Answer to Question #155687 in Management for Prabhdeep

Question

How marketing of insurance products can help insurance companies? what type of marketing tools can help them achieve their objectives?( please answer in 200 to 250 words)

Answer 1

The insurance market exhibits an intense saturation with different brands competing for consumer attention. This instance makes it hard for these companies to attract and retain users. Thus, marketing becomes necessary for one to stand out above the competition. In essence, it offers a platform through which the insurance firm meets the required demand for its supply. The idea here is that insurance products are risky and invisible and intangible. They only exist as types of pledges from the company to the user. As such, selling a promise would require exemplary confidence. This case reveals the belief that the provider will meet their promise upon loss occurrence. That said, two primary marketing tools make it possible for these firms to meet their objectives as follows. One, social media is a marketing tool that helps in building a strong relationship with actual and potential clients. Through social media, the insurance firm maintains a personal yet professional and social platform for product sales and referrals. Second, analytics offers a pathway to content mining and analysis. The information received helps the firm in determining its success rate through paid ads and SEO. This way, the company can re-prioritize its resources moving forward. In addition, they have access to huge amounts of demographic information to help in developing marketing material targeting new consumers.