Brand Awareness of Life Insurances in Sivaganga District

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1 Brand Awareness of Life Insurances in Sivaganga District R.Karthick 1 and Dr.K.Chandrasekar 2 1 Research Scholar, Alagappa Institute of Management, Alagappa University, Karaikudi, Tamilnadu, India. 2 Assistant Professor, Alagappa Institute of Management, Alagappa University, Karaikudi, Tamilnadu, India. Article Received: 01 October 2017 Article Accepted: 22 November 2017 Article Published: 04 December 2017 AB ST R ACT Brand awareness means consumer recognizes that existence and availability of a company's product or services. Brand level refers to the proportion of consumers who know of the brand. Brand awareness is an important way of promoting insurance-related products. This is because for these products, there are very few factors that differentiate one product from its competitors. A broader view of brand recognition is the extent to which a brand is recognized within a product class for certain attributes. In today's most competitive atmosphere, it is critical for insurance companies to maintain and build on their brand awareness, as well as reinforce the value proposition of their market. The design and function on the product itself is most basic straight forward way in which satisfaction can be achieved. A good brand name has a Easy to remember, Easy to pronounce, Short and distinctive, Invokes positive association, Suggests a positive image, Reinforces product concept, Communicates product benefit,says something about user, Avoids linguistic traps. Keywords: Brand, Brand Name, Brand awareness, Brand Recognition, Insurance and Trademark. 1. INTRODUCTION Brand awareness means consumer recognizes that existence and availability of a company's product or services. Creating brand awareness is one of key steps in promoting a product. The American marketing association defines a Brand as a name, term, sign, symbol or combination of them. Brand awareness is a marketing concept that measures consumers' knowledge a brand's existence. Brand level refers to the proportion of consumers who know of the brand. Brand awareness is an important way of promoting insurance-related products. This is because for these products, there are very few factors that differentiate one product from its competitors. Therefore, the product that maintains the highest brand awareness compared to its competitors will usually get the most benefits. Company s brand is a valuable business asset. Developing, growing, and protecting brand awareness as market conditions change can be a daunting task. Brand Recognition is the extent to which a brand is recognized for stated brand attributes or communications. In some cases brand recognition is defined as aided recall - and as a subset of brand recall. In the case, brand recognition is the extent to which a brand name is recognized when prompted with the actual name. A broader view of brand recognition is the extent to which a brand is recognized within a product class for certain attributes. In today's most competitive atmosphere, it is critical for insurance companies to maintain and build on their brand awareness, as well as reinforce the value proposition of their market. Extent to which a brand is recognized by potential customers, and is correctly associated with a particular product. Expressed usually as a percentage of target market, brand awareness is the primary goal of advertising in the early months or years of a product's introduction. Positive brand association in the mind of the consumer may be the result of many factors. The design and function on the product itself is most basic straight forward way in which satisfaction can be achieved. A good brand name has an Easy to remember, Easy to pronounce, Short and distinctive, Invokes positive association, 45 P a g e Website:

2 Suggests a positive image, Reinforces product concept, Communicates product benefit,says something about user, Avoids linguistic traps. The brand name is quite often used interchangeably within "brand", although it is more correctly used to specifically denote written or spoken linguistic elements of any product. In this context a "brand name" constitutes a type of trademark, if the brand name exclusively identifies the brand owner as the commercial source of products or services 2. ADVENT OF LIFE INSURANCE BUSINESS IN INDIA 1818 saw the advent of life insurance business in India with the establishment of the Oriental Life Insurance Company in Calcutta. This Company however failed in In 1829, the Madras Equitable had begun transacting life insurance business in the Madras Presidency saw the enactment of the British Insurance Act and in the last three decades of the nineteenth century, the Bombay Mutual (1871), Oriental (1874) and Empire of India (1897) were started in the Bombay Residency. This era, however, was dominated by foreign insurance offices which did good business in India, namely Albert Life Assurance, Royal Insurance, Liverpool and London Globe Insurance and the Indian offices were up for hard competition from the foreign companies. In 1914, the Government of India started publishing returns of Insurance Companies in India. The Indian Life Assurance Companies Act, 1912 was the first statutory measure to regulate life business. In 1928, the Indian Insurance Companies Act was enacted to enable the Government to collect statistical information about both life and non-life business transacted in India by Indian and foreign insurers including provident insurance societies. In 1938, with a view to protecting the interest of the Insurance public, the earlier legislation was consolidated and amended by the Insurance Act, 1938 with comprehensive provisions for effective control over the activities of insurers. The Insurance Amendment Act of 1950 abolished Principal Agencies. However, there were a large number of insurance companies and the level of competition was high. There were also allegations of unfair trade practices. The Government of India, therefore, decided to nationalize insurance business. An Ordinance was issued on 19th January, 1956 nationalising the Life Insurance sector and Life Insurance Corporation came into existence in the same year. The LIC absorbed 154 Indian, 16 non-indian insurers as also 75 provident societies 245 Indian and foreign insurers in all. The LIC had monopoly till the late 90s when the Insurance sector was reopened to the private sector. 3. OBJECTIVES OF THE STUDY 1. To study the brand awareness level of Life Insurances. 2. To understand the major sources of awareness for Life Insurances. 3. To study the respondent s opinion on selected features of Life Insurances. 4. To know the relationship between the respondent s opinion and their demographic factors. 46 P a g e Website:

3 4. RESEARACH METHODOLOGY Descriptive Research method was adopted in this study. It is carried out with specific objectives and hence it results in definite conclusions. This research tries to describe the characteristics of the respondents in relation to a particular product or a practice/culture of importance. Sample Size The sample size was restricted to 250 and these samples were collected from Sivaganga District. Statistical Tools Used Chi-square and correlation analysis methods are used to interpret the results. Sampling Methods The research has adopted convenience sampling in the research work. Convenience sampling is a non-probability sampling where the samples are chosen accordance to the convenience of the researcher. 5. RESULT AND DISCUSSION Chi-Square Analysis Table No- 1 Ho: There is no significant difference between educational qualification and the referral scheme H1: There is a significant difference between educational qualification and the referral scheme Opinion Always Sometimes Never Total Educational qualification Postgraduate Graduate Others Total Source: primary data Calculated value =23.14 Degrees of freedom =(c-1) (r-1) = (3-1) (3-1) V =4 Table value = <23.14 From above the table there is a significant difference between educational qualification and the referral scheme 47 P a g e Website:

4 Table No: 2 Respondent based on occupation Private their opinion about warmth, security, and self respect Yes No No Comments Total Yes govt self employed Total Table No: 3 Value Df Asymp. Sig. (2-sided) Pearson Chi-Square (a) Likelihood Ratio Linear-by-Linear Association N of Valid Cases 102 a 1 cells (11.1%) have expected count less than 5. The minimum expected count is There is a significant difference between occupation and respondent based on their opinion about warmth, security, and self respect. Table No: 4 The respondent based on educational qualification and respondent based on heard about Life Insurances Respondent based on their educational qualification heard about Life Insurances their educational qualification Pearson Correlation 1.725(**) 48 P a g e Website:

5 heard about Life Insurances ** Correlation is significant at the 0.01 level (2-tailed). N Pearson Correlation.725(**) 1 N From the above table it is referred that there is a high correlation between the respondent based on educational qualification and respondent based on heard about Life Insurances Table No: 5 The respondent based on annual income and respondent based on aware of Life Insurances annual income aware of Life Insurances ** Correlation is significant at the 0.01 level (2-tailed). Respondent based on annual income aware of Life Insurances Pearson Correlation 1.655(**) N Pearson Correlation.655(**) 1 N From the correlation analysis, it is found that there is a significant difference between annual income and aware of Life Insurances 6. RECOMMENDATIONS 1. People know Life Insurances of companies but they do not know there is a life insurance company in the name of Life Insurances. 2. So for Life Insurances is concern there is no advertisement. Agent act as the main source of creating awareness about Life Insurances to the public.this is not enough. Life Insurances have to give advertisement about life insurance in such other media as TV, FM/Radio, Newspaper, Internet, etc. 3. Out of the total respondents 61 percent of them opine that responsiveness and commitment of the company is good, it is suggested that the company has to maintain the same level 7. CONCLUSION The life insurance is now increasing seen as a complete solution to meet one s myriad needs health, wealth, life, child protection and retirement, it is a financial product that provides a stable return on investment, protect at affordable cost, secure a child s future, does retirements planning in the most effective way and provides additional health protection, it is now an integral part of the consumer s wealth management basket. 49 P a g e Website:

6 REFERENCES [1] Anzovin, Steven, Famous First Facts 2000, item # 2422, H. W. Wilson Company, ISBN p. 121 The first life insurance company known of record was founded in 1706 by the Bishop of Oxford and the financier Thomas Allen in London, England. The company, called the Amicable Society for a Perpetual Assurance Office, collected annual premiums from policyholders and paid the nominees of deceased members from a common fund. [2] Amicable Society, The charters, acts of Parliament, and by-laws of the corporation of the Amicable Society for a perpetual assurance office, Gilbert and Rivington, 1854, p. 4 [3] Amicable Society, The charters, acts of Parliament, and by-laws of the corporation of the Amicable Society for a perpetual assurance office, Gilbert and Rivington, 1854 Amicable Society, article V p. 5 [4] "Importance of the Equitable Life Archive". The Actuarian Profession Retrieved [5] "Today and History:The History of Equitable Life" Archived from the original on Retrieved [6] Lord Penrose ( ). "Chapter 1 The Equitable Life Inquiry" (PDF). HM Treasury. Archived from the original (PDF) on Retrieved [7] Arias, Elizabeth ( ). "United States Life Tables, 2001" (PDF). National Vital Statistics Reports. 52 (14). Retrieved 3 November [8] OECD (5 December 2016). Life Annuity Products and Their Guarantees. OECD Publishing. pp ISBN [9] Black, Kenneth, Jr.; Skipper, Harold D., Jr. (1994). Life Insurance (4th ed.). p. 94. ISBN [10] rout, J. and Ries, A., "The Positioning Era Cometh", Advertising Age [Special Feature on Positioning], 24 April 1972 [11] Reilly, M. and Parkinson, T.L., "Individual and Product Correlates of Evoked Set Size For Consumer Package Goods", in Advances in Consumer Research, Vol. 12, Elizabeth C. Hirschman and Moris B. Holbrook (eds), Provo [12] Percy, Larry; Rossiter, John (1992). "A model of brand awareness and brand attitude advertising strategies". Psychology & Marketing. 9 (4): doi: /mar P a g e Website:

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