Service Marketing INSURANCEBAJAJ ALLIANZ GENERAL Presented by: Ranjit George 11 725
Flow Service Characteristics 3 P’s Service Marketing Service Marketing Triangle Service Gap Model
Service Characteristics Intangibility 1. Bajaj Allianz cannot showcase their services as risk factor is uncertain, thus limiting immediate benefit exposure. 2. Past instances of speedy settlement can be showcased, Risk incidences data usage. Inseparability1. The insurer(Bajaj) and insured need not be physically present to file claims or to avail the benefits.2. However, the insurer(Bajaj), insured, agent, bank are inter-related and necessary to complete the cycle of insurance. 3. Premium Payment shall be made by the Policyholder of the Policy. Third Party online payment is prohibited
Variability/ Heterogeneity Bajaj Allianz Insurance service will depend upon the type of insurance (natural disasters, personal incidences), agents involved(experienced, inexperienced), Claim filing ( late, speedy). Insured not sure Bajaj will fulfill its promises as advertised (online ads, sales pitch). Perishability Claim filing and premium payment is necessary to claiminsurance, once the claim has been settled, Bajaj Allianz services perishes. In case of low growth, it may face market exit, staff cuts.
3 p’s of Service Marketing Employees : Bajaj Allianz employees should be well trained, qualified, customer centricCustomers : Customer centricapproach, well educated and aware. Communication : Detailed Plans, Open Door Policy, Communication bottlenecks
Physical EvidenceFacility : Spacious Office, 24X7 customer supportEquipment : IT support, online portals, administration, stationery etc. Employee Dress Code : Formals on working days, casual friday etc.
Activity Flow: Insurance information and coverage verification, billing and reimbursement Level of Customer Involvement : Low level of customer involvement,Customer pays the premium and files claim.
Gap 1 : Not knowing what the customer expects Customer Expectations 1. Inadequate market research. 2. Lack of upward communication 3. Insufficient relationship focus Company Perceptions Bajaj Allianz can fill this gap by conducting proper marketsurveys to know the insurance needs of the public, provide more detailed information before, during and after the process and focus more on long term customer retention.
Gap 2 : Not selecting the right service design and standard Customer Driven Service Designs & Standards 1. Poor Service Design. 2. Absence of Customer Driven Standards 3. Inadequate physical evidence and services Management Perceptions Bajaj Allianz can fill this gap by designing specific policies according to individual needs, implement international customer standards, provide more data on past performance
Gap 3 : Non Deliverance Customer Driven Service Designs & Standards 1. Problems with service intermediaries. 2. Failure to match supply and demand Service DeliveryBajaj Allianz has commendable HR policies, it can further train its agents, have good relations with authorities and banks and increase recruitment based on increasing market share
Gap 4: Not matching performance to promises Service Delivery 1. Lack of integrated communication. 2. Ineffective management of customer expectations. 3. Over promise External Communication to customerBajaj Allianz can avoid this gap by having more presence in themedia, fulfill the ‘hard at work’ online campaign promise and be careful in drawing the line in promises.