IDBI Federal Life Insurance Co. Ltd. Marketing plan of IDBI Federal Life Insurance Co. Ltd. Study Group 1 Aayush Arora Ashay Jain Eshita Singh Luke Noronha Utkarsh Kapur PGDM(M)-(2016-18)

Flow of presentation Where we are? Where we want to be? How do we get there? Did we reach

Where we are?

Current marketing situations Joint Venture

Product Mix Types of products Endowment plan ULIP PLAN Childsurance Savings Insurance plan Lifesurance savings Insurance plan Secured Incomesurance plan Incomesurance guaranteed moneyback insurance plan 6th pay ULIP PLAN Wealthsurance Growth Insurance plan Wealthsurance Future Star plan

Factors affecting marketing strategies Micro factors Customers Competitors Agents Macro factors Technology Culture Economy Unaware Word of mouth Low salary Performance pressure No click and mortar selling Ban on Rs 500 and Rs 1000 currency Much stronger Long existence period No Non-Life Insurance products

Internal Analysis Competitor Analysis First year premium Market Share Bajaj Allianz - 77.26 crore ING vyasa - 2.58 crore Reliance Life - 80.26 crore SBI life - 248.54 crore Tata AIG - 14.02 crore HDFC standard - 136.72 crore ICICI prudential - 251.97 crore Birla Sunlife - 9.73 crore Aviva - 21.57 crore Max New York - 25.15 crore Met Life - 33.86 crore Shriram Life - 44.90 crore IDBI federal - 21.11 crore LIC - 1774.43 crore

Weaknesses Strengths Threats Opportunities Brand Awareness 1. Products Promotion Not Trustworthy Less Popularity in Villages 1. Products 2. Customer satisfaction In depth knowledge Attained BEP in the 5th Year Threats Opportunities Lack of trust 2. Very high competition 3. Lack of infrastructure is rural areas 1. Insurable population 2. About to open 100 branches 3. Fast-track career development

Where we want to be?

Segmentation Targeting Positioning Quick deal settlement Tier 1 and 2 cities Tier 1 ,Tier 2 and Tier 3 cities Middle and Upper class Children less than 17 years and parents less than 50 years Income group of Rs 4,00,000 and above Touching product’s name Childsurance Incomesurance Upper middle and upper class ‘IDBI Federal’ Parents with children of 1 to 10 years

Termsurance Grameen Suraksha Plan for rural market Ansoff’s Matrix Existing Products New Products Secured Incomesurance Plan Incomesurance Guaranteed Moneyback Plan 6th pay Existing Markets Expansion in Tier 2 and few of Tier 3 cities, by adopting geographical pricing Termsurance Grameen Suraksha Plan for rural market New Markets

Vision Mission To be the leading provider of wealth management protection ,and retirement solutions, Mission To enhance customer experience through: innovative product offerings dedicated relationship management superior service delivery To operate in a transparent way

How do we get there?

Marketing Mix Price Products’ decisions Promotion Place Discontinued Skimming Value added pricing Geographical pricing Products’ decisions Incomesurance moneyback Plan 6th pay Secured incomesurance plan Promotion Advertising Recommendation CSR Events Word of mouth Discontinued Introduced Whole lifesurance plan Lifesurance Savings Insurance Plan Place Internet Retail

Awareness among urban customers Interesting and humorous ads Branding Awareness among urban customers Interesting and humorous ads Competitions for kids, through which their parents are being made aware about company and products Awareness among rural customers IDBI Federal Termsurance Grameen Suraksha especially designed to make life insurance affordable to rural customers

Strategies to maximize sales Introducing new and effective products (Secured Incomesurance Plan) Launched on 24 october,2016 Eliminating ineffective products (Whole lifesurance savings insurance plan)(10th Nov) (Lifesurance Savings Insurance Plan)(30th Nov)

Did we reach there?

Market share of IDBI Federal Life Insurance Co. Ltd. Source:https://www.towerswatson.com/en-IN/Insights/Newsletters/Asia-Pacific/india-market-life-insurance/2015/60-Industry-Statistics-Sept-2015

Sales 2015-16 2016-17 8.15 Cr 40% growth Only of IDBI Federal Life Insurance Co. Ltd.

Can enter into Non-Life segment Can start with click and mortar system Can focus much upon team cohesiveness Proper advertisement and brand awareness needed Can have a proper HR team Can involve customers above 55 years of age