This Plan comes with a wide range of 13 investment options and 7 insurance benefits .2. HOMESURANCE: IDBI Federal Homesurance Protection Plan provides full insurance cover for properties even under construction. wherein not only the members but even the member’s family gets an insurance cover TERMSURANCE: IDBI Federal Termsurance Protection Plan offers the unique Increasing Cover option that automatically increases the cover every year without increasing the premium. Guaranteed. The plan offers long term guaranteed* return of up to 25 years linked to G sec rates. 13 | P a g e . It offers guaranteed return on investment along with life insurance cover. In addition to this customer will get guaranteed loyalty additions on maturity as a reward for long term commitment. RETIRESURANCE: IDBI Federal Retiresurance Guaranteed Pension Plan is a non participating traditional deferred pension plan designed to help customers secure their lifestyle post-retirement. BONDSURANCE: Bondsurance is designed for customers looking for guaranteed returns which will not get affected by financial market conditions.all packaged with a low charge structure and unmatched flexibility. It also has an innovative fixed period cover for those who would aim to prepay their loans early. thus ensuring that the beneficiary gets the full sanctioned amount in case of any unfortunate event. PRODUCT PROFILE WEALTHSURANCE: The Wealthsurance Milestone Plan enables the policyholder to save and build wealth to meet their financial goals. This makes their retirement planning safer combined with a guaranteed growth.4.
Economic times and Times of India are the three major news papers where the ads are given. It linked the returns to the G-Sec rates. once a month. India today etc..INCOMESURANCE: Knowing the customer helped us to combine the Endowment & Money Back plans into a single plan. The advertisements are given in the 3rd page of Economic times and Times of India and in the 1st page of The Hindu. Also. The advertisements in these forms are intensively given during the period of February and March in order to attract people who to invest in insurance for tax benefits. The company advertises in sports channels and in the star group channels.5. It costs Rs. 14 | P a g e . pamphlets. IDBI Federal sponsored a test cricket series between India and Sri Lanka in 2008.5. Advertisements are also given in reputed magazines such as outlook. 2. HEALTHSURANCE: This new insurance plan offers a host of features and benefits that are designed to help manage the extra financial burden that comes with hospitalization. the Guaranteed Annual Payout and other benefits upon death are tax-free under Sec 10(10D). PRINT MEDIA As far as the print media advertising of company is concerned The Hindu. transparently declared by the government. advertising hoardings.1. 2. 320/ sq cm for the 3rd page advertisement in ET and TOI and Rs. The company is also in talks of finalizing the deal for advertising in satellite channels. 2.5. TELEVISION Television ads eat the major share of the promotion budget at IDBI Federal. PROMOTIONS AT IDBI FEDERAL LIFE INSURANCE COMPANY The promotional basket of IDBI Federal LIC contains the mix of conventional modes of promotions such as print media.2. 400/ sq cm in The Hindu’s 1st page. local events and distributors & agents (word of mouth). television commercials.
LOCAL EVENTS Some interesting events are also conducted in and out the city to create more awareness about the IDBI Federal and free gifts are given wherein local marketing people interact with the prospects and try to gauge their financial needs and respectively pitch the products. Rs 60008000 for 10 seconds. Schools.000 per annum such events are mainly conducted in Apartments. 2.e. 45000 to advertise for 10 seconds in Tamil nadu region and Rs. 2. etc. The overall costs associated with such events totals to Rs. The Local channels provide the cheapest rate card i.5.3. 00. 60000 onwards for 10 seconds in sports channels. 15 | P a g e .It costs Rs.
M. REVIEW OF LITERATURE MARKETING FINANCIAL SERVICES by D. Davies (Emerald: journal of marketing) This article reveals the difficulties faced by the practitioners in the service industry. Wong (Emerald: journal of services marketing) This paper aims to study the influence of behavior and performance of salespersons on customers’ trust and satisfaction and in turn their anticipations of future interactions with the salesperson in the context of insurance selling. The results of this study shows that the satisfaction of the customers influence future business opportunities as well. At this point another question raises that is are services sufficiently different to require new techniques to be marketed? The emphasis of this article is on the significance in the difference of the nature of product and services and the marketing techniques suitable for the same.G. INTERACTIVE SELLING by Jackie L. A framework has been suggested for managerial implication to future research.3. 16 | P a g e . The author signifies that in many insurance markets the old style of combative marketing is supplemented by the new style of competitive marketing. Tam and Y. INSURANCE PRODUCT DEVELOPMENT by Axle johne (Emerald: international journal of bank marketing) This paper reveals about the changes in British insurance sector due to deregulation. The effects of intense competition and the changes that are needed in marketing the insurance products and developing new products are being emphasized in this paper. The author raises a simple question can the services be marketed in the same way the physical products are marketed? The intangible nature of the services does not allow the effective practice of the conventional marketing techniques.H.
Here in this study he takes into picture the production process. productivity and effectiveness and efficiency as the criteria to compare and contrast the services from products and thus trying to arrive at the content and measurement of service productivity. 17 | P a g e . Raija jarvonen and uolevi lehtinen (Emerald: international journal of servise industry management) This paper tries to measure the productivity in services. The concepts of productivity in products are deep rooted to mass production but in services it is quite difficult the content and measurement are intangible.CONTENT AND MEASUREMENT OF PRODUCTIVITY IN SERVICES by Ismo vourinen.
The following are the features of the survey The survey was conducted in Chennai city in different places like Malls and shopping complex and also in person. 18 | P a g e . The questionnaire contains 14 questions that have multiple choices. The total sample size of the survey is 150 in number. RESEARCH METHODOLOGY The research was carried on by conducting a survey in Chennai city to find and analyze the effectiveness of the existing promotional mix of IDBI Federal Life Insurance Company Ltd. The questionnaire was pretested with 25 respondents. The respondents were requested to fill a questionnaire which contained 14 multiple choice questions. The filled questionnaires were put into SPSS software for analysis and findings.4.
The graphical representation is presented in chart 5.1.0 100. of customers Percentage Yes No Total 87 63 150 58.5.0 42. no yes 0% 10% 20% 30% 40% 50% 60% 70% Chart: 5.1: Ownership of insurance policy No. ANALYSIS TABLE TITLE: FREQUENCY TABLE Table 5.1 19 | P a g e .0 58 per cent of the respondents informed that they have insurance policy and 42 per cent of them said they do not have.
no neutral yes 0% 10% 20% 30% 40% 50% Chart: 5.3 26.Table 5.2: Customer response on brand name and reputation of the company influencing the purchase of insurance policy No.7 100.0 62% of the respondents have stated that they are influenced by the brand name and reputation of the company.0 41.2 20 | P a g e . Chart 5. The minimum of 40% of the respondents said that the brand name and reputation is not the influence. of customers Percentage Yes neutral No Total 48 62 40 150 32.2 portrays the pictorial representation of the data.
00% 10. Agree Agree Neutral Disagree Strongly.00% Chart: 5. No.7% of the respondents have strongly agreed that they knew about various insurance companies with the help of T.V commercials and only 7% disagreed. The graphical representation is depicted in the chart 5.00% 40.00% 50.7 4.3 10.Table 5. strongly disagree disagree neutral agree strongly agree 0.3.00% 60.0 26 16 7 28 17.00% 20. of customers Percentage Strongly.7 48.7 18.V commercials. Disagree Total 150 100.3 21 | P a g e .3: Respondents level of agreement on knowledge about various insurance companies with the help of T.00% 30.7 73 48.
0 100. No.00% 20.4: Respondents opinion on advertisements of insurance companies and products in newspapers and magazines.00% 10.00% 30. 44% do not feel that the print media advertising is so effective to grab the attention of the readers. no neutral yes 0.00% Chart: 5.4 gives the diagrammatic representation of the data.3% of the respondents do feel that they regularly use to notice advertisements of various insurance companies. Chart 5.00% 40.0 Majority of the respondents i. 33.00% 50.Table 5.4 22 | P a g e .7 44.3 22. They either do not notice or just skip reading it. of customers Percentage Yes neutral No Total 50 34 66 150 33.e.
Table 5.5: Respondents opinion on search for the insurance company and products over the internet No.5. products or to pay premium and 42 % of them said no meaning that they are using internet as a source in searching insurance products. The figures are depicted in the chart 5.0 100. no yes 0% 10% 20% 30% 40% 50% 60% 70% Chart 5.0 42. of customers Percentage Yes No Total 87 63 150 58.5 23 | P a g e .0 It is observed that 58% of the respondents have made insurance related search in the web to browse the details about the insurer.
0 21. Only 21.00% 50.7 32.6 24 | P a g e .3% of the respondents do not agree with the above statement.0 It is observed that 47% of the respondents have been influenced by the endorsement of brand ambassadors in taking an insurance policy.00% 30.00% Chart 5.00% 20.00% 40.Table 5. The graphical representation of the data is given in the chart 5. no neutral yes 0.00% 10.6.6: Effects of a brand ambassador or a celebrity’s endorsement in taking the insurance policy No.3 100. of customers Percentage Yes neutral No Total 70 48 32 150 46.
No.0 38.0 62% of the respondents have agreed that they use to get promotional notifications of various products and services in their social networking sites and 38% do not agree with it.7 25 | P a g e . no yes 0% 10% 20% 30% 40% 50% 60% 70% Chart 5. The bar chart 5.0 100.Table 5.7 gives the pictorial representation of the figures. of customers Percentage Yes No Total 93 57 150 62.7: Influence of advertisements in social networking sites on purchase of insurance products.
7 37.00% 20. The graphical illustration of the data is given in chart 5.Table 5.00% 30.00% 40.00% Chart 5.00% 70.8 26 | P a g e . No.8. of customers Percentage Yes No Total 94 56 150 62.3 100.00% 10. no yes 0.0 It is observed that 63% of the respondents consult their friends and relatives before taking an insurance policy and 37% of them said they did not consult their friends and relatives.00% 50.00% 60.8: Respondents opinion on consultation with friends or relatives on taking an insurance policy.
00% Chart 5. of customers Percentage Yes neutral No Total 50 90 10 150 33.7 100.00% 70. Chart 5. 60% of the respondents have it as an option. no neutral yes 0.Table 5.00% 20.0 It is observed that 33% of the respondents only wish to talk to an agent before taking a policy.00% 10.00% 60.9 27 | P a g e .00% 30.00% 50.9 below gives the pictorial depiction of the figures.3 60.9: Respondents opinion on consulting the agents of insurance company to know maximum details about the products and its benefits No.0 6.00% 40. 7% of the respondents do not wish to talk to agents at all.
10: Respondents opinion on frequency of watching the advertisements of IDBI Federal Life Insurance Company Ltd on T.Table 5.7 44.00% 50.0 It observed that only 9% of the respondents often watch the advertisements of IDBI Federal TV and 47% have seen it rarely and 44% have never seen the advertisements of IDBI Federal in the TV.10 28 | P a g e . never rarely often 0.3 46.10. The response data are graphed in Chart 5.0 100.00% 10.V No.00% Chart 5. of customers Percentage Often Rarely Never Total 14 70 66 150 9.00% 30.00% 40.00% 20.
7 100.0 It is observed that 73% of the respondents have not listened to the advertisements of IDBI Federal in radio only 27% have listened.00% Chart 5.00% 80.00% 10.00% 30.11 no yes 0.00% 40.00% 50.3 72.11: Respondents opinion on listening to IDBI Federal Life Insurance Company Ltd in Radio Frequency Percent Yes No Total 41 109 150 27.Table 5.00% 60.00% 70.00% 20. The response statistics is depicted in the chart 5.11 29 | P a g e .
00% 54.7 53.00% 44.00% Chart 5.00% 50. links and posters of IDBI Federal Life Insurance Company Ltd in websites over internet.12 gives the graphical representation of the figures. No.00% 52.0 It is observed that 47% of the respondents have noticed the promotions of IDBI Federal while using internet and 53% have not come across any of such promotions in the web.00% 48. of customers Percentage Yes No Total 70 80 150 46.3 100. no yes 42.12: Respondents opinion on noticing advertisements.00% 46.12 30 | P a g e .Table no 5. The chart 5.
Table 5.00% 48. The pictorial representation of the responses is given in the chart 5.00% 54. of customers Percentage Yes No Total 79 71 150 52.3 100.0 It is observed that 53% of the respondents have noticed the bill boards of IDBI Federal and 47% have not.00% 46. no yes 44.7 47.13 31 | P a g e .13: Respondents opinion on noticing the advertisement hoardings and bill boards of IDBI Federal Life Insurance Company Ltd No.13.00% 50.00% 52.00% Chart 5.
00% 40.3 33.00% 10.00% 20. of customers Percentage Often Once Never Total 26 74 50 150 17.3 49.00% 30.00% 60.00% 50. never once often 0.Table 5.14 32 | P a g e .0 It is observed that 17% of the respondents have been approached often by the IDBI Federal agents and 49% of the respondents have been approached once and 34% have been never approached.3 100.14. The responses are graphed in the chart 5.14: Opinion on contact of IDBI Federal Life Insurance Company agent(s) No.00% Chart 5.
When it comes to insurance policy people tent to go towards the companies that have a good brand name and reputation. This practice is done by many leading players like ICICI prudential (Amitabh bachan). FINDINGS Out the 150 respondents only 87 are policy holders the rest 63 are potential customers. Times of India and The economic times) and few magazines (Outlook and India today). Obviously Life Insurance Corporation of India seals the deal. This gives enough evidence for fall in the insurance density. The radio advertisements of the company have created a very little awareness among the population. Majority (49 per cent) of the respondents believe that advertisements in television created awareness about various insurance companies but only 9 per cent of the population have seen the advertisements of IDBI Federal in television which is pretty normal. A brand ambassador’s endorsement has influenced 47 per cent of the respondents. 33 | P a g e . IDBI Federal Life insurance company should emphasis on this aspect. There are a good number of potential customers left in the market but IDBI Federal’s agents have approached only 17 per cent very often and 33 per cent of the respondents has never been approached.6. Majority of the respondents are not so interested in going through the advertisements in newspapers and magazines. But IDBI Federal advertises in three different newspapers (The Hindu. The bill boards and advertisement hoardings has worked well for IDBI Federal as the majority of the respondents has noticed it and created a decent amount of awareness. 62 per cent of the respondents use to get notifications of products and services in their social networking sites but only 47 per cent of the population have seen the notifications or promotions of IDBI Federal Life Insurance Company in the web. HDFC Standard life (Kareena kapoor) and AVIVA life insurance (Sachin tendulkar) in the insurance sectors and it has created impact in the people’s mind.
Brand ambassadors It is always good to have a celebrity endorsing a brand. RECOMMENDATIONS Based on the analysis and findings I would like to contribute a couple of recommendations to IDBI Federal Life Insurance Company Ltd. It is also important to be appropriate in choosing the celebrity to endorse IDBI Federal Life Insurance Company Ltd.Corporate tie up IDBI bank is a renowned organization in the banking sector. a celebrity endorsement will have a huge impact in developing brand awareness. IDIBI Federal Life Insurance Company is competing in a monopolistic market should give a lot of emphasis for television advertisement. 7. Capitalizing on the brand equity of IDBI bank the IDBI Federal Life Insurance Company can approach such organization for a tie up in providing Medi claim insurance for the employees which is usually provided in most of the established corporate. The company should choose a celebrity who has high recognition and a voice to persuade the listeners.1.7. This surely will have a good effect on enhancing the brand equity of IDBI Federal Life Insurance Company Ltd. 34 | P a g e . Especially in a service industry where a monopolistic market prevails. The bank is a lender for many top corporate companies.2. There are a few areas where the company has not concentrated much The television advertisement is the most common and effective means of communication for any company to promote its product or service. 7. Film Fare award ceremony or any television program that attracts a good TRP rating. A classic example would be 7.3.Event sponsor IDBI Federal has sponsored a test cricket series between India and Sri Lanka. I would recommend IDBI Federal to get into a spectacle event such as IPL.
provide information and share the same with millions of people over the social networking sites by sending notifications. Now making the product or a service to be the top search result is SEO. Whenever people want to know about a product or a service or the organization that offers it they tend to search for the information over the search engines. SEARCH ENGINE OPTIMIZATION (SEO) This is one of the fast growing means of web promotion. There are a couple of popular social networking websites such as Facebook . Creating brand awareness is the first step towards creating brand equity. Few of those promotional techniques are search engine optimization (SEO) and social networking optimization (SNO). They obviously go through the top search results.4. conduct contests. This can be done by providing links and keywords of the company’s official website in various files and documents and uploading them in the internet. adding tags and by referring.7. Orkut and Google +. This will have a huge amount of impact towards the enrichment of the brand awareness of IDBI Federal.Web marketing With the advent of information technology the corporate are making the most of it for promoting their products and services. 35 | P a g e . Both these types of web marketing can be outsourced to freelancers for a cheap cost to the company or IDBI Federal can set up its own web marketing team which will help producing a better brand awareness. Companies create a web page and update their company status. SOCIAL NETWORKING OPTIMIZATION (SNO) This is also a trending means of web marketing which every top corporate are trying to step into and many are very successful as well. Since the SEO being a latest form of web marketing the early mover will have an edge over the competitors. So I would strongly recommend IDBI Federal to take steps towards implementing SEO.
36 | P a g e . tag lines and captions are few things that add value to the communication process. Another important mode of communication that is creating a huge impact in the market is promotions in web. People are spending a lot of time over the internet searching for information and involving in social networking. The issue with IDBI Federal Life Insurance Company Limited is they have good insurance products that will create value to the customer but their promotion mix has not created a great deal of awareness among the people. the company should also concentrate on this aspect.8. Brand ambassadors. Television commercials and print media are conventional type of promotions that creates good amount of awareness among the people so the company should give emphasis on these two tools while preparing their promotion budget. If the promotion mix is looked over and effective changes are made to create a dynamic promotion mix IDBI Federal will go a long way in the industry. IDBI Federal should concentrate on the communication tools that will reach out to all section of the society to create maximum awareness among the people. This gives good scope for marketers to promote their products and services and IDBI Federal should take initiatives to promote their services online. CONCLUSION An organization may have an excellent product or a service with which they can deliver good value to the society but effective commercialization of the same depends upon the type of promotion and communication mix they use to create awareness about the product or service.
frost.in/fileadmin/DU/Academics/course_material/EP_16.9. http://www.M. http://www. http://www.com/lesson-store/lesson-plc.com/topic/product-life-cycle 4.G.in/Defaulthome. Davies (Emerald journal of marketing) BOOK: MARKETING MANAGEMENT by PHILIP KOTLER WEBSITES 1.aspx?page=H1 2. Raija jarvonen and uolevi lehtinen (Emerald international journal of servise industry management) 2.netmba.investopedia.answers. Tam and Y. http://www.H.gov.asp#axzz1wo9NnMij 5. http://www.pdf 7. CONTENT AND MEASUREMENT OF PRODUCTIVITY IN SERVICES by Ismo vourinen. INTERACTIVE SELLING by Jackie L.pag 37 | P a g e .marketingteacher. http://www.irda. MARKETING FINANCIAL SERVICES by D.ac.com/prod/servlet/mcon-mktmeasures-life-cycle. http://www.com/terms/p/product-life-cycle. INSURANCE PRODUCT DEVELOPMENT by Axle johne (Emerald international journal of bank marketing) 3. Wong (Emerald journal of services marketing) 4.com/marketing/product/lifecycle/ 6.du.html 3. BIBILOGRAPHY REFERENCE ARTICLES 1.
Do you think Brand name and reputation of the company influence you for the purchase of insurance policy? Yes Neutral No 3.ANNEXURE QUESTIONNAIRE This survey is conducted to design an effective promotional mix for IDBI Federal Life Insurance Company. Personal details are optional to be filled. Do you have an insurance policy? o Yes o No 2. kindly answer the questions below. Ltd. NAME: AGE: OCCUPATION: ANNUAL INCOME: MARITAL STATUS: 1. I use to notice advertisements in my social networking sites and web sites Yes No 38 | P a g e .
Does a celebrity endorsement influence you in taking any of your decisions (answer w. I have notified promotions of products in social networking sites and made insurance related search in the internet Yes No 8.r. Do you consult friends or relatives before taking an insurance policy? Yes No 39 | P a g e . I use to notice the advertisements of insurance products and companies in news papers and magazines Yes Neutral No 7.4. I came to know about various insurance companies through television advertisements Strongly agree Agree neutral disagree Strongly disagree 6.t insurance)? Yes Neutral No 5.
Have you noticed advertisement hoardings and bill boards of IDBI Federal Life Insurance Company Ltd? Yes No 40 | P a g e . 11. Have you ever talked with the agent of any of the insurance company to know maximum details about the product and its benefits? Yes Neutral No 10. Have you noticed advertisements.9. Have you listened to IDBI Federal Life Insurance Company Ltd advertisements in radio? Yes No 12. Rarely c. links and posters of IDBI Federal Life Insurance Company Ltd in websites over internet? Yes No 13. How often have you seen the advertisements of IDBI Federal Life Insurance Company Ltd regularly in TV? a. Not yet. Often b.
14. Have u been approached by the IDBI Federal Life Insurance Company agent(s)? Often Once Never FEEDBACK: 41 | P a g e .