Marketing methods of insurance companies

Marketing is an operational means to effectively sell insurance services at a specific stage and rapidly expand market share. The ultimate goal of insurance company management is to maximize profits or shareholders' rights and interests, and the key is to effectively sell their own insurance services. Under the circumstances that residents' overall insurance knowledge is relatively lacking, insurance awareness is weak, and the product convergence characteristics of insurance companies are obvious, powerful marketing means are of great significance for effectively selling insurance services and rapidly expanding market share. Practice has proved that at this stage, appropriate marketing strategies are particularly effective for awakening the public's insurance awareness, highlighting the personalized service of enterprises and attracting potential customers. One of the most convincing examples is 1992. In order to quickly open up the market situation and expand the company's popularity and influence, AIA introduced a brand-new personal marketing method for life insurance, and set up a marketing team of more than 4,000 people, which achieved miraculous results in a short time. During the period of 1994, 770,000 new life insurance policies were signed in Shanghai, of which AIA accounted for 700,000, PICC, CPIC and Ping An only accounted for 70,000, which brought a strong impact on the life insurance marketing industry and traditional marketing concepts in Shanghai and even the whole country, forcing other companies to follow suit.

Strategic approach

Marketing is a strategic means for insurance companies to create a good corporate image. Through a series of strategies such as market demand analysis, target market positioning, product structure optimization, smooth sales channels, high-quality customer service, promotion, advertising and public welfare activities, marketing can not only provide customers with high-quality services, but also improve the company's visibility and communication reputation. Over time, it has created a good image of the company and won the trust and support of the public. In the fierce market competition, a good corporate image, public trust and support are the brand and core competitiveness.

Strategic measures

Marketing is a strategic measure to tap the potential demand of insurance and open up new growth space. Compared with the "all-inclusive" insurance system in developed countries, there is still a big gap in China and the potential demand is huge. In 2002, China's commercial insurance premium income was 305.3 billion yuan, and it is estimated that by 2005, China's premium scale will reach 500 billion yuan. Although there is a saying that "China is the last largest undeveloped market on earth", the competition of insurance industry in China is still extremely fierce, showing a situation of relative supply exceeding demand. One problem reflected by this is that while the competition for effective demand of insurance is fierce, a considerable part of potential demand has not been transformed into effective demand. Therefore, whoever can develop the potential demand will open up new growth space and win the rapid development of the company. Compared with traditional marketing methods, marketing not only pays more attention to the application of systematic and comprehensive methods, but also helps to tap potential demand, extend the tentacles of enterprises and expand business volume. Not only that, because marketing is closer to the market and customers, we can fully understand the information of the market and customers, which is more conducive to subdividing and accurately positioning the market, innovating and personalizing its products and services, and enhancing its competitiveness. An additional gain is that the reduction of information asymmetry helps to prevent moral hazard and adverse selection in insurance sales.

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Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.