MARKET SEGMENTATION AND

PRODUCT POSITIONING
 Market Segmentation

• Market segmentation is dividing a

market into distinctive groups with
distinct needs, characteristics or
behaviour who might require separate
products or marketing mixes.
 Life Insurance Market is
segmented on the basis of
• Demographically
• Geographically
• Area of operation
• Behavioural factors
• Income
• Occupation
• personal characteristics
• Purchasing Power
• Socio Economic Factors
 Segment the Market

• 1.Identify measureable, relevant and

Operational variables for segmenting the
market.
• 2. Define Macro profiles of resulting
segment.
• 3. Define macro profiles of resulting
macro segments
 Target the Market
1. Evaluate resulting Macro/Micro
segments:
(a) Profitability Analysis
(b)Competitive Analysis
2. Decide on Market leverage
(a) Undifferentiated
(b) Differentiated
(c) Concentrated
(d) Select the target segments
 Product Positioning

• 1.Develop product/market positioning for

each market selected.

• 2.Develop marketing mix for each

market selected
 Product positioning

• On the basis of needs of the customers the

products are to be positioned
• On the basis of consumer behaviour the
products are to be positioned
• On the basis of socio economic condition
the products are to be positioned
• On the basis of life stages (Children, Adult
& Pension)
 Positioning to segmented group
• Urban • Rural
• Salaried class • Business Class
• Rich & Wealthy • Labours and poor
• Male • Female
• Children • Elders
• Investors (to get yield as interest) • Thrift or savings (to get
huge amount)
• High Net worth
• Socially Weaker Section
Individuals
 Position for needs

family protection,
business planning,
supplemental income and
estate and charitable planning.
Products positioned for Children
Jeevan Anurag
Jeevan Kishore
Komal Jeevan
Jeevan Chhaya
Child Career Plan
Child Future Plan
Marriage Endowment or
Educational Annuity
 Adulthood –
Estate planning
All Endowment Plans and Whole Life Plans

The Mortgage Redemption Assurance policy (without

profits)
Plan designed to meet the requirements of the policy
holding individual who seeks to ensure that all his
outstanding loans and debts are automatically paid up
in the event of his demise.
 ADULTHOOD - WEALTH & TAX PLANNING

Unit plans are investment plans for those

who realize the worth of hard-earned
money.

These plans help you see your savings yield

rich benefits and help you save tax even if
you don't have consistent income.
 Advanced Adulthood Planning
Pension Plans are Individual Plans that gaze into your future
and foresee financial stability during your old age. These
policies are most suited for senior citizens and those planning
a secure future, so you never give up on the best things in life.

Jeevan Nidhi
Jeevan Akshay -VI
New Jeevan Dhara - I
New Jeevan Suraksha -I
 Plans For Female

• Jeevan Bharthi – I
• Jeevan Tarang
 High Net Worth Individuals

• High premium plans like

• Jeevan Pramukh
• Jeevan Shree – I
• Jeevan Tarang for High SA
• ULIP with huge investments can be
positioned for this group
 Tapping the segments

• By positioning the right product for the

right people in the right segment through
the right agent the untapped potentials can
be tapped effectively.
THANK YOU