1:- INTRODUCTION

1.1:- Importance of the topic:

Liberalization, Privatization and Globalization has brought unprecedented

changes in the economy, trade, and industrial scenario. LPG has exposed

various organizations including the service sector to the challenges of

competition; service quality, cost, and the competitive environment will help

organization to modernize. Insurance industry is not side apart.

Since it’s privatization on November 2000, it has been facing the flux of

competition. 17 Life Insurance companies battling their way out to sustain in this

sever competition. And the only way to fight this competition is to adopt unique

promotional activities like advertisement, sales promotional techniques, and

direct marketing. Life Insurance products are not purchased it is sold. So a lot of

promotional activities have to be taken up by Life Insurance Companies. In my

project I have implemented lots of new and traditional recruitment techniques to

recruit advisors.

Stated in simple, developing channels and marketing strategy is the

complete and unbeatable plan designed specially for attaining the marketing

1
objectives of the company. The marketing objective indicates that what the firms

want to achieve, the marketing strategy provides the design for achieving them.

It is the marketing strategy that decides the success at the business unit

level, which in turn decides the total corporation’s success. The linkage between

channel development, marketing strategy, and overall corporate success is

indeed direct and vital. And in this linkage lies the significant of marketing

strategy.

Since realizing the marketing objective is the purpose of the marketing

strategy, it is only logical that marketing strategy takes its direction and clue from

the marketing objectives of the firm.

The insurance sector is highly competitive in now a days because of the

private companies are entered in this sector. So my prime objective was given to

analysis of market potential and acquires various marketing strategies. The

project is also covers all sectors knowledge like FINANCE, MARKETING, HR

etc. This was my reason for undertaking this project topic.

ICICI Prudential was selected me for project study because of its

customers spreads in all segments. The company has also worked on its

distribution strategies by increasing the advisors who will do the business for

company. The focus will be on increasing brand penetration, profitability, and

2
hub-and-spoke and own your assets (OYA) concept. ICICI Prudential has

adopted various consumer specific marketing strategy.

1.2:- Why this organization

selected:
The insurance sector in India has graduate in to the largest India’s leading

business house committed to building world-class brands. In the world with lot of

entrants in the market competition has taken its toll.

Before 10 years when we think about the insurance sector in India we find only

one strong company, it was L.I.C. which is recognized and undertaken by

government. But now lots of private companies are entered in the sector.

If talking about the company ICICI Prudential is the no1 private life insurance

company in India. It has been the market leader for the past four years; with

dominant market share amongst private life insurance companies it spreads in all

globalize countries also. So it gives a brand name for my project.

3
ICICI Prudential is having 100 branches at 75 locations to help and support the

customer.

In concerned about the project profile it was highly enthusiastic and getting

knowledgeable.

1.3:- Purpose and scope of

the project:

This project report deals with the developing the channels and studying

marketing strategy in Nasik Urban Area. The main purpose was to recruitment of

insurance advisors for ICICI Prudential Life Insurance Company. The main

competitors are, BAJAJ ALLIANZ LIFE,HDFC LIFE INSURANCE, TATA AIG

LIFE, BIRLA SUN LIFE, MAX NEW YORK LIFE, AVIVA LIFE etc.

This study also strikes on how people reacted towards ICICI Prudential to

become insurance advisor. Recruitment procedure was emphasized on target

customers like Housewife, VRS, Teachers, TAX Consultant, Financial Consultant,

Student, Youth, and Life Insurance Agents.

4
The second phase of the project is to come up with an innovative marketing

strategies for dealing with customers, explain our service and try to recruit

maximum of them. It would increase the market share of ICICI Prudential Life

Insurance Company. This objective was met through research of self employees,

house wives, C.A.s, L.I.C. agents, students etc. in the city.

The main purpose was to get practical experience in the market. How should

handle the different customers in target market on the presence of various

constraints.

This was also based on How to recruit people for Insurance with the help of

marketing and communication techniques.

This project will help me to:

 Get a holistic view of the insurance sector as well as to prevailing

marketing strategy for ICICI Prudential.

 Identify the reason behind why people are not interested to become an

advisor in private insurance company.

 Develop strategies that would help the brand image associated with

the other brands as well as increase the market share in their

respective segments.

5
  Identify new avenues for the business development for the company.

 Recommending innovating marketing strategies, which would help the

company, serve the untapped target markets to its full potential through

a definite competitive advantage.

1.4:- OBJECTIVE OF THE STUDY:

 To find out the awareness of private insurance players in the mind of

people.

 To penetrate the traditional market which is captured by Life Insurance

Corporation of India?

 To study how insurance companies are useful for providing long term &

short term investment.

 To study about how insurance companies recruited the advisors

 To study the economy as the whole channel swings saving into productive

investment is possible through such policies.

 To find out new insurance advisor to ICICI PRU. Life Insurance Company

Ltd.

6
  To know the how insurance company are useful for providing saving and

how customers being able to take the benefit of the such investment

 To studying the Marketing strategy adopted by ICICI Prudential Life

Insurance company.

 To find out the target customers.

 To study and analyze the present brand positioning as well as the

marketing mix associated with ICICI Prudential strategy for future growth.

 The broad objective of this study is to give practical knowledge and

training to us.

 To find out the attitude of new customers and existing customers towards

ICICI Prudential Life Insurance Company.

1.5:- Limitation:

Limitations are the constraints that the company is facing. These constraints are

making hindrance to the smooth running of the business. There are some

limitation of ICICI Prudential Life Insurance which if overcome can continue the

position of the market leader like spending less on advertisement, having shorter

reach ability as the market is vast. LIC is covering almost 85% of the market

share and only 15% is captured by these private life insurance companies. So a

7
huge market potential lies there. Less promotional and recruitment activities are

carried by ICICI Prudential Life insurance in which other companies are spending

huge amount and also new techniques.

The project was limited to the twin cities and the focus was only on premier

institution, self employees who has 12th pass only.

The exact details pertaining to the data of such peoples could not be obtained

easily. The peoples are not willing to doing such a job.

1.6:- Theoretical background of

Insurance sector:-

 WHAT IS INSURANCE?

The business of the insurance is related to the economic value of asset. Every

asset has a value. The asset would have been created through the efforts of the

owner in the expectation that, either through the income generated there from or

some other output some of his need would be met. In the case factory or cow

production is sold and income is generated. In the case of a motor car it provides

comfort and convenience in transportation. There is no direct income. There is

8
normally expected life time for the asset during which time it is expected to

perform. The owner aware, of this can so manage his affairs that by the end of

that life time a substitute is made available to ensure that the value or income is

mot lost. However if the asset gets lost earlier , being destroyed or made

nonfunctional through an accident or other unfortunate event the owner and

those deriving benefit there from suffer. Insurance is a mechanism that helps to

reduce such adverse consequences.

Life insurance is an agreement between the person insured and the insurer.

Under the term of the life insurance contracts the insurer promises to pay a

certain sum on the happening of the life event insured against in exchange for

premium payments.

Usually, the life insurance contract for the payment of an amount on the date of

maturity or at specified date at periodic intervals or in the event of the unfortunate

deaths if it occurs earlier. Life insurance is universally acknowledged as a tool to

eliminate risk replaces uncertainty and ensures timely and aid for the family in

the unfortunate event of the death of the breadwinner. In the other words, it is the

civilized world’s partial solution of the financial problem caused by death

 Why life insurance is required?

9
Life insurance cannot be and should not be compared with other form of the

investment. It provides life long benefits with returns when it is most required at

the right time. Following are the some reasons. They are as follows:-

Replacement of Income: - one prime reason for buying life insurance is to

replace the income stops the proceeds from a life insured. When the regular

income stop, the proceeds from a life insurance policy can be used to continue to

support family members.

Maintenance of Lifecycle: - In the case the unexpected death of the life insured

family member are often a hare pressed trying to arrange for funds that can

maintain the std. of living that they’ve grown accustomed to. Life insurance offer

protection against such an unfortunate eventually.

Expenses Due To Premature Death: - Life insurance can play a crucial role to

pay off any debts left behind by the person insured. For the example, car loan,

medical bills, mortgages, credit card payment, etc. are often left unpaid in the

case of sudden death. This obligation can be met with life insurance, with out

depletion in family asset

Planning for Important Events like Children’s Education Children Marriage

Etc:- with the cost of living going up by the day, prudent people would go for life

10
insurance as the most cost effective means to insured that important milestone in

their children’s live are not hampered by the uncertainties of life.

Investment:- Life insurance can also be investment instrument apart from the

tax benefit that are allowable by govt. of India for investing the life insurance,

some life insurance offer returns on the investment along with long term financial

goals.

Charity: - Life insurance is a great avenue to helps a charitable cause. For the

people with philanthropic desire but short of the means, life insurance provides

the option to contribute much more than is possible by the life assured

 WHAT ARE THE BENIFTS OF TAKING

LIFE INSURANCE?

Superior to Any Other Saving Plan: - Life insurance policies offer protection

against the risk of the death that is not available in any other contemporary

saving plan. In the event of the insurance co. make available the full some

assured to the policy holders near and dear ones. In comparison any other

saving plan would amount to the total saving accumulated till date occurs

prematurely such saving can be much lesser than sum assured.

11
Encourages Thrift: - A saving deposit can easily be withdrawn. The payment of

life insurance premium, how ever, is considered sacrosanct and is viewed with

the same serious ness as the payment of interest on the mortgage. Thus a life

insurance policy in effect brings about compulsory saving.

Easy Settlement and Protection against Creditors:- The life insurance policy

is the only financial instrument the proceeds of which can be protest against the

claim of creditor of the assured by effecting a valid assignment of the policy

Administration the Legacy For Beneficiaries;- Speculative or unwise

expenses can quickly cause the proceeds to be squandered. Several policies

have foreseen this possibility and provides for payments over a period of year or

in a combination of installment and lump sum amount.

Ready Marketability And Suitability For Quick Borrowing: - A life insurance

policy can after a certain time period be surrendered for a cash value. The

policies are also acceptable as a security for a commercial loan, for example, a

student loan.

Disability Benefits; - Death the not only hazard that is insured; many policies

also include disability benefit. Typically, these provide for waiver of future

premiums and payment of the monthly installment spread over certain time

period.

12
Accidental Death Benefit; - Many policies can also provide for an extra sum to

be paid. If death occurs as a result of accident

Critical Illness Benefit; - Many policies can also provide for cover against

critical illness

Hospital Cash Benefit; - Many policies can also provide for covering the

hospitalization expenses, along with cover for life

Loan on Policy: - a life insurance policy grants the policy holder the right to

obtain policy loan on certain policies.

2:- COMPANY PROFILE

2.1:- ICICI PRUDENTIAL LIFE INSURANCE

COMPANY LIMITED

ICICI Prudential Life Insurance Company is a joint venture between ICICI

Bank, a premier financial powerhouse and prudential plc, a leading international

financial services group headquartered in the United Kingdom. ICICI prudential

was amongst the first private sector insurance companies to begin operations in

December 2000 after receiving approval from Insurance Regulatory

Development Authority of India (IRDA).

13
 ICICI Prudential’s equity base stands at Rs11.85 billion with ICICI Bank

and Prudential Plc holding 74% and 26% stake respectively. In the financial year

ended March 31st 2005, the company granted Rs. 1584 crore of new business

premium for a total sum assured of Rs. 13,780 crore and wrote nearly 615,000

policies. The company has a network of about 56,000 advisors; as well as 7 bank

assurance and 150 corporate agent tie-ups. For the past four years, ICICI

Prudential has retained its position as the No.1 private life insurance in the

country, with a wide range of flexible product that meets the need of Indian

customer at every step in life.

ICICI Bank:-

Is India’s second largest bank and largest private sector bank with over 50

years of financial experience and with asset of Rs. 1812.27 billion as on 30th

June 2005. ICICI Bank offers a wide range of banking products and financial

services to corporate and retail customers through a verity of delivery channel

and through its specialized subsidiaries and affiliates in the areas of investment

banking, life and non-life insurance, venture capital and asset management.

ICICI Bank is a leading player in the retail banking market and has over 13

million retail customer accounts. The Bank has a network of over 570 branches

and extension counters, and 2000 ATMs.

14
Prudential:-

Established in London in 1848, Prudential plc, through its business in the

UK and Europe, the US and Asia, provide retail financial services product and

services to more than 16 million customers, policyholder and unit holders

worldwide. As of June 30, 2004, the company had over US$300 billion in funds

under management. Prudential has brought to market an integrated range of

financial services products that now includes life assurance, pensions, mutual

funds, banking, investment management and general insurance. In Asia,

prudential is the leading European life insurance company with a vast network of

24 life and mutual fund operations in twelve countries China, Hong Kong,

Indonesia, Japan, Korea, Malaysia, the Philippines, Singapore,

Taiwan, Thailand, and Vietnam.

2.2:- COMPANY VISION:

To make ICICI prudential the dominant life and pension’s player built on trust by

word-class people and services.

This we hope to achieve by:-

 Understanding the need of the customers and offering them

superior product and services.

15
 Leveraging technology to services customer quickly , efficiently

and conveniently

 Developing and implementing superior risk management and

investment strategies to offer sustainable and stable returns to

our policy holders.

 Providing an enabling environment to foster growth and learning for

our employees.

 And above all, building transparency in all our dealing.

16
 2.3:-Organizational
Structure in Nasik Branch

Territory
manager

Area Sales
manager manager

Snr.
Agency Unit Agency Unit
Agency
manager manager manager manager
manager

Advisor Advisor Advisor Advisor Advisor

17
 2.4:-Information about companies
financial Strength

ICICI Prudential life insurance has registered 64 % growth in weighted new

business premium in the financial year ended March 31, 2006, taking its premium

to Rs. 2,412 crore, a top official of the company said today

In the last financial year, ICICI Pru. Has written 837,963 retail policies and the

sum assured in force stands at Rs. 45,888 crore,” a growth of 65% during the

year, N.S. Kannan, executive director, ICICI Pru. Told reporters here.

ICICI Pru. Has become the first private life insurer to cross the two million

policies-mark and 500,000 rural policies mark, during the last fiscal, he said.

The company’s market share among private life insurers stands at 29.3 %

for 2005-06 and 9.3 % of the overall market share.

New business achieved profits (NBAP) has increased to Rs.528 crore, a 69 %

increase from last years Rs. 312 crore and the renewal premium was up by 113

% to Rs. 1,657 crore, which is 39 % of the total premium, he said.

18
Funds under management (FUM) registered as increase of 130 % to Rs.

8,822 crore, he said, adding “Today, ICICI Pru’s FUM base is the largest

amongst private sector life insurers.”

Group business premium increased by 157 % to Rs.268 crore, contributing 7% of

the total premium, he said.

The company had settled 1,369 urban death claims for an amount of Rs. 14

crore and the average tie taken to settle a claim was six days, Kannan said.

19
 2.5Product Profile:

INTRODUCTION ABOUT PRODUCTS

 Insurance Solutions for Individuals

ICICI Prudential Life Insurance offers a range of innovative, customer

centric products that meet the needs of customers at every life stage. its products
can be enhanced with up to5 riders, to create a customized solution for each
policyholder.

 Savings Solutions

 Secure Plus is a transparent and feature-packed savings plan that offers 3

levels of protection.
 Cash Plus is a transparent, feature-packed savings plan that offers3 level of
protection as well as liquidity options.
 Save ’n’ Protect is a traditional endowment savings plan that offers life
protection along with adequate returns.
 Cash Back is an anticipated endowment policy ideal for meeting milestone
expenses like a child’s marriage, expenses for a child’s higher education or
purchase of an asset.
 Life Time & Life Time II offer customers the flexibility and control to
customize the policy to meet the changing needs at different life stages. Each
offers 4 fund option- preserver, Protector, Balance and Maxi miser.
 Life Link II is a single premium Market Linked Insurance Plan which
combines life insurance cover with he opportunity to stay invested in the stock
market.
 Premier Life is a limited premium paying plan that offers customers life

20
 insurance cover till the age of 75.
 Invest Shield Life is a market Linked plan that provides capital guarantee on
the invested premiums and declared bonus interest along with flexible liquidity
options.
 Invest Shield Gold is a Market Linked plan that provides capital guarantee
on the invested premiums and declared bonus interest long with limited
premium payment terms.
 Life Guard is a protection plan, which offers life cover at very low cost, It is
available in 3 option-level terms assurance, level term assurance with returns
of premium and single premium.

 Child Plans

 Smart Kid education plans provide guaranteed educational benefits to a

child along with life insurance cover for the parent who purchases the policy.
The policy is designed to provide money at important milestones in the child’s
life. Smart kid plans are also available in unit-linked form -both single
premium and regular premium.

 Retirement Solutions

 Forever Life is a retirement product targeted at individuals in their thirties.

 Secure plus Pension is a flexible pension plan that allows one to select
between levels of cover.

21
 Market-linked retirement products

 Life Time Pension II is a regular premium market-linked pension plan.

 Life Link Pension II is a single premium market- linked pension plan.

 Invest Shield Pension is a regular premium pension plan with a capital

guarantee on the investible premium and declared bonuses.
 Golden Years is a limited premium paying retirement solution that offers
tax benefits up to Rs.100, 000 u/s 80consumer, with flexible in both the
accumulation and payout stages.

ICICI Prudential also launched ‘Salaam Zindagi’, a social sector group

insurance policy targeted at the economically underprivileged section of the
society.

 Group Insurance Solutions

ICICI Prudential also offers Group Insurance Solution for companies seeking to
enhance benefits to their employees.

 ICICI Pru Group Gratuity Plan: ICICI Pru,s group gratuity plan helps
employers fund their statutory gratuity obligation in a scientific manner.
The plan can also be customized to structure schemes that can provide
benefits beyond the statutory obligations.

 ICICI Pru group Superannuation Plan: ICICI Pru offers a flexible defined
contribution superannuation scheme to provide a retirement kitty for each
member of the group. Employees have the option of choosing from

22
 various annuity options or opting for a partial Commutation of the annuity
at the time of retirement.

 ICICI Pru Group Term Plan: ICICI Pru’s flexible group term solution
helps provide affordable cover to members of a group. The cover could be
uniform or based on designation/rank or a multiple nominated by the
member on his/her death.

 Flexible Rider Options

ICICI Pru Life offers flexible riders, which can be added to the basic policy at a
marginal cost, depending on the specific needs of the customer.

 Accident & disability benefit: If death occurs as the result of an accident

during the term of the policy, the beneficiary receives an additional amount
equal to the sum assured under the policy. If the death occurs while
traveling in an authorized mass transport vehicle, the beneficiary will be
entitled to twice the sum assured as additional benefit.

 Accident benefit: This rider option pays the sum assured under the rider on
death due to accident.

 Critical Illness Benefit: protects the insured against financial loss in the
event of 9 specified illnesses. Benefits are payable to the insured for
medical expenses prior to death.

 Income benefit: This rider pays the 10% of the sum assured to the nominee
every year, till maturity, in the event of the death of the life assured. It is
available on SmarKid, Secure Plus, and Cash Plus.

23
  Waiver of Premium: In case of total and permanent disability due to an
accident, the premiums are waived till maturity. This rider is available with
Secure Plus and Cash Plus

3. Theory related to the topic:

3.1:-Channel Development
Insurance organization is a direct Marketing service sector. The mediator

for that is an advisor, who plays an important role in product exposure, sales, and

market coverage. In today’s comparative worlds it is not easy to tap the vast

market through scare resources. For any insurance organization advisor is only

this source to exposure the product directly to the customer in this service sector

for convincing any person to buy the product will not only require good salesman

ship but also required good contacts trustworthiness, marinating relationship etc.

and hence limited manpower (ADVISOR) is on type of limitation in achieving the

short term as well as long term goals.

It is essential to enlarge and develop the channel if an organization wants

to be at better position with respect to the competitors. Enlargement simply

includes recruitment of potential people and improvement includes harnessing

skills so as to have

 Good product knowledge

 Should be customer oriented
 Aware and ready to face business target
 Able to keep records and reviews
 Should have time management
 Should able to win target market

24
  Should be motivated and trust worthy
 Should have good analytical skills

3.2:-CHANNEL OF RECRUITMENT

Start
Prospecting

Close a call

Tele calling if
Or If Yes
Personal visit no Objection calling

Log a call
Open a call

Advisors are the people who do business for

company or our self.

25
 From the above diagram we understand the channel of recruitment in

ICICI Pru. In Nasik branch. In the first phase we personally visit the person or call

him and tell him about business opportunities means about our advisors proposal

in that calling we understand the actual need of customer or he is interested or

not after that in second phase when we make a second call to the person in that

he ask about his doubts and objections whatever he has. After that sometimes he

is ready to become an advisor but if we are not able to clarifies his doubt he

refuses it or told us call me afterwards in that we observed he is ready or not

means here we get the prospect if he is refuse it we again go to first phase and

repeat that process till his final answer.

26
Following is the role of advisor after become an advisor

Pre Sales Role:-

 Telecalling for suspecting of prospects.

 Fixing appointments with prospects.
 Need analysis of the client.
 Re-fixing appointment for presenting solution.
 Closing sales with cheque and other document collection.
 Taking 3-4 references from the client.
 Submission of applications at the branch front desk.

Post Sales Role:-

 Track logins to active issuals of Policy (with call center, intranet
etc.)
 Setting up medical appointment and accompany the client to
medicals(wherever required)
 Complete any other documentation or medical formalities as
required.
 Reminders to customers for next payment due to avoid lapsation.

27
 3.3:-Marketing strategy
Marketing strategy is not a nebulous idea. It was well- outlined game plan and

is definite ways of formulation it. Basically formulation of marketing strategy

consists of two main steps.

1. Selecting the segmented market

2. Assembling the marketing mix.

The essence of marketing strategy of any firm can be grasped from the firms

target and its marketing mix. The target market shows the intends to who to sell.

Together they constitute the marketing strategy platform of the firm.

In this world of competition, no company can progress until it has got a wide

range of products for various groups of people. A consumer always wants some

thing new. Also the range of the products is such, that all the people, whether

they are rich or poor can select what they want and also suits their pocket.

Coping with competition is the main aim of the strategy. By the same token, it

can also be said that marketing environment that is devoid if competition, the

28
scope and need for strategic planning and marketing strategies will be less. In

the presence of competitions that primarily render the marketing task strategic in

character. Only in a competitive market, a firm has to necessarily move out, study

its competitors, and move its policies, people and products in a compact like

action i.e. , in a strategic manner. Strategy will help the firm acquire a competitive

conscious ness. Business growth is achieved primarily through such a

competitive consciousness; strategy also becomes fundamental to achieving

growth in any business stepped in completion. Marketing strategy essentially

represents the competitive posture of the firm in the market.

While its corporate strategy from the foundation for its growth, it was the

marketing strategy of the actually, translate the companies vision into reality, the

company carried out its targeting in the ideal manner, and it evolved an effective

strategy in each of the four P’s of marketing .

The primary focus of marketing strategy is effectively allocated and

coordinates marketing resource and activities to accomplish the firm’s objective

with in a specific product market. There fore, the critical issue concerning the

scope of a marketing strategy is specifying the target market for a particular

product or product line. The marketing mix elements (Primarily the 4P’s of the

product, price, place, promotion) tailored to the needs and wants of potential

customers in the target market.

29
 FORMULATING AND IMPLEMENTING MARKETING
STRATEGY

External Corporate objective and

Environment
strategy

30
 Business-level Objective
and strategy

Market opportunity analysis

Environmental and competitor analysis

Industry dynamics

Formulating strategy for specific market conditions

Strategies for new marketing entries
Strategies for the new economy

Implementation and control

Implementing business and marketing strategies
Controlling marketing strategies and programs

From the above exhibit it suggest that a substantial amount of analysis of

customer, competitors , and the company itself should occur before designing a

market strategy. This reflects our view that successful strategic decision usually

rest on objective, detailed and evidence-based understanding of the market and

the environmental context. Of course most marketing strategies never get

31
implemented in quite the same ways as they were drawn on paper. The analysis

to provide the foundation for a good strategic marketing plan should focus on four

elements of the overall environment that may influence its ultimate success:

 The companies’ internal resources, capabilities, and strategies.

 The environmental context –such as broad social, economic, and

technology trends.

 The relative strength and weaknesses of competitors and trends in the

competitive environment.

 The needs, wants, and characteristics of current and potential customers.

A marketer refers to those elements as the 4Cs. They are the focus of a

market opportunity analysis and for marketing strategy.

 Defining the corporate mission:

An organization exists to accomplish something: to make cars, lend

money, provide a night’s lodging, and so on. Its specific mission or purpose is

usually clear when the business starts. Over time the mission may change, to

take advantage of new opportunities or respond to new market conditions.

32
Organizations develop mission statements to share with managers, employees,

and (in many cases) customers. A clear, thoughtful mission statement provides

employees with a shared sense of purpose, direction, and opportunity.

The marketing manager is the most significant functional contributor to

the strategic-planning process, with leadership role in defining the business

mission; analysis of the environmental, competitive, and business situations;

developing objectives, goals, and strategies and defining product, market,

distribution, and quality plans to implement the business’s strategies. This

involvement extends the development of programs and operating plans.

 Market opportunity analysis

The marketing environment is changing at an accelerating rate, so the

need for of market information is of greater than any time in the past. The market

has shifted from local to national to global marketing, form buyers need to buyers

want, price to non price competition. As the companies are expanding the market

coverage the management’s need of information is also increasing and that to at

a faster rate. This thing happens because the income of the people is increasing

thus buyer is becoming more selective in their choices of goods. Thus to know

the responses of the buyer regarding different features, style, and other attributes

seller must keep the up-to-date knowledge of the market.

Some firms have developed marketing information systems that provide

management with rapid and incredible detail about buyer wants, preferences,

and behavior.

33
  Different competitive forces:

Michal porter has identified five forces that determined the intrinsic long run profit

attractiveness of a market of market segment. Industry competitors, potential,

entrants, substitutes, buyers and suppliers. The threats these forces pose are as

follows.

1. Threat of intense segment rivalry:

A segment is unattractive if it already contains numerous strong or

aggressive competitors. It is even more unattractive if it is stable or

declining, if plant capacity additions are done in larger increments if fix

cost is high, if exit barriers are high or if competitors have high stakes in

staying in the segments.

2. Threat of New entrants :

A segment is unattractiveness varies with the height of its entry and

exit barriers. The most attractive segment is one in which entry barriers

are high and exit barriers are low. Few new firms can enter the industry

and poor performing firms can easily exit.

34
3. Threat of substitute products:

A segment is unattractive when there are actual or potential

substitutes for the product. Substitutes place a limit on prices and on profits.

The company has to monitor price trends closely. If technology advances or

competition increases in these substitute industries, prices and profits in the

segment are likely to fall.

4. Threat of buyers growing bargaining power:

A segment is unattractive if the buyers possess strong or growing

bargaining power. Buyers bargaining power grows when they become more

concentrated or organized , when the product represents a significant fraction

of the buyers costs when the product is undifferentiated, when the buyers

switching costs are low, when buyers are price sensitive because of low

profits, or when buyers can integrate upstream.

5. Threat of suppliers growing bargaining power:

A segment is unattractive if the company’s suppliers are able to

raise prices or reduce quantity supplied. Suppliers tend to be powerful when

they are concentrated or organized, when there are few substitutes, when the

supplied product is an important input, when the costs of switching suppliers

are high, and when the suppliers can integrate downstream.

35
 Identifying competitors

We may think that it is very simple task for the company to identifying its

competitors. But the fact that range of companies actual and potential

competitors is in reality much broader. A company is more likely to be hurt by

emerging competitors or new technologies than by current competitors.

Competitors may be defined at the level of industry. The factors like the

barriers to entry, cost structure, degree of vertical integration and of

globalization enable us to identify the competitors. This is called as industry

approach to the identification of the competitors.

In addition to the industry approach, we can identify competitors using

market approach. Competitors are companies that satisfy the same customer

need. The market concept of competition covers more actual potential

competitors.

 Analyzing Competitors:-

Once a company identifies its primary competitors, it must ascertain their

characteristics, specially their strategies, objectives, strengths, and weakness

and reaction patterns.

36
 Objectives:-

Once a company has identified its main competitors and their strategies, it

must ask: what is each competitor seeking in the marketplace? What drives

each competitor’s behavior? Many factors shape a competitors objectives,

including size, history, current management, and financial situation. If the

competitor is a division of larger company, it is important to know whether a

parent is running it for growth, profit, and milking it.

One useful initial assumption is that competitors strive to maximize profit.

However company differs in the emphasis they put on short term versus long-

term profits ICICI opt.

 Various marketing problems:

Marketing is a vast field. It consists of all activities ranging from services

up to the customer satisfaction there are many problems in front of a

marketing manager or personnel in today competitive and globalize economy

these problems are becoming more complicated and complex. Every

companies marketing divisions are so called the link between management

and customers, hence the problems are doubled i.e. problems related to

products and secondly problems of customers. There fore a strategy has to

be adopted which will not only benefit the producer but also the customer. In

today market if any one of the factors is not satisfied, the ultimate results

37
affect the overall marketing strategy of the company. Here are some of the

general problems associated with marketing of Service Company.

 Difficulties in marketing planning:

Marketing planning is concerned with identifying resources that are

available and their allocation to meet specific objective. This task is not so

simple as it appears when future it self is so uncertain how it can be said that

planning will hold that cent percent true.

 On great difficulty in the way of planning is that there are many

alternatives to deal with problems. For example there can be many

alternatives to take services to the customer every alternative has its

own merits and de-merits

 Another problem In India is that there is Govt. makes n hard and fast

Govt. policy frequent changes from time to time which ultimately effects

planning.

 Some are of the opinion that scientific marketing plan is not possible at

all because marketing factors are uncertain and changeable.

38
  In India major problem is illiterate customer about technological break

through which leads a gap between marketing executive and customer

especially in the field of services.

 What should be channel of recruitment, where they can have their

company office; branches etc. are some of the problem associated

with marketing executives?

 After services, which are major factor, affecting customer and service

provider relationship is very week. Once the services are provided

facilities are much important.

 Services cost are not fixed, it is changing all the time it necessitates

frequent changes in the price of services, which in turn has a direct

effect on the demand in the market.

 Even if correct estimates of demand are made in the market there is no

control over supply. Some times supply can be conformity with

demand. In the absence of complete control over the forces of supply

marketing planning looses all its impotents.

Marketing Strategies applied

by ICICI Pru. Life Insurance
Co.
1. Football SOCCER 1111 Internal goals :-

39
 Here company is continuously enhancing the advisor to achieve the target
of 1111 policy within 40 days.

2. Sales Promotion “CHHATA OFFER” :-

There are certain policy planes just like save ‘n’ protect , cash back , which
are not having so much demand the company have modified the planes and newly
launched in market and also offer one umbrella for per policy planes selling.

3. With respect to competitor:-

As other organization such as Bajaj alliance, Hdfclic, Kotak are charging
the very low enrollment fees for the advisor ship the ICICI Pru. Has announce free
enrollment scheme and after that they are charging Rs.1000/- enrollment charges are
set which include lots of benefit for the advisor.

4. Motivation is one of the tools of enhancement in marketing: -

ICICI Pru. Has organized various programmes such as advisors day, advisors
birthday and giving various rewards and recognition to the advisors after
completing his target and organized a party outside the city and giving movie
tickets and coupon for lunch in five star hotel there are many schemes are offered
by ICICI Pru.

4.-Research methodology
 FOR CHANNEL DEVELOPMENT
 4.1:-Problem formulation

40
a) Objective:

1) develop channels (Recruitment of Advisor)

2) To search Motivational factor for existing advisors.

b) Scope:
1) Insurance sector
2) Nasik Region

 4.2:-Data required and its sources:

Data is unprocessed information, which is required to take decision pertaining
growth of business and can be collected by two ways

Primary data
Secondary data

1. Primary Data:-

This is the original form of data first hand in nature where the researcher
himself goes to different people covered under the sample and collected data
himself by following methods

Personal interviews
Group interviews
Questionnaires
Telephonic interview
Survey.

2. Secondary data: -

It is the data which is derived by any other person or body or institute. It

already exist and processed the researchers has only to decides that how it
will be handy to appraise his project.

41
Various sources of collecting secondary data are
 Books
 Magazines
 Internet
 Pamphlets of various co.
 Insurance manual and organizations project detail brochure.

 4.3:-Research instrument:-

I used questionnaire as research instrument to collect the requisite

information for the research. Questionnaire method was chosen because of
its versality. Almost every market problems involves people. Therefore ideas
relative to people and its solution can be obtained by asking them about their
problems. This type has the advantage that the respondents do not know
exactly what is being measured and hence are not biased their answer to
some extent.

 Sampling plan:-

A proper sampling plan is very important in the research process and it also
makes the research process easy. It includes the sampling element, sample
size and sample area.

a) SAMPLE ELEMENT:

It includes those respondents who are going to fill up and answer the
questionnaire.

b) SAMPLE SIZE:

I have worked on a sample size of two hundred with which I am able to

give the names of fifty prospective people who showed interest in knowing the
product and also becoming the Insurance Advisor.

42
 c) SAMPLE AREA:

I have chosen Financial Consultant, VRS, Housewife, Insurance Advisor,

Student, Tour & Travel Agency, Teachers, and Young Unemployed Youth. Our
main task was interviewing the people and to analyze their attitude towards
ICICI Prudential Life insurance company. My area was Nasik road, college
road, mahatma nagar, satpur colony, indira nagar etc.

 4.4:-Types of research used:-

 Descriptive research:-

Here mainly primary data is used. It is generally a quantitative

measurement of customer’s attitude and perception of a certain product.
Under the descriptive research the sample survey method has been in the
project.

 Sampling method

The sampling method are categorized into two types –

a) Probability sampling - it does not depend upon the existence of detailed

information about the universe for its effectiveness. Probability sampling
provides estimate, which are essentially unbiased and have measurable
precision.

Various types of probability sampling are:

1. Simple random sampling

2. Stratified random sampling
3. Systematic sampling

43
 4. cluster sampling

b) Non-probability sampling – this method has been used in the project.

This method does not provide every time in the universe with a known
chance of being included in the sample. The selection process is partially
subjective.

There are three types of non probability sampling

1. judgmental sampling

2. quota sampling

3. convenience sampling

The judgment as well as convenience method of sampling has been

combined and used in the project. In judgment method of sampling the choice of
sample items depends exclusively on the judgment of the researcher. In other
words, the researcher includes those items from the sample, which he thinks are
typical of the universe with regards to characteristics under investigation.

5. DATA ANALYSIS AND

INTERPRETATION

44
 1. Do you need any side earning source apart from your regular
earning?

Particular No. of. Respondent In%

YES 168 84
NO 32 16
TOTAL 200 100

 Interpretation 1. :-
Advisor ship can be part-time or fulltime it depends upon the

intensity of side earning that an individual is having. Out of 200 people

surveyed 84% people show greediness for side earning. Through some of

them is having their permanent income source

2. Do you know any insurance organization which it is?

o ICICI Pru.

45
 o LIC
o BAJAJ Alliance
o HDFC Life insurance
o Kotak Mahindra
Co. Name IN %
LIC 96
ICICI Pru. 74
BAJAJ Allianz 60
Kotak Mahindra 52
HDFC Life Insurance 48

 Interpretation 2 :-
Brand Name always matters most. LIC has positioned in customer mind

and hence out of 200 respondent 96% people have given positive response but

in the private sector near about 74% of people are well aware with ICICI

Prudential Life insurance company.

46
3. Are you familiar with any insurance advisor?

47
Particular No of respondent In %
YES 88 44
NO 102 56
TOTAL 200 100

 Interpretation 3:-

To be an advisor it is essential to be familiar with role and responsibilities

of advisor so above question has made to know what is the perception of

respondent for an advisor 56% of people are not much familiar with the advisor

4. Are you aware about policy plans?

Particular No of respondent In %
YES 4 8

48
NO 79 158
Some What 17 34
TOTAL 200 100

 Interpretation 4:-
For a successful advisor it is essential to have good product knowledge

and it can be judged through his initially curiosity and eagerness about policy

planes. Though the respondent is not having any direct relation with insurance

business and still he is having some knowledge it means he is the potential

person to an advisor but unfortunately 79% of people don’t have knowledge

about policy planes.

5. What is your perception about insurance?

49
Particular No. Of Respondent In %
Future Saving 60 30
Risk Bearing 56 28
Liability 8 4
Tax Saving 76 38
Total 200 100

 Interpretation 5:-

In the above question 30% of people are said they see insurance

organization future saving and 28% are said for Risk bearing & remaining said fir

it is a liability towards family as well as society or some people think for tax

saving.

50
 6. Do you think the people in the soc.? Can be easily convinced to
buy the policy?

Particular No of respondent In %
YES 56 28
NO 12 6
Don’t Know 40 20
It may req. hard work 92 46
Total 200 100

 Interpretation 6:-

It is essential to know the perception of an individual about the society

because if individual is having negative perception than he will not able to

convince people. 28% people have confidence that they can easily convince the

people.

51
 7. What do you think that an advisor should get?

Particular No of respondent In %
Flexibility 18 9
Money 60 30
Rewards and Recognition 32 16
Career Progression 90 45
Total 200 100

 Interpretation 7:-

Above question is designed to know the expectation of an individual if he

would be an advisor. We can observe that 45% of people want to be and for

career progression while 30% people are greedy and expect returns in terms of

money.

52
 8. Do you want to take a business opportunity with ICICI prudential?

Particular No of respondent In %
YES 4 2
NO 38 19
Let you know Latter 158 79
Total 200 100

 Interpretation 8:-

When I ask this question 2% people are ready to take business

opportunity with ICICI & 79% of people are hesitate to talk freely because of they

some doubts or they are working with another insurance industry or some other

reasons.

6. Findings:-

53
Development of channels includes following things

 Analysis of existing channel so as to search out and focus the point which will
motivate and enhance the existing advisor to make them more responsible &
dynamic.

 Recruiting new advisor so that the untapped area will be covered.

 Life insurance is taken to be for tax saving. This is the mindset of people, I
have found in my project. Efforts should be carried out to minimize these
thinking.

 ICICI Bank is very popular and familiar among mass people so It has been easier
to convey people that ICICI Prudential Life insurance co. is market leader and
more advantageous to join as Insurance Advisor comparison to other companies.

For the project activity I have given more concentration on 2nd point, hence
questionnaire is designed and personally interviewed people from various class such as
200 people.

CLASS Respondent
Doctors 30
Young Graduates 70
Primary Sch.Teachers 20
Housewives 15
Businessman’s 40
Servicemen’s 25
TOTAL 200

54
 Apart from people visited research methodology is applied on selected sample
size from which I come to know the following point
84% of peoples are greedy to have side earning source, in remaining 16% most of
people are from class such as doctor, businessman, and primary teacher etc though they
have good contacts they don’t have so much time to spend over such activity.
Most of the people didn’t have any idea about insurance advisor though they have
their own insurance policy and also they don’t have acceptable knowledge about
company policy plans .
46% people out of 200 surveyed have opinion that people will buy policy plans
but it required some hard work. As they think that to have a policy help individual for tax
saving, future saving , risk bearing etc. at the same time while doing this activity they
except that the advisor should get reward in terms of monitory term as well as career
progression .
Finally when proposal of being an advisor was kept in front of the interviewer
79% people have said the answer that let you know letter.

55
 7. CONCLUSION

As we know that ICICI is market leader in Bank Sector It has great believe ness

among people since 1977.

After liberalization, ICICI tied-up with Prudential Life (UK) and came into

existence of ICICI Prudential Life insurance company in 2000.

After analysis of various data and face-to-face conversation with people, it is

found that maximum people want to take insurance policies of public sector

companies as LIC’s policies. They do not take risk to become Insurance Advisor

of private sector Insurance Companies.

Maximum people say that they do not believe in private sector to buy policies.

They feel more risk to invest money in private sector. Till days, people believe on

Life Insurance Corporation of India (LIC). They do not want to take Agency of

ICICI Pru. Because it is private Organization.

They think that, for private insurance advisor, it is very tough task to generate

business from those areas where awareness of private sector is very little. It is

very tough to convince illiterate people.

56
LIC till days is market leader regarding on the selling of insurance policies. It has

great believe ness among customers through its Insurance Advisor since 40 years.

Therefore, for ICICI Pru., it is very tough task to penetrate the market of LIC to

make the Financial Consultant.

It is also found that, there is no problem to convince people in Metros as well as

city, but in suburban and village area it is big problem to make Insurance Advisor.

57
 8. Recommendations
As we know that money investment is very sensitive and crucial decision. Each
and every individual wants to minimum risk while investing the money in
Insurance sector. Insurance Advisor sells policies, so, public faith on Insurance
Advisor is very necessary to sell the policies. Till days, public believe on public
sector’s Insurance Advisor. They do not believe hundred percent on private
Insurance Advisor.

 Build trust and confidence in clients

: - Be an advisor to your clients and build up relationship by telling them right
investment option according to there risk appetite and investment objective.
Suggest investment plan according to investors need and don’t build over
expectation.

 Know Your Scheme

: - One must know schemes thoroughly to know how it meets the client’s
requirement, which will help to position it against the right alternative
investment.

 Know Your client

: - It is very necessary to know your client because it will help to make them
identify their need like children’s education or wedding, buying a car or a
house, saving for retirement.

58
8.1My personal suggestions

are:
 To create awareness among people about private insurance companies not

only in Metros but also in rural areas.

 Public should be aware about IRDA Rules and Regulation about Private

Insurance Companies through Advertisement in daily news paper as well

as T. V & Radio.

 Insurance Advisor of ICICI Pru. Must be trained technically and

professionally so that they could be able to influence customers easily.

 ICICI Pru. Should take help of Consultancy Company while recruitment

of Insurance Advisor? They should also take help of Newspaper while

recruitment of Advisor.

 All summer students who go to recruit the Advisor must be trained

properly so that they can convince easily people.

59
 Bibliography:-
Books Used

 Marketing Management by Philip Kotlar 11th edition (page no. 241-273)

 Research methodology by C.R.Kothari.
 Market research by berry
 Product handbook for effective sales by ICICI Pru.
(Page no. 1-29, 205-235)
 Literature, handbooks, pamphlets by ICICI Pru.

Websites:-

 www.iciciprulife.com

 www.bimaonline.com

 www.IRDA.com

 www.google.com

 www.moneycontrol.com

60
 Questionnaire For Channel
Development

NAME : - ……………………………………………………
ADD :-…………………………………………………….
TEL. NO. :-……………………………………………………
AGE :-……………………… GENDER:-………………
PROFESSION :-……………………………………………………
QUALIFICATION:-……………………………………………………

 Do you need any side earning source apart from your regular earning?

Yes No

 Do you know any insurance organization which it is?

o ICICI Pru.
o LIC
o BAJAJ Alliance
o HDFC Life insurance
o Kotak Mahindra
 Are you familiar with any insurance advisor?

Yes No

61
 Are you aware about policy plans?

Yes No Some What

 What is your perception about insurance?

o Future Saving
o Risk Bearing
o Liability
o Tax Saving

 Do you think the people in the soc. Can be easily convinced to buy the policy?

Yes No Don’t Know

It May Require Hard Work

 What do you think that an advisor should get?

o Flexibility

o Money

o Rewards and Recognition

o Career Progression

 Do you want to take a business opportunity with ICICI prudential?

Yes No Later

62