The term Insurance Marketing refers to the marketing of Insurance services with the aim to create customer and generate profit through customer satisfaction. The Insurance Marketing focuses on the formulation of an ideal mix for Insurance business so that the Insurance organisation survives and thrives in the right perspective.
saudamini 4. MARKETING MIX FOR LIC
A product is both what a seller has to sell and a buyer has to buy. Thus, an Insurance company sells services and therefore services are their product. LIC has many type of policies to meet the requirement of the target customers.
saudamini 5. P RICING:
In the LIC the pricing decisions are concerned with: i) The premium charged against the policies, ii) Interest charged for defaulting the payment of premium and credit facility, and iii) Commission charged for underwriting and consultancy activities.
Sweta 6. P LACE:
This component of the marketing mix is related to two important facets
Managing the insurance personnel, and
ii)Locating a branch.
Sweta 7. P ROMOTION:
The LIC depend on effective promotional measures. In promoting insurance business, the agents and the rural career agents play an important role. Due attention should be given in selecting the promotional tools for agents and rural career age.nts
Sweta 8. P ROMOTION Strategies of LIC
Advertising and Publicity
organisation of conferences and seminars
Incentive to policyholders are impersonal communication.
Arranging Kirtans, exhibitions, participation in fairs and festivals.
Rural wall paintings and publicity drive through the mobile publicity van.
Arpit 9. P EOPLE
Understanding the customer better allows to design appropriate products. Being a service industry which involves a high level of people interaction, LIC use this resource efficiently in order to satisfy customers.
Training the employees, use of IT for efficiency, both at the staff and agent level, is one of the important areas to look into.
Arpit 10. P ROCESS
The process is customer friendly in LIC.
The speed and accuracy of payment is of great importance.
The processing method is easy and convenient to the customers in LIC.
Installment schemes are streamlined to cater to the ever growing demands of the customers.
Naveen 11. P HYSICAL DISTRIBUTION:
Distribution is a key determinant of success for LIC.
Today, the LIC has a large reach and presence in India.
LIC has successfully used remote distribution channels such as telephone and internet so as to reach more customers, avoid intermediaries, bring down overheads and increase profitability.