Marketing Strategies Used By Lic Commerce Essay

merchandise Strategies Used By Lic Commerce EssayLife amends mess of India was established in 1956. It comprises of 8 zonal offices and 101 divisional offices. LIC is richly government-owned. It allow fors individual damages, group damages policy and pension plans. The subsidiaries of life indemnification great deal of India are LIC International, LIC Nepal, LIC Lanka, LIC Housing Finance.merchandising STRATEGIES USED BY LICLIC fol dispiriteded these strategiesIt got the first means advantage.thither was intense product differentiation.Market segmentation was done intensely to include people of almost e precise last(predicate) ages.LIC took help of advertisements to promote its daub value.They return used creative slogans so that they can hit the customers mindset.Attacked customers emotionally with these slogans.It avoids all interference w.r.t communication to the customers and releaseuces the number of advertisement agencies so that the counteract message reaches all the customers so that the main objectives are fulfilled.SWOT compend OF LICStrengthIt ranks first amongst the insurance companies.After sales service, long destination plans hold the most importance.Provides employment to 1,15,000 peopleHas around 2000 branches across India and 10,00,000 agents.impuissancesince it is government-owned, therefore ther is very little innovation.gets affected by bureaucracy and red tape.it becomes difficult to manage the huge workforce in the times of scotch crises.OpportunityEffective service can be provided to the urban welkin with more use of technology.It can involve good brand proportion.There has to be proper implementation of the government schemes.ThreatsIt poses threat since the government policies clench changing.The entry of insurance sector.BCG MATRIX OF LICMarketGrowth senior highStarJeevan anandMoney summation policyPension plusQuestion mark stark naked Bima NiveshNew Jeevan Shree belittledCash cowGroup SchemeHealth PlansDogAmul ya Jeevanl o wh i g hR e l a t i v e M a r k e t S h a r eDOG- it means subaltern share of low marketplaceplace reaping with no cash generation at all. It capacity even lead to break-even.Eg- Amulya JeevanCASH COW- it means high share of low market growth, there is economic profit and even funds separate brands.Eg- Group schemes and health schemes.QUESTION MARK- it means low share of high market growth and it consume resources.Eg- New bima nivesh and new jeevan shree.STAR-there is high market share and high market growth, there is high cost and low profit and it generates high profit.Eg- Jeevan anand, pension plans and money plus policy.PORTERS FIVE FORCES OF LIC talk terms POWER OF CUSTOMERSTHREAT OF SUBSTITUTE PRODUCTSBARGAINING POWER OF SUPPLIERSCOMPETITIVE tilt WITHIN AN INDUSTRYTHREAT OF NEW ENTRANTSCUSTOMER SATISFACTION node satisfaction refers to the phenomenon which shows how such(prenominal) the customers are satisfied the product or the operate provided by the age ncies.CUSTOMER SATISFACTION OF LIC It encourage face-to-face dealing with the customers.It includes responding to the messages right away and keeping all the clients well-in shapeed.It is promptly approachable and amicable in this defective competition with the other insurance players.The customer service policy moldiness be clearly stated and well-defined.MARKETING ENVIRONMENTMacro-surround The comp both and all the other actors operate in a large macro environment that shapes the opportunities and pose threat to the company. Major forces are Demographic-since literacy and education increases employability, high earning jobs also bring the change in perception about the invite for insurance.Economic-Inflation rate High inflation reduces the insurance business oddly life insurance quota, because the real value of money decreases with with increase in inflation rate.Technological more innovative channels like bank, home office, ATMs should be introduced.political and legal-IRD A act, 1999 bill allowed for 26% for an equity conflict in the insurance sector.cultural-The work culture in the system was sloppy and strong trade union made it difficult for managers so that the job is done.Micro-environment It consist of five componentsOrganising Internal Environment Its several departments and trouble levelsMarketing Channel Firm Supplier and marketing intermediaries within itIt consists of 5 types of markets in which organization can sell consumer, producer, reseller, government and the international marketCompetitors Basically the other insurance companies like, Tata AIG, Bajaj Alliance, etc.All types of publics that have an veridical interest in the organization ability to achieve its goal.CONSUMER BUYING appearanceFirst, let us know what influences consumer buying behaviour.They are-Cultural factors amicable Factors, and face-to-face factorsCultural factors-LIC is a trusted brand in India and is wholly owned by the government.-There can be unnatural ev ents like death, fulminant crisis, etc.Social Factors-LIC focuses on both the reference group and family positioning of the people.-In joint families, there is less stress on buying behaviour.Personal factors-LIC has different insurance plans according to the needfully of the people concerning their age, lifestyle, values, personality and wealth. chance upon psychological process-LIC has always motivated the customers by its influential insurance plans and its offers. People has a perception of buying LIC because it is government-owned and is considered number one in paying claims.SEGMENTATION, POSITIONING AND TARGETTINGSegmentationLIC in India was change integrity into 2 rudimentary segments individuals and in somaticd people. The first segment comprised of individual customers. It is further divided into quadruplet sub-segments protection, investment, savings and pension.Protection products gives just now protection to the different customers from risk. These dont provide any savings facility to the policyholder. investing products offer long-term investment growth and insurance cover.Savings products like endowment and money back policies provide both protection and investment benefits.Pension policies are products offered to the customers as income during their old age of retirement after they quit their respective jobs.The corporate segment was divided into three sub-segments protection, statutory savings and pension.Down the line, LIC catered to both individual and corporate segments. Individual insurance policies include Endowment Policies, Money Back Policies, call Assurance Plans, Periodic Money Back Plans and Joint Life Plans. The corporate policies include group insurance schemes such as group crest schemes, group term insurance schemes, group savings linked insurance scheme and group leave encashment schemes.TargettingTargeting is the actual selection of the segment you require to serve the target market is the group of people or orga nizations whose needs a product is specifically designed to satisfy.LIC mainly targets children who are fundamentally into schooling, people in earning periods and senior citizens who have got retired from their respective services. It not only targets the urban people but also the rural people. viewPositioning is a marketing strategy so that people can form a mental image of the product in their minds (relative to other products).LIC positions itself as the most sort after insurance company providing financial solutions to the people. It is very popular among the people because it is government owned.BRAND EQUITYLIC has done a good job in reinforcing its brand image of the folded hands to the people. It is readily trusted by the people as it is one of the most oldest insurance player in the country. Its tagline ZINDAGI KE SAATH BHI ZINDAGI KI BAAD BHI has gained popularism not only in urban but also in rural areas.The slogan of LIC is Yogakshemam Vahamyaham which translates from Sa nskrit to Your welfare is our responsibility. The typo translation from Sanskrit to English is I carry what you require. The slogan, written in Devanagiri script, is put below the hands holding the lamp.PRODUCT LIFE CYCLEQUESTIONNAIREMARKETING SURVEYPERSONAL INFORMATIONNAME ..ADDRESS ..CITY ..STATE PINCODE .. gender MOBILE NO. MAIL ID ..Please tick () in the boxes, as relevantWhat is your major former for opting LIC as an investment policy?InvestmentInsuranceInvestment and insuranceIf others, divert specifyDoes anyone else in your family have any kind of policy?YesNoIf yes, please provide the expand of the LIC policy your family is currently using. marchesMaturity year.PremiumInsurance coverage pithWhy did you opt for this particular LIC policy? score you ever been hospitalized in the last 3 years?YesNoIf yes, what was the reason for getting hospitalized? Also, please state the expenses that you incurred during the hospitalization.What is the current amount of premium per cal endar month that you are paying in this policy?Less than Rs euchreRs 500 Rs 1000Rs 1001 Rs 2000Rs 2001 Rs 4000 much than Rs 4000Have you ever bought an insurance policy from any one of the following companies?TATA AIG life insuranceLIC of IndiaMetlifeBirla Sunlife InsuranceIf yes, then please mention the type of policy that you boughtDo you currently own a life insurance policy?YesNoIf yes, which of the following policy is it?Term insurancePermanent life insuranceWhole life insuranceUniversal life insuranceLimited pay life insuranceEndowmentsAccidental deathOthersHave you made a claim on your existing insurance policy? If yes, please mention the type and amount of claim?YesNoType of claim.Amount of claim..How much is your current insurance cover per month?Less than Rs 10000Rs 10001 Rs 25000Rs 25001 Rs 50000More than Rs 50000Are you satisfied with your insurance policy?YesNoAre you smell for a better LIC policy?YesNoTHANK YOU FOR YOUR VALUABLE meter AND PATIENCE.