CASE STUDY

ABOUT RAMBIR SHARMA

{ About the insurance…. }
 INTRODUCTION

• This case study talks about the perception of

both the customer ( Rambir Singh) and the
seller ( Ratan Sharma) about the purchase of an
insurance policy.

• It also tells us how various factors like

demographics, psychographics etc affect the
decision of the customer.
 CHARACTERS

Rambir Singh – (main character) the customer.

Ratan Sharma– Insurance agent ( seller)
Laxman Singh – Younger brother
Satish Singh – Younger Brother
Sapna Devi – Wife of Rambir
 DEMOGRAPHICS
• Age : 44 years
• Marital status : married
• Children : 2
• Family : joint family
• Occupation: business
• Status : middle class
• Residence: Rampur village
 PSYCHOGRAPHICS
• Very much concerned about his family
members.
• Thinking about the future of his daughter.
• Has to pay the housing loan.
• Takes the opinion of all the members before
taking any decision.
• Feels the need of the insurance.
CASE - A
 Best Consumer Segment for Ratan
Sharma
• Mr. Ratan has an Aim of Selling maximum policies so
as to increase the presence of his company in Rampur

• There are 2 ways to do so:

 Sell lower number of high premium policies to small number
of rich people.
 Sell large number of small premium policies to the lower
people.
 Continue..

• Mr. Ratan can convince the lower income

people by making them realize about their
future needs and savings.
• In place like Rampur, there is less number of
Industries and Service class people. So, less
number of Rich People.
 Effect of Education

• As the insurance has huge clauses and criteria,

it needs detailed explanation to convince the
people.
• Educated people will understand it better and it
would be easy to convince them and they would
understand the need of such a commodity
better.
• Very tough to explain to uneducated people.
 Effect of Occupation
• The people who have steady income, that is
not effected by changes in climate and other
external factors, believe in depositing the
money in FDs and PPF.
• In case of Rambir, agricultural products are
affected by vagaries of business so, its difficult
for him to pay insurance premium
continuously.
 Effect of market dynamics
• Market dynamics basically includes
competitors, market size etc.
• Here, Rampur has only 1 insurance company
right now, but 2 more companies are coming,
so the current firm needs to change its
marketing strategies.
• Now, company has to change its plans.
(from monopolistic to competitive)
 SEGMENTS CONCERN
• Different segments have different needs and
wants, different capacity of purchasing power.
• Higher income group people tend to invest in
high return investments rather than insurance.
• Whereas, the lower income group people tend
to save money for future use and they have low
risk taking capacity (conservative in nature).
 COMMUNICATION

• Directly putting forward the need of insurance

in current situation.
• Explaining that future is uncertain and the
family should not suffer even though the
person suffers.
• Inflation and other factors.
CASE - B
 FLC STAGES OF RAMBIR
SINGH

• Rambir is in the expanding stage ( middle age,

married, with 2 children).
• The consumption pattern at this stage increases
from that of the previous stage.
• As, the number of dependents increase, the need
of insurance to secure them also increases.
 The Impact Of FLC On Felt Needs

• He would tend to accumulate money as his

retirement plans.
• Save for eventuality
• Marriage and education of children
 Effect of joint family

• A decision is taken after consulting with family

members as they influence the buying behavior.
• The situation should be win- win situation so as
to avoid any kind of problems in the family.
• The responsibility is also a very important factor
in joint family.
 Factors in decision making

• The future expenses (like Inflation)

• The level of standard of living.
• The premium paying ability.
• The cause of taking insurance.
• The risk taking ability.
• The return expected.
THANK YOU !!!!

Presented by:
Megha Jain
Nikhil Kumar
Swati Gupta