Bajaj Allianz General Insurance Co Pooja

8/3/2019 Bajaj Allianz General Insurance Co Pooja

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INTRODUCTION

A marketing strategy is a process that can allow an organization to concentrate

its (always limited) resources on the greatest opportunities to increase sales and

achieve a sustainable competitive advantage. Marketing strategy as a key part of

the general corporate strategy marketing strategy is most effective when it is an

integral component of corporate strategy, defining how the organization will

engage customers, prospects and competitors in the market arena for success. It

is partially derived from broader corporate strategies, corporate missions, and

corporate goals. They should flow from the firm's mission statement. They are

also influenced by a range of micro environmental factors. Marketing strategy

and sectarian tactics and actions: A marketing strategy also serves as the

foundation of a marketing plan. A marketing plan contains a set of specific

actions required to successfully implement a marketing strategy. For example:

"Use a low cost product to attract consumers. Once our organization, via our low

cost product, has established a relationship with consumers, our organization will

sell additional, higher-margin products and services that enhance the consumer's

interaction with the low-cost product or service." A strategy consists of well

thought out series of tactics. While it is possible to write a tactical marketing plan

without a sound, well-considered strategy, it is not recommended. Without a 6

Sound marketing strategy, a marketing plan has no foundation. Marketing

strategies serve as the fundamental underpinning of marketing plans designed to

fill market needs and reach marketing objectives. It is important that these

objectives have measurable results. A good marketing strategy should integrate

an organization's marketing goals, policies, and action sequences (tactics) into a

cohesive whole. Many companies cascade a strategy throughout an

organization, by creating strategy tactics that then become strategy goals for the

next level or group. Each group is expected to take that strategy goal and

develop a set of tactics to achieve that goal. This is why it is important to make

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each strategy goal measurable. Marketing strategies are dynamic and

interactive. They are partially planned and partially unplanned. See strategy

dynamics.

TYPES OF MARKETING STRATEGIES

Every marketing strategy is unique, but if we abstract from the individualizing

details, each can be reduced into a generic marketing strategy. There are a

number of ways of categorizing these generic strategies. A brief description of

the most common categorizing schemes is presented below:

Strategies based on market dominance - In this scheme, firms are classified

based on their market share or dominance of an industry.

Typically there are three types of market dominance strategies:

• Leader

• Challenger

• Follower

Porter generic strategies - strategy on the dimensions of strategic scope and

strategic strength Strategic scope refers to the market penetration while strategic

strength refers to the firm’s sustainable competitive advantage.

• Cost leadership• Product differentiation

• Market segmentation

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Innovation strategies - This deals with the firm's rate of the new product

development and business model innovation. It asks whether the company is on

the cutting edge of technology and business innovation. There are three types:

• Pioneers

• Close followers

• Late followers

Growth strategies - In this scheme we ask the question, “How should the firm

grow?”. There are a number of different ways of answering that question, but the

most common gives four answers:

• Horizontal integration

• Vertical integration

• Diversification

• Intensification

A more detailed scheme uses the categories:

• Prospector

• Analyzer

• Defender

•

Reactor

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INSURANCE NEED

Why is insurance necessary? The question contains the answer within itself.

After all, life is fraught with tensions and apprehensions regarding the future and

what it holds for the individual. Despite all the planning and preparation one

might make, no one can accurately guarantee or predict how or when death

might result and the circumstances that might ensue in its aftermath. We are not

saying that life and existence are constantly fraught with danger and uncertainty.

But then it is essential that you plan for the future. The chances for a fatality or an injury to occur to

the average individual may not be particularly high but then no one can really

afford to completely disregard his or her future and what it holds. People

generally regard insurance as a scheme when and where you have to lose a lot

to gain a little. Nevertheless, insurance is still the most reliable tool an individual

can use to plan for his future.

And just why is it necessary to plan for the future with Insurance?

AN OVERVIEW

Insurance business is divided into four classes:

1) Life Insurance business

2) Fire

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3) Marine

4) Miscellaneous Insurance.

Life Insurers transact life insurance business; the rest is transacted by General

Insurers. No composites are permitted as per law. The business of Insurance

essentially means defraying risks attached to any activity over time (including

life) and sharing the risks between various entities, both persons and

organizations. Insurance companies (ICs) are important players in financial

markets as they collect and invest large amounts of premium. Insurance

products are multipurpose and offer the following benefits:

1. Protection to the investors

2. Accumulate savings

3. Channelize savings into sectors needing huge long term Investments.

SECTOR PROFILE

SECTOR PROFILE

Brief History of the Insurance Sector

The business of life insurance in India in its existing form started in India in the

year 1818 with the establishment of the Oriental Life Insurance Company in

Calcutta. Some of the important milestones in the life insurance business in India

are:

• 1912: The Indian Life Assurance Companies Act enacted as the first

statute to regulate the life insurance business.

• 1928: The Indian Insurance Companies Act enacted to enable the

government to collect statistical information about both life and non-life

insurance businesses.

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• 1938: Earlier legislation consolidated and amended to by the Insurance

Act with the objective of protecting the interests of the insuring public

• 1956: 245 Indian and foreign insurers and provident societies taken over

by the central government and nationalized. LIC 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:

• 1907: The Indian Mercantile Insurance Ltd. set up, the first company to

transact all classes of general insurance business.

• 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. 107 insurers amalgamated and grouped into four companies’ viz.

the National Insurance Company Ltd., the New India Assurance Company

Ltd., the Oriental Insurance Company Ltd. And the United India Insurance

Company Ltd. GIC incorporated as a company.

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INSURANCE SECTOR

The opening up of Insurance sector was a part of the ongoing liberalization in the

financial sector of India. The changing face of the financial sector and the entry

of several companies in the field of life and non life Insurance segment are one

of the key results of these liberalization efforts. Insurance business by way of

generating premium income adds significantly to be the GDP. Over the past

three years, more than thirty companies have expressed interest in doing

Business in India The IRDA (Insurance Regulatory Development Authority) is the

regulatory authority, which looks over all related aspects of the insurance

business. The provisions of the IRDA bill acknowledge many issues related to

insurance sector. The IRDA bill provides guidance for three levels of players -

Insurance Company, Insurance brokers and Insurance agent. Life Insurance

sector is one of the key areas where enormous business potential exists. In India

currently the life insurance premium as a percentage of GDP is 1.3 % against,5.2 per cent in the US.

General Insurance General Insurance is another segment, which has been

growing at a faster pace. But as per the current comparative statistics, the

general insurance premium has been lower than life insurance.

General Insurance premium as a percentage of GDP was a mere 0.5 'per cent in

1996. In the General Insurance Business, General Insurance Corporation (GIC)

and its four subsidiaries viz. New India Insurance, Oriental Insurance, National

Insurance and United India Insurance, are doing major business. The General

Insurance Industry has been growing at a rate of 19 percent per year. The entry

of several private insurance companies, particularly international insurance

companies,through joint ventures, will speed up the process of insurance

mobilization. The competition will unleash new schemes and benefits, which will

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give consumers a better Chance to save as well as insure. The regulatory

system in India is relatively new and takes some more time to make the

Insurance sector a perfectly competitive one. Insurance Regulatory Authority of

India issued regulations on 15 subjects which included appointed. Actuary,

actuarial report, Insurance agents, Solvency margins, reinsurance, registration of

Insurers, and obligation of insurers to rural and social sector, investment and

accounting procedure. The reform in Insurance in India is guided by factors like

availability of a variety of products at a competitive price, improvement in the

quality of customer services etc. Also the employment opportunities in the

Insurance sector wil1 increase as major players set their business plans in India.

The policy of the government to open up the financial sector and the Insurance

sector is expected to bring greater FDI inflow into the country. The increase in

the investment limit in this vital sector has generated considerable business

interests among the foreign Insurance companies" Their entry wil1 certainly

change the Insurance sector considerably.

INSURANCE SECTOR REFORMS:

In 1993, Malhotra Committee, headed by former Finance Secretary and RBI

Governor R.N. Malhotra was formed to evaluate the Indian insurance industry

and recommend its future, direction. The Malhotra committee was set up with the

objective of complementing the reforms initiated in the financial sector. In 1994,

the committee submitted the report and some of the key recommendations

included:

Structure:

• Government stake in the insurance Companies to be brought down to

50%.

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• Government should take over the holdings of GlC and its subsidiaries so

that these subsidiaries can act as independent corporations.

• All the insurance companies should be given greater freedom to operate.

Competition:

• Private Companies with a minimum paid up capital of Rs. 1 bn should be

allowed to enter the industry.

• No Company should deal in both Life and General Insurance through a

single entity.

• Foreign companies may be allowed to enter the industry in collaboration

with the domestic companies.

• Postal General Insurance should be allowed to operate in the rural

market.

• Only one State Level General Insurance Company should be allowed to

operate in each state.

• Regulatory Body:

• The Insurance Act should be changed.

• An Insurance Regulatory body should be set up. Controller of Insurance

(Currently a part from the Finance Ministry) should be made independent.

INVESTMENT:

1.Mandatory Investments of LIC Life Fund in government securities to bereduced from 75% to 50%.

2. GIC and its subsidiaries are not to hold more than 5% in any company (There

current holdings to be brought down to this level over a period of time.)

Customer Service:

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• LIC should pay interest on delays in payments beyond 30 days.

• Insurance companies must be encouraged to set up unit linked pension

plans.

• Computerization of operations and updating of technology to be carried

out in the insurance industry.

The committee emphasized that in order to improve the customer Services and

increase the coverage of the insurance industry should open up to competition.

But at the same time, the committee felt the need to exercise caution as any

failure on the part of new players could ruin

the public confidence in the industry. Hence, it was decided to allow competition

in a limited way by stipulating the minimum capital requirement of Rs. 100 crores.

The committee felt the need to provide greater autonomy to insurance

companies in order to improve.

INSURANCE INDUSTRY: CLASSIFICATION

SOME PLAYERS IN THE INDUSTRY:

• Life Insurance

• General Insurance

• Life Insurance Corporation of India General Insurance Corporation of

India.

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1. Oriental Insurance Company Ltd.

2. New India Assurance Company Ltd.

3. National Insurance Company Ltd.

4. United India Insurance Company Ltd.

NEW ENTRANTS

• ICICI Prudential Life Insurance Ltd.

• Bajaj Allianz General Insurance Company Ltd.

• Tata AIG Life Insurance Corporation Ltd.

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• Reliance General Insurance Company Ltd.

• ING Vysya Life Insurance Corporation Ltd.

• Tata AIG General Insurance Company Ltd.

• Om Kotak Mahindra Life Insurance Corporation Ltd.

• MaxNewYork Life Insurance Ltd

• Royal Sundaram Alliance Insurance Company Ltd.

MARKET SHARE

In the FY2008 ICICI Lombard and Bajaj Allianz have witnessed aggressive

growth bymaking the retail segment their target segment ,aggressive growth

strategies and hugedistribution network.The general insurance industry has

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witnessed the entry of many nontraditionalplayers .IRDA has issued a license to

the Rajan Raheja Group(RRG) for settingup a general insurance joint veture with

Australia’s QBE Insurance Group.Last two yearshave seen the emergence of

special institutions,such as ECGC,Star Health&Allied Insurance ,Appolo DKV

and Agriculture Insurance Co.

Business mix of Bajaj Allianz Motor insurance has the biggest share in general

insurance market and show a high growth over three years. Corporate ex-health

shown a low depression in Fy 2006-07 and highdepression in Fy2007-08.Health

insurance shows positive trend in all these FY’s.

COMPANY PROFILE

BAJAJ ALLIANZ GENERAL INSURANCE COMPANY LIMITED

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Bajaj Allianz General Insurance Company Limited is a joint venture

between Bajaj FinservLimited (recently demerged from Bajaj Auto Limited) and

Allianz SE. Both enjoy a reputationof expertise, stability and strength.Bajaj

Allianz General Insurance received the Insurance Regulatory and Development

Authority (IRDA) certificate of Registration on 2nd May, 2001 to conduct General

Insurance business(including Health Insurance business) in India. The Company

has an authorized and paidup capital of Rs 110 crores. Bajaj Finserv Limited

holds 74% and the remaining 26% is heldby Allianz, SE.As on 31st March 2009,

Bajaj Allianz General Insurance maintained its premier position inthe industry by

achieving growth as well as profitability. The company garnered a premium

income of Rs. 2866 crore, achieving a growth of 11 % over the last year. Bajaj

Allianz has made a profit before tax of Rs. 149.8 crore and has become the only

private insurer to crossthe Rs.100 crore mark in profit before tax in the last three

years. The profit after tax was Rs.95crores, which is also the highest by any

private insurer.Bajaj Allianz today has a countrywide network connected through

the latest technology forquick communication and response in over 200 towns

spread across the length and breadth ofthe country. From Surat to Siliguri and

Jammu to Thiruvananthapuram, all the offices are interconnected with the Head

Office at Pune.

VISION

• To be the first choice insurer for customers

• To be the preferred employer for staff in the insurance industry.

• To be the number one insurer for creating shareholder value

MISSION

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As a responsible, customer focused market leader, we will strive to understand

the insuranceneeds of the consumers and translate it into affordable products

that deliver value for money.A Partnership Based on Synergy.

Bajaj Allianz General Insurance offers technical excellence in all areas of

General and HealthInsurance as well as Risk Management. This partnership

successfully combines BajajFinserv's in-depth understanding of the local market

and extensive distribution network withthe global experience and technical

expertise of the Allianz Group. As a registered IndianInsurance Company and a

capital base of Rs. 110 crores, the company is fully licensed tounderwrite all lines

of general insurance business including health insurance.

ACHIEVEMENTS

Bajaj Allianz has received "iAAA rating, from ICRA Limited, an associate of

Moody'sInvestors Services, for Claims Paying Ability.This rating indicates highest

claims payingability and a fundamentally strong position Bajaj Allianz General

Insurance has received the prestigious “Business Leader in GeneralInsurance”,

awarded by NDTV Profit Business Leadership Awards 2008. The company

wasone of the top three finalists for the year 2007 and 2008 in the General

Insurance Company of the Year award by Asia Insurance Review.

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COMPANY’S HISTORY

BAJAJ ALLIANZ GENERAL INSURANCE COMPANY:

ALLIANZ AG

Allianz group was founded in 1890 and is one of the world's leading insurance

companies with over 100 year's experience in insurance and related services. It

is also the largest insurer in Europe. Allianz group has multi-local structure and

presence in over 70 countries. The key business areas of Allianz group include

General Insurance (property, engineering, marine, motor, casualty and

miscellaneous), Reinsurance, Risk Management, Life & health insurance, Asset

Management and Pension Funds Management. Bajaj Auto Ltd.

Bajaj Auto Ltd the flagship company of Bajaj Group was incorporated in 1945 as

Bachraj Trading Corporation. Initially it started by assembling two and three

wheelers in collaboration with Piaggio of Italy. After the expiry of the Agreement

in 1971 the two and three wheelers acquired the brand name of Bajaj. The

strength of the company lies in its strong brand image andability to offer value for

money products leveraging on its large-scale operations.

The Joint Venture

Bajaj Allianz General Insurance a joint venture non-life company promoted jointly

by Bajaj Auto and German insurer- Allianz. Indian auto major holds 74% while

Allianz holds 26% in the Joint Venture, and has an authorized and paid up capital

of Rs. ll0 crores. Mr. Graham Norris is theCEO of the company. Bajaj Allianz

General Insurance will leverage the customer base andexpertise of Bajaj Auto

Ltd and Allianz.

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PRODUCT RANGE OF COMPANY/INDUSTRY

Bajaj Allianz General Insurance Products

• Personal Accident

• Hospital Cash Daily Allowance Policy

• Health Guard

• Critical Illness

• Burglary Insurance

• Householders Insurance

• Travel Companion

• Fidelity Guarantee Policy

• Office package

• Money Insurance

• Public Liability

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• Plate Glass Insurance

• Consequential Loss (Fire) Insurance Policy

PERFORMANCE OF THE COMPANY OVER THE LAST FEW YEARS

Despite conditions which were not conducive for growth of gross premium, the

companymanaged to maintain a growth rate which was more than twice that of

the market. The company’s gross written premium (excluding share of premium

from the IMTPIP), grew by 33.3% during 2007-08 and, despite intense price

competition, company maintained its second position among the private sector

companies in terms of gross written premium. The market share of company

(excluding premium of specialized insurers) increased from 7.2% in 2006-07

to 8.5% in 2007-08. Including the share of inward reinsurance business from the

IMTPIP, the growth rate would have been 43.0%. During 2007-08, company

clocked gross written premium of Rs. 24,045 Mn excluding share of business

from the IMTPIP as compared to Rs 18,033 Mn in 2006-07. Including share of

inward business from the IMTPIP, the gross written premium amounted to Rs.

25,780 Mn. On account of company’s policy of steadily increasing it’s retention in

line with it’s capital base, the net earned premium for the year (excluding net

premium from inward business of the IMTPIP), rose to Rs. 13,266 Mn, an

increase of 58.6% over the previous year of Rs. 8,366 Mn. Including the net

premium arising out of the share of business from the MTPIP, the net premiumfor the year 2007-08 was Rs. 14,134 Mn. Although de-tariffication had an

adverse effect on the price per policy, the number of policies sold continued to

grow. In the year under review, company sold 6.61 Mn. policies as against 4.90

Mn. policies sold in the previous year. This growth indicates that despite severe

price competition, more customers preferred company’s service offerings, drawn

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by it’s strong brand image, convenience of buying and satisfaction with its

service levels. The total incurred claims for the current year including actuarial

provisions but excluding share of claims of the IMTPIP, were Rs. 8,375 Mn. as

against

Rs. 5555 Mn. in the previous year. The number of claims reported during the

year was 413,281 as compared to 309,160 in the previous year.

As on 31st March 2008, Bajaj Allianz General Insurance maintained its premier

position in the industry by garnering a premium income of Rs. 2578 crore,

achieving a growth of 43 % over the last year.Bajaj Allianz has made a profit

before taxes of Rs. 167 crore and is the first company to cross the Rs.100 crores

mark in profit after tax by generating Rs. 105 crores. In the first quarter of 2008-

09, the company garnered a gross premium of Rs.733.53 crores against

Rs.573.73 core last year for the same period registering a growth of 28%. Bajaj

Allianz today has a countrywide network connected through the latest technology

for quick communication and response in over 200 towns spread across the

length and breadth of the country. From Surat to Siliguri and Jammu to

Thiruvananthapuram, all the offices are interconnected with the Head Office at

Pune.

FINANCIAL STATUS OF THE ORGANIZATION

Figure shows profit after taxes in Rs.(In Millions)

The company has earned a Profit Before Tax of Rs. 1,679 Mn for the year ended

31st March 2008, an increase of 43.5% over the previous year profit of Rs. 1,170

Mn. The Profit Before Tax includes a provision of Rs. 361 Mn towards provisions

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for losses from the IMTPIP. The net profit for the year, after provisions for

reported losses from the IMTPIP, was Rs. 1,056 Mn as against Rs. 754 Mn

reported in 2006-07, which is an increase of 40.0%. In a year when prices of

insurance fell significantly, increasing its profitability whilst improving the market

share has been a significant achievement for your Company. It is a matter of

pride for Bajaj Allianz that it has become the benchmark for other companies in

the market in so far as underwriting profitability and return on equity are

concerned. The Earnings per share (EPS) for the year ended 31st March 2008

was Rs. 9.59/- (compared to Rs. 6.85/- for the previous year) and the book value

of equity shares on 31st March 2008 was Rs. 52.15/- per share (as against Rs.

37.40/- per shares as on 31st March 2007).

FUTURE PROSPECTS/PLANS

The Indian general insurance industry detarrification to start a new growth story.

Share of motor insurance was 43.1% of the total general insurance premium in

April-Dec 2008.Motor insurance is expecting to increase with motor sale, this

year, there is a sharp rise in the auto industry (passenger car sales increased at

a rate CAGR of 17% during FY08) as income level rise.However last year and

the initial months of this year showed a negative trend in sales but as the market

is recovering ,auto sales showed a positive trend. Post detarrifictio, in January

’07 ,drop in motor premiums was expected ,but rise in car sales has helped boost

total motor premiums.Recent hike of 70-150% in loss making motor third party

liability segment will help reduce losses.Its very important time for Bajaj Allianz toformulate new plans strategies and to capture more marketing share.

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OBJECTIVES OF THE STUDY

OBJECTIVES OF THE STUDY

• To study the sales Strategy of field force of Bajaj Allianz General

Insurance.

• To study the process of selling of Insurance Policies by Advisors.

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RESEARCH

METHODOLOGY

RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the research problem.

Research methodology constitutes of research methods, selection criterion of

research methods, used in context of research study and explanation of using of

a particular method or technique so that research results are capable of being

evaluated either by researcher himself or by others.

• Why a research study has been undertaken?

• how the research problem has been formulated?22



• why data have been collected and what particular technique of analyzing

data has been used and a best of similar other question are usually

answered when we talk of Research methodology concerning a research

problem or study?

The main aim of research is to find out the truth which is hidden and which has

not been discovered as yet.

AREA OF STUDY

The area of the study related with getting correct information of generalinsurance

policies of different peoples in the region of Ghaziabad.

SAMPLE DESIGN

A sample design is a definite plan for obtaining a sample from a given

population. It refers to the techniques or the procedure the researcher would

adopt in selecting items for the sample. Sample design may as well be drawn

from the population to be included in the sample i.e. the size of the sample.

Sample design is determined before data are collected.

During my study I have taken 50 insurance care consultants as the size of

sample.

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TOOLS USED

To know the response, I have used the questionnaire method. If one wish to find

what insurance care consultants think or know, the logical procedure is to ask

them. This has led marketing researchers to use the questionnaire technique for

collecting data more than any other method.

In this method questionnaire were distributed to the respondents and they were

asked to answer the questions in the questionnaire. The questionnaire were

structured non disguised questionnaire because the question which the

questionnaire contained, were arranged in a specific order besides every

question asked were logical for the study, noquestion can be termed as

irrelevant. The questionnaire was non-disguised because the questionnaire was

constructed so that the objective is clear to the respondent. The respondents

were aware of the objective. They knew why they were asked to fill the

questionnaire. With the help of following techniques, which are using by Bajaj

Allianz I analyse that the how techniques of sales promotion are useful.

DATA COLLECTION

PRIMARY DATA SOURCES

• Through interaction with insurance care consultant

• Through questionnaires filled from the insurance care consultant.

SECONDARY DATA SOURCES

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• Through internet, various official sites of the companies.

• Through pamphlets and brochures of the companies.

• Journals & Magazine

LIMITATIONS OF THE STUDY

Following limitations were faced during the study:

1. While designing the questionnaire it was kept in mind to gather more and more

information from each target person. For the neither present nor descriptive

questions could have served the purpose. Therefore the questionnaire contained

in the open-ended questions.

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2. The study was conducted in Bajaj Allianz in Ghaziabad city, which has 127 to

170 insurance care consultants only. The sample size was of 50 insurance care

consultants only so that accuracy of data so collected could be absurd covered

by circulation of questionnaire.

3. The accuracy of indications given by the respondents may not be consider

adequate as whether the language used in the questionnaire is understood by

the respondent cannot be taken for granted.

4. The study is based on the information gathered from the insurance care

consultants. Therefore in such case it is possible that the information supplied

might be biased because the insurance care consultant might have shown

partiality towards their insurance policies.

5. Since the survey was limited to 50 insurance care consultants it is rather

difficult to give a precise conclusion but I have tried to the best of my capability to

give the conclusion on a comprehensive manner.

DATA ANALYSIS&

INTERPRETATION DATA ANALYSIS

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(BASED ON SURVEY CONDUCTED FOR 50 INSURANCE CARE

CONSULTANTS)

Q.1 Which technique of sales promotion you prefer?

• Options Response in %

• Display 40%

• Door to Door Demo 14%

• Exhibition 16%

• Catalogue 20%

• Price Off 10%

Interpretation:

According to the study 40% insurance care consultants prefer display

technique,20%insurance care consultants prefer catalogues, 16% to the

exhibition, 14% to the door to door demo and 10% insurance care consultants

prefer price off technique.

Q.2 Which technique is giving good response from customers?

Options Response in %

• Display 18%


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• Exhibition 18%

• Catalogue 16%

• Price Off 12%

Interpretation:

According to the study 36% insurance care consultants say door to door demo

techniques giving good response, 18% insurance care consultants say to the

display & exhibition,16% to the catalogues & 12% say to the price off technique.

Q.3 Which technique is economically beneficial?


• Display 10%


• Exhibition 10%

• Catalogue 46%

•

Price Off 12%

Interpretation:

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According to the 46% insurance care consultants, catalogue technique is

economically beneficial. 22% to the door-to-door demo and 12% insurance care

consultants prefer price off technique.10% to the exhibition & display technique.

Q.4 Which technique requires less time in sales promotion?


• Display 22%


• Exhibition 10%

• Catalogue 16%

• Price Off 14%

Interpretation:

According to the study 38% insurance care consultants say display technique

requiresless time in sales promotion. 22% to the display technique, 16%

insurance careconsultants vote to the catalogues, 14% insurance care

consultants vote to the 10% to the exhibition.

Q5 Which technique is easily manageable?


• Display 18%

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• Exhibition 10%

• Catalogue 34%

• Price Off 8%

Interpretation:

According to the study 34% insurance care consultants say that the catalogues is

easily manageable, 30% to the door to door demo,18% insurance care

consultants prefer display technique 10% to the exhibition, and 8% insurance

care consultants say to the price off technique.

Q.6 Which technique requires less knowledge to execute?


• Display 14%


• Exhibition 12%

• Catalogue 22%

•

Price Off 40%

Interpretation:

According to the study 40% insurance care consultants vote to the price off

technique is require less knowledge to execute.22% insurance care consultants

prefer catalogues, 14% to the display and 12% to the exhibition & door to door.

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Q.7 Which technique requires more knowledge to execute?


• Display 20%


• Exhibition 24%

• Catalogue 10%

• Price Off 4%

Interpretation:

According to the study 42% insurance care consultants vote to the door-to-door

technique that it requires more knowledge to execute than others. 24% to the

exhibition, 20% to the display technique, 10% insurance care consultants give

vote to the catalogues and 4% insurance care consultants prefer price off

technique.

Q.8 Price off are necessary for sales promotion?

Options Responses in %.

• Yes 46%

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• No 40%

• Can’t say 14%

Interpretation:

According to the study 46% insurance care consultants say yes that the price off

arenecessary for sales promotion. 40% say no and 14% say can’t say.

Q.9 Do you think that sales promotion program that is presently undertaken by

BajajAllianz. are satisfactory?

Options Responses in %

• Yes 34%

• No 46%

• Can’t say 20%

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Interpretation :

According to the study 46% insurance care consultants say No that the sales

promotion program that is presently undertaken by Bajaj Allianz are satisfactorily

36% say Yes and 20% say can’t say.

Q.10 Should Bajaj Allianz take up new sales promotion program?

Options Responses in %

• Yes 72%

• No 22%

• Can’t say 6%

Interpretation :

According to the study 72% insurance care consultants say yes installment offers

are 22% say no and 6% say can’t say.

OBSERVATIONS

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&FINDINGS

OBSERVATIONS & FINDINGS

• This sales promotion process was very much satisfying for me not only

practically and academically but it also helped me in developing my

communication skill and enriched my knowledge also.

• I have come to know about the importance of marketing especially with

regard to Sales Promotion on the most renowned organization like Bajaj

Allianz. Especially because of emergence of many competitor with

excellence in services & competitive product. The base of this chapter

conclusion is on the data analysis or what we say findings.

• I have finding from the insurance care consultants of the Bajaj Allianz. and

their insurance policies on my topic.

• When the insurance care consultant is asked why they are dealing in this

particular insurance policies (product) they mostly stressed on company’s

image. They also said that all income and age group of customers are

attracted towards their product but buyers are mainly from higher and

middle-income group.

• Insurance care consultants said that their sale is decreased in the last

years because of negative trend in market. Insurance care consultants

said that the customer are curious in getting insurance policies because

they want more discounting on the products and low claim time after any

accident.34



CONCLUSION

Insurance companies are recruiting their advisors mainly through personal

reference, through advertisement, and through walk in interviews. None of the

company is recruiting their advisors through placement agencies.

Those advisors who are recruited through personal references need more

training session and company has to put effort to make them active. Most of the

companies are giving training session to advisors to make them active. Only one

or two companies are providing higher channel position and increasing

incentives to make them active.

Insurance companies are deploying their products mostly based on customer

needs and demands. Insurance companies are not doing enough market

researches to know the potential of the market.

Most of the insurance companies are differentiating themselves from the

competitors by providing better service quality. Some companies are

differentiating themselves providing better pricing of the product.

Insurance companies have forgotten their traditional products. Companies are

totally concentrating on selling ULIP products.

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RECOMMENDATION

Insurance companies should start recruiting advisors through placement

agencies. By practicing this companies will get more capable advisors who can

work efficiently.

Insurance companies should also promote the term and endowment insurance

products including ULIP products. Because these are basic insurance products.

Promote products as life insurance products not an as investment products.

Insurance companies should use on line contacts for customer interaction.

Insurance companies should more focus on advertisement and promotion

activities for differentiate from competitors.

Insurance companies should increase incentive for making advisor active

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SUGGESTIONS

SUGGESTIONS

Here are some suggestions, which may help to strengthen the firm further

• Many of the insurance care consultants of the Bajaj Allianz. Has the lack

of good communication skills and training. So training should be easy.

•Bajaj Allianz. Should use new techniques of sales promotion.

• Customer services should be more comfortable than others.

• People must be made aware of the benefits of the policies of Bajaj Allianz.

• The company should give personal attention to each customer.

• Proper assistance should be provided to the customer at the time of claim

settlement.

• All the details about the company should be given to the customers.

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• Regular advertisement of the company should be given TV and

Newspaper.

• The company must try to find new markets especially in the rural areas.

• The company should do frequent analysis of the competitors.

QUESTIONNAIRE

Name : _____________________________________

Address : _____________________________________

Q.1 To which technique of sales promotion you prefer?

A) Display B) Door to door demonstration

C) Exhibition D) Catalogue

E) Price-off

Q.2 which technique is giving good response from customers?



E) Price-off

Q.3 Which technique is economically beneficial?


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E) Price-off

Q.4 Which technique requires less time in sales promotion?



E) Price-off

Q.5 Which technique is easily manageable?



E) Price-off

Q.6 Which technique requires less knowledge to execute?



E) Price-off

Q.7 Which technique requires more knowledge to execute?

A) Display B) Door to door demonstrationC) Exhibition D) Catalogue

E) Price-off

Q.8 Price off and installment offers are necessary for sales promotion?

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A) Yes B) No

C) Can’t say

Q.9 Do you think that sales promotion program that is presently undertaken by

Bajaj Allianz. are satisfactory?

A) Yes B) No

C) Can’t say

Q.10 Should Bajaj Allianz. take up new sales promotion program?

A) Yes B) No

C) Can’t say

BIBLIOGRAPHY

BOOKS

•

Kothari C.R., (1999) Research Methodology, Wishwa Prakashan• Kotler P. and Armstrong G., (2005) Principles of Marketing New Delhi,

Prentice

• Hall of India

• Kotler P., (1999)Marketing Management Analysis, Planning,

Implementation and Control, New Delhi, Prentice Hall of India

• Saxena Rajan, (1999) Marketing Management, Tata McGraw Hill

WEBSITES:

• www.bajajallianz.com

• www.indiainfoline.com

• www.irdaindia.org

• www.thehindubusinessline.com

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Documents

Bajaj Allianz General Insurance Co Pooja