advertising startegies of idbi federal life insurance

IDBI federal Life Insurance Co. Ltd. 2015

(Session 2015-2017)

Project workon

Advertising Strategiesof

Submitted by- Submitted to-

Chanchal sharma Mr. Manas Das

Chanchal Sharma


CONTENTS

Headings Page no.Overview of insurance Industry 3Introduction of IDBI federal 11Details of the company 12Nature of the business 20Mission, Vision & Values 23Product Range of IDBI 24Size of the company 40Market share & Position 41Organizational Structure 43Objectives of the study 44Sources of Data Collection 45SWOT Analysis 46Questionnaire 47Promotional activities adopted by IDBI Federal Life Insurance

69

Balance Sheet of the company 76Cash Flow Statement 77P & L Statement 78Marketing Mix 79Finding & Recommendation 86Weblography 93

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Overview of Insurance IndustryThe insurance industry of India consists of 51 insurance companies of which 24 are in life insurance business and 27 are non-life insurers. Among the life insurers, Life Insurance Corporation (LIC) is the sole public sector company. Apart from that, among the non-life Insurers, there are six public sector insurers. In addition to these, there is sole national reinsurer, namely, General Insurance Corporation of India. Other stakeholders in Indian Insurance market include Agents (Individual and Corporate), Brokers, Surveyors and Third Party Administrators servicing Health Insurance claims.

Out of 27 non-life insurance companies, 4 private sector insurers are registered to underwrite policies exclusively in Health, Personal Accident and Travel insurance segments. They are Star Health and Allied Insurance Company Ltd, Apollo Munich Health Insurance Company Ltd, Max Bupa Health Insurance Company Ltd and Religare Health Insurance Company Ltd. There are two more specialized insurers belonging to public sector, namely, Export Credit Guarantee Corporation of India for Credit Insurance and Agriculture Insurance Company Ltd for Crop Insurance.

Market Size

During April 2015 to February 2016 period, the life insurance industry recorded a new premium income of Rs 1.072 trillion (US$ 15.75 billion), indicating a growth rate of 18.3 per cent. The general insurance industry recorded a 14.1 per cent growth in Gross Direct Premium underwritten in FY2016 up to the month of February 2016 at Rs 864.2 billion (US$ 12.7 billion).

India's life insurance sector is the biggest in the world with about 360 million policies which are expected to increase at a Compound Annual Growth Rate (CAGR) of 12-15 per cent over the next five years. The insurance industry plans to hike penetration levels to five per cent by 2020.

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The country’s insurance market is expected to quadruple in size over the next 10 years from its current size of US$ 60 billion. During this period, the life insurance market is slated to cross US$ 160 billion.

The general insurance business in India is currently at Rs 78,000 crore (US$ 11.44 billion) premium per annum industry and is growing at a healthy rate of 17 per cent.

The Indian insurance market is a huge business opportunity waiting to be harnessed. India currently accounts for less than 1.5 per cent of the world’s total insurance premiums and about 2 per cent of the world’s life insurance premiums despite being the second most populous nation. The country is the fifteenth largest insurance market in the world in terms of premium volume, and has the potential to grow exponentially in the coming years.

Growth

The Indian life insurance industry has begun to recover and is likely to report 12-15% growth in financial year (FY) 2016-17, according to an ICRA paper analyzing the performance of nine life insurance companies in India, one in the public sector and eight in the private sector. Together, they represent over 87% of the total annualized premium equivalent (APE) of the life insurance industry during first nine months (April-December) of FY16.

The companies analyzed are: Life Insurance Corporation of India (LIC), ICICI Prudential Life Insurance Corp. Ltd, Bajaj Allianz Life Insurance Co. Ltd, SBI Life Insurance Co. Ltd, Birla Sunlife Insurance Co. Ltd, Max Life Insurance Co. Ltd, Reliance Life Insurance Co. Ltd, Kotak Mahindra Old Mutual Life Insurance Ltd, and HDFC Standard Life Insurance Co. Ltd.

During the period, the industry APE grew 6% year-on-year (y-o-y), as against a contraction of 9% y-o-y in FY15 to stand at Rs.37,300 crore (it was Rs.35,000 crore in the first nine months of FY15). The growth for private companies was 13% y-o-y

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during the period. LIC witnessed an improvement to 1% y-o-y during April-December FY16 from a contraction of 24% in FY15.

During the last few quarters, LIC reported poor APE performance following the contraction in its regular premium collections and the weakness in its unit-linked insurance plan (Ulip) portfolio against the backdrop of an upbeat domestic stock market. In FY15, the regular segment contracted by 27% y-o-y and reported volumes of Rs.23,000 crore. However, in first nine months of FY16, contraction in the regular premium segment reduced to 4% y-o-y.

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LIC’s regular premium segment contracted 4% y-o-y during the reported period, while that for the private companies analyzed grew by 12% y-o-y during this period. Industry APE drew adequate support from declining LIC contraction rates and marginal improvement in the regular premium growth rate for private companies (29% y-o-y in first nine months of FY16, as against 25% in FY15).

In line with the trend witnessed during the past few years, especially since the regulatory changes of September 2011, the proportion of single premium in the total new business premia generated by the industry continued to rise in the first nine months of FY16. It rose to 63% during the stated period from 58% both in FY15 and April-December FY15.

But contrary to the trend of maintaining the single-premium proportion stable at around 30% during the past few years, private companies reported an increase in the proportion to 34% in the said period of FY16, as against 31% in the year-ago period. The increase followed the sharper focus that they brought to the single-premium segment. LIC, on the other hand, continues with its historical trend of growing its new business mix in favor of single-premium products. As of December 2015, single premium accounted for 75% of LIC’s total new business, versus 70% in December 2014.

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Private insurers, who till last year had not paid much attention to the single-premium segment, have turned more aggressive.

Single-premium collections for them grew at a faster pace (29% y-o-y), compared with LIC (24% y-o-y), enabling industry collections in the segment to rise 25% y-o-y in this period.

The regular-premium segment has remained on a marginally lower growth trajectory. For private insurers, this segment grew 12% y-o-y during the period, while for LIC it contracted 4% y-o-y (contraction of 27% in FY15). Consequently, for the overall industry, the growth rate in the regular premium remained at the sub-5% levels in 9M FY16 (as against a contraction of 10% y-o-y in FY15).

Investments

The following are some of the major investments and developments in the Indian insurance sector.

The Insurance sector in India is expected to attract over Rs 12,000 crore (US$ 1.76 billion) in 2016! as many foreign companies are expected to raise their stake in private sector insurance joint ventures.

QuEST Global, a pure-play engineering and Research and Development (R&D) services provider, has raised investment of around Rs 2,396 crore (US$ 351.54 million) from leading global investors Bain Capital, GIC and Advent International for a minority stake in the company.

Foreign Direct Investment in the insurance sector stood at US$ 341 million in March-September, 2015, showing a growth of 152 per cent compared to the same period last year.

Insurance firm AIA Group Ltd has decided to increase its stake in Tata AIA Life Insurance Co Ltd, a joint venture owned by Tata Sons Ltd and AIA Group from 26 per cent to 49 per cent.

Canada-based Sun Life Financial Inc plans to increase its stake from 26 per cent to 49 per cent in Birla Sun Life Insurance Co Ltd, a joint venture with Aditya

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Birla Nuvo Ltd, through buying of shares worth Rs 1,664 crore (US$ 244.14 million).

Nippon Life Insurance, Japan’s second largest life insurance company, has signed definitive agreements to invest Rs 2,265 crore (US$ 332.32 million) in order to increase its stake in Reliance Life Insurance from 26 per cent to 49 per cent.

The Central Government is planning to launch an all-in-one insurance scheme for farmers called the Unified Package Insurance Scheme (Bhartiya Krishi Bima Yojana). The proposed scheme will have various features like crop insurance, health cover, personal accident insurance, live stock insurance, insurance cover for agriculture implements like tractors and pump sets, student safety insurance and life insurance.

Government launched a special enrolment drive, Suraksha Bandhan Drive comprising of sale of gift cheques and launch of deposit schemes in bank branches, to facilitate enrolment under Pradhan Mantri Suraksha Bima Yojana (PMSBY) and Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY).

Government Initiatives

The Government of India has taken a number of initiatives to boost the insurance industry. Some of them are as follow:

Foreign investment will be allowed through automatic route for up to 49 per cent subject to the guidelines on Indian management and control, to be verified by the regulators.

Service tax on single premium annuity policies has been reduced from 3.5 per cent to 1.4 per cent of the premium paid in certain cases.

Government insurance companies to be listed on the exchanges Service tax on service of life insurance business provided by way of annuity

under the National Pension System regulated by Pension Fund Regulatory and Development Authority (PFRDA) being exempted, with effect from 1 April 2016.

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The Insurance Regulatory and Development Authority (IRDA) of India has formed two committees to explore and suggest ways to promote e-commerce in the sector in order to increase insurance penetration and bring financial inclusion.

IRDA has formulated a draft regulation, IRDAI (Obligations of Insures to Rural and Social Sectors) Regulations, 2015, in pursuance of the amendments brought about under section 32 B of the Insurance Laws (Amendment) Act, 2015. These regulations impose obligations on insurers towards providing insurance cover to the rural and economically weaker sections of the population.

The Government of India has launched two insurance schemes as announced in Union Budget 2015-16. The first is Pradhan Mantri Suraksha Bima Yojana (PMSBY), which is a Personal Accident Insurance Scheme. The second is Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), which is the government’s Life Insurance Scheme. Both the schemes offer basic insurance at minimal rates and can be easily availed of through various government agencies and private sector outlets.

The Uttar Pradesh government has launched a first of its kind banking and insurance services helpline for farmers where individuals can lodge their complaints on a toll free number.

The select committee of the Rajya Sabha gave its approval to increase stake of foreign investors to 49 per cent equity investment in insurance companies.

Government of India has launched an insurance pool to the tune of Rs 1,500 crore (US$ 220.08 million) which is mandatory under the Civil Liability for Nuclear Damage Act (CLND) in a bid to offset financial burden of foreign nuclear suppliers.

Industry outlook

As of the first half (April-September) of FY16, domestic life insurance companies remained well capitalized, partly because of the low growth in gross premium

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collections. The capitalization levels are comfortable, despite deteriorating profitability matrices largely on account of the large cushion of capital available—over and above the minimum regulatory requirement.

After the passage of the Insurance Laws (Amendment) Bill, 2015, which sets a higher cap on foreign investment in insurance joint ventures (JVs), nearly all foreign JV partners have shown interest in increasing the equity stake in their respective JVs.

The announcements made so far suggest Rs.10,000-crore deals have been executed or are in their final stages of execution in the life insurance industry. But a significant part of the capital may go to the Indian JV partners concerned as they look to monetise their investments. In most of these deals, the post-money valuation of the JV stands between 1.0 times and 4.0 times their FY15 Gross Premium Written. If one were to use another multiple, such as Price/Net Worth, the range would stand substantially wider between 6.0 and 7.0 times.

Road Ahead

India's insurable population is anticipated to touch 750 million in 2020, with life expectancy reaching 74 years. Furthermore, life insurance is projected to comprise 35 per cent of total savings by the end of this decade, as against 26 per cent in 2009-10.

The future looks promising for the life insurance industry with several changes in regulatory framework which will lead to further change in the way the industry conducts its business and engages with its customers.

Demographic factors such as growing middle class, young insurable population and growing awareness of the need for protection and retirement planning will support the growth of Indian life insurance.

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Introduction of IDBI Federal Life insurance Co. Ltd.Company’s Profile

Name of the company IDBI Federal Life Insurance Co. Ltd.

Address 907-908, 9th Floor, Kanchanjunga Building, Barakhamba road, Cannaught Place, New Delhi-110001

Telephone No. 1800 209 0502 (Toll Free)Email id [email protected] www.idbifederal.comType of the organization InsuranceCorporate office address 1st Floor Trade View, OASIS Complex, Kamala city,

PB Marg, Lower Parel (w) Mumbai - 400013Areas of operation All over the IndiaSpecific Function area Bank & Insurance

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http://www.idbifederal.com/


Details of the Company

IDBI Federal Life Insurance Co Ltd is a joint-venture of IDBI Bank, India’s premier development and commercial bank, Federal Bank, one of India’s leading private sector banks and Ageas, a multinational insurance giant based out of Purpose. In this venture, IDBI Bank owns 48% equity while Federal Bank and Ageas own 26% equity each. . Having started in March 2008, in just five months of inception, IDBI Federal became one of the fastest growing new insurance companies to garner Rs 100 Cr in premiums. Through a continuous process of innovation in product and service delivery IDBI Federal aims to deliver world-class wealth management, protection and retirement solutions that provide value and convenience to the Indian customer. The company offers its services through a vast nationwide network of 3014 partner bank branches of IDBI Bank and Federal Bank in addition to a sizeable network of advisors and partners. As on 31st March 2015, the company has issued over 8.35 lakh policies with a sum assured of over Rs. 53,918Cr. IDBI Federal Life Insurance has total assets under management of 4,893 crore and a robust capital base of over 800 crores, as on March 31, 2016.

IDBI Federal today is recognized as a customer-centric brand, with an array of awards to their credit. They have been awarded the PMAA Awards (2009) for best Dealer/Sales force Activity, EFFIE Award (2011) for effective advertising, and conferred with the status of ‘Master Brand 2012-13’ by the CMO Council USA and CMO Asia.

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IDBI Bank

IDBI Bank Ltd. is a Universal Bank with its operations driven by a cutting edge core Banking IT platform. The Bank offers personalized banking and financial solutions to its clients in the retail and corporate banking arena through its large network of Branches and ATMs, spread across length and breadth of India. We have also set up an overseas branch at Dubai and have plans to open representative offices in various other parts of the Globe, for encasing emerging global opportunities.

As on March 31, 2011, the Bank had a network of 816 Branches and 1372 ATMs. The Bank's total business, during Fey 2010-11, reached Rs. 3,37,584 Crore, Balance sheet reached Rs. 2,53,377 Crore while it earned a net profit of Rs. 1650 Crore (up by 60%).

IDBI Bank Ltd. is today one of India's largest commercial Banks. For over 40 years, IDBI Bank has essayed a key nation-building role, first as the apex Development Financial Institution (DFI) (July 1, 1964 to September 30, 2004) in the realm of industry and thereafter as a full-service commercial Bank (October 1, 2004 onwards). As a DFI, the erstwhile IDBI stretched its canvas beyond mere project financing to cover an array of services that contributed towards balanced geographical spread of industries, development of identified backward areas, emergence of a new spirit of enterprise and evolution of a deep and vibrant capital market. On October 1, 2004, the erstwhile IDBI Bank converted into a Banking company (as Industrial Development Bank of India Limited) to undertake the entire gamut of Banking activities while continuing to play its secular DFI role. Post the mergers of the erstwhile IDBI Bank with its parent company (IDBI Ltd.) on April 2, 2005 (appointed date: October 1, 2004) and the subsequent merger of the erstwhile United Western Bank Ltd. with IDBI Bank on October 3, 2006, the tech-savvy, new generation Bank with majority Government shareholding today touches the lives of millions of Indians through an array of corporate, retail, SME and Agri products and services.

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Headquartered in Mumbai, IDBI Bank today rides on the back of a robust business strategy, a highly competent and dedicated workforce and a state-of-the-art information technology platform, to structure and deliver personalized and innovative Banking services and customized financial solutions to its clients across various delivery channels.

As on March 31, 2013 IDBI Bank has a balance sheet of Rs. 3,22,769 Crore and business size (deposits plus advances) of Rs 4,23,423 Crore. As a Universal Bank, IDBI Bank, besides its core banking and project finance domain, has an established presence in associated financial sector businesses like Capital Market, Investment Banking and Mutual Fund Business. Going forward, IDBI Bank is strongly committed to work towards emerging as the 'Bank of choice' and 'the most valued financial conglomerate', besides generating wealth and value to all its stakeholders.

Industrial Development Bank of India

Industrial Development bank of India (IDBI) was constituted under Industrial Development bank of India Act, 1964 as a Development Financial Institution and came into being as on July 01, 1964 vide Go I notification dated June 22, 1964. It was regarded as a Public Financial Institution in terms of the provisions of Section 4A of the Companies Act, 1956. It continued to serve as a DFI for 40 years till the year 2004 when it was transformed into a Bank.

Industrial Development Bank of India Limited

In response to the felt need and on commercial prudence, it was decided to transform IDBI into a Bank. For the purpose, Industrial Development bank (transfer of undertaking and Repeal) Act, 2003 [Repeal Act] was passed repealing the Industrial Development Bank of India Act, 1964. In terms of the provisions of the Repeal Act, a new company under the name of Industrial Development Bank of India Limited (IDBI Ltd.) was incorporated as a Govt. Company under the Companies Act, 1956 on September 27, 2004. Thereafter, the undertaking of IDBI was transferred to and vested in IDBI Ltd. with effect from the effective date of

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October 01, 2004. In terms of the provisions of the Repeal Act, IDBI Ltd. has been functioning as a Bank in addition to its earlier role of a Financial Institution.

Federal Bank

Federal Bank Ltd is engaged in the banking business. The Bank operates in four segments: treasury operations, wholesale banking, retail banking and other banking operations. Treasury operations include investment and trading in securities, shares and debentures. The Bank's products and services include working capital, term finance, trade finance, specialized corporate finance products, structured finance, foreign exchange, syndication services and electronic banking requirements. Federal Bank Ltd was incorporated on April 28, 1931 with the name Travancore Federal Bank Ltd. The company was established with an authorized capital of rupees five thousand at Nedumpuram, a place near Tiruvalla in Central Travancore under the Travancore Company's Act. The Bank was founded by K.P.Hormis. They started business of auction -chitty and other banking transactions connected with agriculture and industry. In May 18, 1945, the registered office of the Bank was shifted to Aluva. They opened their first branch at Aluva and commenced operations. In the year 1946, they opened their second branch at Angamally. In March 24, 1947, the name of the Bank was changed to Federal Bank Ltd. In April 1947, they opened their third branch of the Bank was at Perumbavoor. In

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July 11, 1959, the Bank was licensed under Sec.22 of the Banking Companies Act, 1949. The Bank floated several kuries one after another. They also introduced several new deposit schemes during the same period. In the year 1964, the Bank took over the assets and liabilities of the Chalakudy Public Bank Ltd, The Cochin Union Bank Ltd and The Alleppey Bank Ltd. In the year 1965, the St.George Union Bank Ltd was amalgamated merged with the Bank. In the year 1968, The Marthandom Commercial Bank Ltd was amalgamated with the Bank. In the year 1970, the Bank became a Scheduled Commercial Bank. In the year 1973, the Bank became an Authorized Dealer in Foreign Exchange and the International Banking Department of the bank was started functioning from Mumbai. In the year 1975, the Bank opened 53 branches. In the year 1976, they opened 42 branches. In the year 1982, the Bank shifted the International Banking Department to Cochin as part of consolidation and centralization of activities.

As part of the organization redesigning recommended by National Institute of Bank Management (NIBM), the Agricultural Finance Department was set up in head office in November 1984. In July 1985, the Bank set up Personnel and Industrial Relations Department. Also, they installed the first Advanced Ledger Posting Machine (ALPM-a Wipro banker) at Br.Aluva-Bank Junction branch. In the year 1987, they inaugurated the administrative building complex. In the year 1989, the Bank entered into the Merchant Banking Operations. In March 1994, the Bank came out with the public issue. In February 17, 1997, the bank inaugurated their first ATM at Ernakulum North. In the year 2000, the Bank started their Any Where Banking (ABB) at Bangalore connecting all branches located in the Bangalore metro. They launched Depository Services in association with NSDL. Also, they commenced Internet Banking under the name of 'Fed Net' with software support from Infosys Technologies Ltd. They entered into marketing pacts with some commercial agencies for their E-commerce business. In the year 2001, the bank made a tie up with Escortel Communications to launch mobile banking services using SMS technology. Also, they launched a new deposit scheme christened as 'Suraksha' for senior

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citizens. The bank became a member of INFINET, the financial network supported by RBI. In February 2002, they set up full-fledged systems for the RBI's Negotiated Dealing Systems (NDS) at the Funds & Investment Branch in Mumbai, enabling online trading in securities. In the year 2003, the Bank unveiled the Anywhere Banking that provided the convenience of doing transactions from 300-plus interconnected branches.

In the year 2004, the Bank obtained the level of 100% interconnectivity among all their branches. Also, they launched an Equity Subscription Scheme, a new retail product for financing the IPOs and public issue applications of their own customers. The Bank joined hands with ICICI Prudential Life Insurance Company Ltd for premium collection through their branches and introduced new Fed e-Pay services. In the year 2005, JRG Securities Ltd forged an alliance with the Bank for providing loans for subscribing to initial public offers (IPOs). The bank emerged as the first bank in India to offer Real Time Gross Settlement (RTGS) across all of their branches. In September 2, 2006, Ganesh Bank was amalgamated with the Bank and the 32 branches of erstwhile Ganesh Bank of Kurundwad Ltd were successfully integrated to bank's network. During the period of 2006-07, the Bank entered into a joint venture agreement with IDBI Ltd & Fortis Insurance International N V for incorporating a Life Insurance Company under the name of IDBI Fortis Life Insurance Company Ltd. During the year 2007-08, the Bank opened their Representative office at Abu Dhabi, Capital of UAE for the gateway of the bank to the whole of Middle East and also as an interface between their existing customers of GCC countries and its Branches /Offices in India. In March 2008, the Bank's joint venture life insurance company, IDBI Fortis Life Insurance Company Ltd commenced their operation. During the year 2009-10, the Bank opened 60 new branches and 115 new ATM centres. During the year 2010-11, they opened 71 new branches and 73 new ATMs. As on March 31, 2011, the total number of branches and ATMs of the Bank increased to 743 and 805 respectively, as against 672 and 732 in the last financial year. As of March 31, 2011, the Bank had two A category branches and 78 branches designated as B category for handling the

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foreign exchange business.

Ageas

Ageas is an international insurance group with a heritage spanning more than 180 years. Ranked among the top 20 insurance companies in Europe, Ageas has chosen to concentrate its business activities in Europe and Asia, which together make up the largest share of the global insurance market.

These are grouped around four segments: Belgium, United Kingdom, Continental Europe and Asia and served through a combination of wholly owned subsidiaries and partnerships with strong financial institutions and key distributors around the world. Ageas operates successful partnerships in Belgium, UK, Luxembourg, Italy, Portugal, Turkey, China, Malaysia, India and Thailand and has subsidiaries in France, Hong Kong and UK.

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Ageas is the market leader in Belgium for individual life and employee benefits, as well as a leading non-life player through AG Insurance. In the UK, Ageas has a strong presence as the fourth largest player in private car insurance and the over 50’s market. Ageas employs more than 13,000 people in the consolidated entities and over 20,000 in the non-consolidated partnerships and has annual inflows of more than EUR 21 billion.

Ageas is an international insurance group with a heritage spanning more than 180 years. Ranked among the top 20 insurance companies in Europe, Ageas has chosen to concentrate its business activities in Europe and Asia, which together make up the largest share of the global insurance market.

These are grouped around four segments: Belgium, United Kingdom, Continental Europe and Asia and served through a combination of wholly owned subsidiaries and partnerships with strong financial institutions and key distributors around the world. Ageas operates successful partnerships in Belgium, UK, Luxembourg, Italy, Portugal, Turkey, China, Malaysia, India and Thailand and has subsidiaries in France, Hong Kong and UK.

Ageas is the market leader in Belgium for individual life and employee benefits, as well as a leading non-life player through AG Insurance. In the UK, Ageas has a strong presence as the fourth largest player in private car insurance and the over 50’s market. Ageas employs more than 13,000 people in the consolidated entities and over 20,000 in the non-consolidated partnerships and has annual inflows of more than EUR 21 billion.

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Nature of Business

Channel Agency Bankassurance Direct Marketing

Milestones

2006:-

o IDBI signs MoU with Fortis

o IDBI - Tripartite MOU with Federal Bank & Forties Insurance

o International

o IDBI, Federal Bank and Fortis Sign Joint Venture Agreement To

o Establish A New Life Insurance Company In India

2009:-

o IDBI Federal Life launches new plan for senior citizens.

o IDBI Fortis redefines endowment & money back with Incomesurance™

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o IDBI Fortis launches Termsurance™ Protection Plan

o IDBI Fortis bags bronze Dragon at 'PMAA 2009'

o IDBI Fortis Life Insurance uses an interactive application to help users easily calculate

their taxes

o IDBI Fortis launches Incomesurance™ Immediate Annuity

o IDBI Fortis launches Retiresurance™ Pension Plan

o 'IDBI Fortis' Boss-Ka-Boss bags PRCI Award

o IDBI Fortis announces Rs 250cr capital infusion

2010:-

o IDBI Federal launches brand new campaigns!

o IDBI Federal introduces a cover for loans, Loansurance®

o IDBI Federal launches Wealthsurance Milestone Plan

o IDBI Fortis Life Insurance is now IDBI Federal Life Insurance

2011:-

o IDBI Federal heralds the New Year with Childsurance

o IDBI Federal unveils 3-in-1 Lifesurance Savings Plan

o IDBI Federal launches insured wealth plan

o IDBI Federal pioneers Medical Test-free Term Plan for Seniors

o IDBI Federal launches unit linked Pension Plan

o IDBI Federal targets HNIs with Wealthsurance Premier

o IDBI Federal launches Retiresurance Guaranteed Pension Plan

o IDBI Federal-Samhita financial literacy drive a big hit in MP

2012:-

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o IDBI Federal launches a plan with double life cover and no medicals

o IDBI Federal makes its online debut

o IDBI Federal Bondsurance™ plan offers attractive guaranteed Tax-Free Returns, Life

Cover

o IDBI Federal and IDBI Bank reaches out to Surli through Termsurance Grameen

Suraksha

2013:-

o IDBI Federal breaks-even in Five years; posts maiden profit of Rs 9.24 crore

o IDBI Federal in association with Phoenix Foundation organises a trek for the physically

challenged

2014:-

o IDBI Federal launches 7 new plans

o IDBI Federal backs home grown talent; elevates Vighnesh Shahane as CEO

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Mission, Vision & ValuesVISIONTo be the leading provider of wealth management, protection and retirement solutions that meets the needs of our customers and adds value to their lives.

MISSIONTo continually strive to enhance customer experience through innovative product offerings, dedicated relationship management and superior service delivery while striving to interact with our customers in the most convenient and cost effective manner.

To be transparent in the way we deal with our customers and to act with integrity.To invest in and build quality human capital in order to achieve our mission.

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VALUES

o Transparency:Crystal clear communication to our partners and stakeholders.

o Value to Customers:A product and service offering in which customers perceive value.

o Rock Solid and Delivery on Promise:This translates into being financially strong, operationally robust and having clarity in claims.

o Customer-friendly:Advice and support in working with customers and partners.

o Profit to Stakeholders:Balance the interests of customers, partners, employees, shareholders and the community at large.

Products of IDBI Federal Life Insurance Co. Ltd.:

IDBI Federal provides many products which cater to the needs of the Indian customers. IDBI Federal products:-

WEALTHSURANCE INCOMESURANCE CHILDSURANCE LIFESURANCE

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Wealthsurance:

is a simple unit linked plan that helps you take your first step towards wealth creation and that too, with ease. What’s more, the life cover with this plan provides financial protection to your loved ones.

Eligibility Criteria

Minimum/ Maximum

Age at entry Minimum • 1 month (subject to minimum maturity age)

Maximum • 65 years (subject to maximum maturity age)

Maturity age Minimum • 18 years

Maximum • 75 years

Policy term Fixed options • 10 years, 15 years and 20 years

Premium payment term

Fixed options • 10 years and in multiples of 5 thereafter

Premium Minimum • Rs. 15,000 p.a.

Maximum • Rs. 25,000 p.a.

Premium payment mode

Fixed • Annual

Sum assured Fixed 10 times the annual premium

1. Choose your premium amount: You can select any amount, from as low as

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Rs.15,000 to Rs.25,000 as your annual premium.2. Choose how you would like to manage your investments : You can benefit

by opting for the Systematic Allocator or you can choose to manage your investments by yourself. Please refer to the graph below for working of Systematic Allocator.

3. Choose your policy term (PT): Choose the duration for which you would like to stay invested in the plan as per the available options.

4. Choose your premium payment term (PPT): Choose the duration for which you would like to pay premiums. There are 6 combinations of PPT and PT available in this plan as below.

Limited Pay Regular Pay

PT PPT PT PPT

15 10 10 10

20 10 15 15

20 15 20 20

How does systematic allocator works?

Systematic Allocator helps you achieve a balance between growth and safety on your investments. As your policy comes closer to maturity, Systematic Allocator automatically rebalances your investment to reduce the level of your investment risk. At the commencement of your policy, a significant portion of your funds is invested in the Equity Growth Fund (high risk fund) in order to increase the probability of higher returns. When your policy approaches maturity, Systematic Allocator gradually reduces the exposure to Equity Growth Fund and shifts funds to Income Fund (low risk fund). This helps reduce your investment risk related to equities. The graph below represents the change in proportion of investment in Equity Growth Fund and Income Fund with respect to the residual time to maturity.

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Main Features:

Systematic Allocator to help you build wealth with ease

You have two options of managing funds in Wealthsurance Suvidha. You can either manage the funds yourself or opt for Systematic Allocator. If you opt for Systematic Allocator, you will enjoy a balance between growth and safety. In the early policy years, your investment will have a higher exposure to equity. This will help your investments have the potential to earn you higher returns. As the policy approaches maturity, your investment will be automatically rebalanced to reduce the exposure to equity. This ensures that your investment is protected from the ups and

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downs of the equity markets.

Option to choose how long you want to stay invested

With Wealthsurance® Suvidha, you can choose the policy term (PT) which is the duration for which you want to stay invested. In addition, you can also choose how long you want to pay your premiums by choosing the premium payment term (PPT) most suited to your needs. Please refer to the product brochure for combinations of PT and PPT available.

Guaranteed loyalty additions to boost your wealth*

At the end of the 10th policy year and every 5 years thereafter, you get guaranteed loyalty additions to boost your wealth.

Financial protection against uncertainty

In case of an unfortunate death during the policy term, your nominee gets the death benefit which is the sum assured or the fund value at that time, whichever is higher. At any time during the policy term, the death benefit will be more than 105% of all premiums paid.

Partial withdrawals for emergency fund requirements

In case of a financial emergency, you can make partial withdrawals from your funds any time after the 5th policy year. For more information on partial withdrawals, please refer to the product brochure.

Two tax benefits

The premiums you pay under Wealthsurance® Suvidha are eligible for tax benefit under Sec 80C of the Income Tax Act, 1961. The maturity benefit and death benefit are also tax free under Sec 10(10D).

Flexibility to switch funds and investment options

You can switch your investment option between Systematic Allocator and

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managing your funds by yourself. Also, if you are managing your funds yourself, you can also switch from one fund to the other.

Option to surrender

Wealthsurance® Suvidha also provides the feature of surrendering the policy free of charge after the 5th policy year. A surrender amount equal to the fund value as on date will be paid out. Discontinuance charge will be applicable for policies surrendered within the first 5 years of the term.

Exclusive funds for loved ones

By endorsing your Wealthsurance® Suvidha policy under the Married Women’s Property Act, 1874, you can create an exclusive fund for your loved ones which is legally protected from creditors and claimants.

Incomesurance:

is a money-back plan that gives you the confidence of guaranteed income. You pay for 7 years and start reaping the benefits from the 8th year onwards with the annual payouts ranging from 126.66% to 143.23% of premiums paid. Additionally, you can also guarantee a secure future for your family even when you are not around.

Criteria Minimum Maximum

Age at Entry (as on last birthday)

10 years* 50 years

Age at Maturity (as on last birthday)

24 years 64 years

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Premium Amount Rs 35,000 annually Rs. 20,00,000 annually

Policy term Fixed – 14 years

Premium payment Term Fixed – 7 years

Premium Payment Mode Annual

To help you understand this better, let us take the example of Mr. Mohit aged 20 years. Mr. Mohit decides to invest Rs. 2,00,000 per annum in his Incomesurance plan. He invests this amount every year for the first 7 years of his policy. From the end of the 8th policy year, he starts receiving his Guaranteed Annual Payouts of Rs. 2,86,000 every year till the 14thyear of his policy.

Premiums are payable at the beginning of the year and payouts at the end of the

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year.The premium mentioned here is excluding service tax and for a healthy individual.

Guaranteed annual payouts are a defined percentage of your premium, based on your age at entry and premium amount. The table given below shows the rates corresponding to age:

Age at Entry(Last Birthday)

Premium < Rs. 1,00,000

Premium ≥ Rs. 1,00,000 & <2,00,000

Premium ≥ Rs. 2,00,000

Age at Entry (Last Birthday)

Premium < Rs. 1,00,000

Premium ≥ Rs. 1,00,000 & <2,00,000

Premium ≥ Rs. 2,00,000

10 139.26% 142.31% 143.23% 31 138.06% 141.28% 142.15%

11 139.26% 142.31% 143.23% 32 137.71% 140.94% 141.81%

12 139.26% 142.31% 143.23% 33 137.71% 140.94% 141.81%

13 139.26% 142.31% 143.23% 34 137.25% 140.48% 141.35%

14 139.26% 142.31% 143.23% 35 136.98% 140.21% 141.08%

15 139.02% 142.31% 143.23% 36 136.66% 139.89% 140.77%

16 139.02% 142.31% 143.23% 37 136.31% 139.54% 140.42%

17 139.02% 142.31% 143.00% 38 135.91% 139.15% 140.03%

18 139.02% 142.31% 143.00% 39 135.48% 138.72% 139.60%

19 139.02% 142.05% 143.00% 40 134.99% 138.24% 139.12%

20 138.80% 142.05% 143.00% 41 134.46% 137.72% 138.59%

21 138.80% 142.05% 143.00% 42 133.88% 137.14% 138.01%

22 138.80% 142.05% 143.00% 43 133.23% 136.50% 137.38%

23 138.80% 142.05% 142.75% 44 132.52% 135.79% 136.67%

24 138.80% 141.83% 142.75% 45 131.73% 135.01% 135.90%

25 138.56% 141.83% 142.75% 46 130.88% 134.17% 135.05%

26 138.56% 141.83% 142.75% 47 129.95% 133.24% 134.13%

27 138.56% 141.83% 142.49% 48 128.93% 132.23% 133.12%

28 138.31% 141.53% 142.49% 49 127.64% 131.15% 132.04%

29 138.31% 141.53% 142.49% 50 126.66% 129.83% 130.72%

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30 138.06% 141.28% 142.15%

Main features:

Enjoy Guaranteed Income:

You get Guaranteed Annual Payouts ranging from 126.66% to 143.23% of your annual premium irrespective of market conditions.

Limited premium payment term:

With Incomesurance you pay premiums only for the first 7 policy years and enjoy Guaranteed Annual Payouts from the 8th to the 14th policy year.

Protection of Critical Illness Benefit:

In an era of growing health concerns and uncertainties, this benefit offers you a financial cushion against a pre-defined list of illnesses.

Life Cover:

You get a life cover for the complete policy term of 14 years. In the unfortunate case of an eventuality during this period, your family will get a lump sum amount regardless of any guaranteed annual payouts or Critical Illness Benefit received earlier.

Tax Benefits:

You can avail tax deduction under Section 80C on the premiums you pay towards your Incomesurance 7 pay plan. Also the benefits you receive under this plan attract tax benefits under Section 10(10D) of the Income Tax Act, 1961.

Flexibility to choose your premium amount:

You can decide your annual premium amount basis the Guaranteed Annual Payouts desired, and the quantum of financial protection you want for your family.

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Childsurance:

Whether your child wants to be a doctor, an engineer, an MBA, a sportsman, a performing artist, or dreams of being an entrepreneur, the IDBI Federal Childsurance Dream builder Insurance Plan will keep you future-ready against both, changing dreams and life’s twists. It allows you to create build and manage wealth by providing several choices and great flexibility so that your plan meets your specific needs. However, what makes Childsurance a must-have for any parent who is looking to make their child’s future shock-proof is its powerful insurance benefits.

This plan ensures your child’s future financial needs are fulfilled. Childsurance, is designed to give you guaranteed annual payouts and aid the important milestones in your child’s life. What’s more, in the unfortunate event of you not being around, the policy will continue exactly as you had planned it, without any further premiums being paid. .In other words, this plan ensures that your child gets to live his/her dream exactly as you have planned, whether or not you are around.

Age at entry - Insured Person (Parent)

Minimum 18 years

Maximum Regular payment option: 40 yearsLimited payment option: 50 years

Age at entry - Nominee (Child)

Greater than one month and less than 18 years of age

Maturity age (Insured Person)

Minimum 28 years

Maximum Regular payment option: 65 Years

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Limited payment option: 75 years

Policy term Minimum 10 years

Maximum 25 years

Premium payment term Regular payment option: Equal to policy termLimited payment option: 5 years less than the policy term

Premium payment frequency

Yearly, and monthly by ECS, standing instructions or direct debit only

Premium(exclusive of service tax and education cess)

Minimum Yearly: Rs.16,000, Monthly: Rs.1,000 Loading factor of 0.09 is applicable for monthly premium payment frequency

Maximum No limit (subject to underwriting)

Maturity Sum Assured Minimum Subject to above minimum premium

Maximum No limit, subject to underwriting

the steps given below while buying Childsurance Savings:

1. Decide the amount of guaranteed annual payouts you would need. This will depend on your plans for your child’s future.

2. Basis the amount of payouts, you should choose the Maturity Sum Assured (MSA). Guaranteed annual payouts are percentages of MSA such that sum of all guaranteed annual payouts equal to the MSA.

3. Next, choose when and for how long you would need the payouts – the difference between your child’s current age and the age at which the guaranteed annual payouts should end, will be the policy term. Accordingly, you will know whether you will get 3 or 5 guaranteed annual

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payouts. This can help you plan your child’s future better.

If you choose a Policy Term of 15 to 25 years, you will receive 5 Guaranteed annual payouts in the last 5 years of your policy with 20% of Maturity Sum Assured each year.

Guaranteed annual payouts for important milestones

Childsurance® gives you guaranteed annual payouts either in the last 3 or last 5 years of the policy, depending on the policy term you choose.

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Bonuses to add to your savings

Right from the 1st year, you get reversionary bonus. Along with reversionary bonus, interim and terminal bonuses (if any) would also be paid out at maturity.

Immediate payout of lump sum in case of your unfortunate death

In case of an unfortunate event, the death sum assured will provide for your child’s immediate needs.

Waiver of future premiums

In case of an unfortunate event of you not being around, all future premiums of the policy will be waived off.

Plan continues and benefits are paid as planned

Even in the unfortunate event of death, the guaranteed annual payouts and bonuses will be paid on their respective due dates.

Two tax benefits

Childsurance® allows you to enjoy deductions under Section 80C of the Income Tax Act, 1961 on the premiums you pay. It also gives you maturity amount that is tax-free under section 10(10D). Childsurance offers you tax benefits for all the payouts.

Flexibility to plan for your needs

With Childsurance®, you have the option of choosing the maturity sum assured, policy term, premium payment term, and payment mode as per your child’s future needs.

Exclusive fund for your loved ones

By endorsing your Childsurance® policy under the Married Women’s Property Act, 1874, you can create an exclusive fund for your loved ones

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which is legally protected from creditors and claimants.

Loan facility

In case of an emergency, you can avail of the loan facility on your policy. Loan is available once the policy attains surrender value.

Lifesurance:

is a fixed term non-linked participating plan that provides you the twin benefits of long-term savings and life cover. With Lifesurance Savings, your small savings will help you realise the big dreams that you have for yourself and your family. This plan also offers you the benefit of life cover that will provide financial security to your family in your absence.

Age at entry (last birthday)

Min 18 years

Max 55 years

Age at maturity (last birthday)

75 years

Policy terms and premium payment terms available

Policy term(s)

Premium payment term(s) available

10 years Only 5 years premium payment term is allowed

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15 , 20, 25 years

Min: 5 years Max: Equal to policy term

Premium payment frequency Yearly, half yearly, quarterly and monthly

Premium Min Yearly Rs. 10,000, Half Yearly Rs. 5,000, Quarterly Rs. 2,500 and Monthly - Rs. 1,000

Max No limit (subject to underwriting

Maturity sum Insured

Min Depends on age, premium payment and policy term

Max No limit (subject to underwriting)

Main Features:

Lump sum payout at Maturity

At maturity, you receive maturity sum insured (guaranteed from the day of commencement of the policy), plus vested guaranteed additions, plus vested reversionary bonuses, plus interim bonus and terminal bonus (if any).*

Guaranteed Additions to safeguard your savings**

Lifesurance gives you the benefit of guaranteed additions that safeguards your investment. In the first 5 years of the policy, you get guaranteed additions at the rate of Rs. 50 per Rs. 1,000 of maturity sum insured, for each full annual premium paid when due.

Bonuses to boost your savings

From the 6th policy year, your Lifesurance policy will receive reversionary

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bonus which will be accrued to your policy at the end of each policy year. If your policy has any terminal bonus, it will be paid out at maturity or on death.

Flexibility to plan for your needs

You have the freedom to choose the right combination of policy term and premium payment term as per your needs.

Double Protection – Accidental Death Benefit#

Your nominee will get an additional payout in the unfortunate event of an accidental death during the premium payment term.

High Sum Insured Rebate

Lifesurance offers attractive premium discounts, if you opt for a maturity sum insured of Rs. 10 lac and above.

Advantage Women

Lifesurance offers an additional premium discount for female lives. The premium payable for a female policyholder will be equivalent to the premium for a corresponding 3 year younger male policyholder.

Exclusive funds for loved ones

By endorsing your LIfesurance policy under Married Women’s Property Act, 1874, you can create an exclusive fund for your loved ones which is legally protected from creditors and claimants.

Loans

The policy has loan provision of upto 85% on the policy’s surrender value.

Tax Benefits

Lifesurance allows you to enjoy deductions under section 80C(of the Income Tax Act,1961) on all premiums paid. The maturity benefit and the

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death benefit are also tax-free under section 10(10D).(of the Income Tax Act,1961)

Size of the company

In terms of manpower

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The Company has a strong and committed team of 2,283 employees as of March 31, 2015 and over 10,000 agents who are working for the company.

In terms of Turnover

The size of the company in terms of turnover is approximate 1000 crore.

The achieved its break even in just 5 years and is making huge profits.

Market Share & Position of the company

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Market Share of all life insurance companies in India end of march 2012:

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Market Position

8th ranking for single premium against 14th recorded last year (13-14). 13th rank in new business (individual life)

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Organizational Structure

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Objective of the study

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To find out whether the current Advertising strategies are effective in attracting people.

To find out what type of ads the customers like with respect to insurance products.

To find why company doesn’t advertise aggressively throughout the year. To suggest a new way of advertising for the company based on people’s

awareness about the brand IDBI Federal life insurance co ltd. To suggest the company to advertise regularly in order to increase market

share. Also to suggest that company should advertise on platform where most

audience are To make an effective advertising strategy for the company.

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Source of Data collection

Primary Data

I’ll be collecting the primary data by collecting information from the customers through structured Questionnaire and also through face to face & by share the questionnaire online with customers.

Secondary Data

I’ll be collecting secondary data through internet, company’s website, articles, blogs, newspaper, magazines etc.

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SWOT Analysis

Strength

o Productso 9.24 crore B.E.P. in 5 yearso 2nd company to achieve such successo Brand name

Weakness

o National level advertisemento Low frequented promotional activities.o Low awareness among rural people

Opportunity

o Market expansion.o Still around only 6 percent of the market is insuredo To track the uncovered rural areas

Threat

o Tough competition from market leader LICo IRDAI interventiono FDI limit increased to 49%.

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Data collection in field of marketing

Questionnaire:

1. What is your gender ?( ) Male( ) Female

Findings

The same size is almost equally balance among the two genders.

2. What is your age ?( ) 20-25( ) 26-30( ) 31-35( ) 36-40( ) 40 & above

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Findings Most of the respondent is between the age of 20-25

3. What is your profession ?( ) Professional – Doctor, Lawyer, CA, CS etc( ) Businessman( ) Employee ( ) Student

Findings Most of the respondent are students and few are employees

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4. You belong to which income group?( ) Below 1 lac( ) 1 lac-2.5 lac( ) 2.51 lac-4 lac( ) 4.01 lac-6 lac( ) 6.01 lac & above

Findings A huge size of respondents belongs to below 1 lac income group also 16% of respondent belongs to income group more than 6 lac.

5. Do you have any insurance ?( ) Yes( ) No

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Findings56% of people are insure among all the respondents but still 44% of aren’t that shows that there is huge potential in market.

6. Do you plan to invest in any insurance policy in the near future?( ) Yes( ) No

Findings48% of respondents are planning to invest real soon again a sign of potential in market.

7. If yes, what options do you have in your mind? ( ) Life Plan ( ) ULIP Plan( ) Child Plan( ) Retirement Plan

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Findings Most the respondents are planning to invest in LIFE PLAN which is 64%.

8. From which insurance company you would like to buy?( ) IDBI federal( ) LIC( ) SBI life insurance( ) HDFC life insurance( ) ICICI prudential( ) Max insurance

FindingsAs expected most of the respondents want to invest in LIC but also 36% of people have shown interest in IDBI as well which is again a positive sign.

9. How did you secure your first insurance policy?( ) By Force (Influenced by others)( ) Own Choice

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Findings75% of the people buys insurance by the own choice rather than being forced

10.Have you heard of IDBI federal life insurance company ?( ) Yes( ) No

Findings

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75% of people knows about the IDBI Federal life insurance company.

11.If yes, then mention the source from where you have heard?( ) TV ad( ) Newspaper/Magazine( ) Internet( ) Personal E-mail/ SMS( ) Word of mouth( ) From IDBI Federal’s salesperson( ) Others

FindingsMostly its from the IDBI federal’s salesperson from whom customer came to know about the company and then its the TV.

12.Which of the following IDBI Federal product have you heard of?( ) Incomesurance( ) Lifesurance( ) Wealthsurance( ) Childsurance

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Findings

Lifesurance is the most product known among the customers.

13.Do you know any of the following unique features and benefit of IDBI federal life insurance?( ) tax reduction( ) guaranteed annual payout( ) endowment or money back( ) flexible payout option( ) premium payment option( ) lump sum cover option( ) none of them

Findings

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IDBI is know among the customers for its Tax reduction feature mostly but also a big part of respondents doesn’t know any of the features that shows lack of awareness about the IDBI products among the customers.

14.If you are not interested to buy IDBI FEDERAL insurance policy, can you please write the reason?___________________________________________________

Findings

The common reasons of not going for IDBI is the most has the Trust issues with IDBI and Low returns.

15.On which media you spend most of your time?( ) Television( ) Internet ( ) Radio

Findings Mind bogglingly 88% of the people spends their time on Internet.

16.On which social media you spend most of your time?( ) Facebook

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( ) Twitter( ) Youtube( ) Instagram( ) Snapchat

FindingsFacebook is the most used social media and YouTube and Instagram comes after it.

17.Which mode of advertisement attracts you most? ( ) Newspaper ( ) Television59 ( ) magazine ( ) Online advertisements ( ) Hoardings/posters ( ) Others

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FindingsOne more times it proves that ONLINE mode advertisement attracts the most.

18.What type of magazine do you read often? (Please tick one or more)( ) Sports( ) Business( ) Fashion( ) Education( ) Entertainment and Film( ) Automobiles( ) Others

Findings

Most of the people likes to read Sports and Fashion magazines.

19.Which newspaper do you read often? (Please tick one or more)( ) The Hindu

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( ) The Times of India( ) The Statesman( ) The Economic Times( ) The Telegraph( ) Deccan Herald( ) Others

Findings

Most of the people prefer to read The Times of India then The Hindu and The Economic Times.

20.You spend maximum time on which channel while watching television?( ) News Channels( ) Sports Channels( ) Music Channels( ) Movie Channels( ) Entertainment & lifestyle Channels( ) Science & discovery related Channels( ) Other Channels

Findings

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Most of the respondents spend their time on Music and Sports channel when they watch tv.

21.Which type of advertisement attracts you most?( ) Animation( ) Originality( ) Humor0( ) Humor( ) Storyline / concept

( ) Celebrity endorsement Findings

Audience wants to see story/concepts type ads not random types plus another favourite type of ads which customer wants to see Animation ones.

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22.In which way would you want to receive information related to Insurance?( ) Print Ad( ) Magazine Ad

( ) Hoardings( ) TV Ad( ) Online Ad( ) Agents

Findings

Another big finding is that people wants the advertisement on online platform and why don’t they that’s where people spend most of their time.

23.On which channel you saw Insurance ad mostly?( ) News Channels( ) Sports Channels( ) Music Channels( ) Movie Channels( ) Entertainment & lifestyle Channels( ) Science & discovery related Channels( ) Other Channels

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FindingsAccording to this News channel and Entertainment channels are most used by insurance companies for advertising their products.

24.Which company Ad you find mostly in the media?( ) LIC.( ) Bajaj Allianz.( ) ICICI Prudential.( ) IDBI Federal.( ) Birla Sun life.( ) SBI Life.( ) Max insurance( ) Others, Please specify _________________________________

Findings

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LIC’s ads are the most spotted and then ICICI while on the other hand IDBI ads are harldy being spotted as IDBI doesn’t advertise much throughout the year.

25.The Insurance ads message is relevant to you ?( ) Yes( ) No

Findings Most of the people finds the messages of ads relevant to them.

26.How often did you see IDBI Federal advertisement in Television in last month?( ) 0( ) 1-3( ) 4-7( ) More than 7

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Findings

Another eyebrow raising finding is that 60% of respondents has not seen the advertisements of IDBI at all which is a big worry.

27.How did you describe the advertisement? (If you have seen any advertisement of IDBI Federal, then only answer this question)( ) Convincing( ) Just for the purpose of sale( ) Building relationship between company & consumer( ) satisfying your needs

Findings

One positive thing has come out that most of the respondents finds advertisement of IDBI are relationship building, which is a positive thing.

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28.Do you feel you need to see more advertisements to know about the products of IDBI Federal?( ) Yes( ) No

Findings

More than 70% respondents wants to see more advertisement to know more about the product.

29.Rate on the scale of 1 – 5, Brand Name influences you to take decision on buying the policy? (1 being least influential and 5 being most influential)

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Findings

In the above graph we can notice that Brand Name is another big factor that influences the customer and IDBI have already that advantage

30.Rate on the scale of 1 – 5 Advertisement influences you to take decision on buying the policy? (1 being least influential and 5 being most influential)

FindingsAnother big factor that influences the most of consumer’s buying decision is Advertising.

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31.Rate on the scale of 1 – 5, Policy features influences you to take decision on buying the policy? (1 being least influential and 5 being most influential)

Findings Policy feature are another factor that highly influence the customer’s buying decision .

32.Rate on the scale of 1 – 5, Agent’s persuasion influences you to take decision on buying the policy? (1 being least influential and 5 being most influential)

FindingsAs we can see in graph we can notice people to feel like that agent’s persuasion is what makes them buy the policy.

33.Do you think IDBI Federal advertise more in order to keep its high presence in the market?

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( ) Yes( ) No( ) No need

FindingsIn above pie chart we can see that 40% respondents wasn’t IDBI to advertise more rather than just advertising FED – MAR.

34.Do you think IDBI federal needs to have more presence in Facebook and Twitter?( ) Yes( ) No( ) Maybe

Findings

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Respondents do feel like that IDBI should have more presence in Facebook and Twitter, as most of the competition is at the both platforms.

35.Do you think IDBI federal needs to have a mobile app?( ) Yes( ) No

Findings

The 80% respondents feels that IDBI should have its own mobile app from where they can gain knowledge about company’s product and etc

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Promotional activities adopted by IDBI FederalTheoretical background

Promotion it is an action taken by a company's marketing staff with the intention of encouraging the sale of a good or service to their target market. For example, product promotion performed by a typical business might take the form of advertising the product in question via print or Internet ads, direct mail or e-mail letters, trade shows, telephone and personal sales calls, TV and radio ads, billboards, posters and flyers. Promotion is one of the market mix elements, and a term used frequently in marketing. These elements are: Personal selling, Advertising, Sales promotion, Direct marketing and Publicity

A promotional mix specifies how much attention to pay to each of the five subcategories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product

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acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image. Fundamentally, however there are three basic objectives of promotion. These are:

1. To present information to consumers as well as others.

2. To increase demand.

3. To differentiate a product

Introduction:

Promotion is one of the four elements of marketing mix (product, price, promotion, and place). It is the communication link between sellers and buyers for the purpose of influencing, informing, or persuading a potential buyer's purchasing decision.

The following are the three types of promotion:

1. Above the Line (ATL) Promotion: Refers to promotional activities done at macro level. It is done at national, regional or at bigger territory level and mass audience is covered in this type of promotion. A brand image is created about the company and its product. Media such as television, cinema, radio, newspapers, and magazines are used to create an impact about the company and its product. ATL communication is more of conventional in nature.

2. Below the Line (BTL) Promotion: It is unconventional in nature, done at micro level and forms part of non-media communication. Measures include direct mailing, distribution of flyers, brochures, and usage of sponsorships, public relations, telemarketing, point of sale and conducting activities and campaigns for a specific audience. Today, ATL is used for branding effect, to generate mind share while BTL is used to generate loyalty and repeat sales. ATL is tailored for mass audience while BTL promotions are targeted at individual level according to their needs and preferences. ATL promotions are difficult to measure while BTL are measurable in terms of sales and feedback and it gives marketers valuable insights on their return on investment (ROI). Since BTL focus is targeted and

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customer centric, it is efficient and cost effective, apt for start-ups. Social networking sites such as face book, twitter, my space, you tube help generate leads and enable companies to develop eCRM and use data in a varieties of ways. Though, social media is an integral part of BTL activity today, but it beats even television, audio, magazines in creating brand value in terms of numbers and is way more rewarding.

3. Through the Line (TTL) Promotion: “Through the line” refers to an advertising strategy involving both above and below the line communications. This strategic approach allows brands to engage with a customer at multiple points (for example, the customer will see the television commercial, hear the radio advert and be handed a flyer on the street corner). This enables an integrated communications approach where consistent messaging across multiple media create a customer perception. The advent of social media has blurred the ‘line’ segregating the marketing techniques.

These days, companies use an integrated approach involving both ATL and BTL and it is called Through The Line (TTL) approach. This approach allows brands to engage with their customers at multiple points and thus generate a solid perception regarding the company and the product, the main aim of Marketing.

Promotional strategies of IDBI Federal life insurance Co.

The last time when IDBI Federal Life Insurance advertised on print and outdoor, it was known as IDBI Fortis. Amish Tripathi, national head marketing and product management, explained, "Earlier, the shareholding was 48 per cent IDBI, 26 per cent Federal Bank and 26 per cent Fortis. The shareholding remains the same, but due to a restructuring six months ago, Fortis has become Ageas .Now the team thought they had to rebrand in any case [from IDBI Fortis to IDBI Federal], this was a good opportunity to give the Indian brand a lot of prominence, since Federal is a known brand."

There has been no shift in the positioning as such, but there is a change in the treatment seen in the new campaign, which has been created by Ogilvy &

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Mather. The strategy has always been to focus on the products. IDBI federal believes its products are their differentiator and they add tremendous value to the consumer. The company has tried to communicate the benefits of its products in a humorous manner, where it’s a little more lighthearted. Otherwise, insurance films can be a little heavy.

In January, 2011 IDBI Federal life insurance launched its wealthsurance plan. In the first one, a thief catches hold of an IDBI agent in a dark alley. And while the camera pans out, you expect the worst to happen to the poor agent. But later we discover, like a true salesman, the dude not only survives, he manages to sell the 'Wealthsurance' Plan to the thief.

Punch line: 'IDBI Federal ka Wealthsurance- Jisne bhi suna, kharid liya'. In the second advertisement a wealthy businessman decides to forsake all his material possessions to embark on a spiritual journey, much to the dismay of his near and dear ones. Just as he's leaving, however, an IDBI Federal representative arrives for his appointment with the man and proceeds to tell him all about the Wealthsurance Milestone Plan. The man changes his mind about leaving and asks his assistant for his cheque book instead. The voiceover then says, "Jisne bhi suna, khareed liya [Whoever heard of it, bought it]."

'A Suitable Boy', a young man is grilled about his future plans for the girl he wants to marry, by her protective father and brother. He responds with specific things he will gift her on the exact dates it will happen in the coming years. The voiceover reveals it's because he has "Guaranteed income ki exact bhavishyawani" with IDBI Federal Incomesurance. When asked whether humor in selling financial products is a trend that would continue in 2011, Abhijeet Avasthi, national creative director of Ogilvy & Mather, said, "There’s no one way of doing it. Some insurance players work in the warm, emotional area, there are some who play in the realistic, borrowed from life insight area, and some who play more on doing stuff which brings a smile and breaks

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clutter. Different players have different objectives. In this case, IDBI Federal knew they wanted to dramatize the product benefit, give enough importance to the nomenclature, and do it in a clutter breaking way."

The plan is positioned as "the child plan that does not fail" with the tagline, 'Plan Jo Fail Na ho'. The ads showcase people who missed their calling in life when they were unable to get admission for higher education due to lack of funds and this is told through two ads with IDBI Federal's trademark humorous storyline. The campaign is conceptualized by Ogilvy & Mather and executed by Curious Films, and aims to differentiate Childsurance from other methods of planning for children's education which may fail if they fall short at the last minute.

IDBI Federal Life’s television commercials focused on its frontline products – Wealthsurance and Incomesurance. The campaign taglines are “Jisne bhi suna khareed liya” and “Guaranteed Income ki Bhavishavani…” Whereas the first advertisement reflects that the product is so great that whoever hears about it, buys it instantly, the second advertisement promises to be clear and transparent on the issue of returns in the investment product. IDBI Federal has also introduced two animation characters by the name of Happy and Lucky to promote the brand.

PROMOTIONS STATS AT IDBI FEDERAL LIFE INSURANCE COMPANY LIMITED

Following are the main ways in which IDBI Federal life Insurance company ltd promotes its products/services and creates awareness in the market.

PRINT MEDIA: The main ways of advertising via print media are as follows: Newspaper

PAPER PAGE COST (IN Rs.)Economic times 3rd 320 per sq. cmTOI 3rd 320 per sq. cmHindu 1st 400 per sq. cm

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HoardingsAs of now, the total number of hoardings which are put up in Hyderabad region counts to a good 17 number.

COST (IN Rs.) TIME LEASE4,00,000 3 months

Pamphlets Pamphlets are distributed across India at least 5 times in a month without any cost. It’s done to create maximum awareness about the products/services.

Magazines There is no specific magazine in which advertisement is given. Its given in magazines depending upon their sales and reputed magazines like Outlook, Money etc. The advertisement is given every month at least once in any magazine.

TELEVISION Mainly, the advertisement is shown on cricket channels, Star channels. The main promotions were done during FEB & MARCH to: Highlight Tax benefits. To combat competition as all the Insurance companies would advertise

during this time at a great frequency.

Also the company started displaying their advertisements on Satellite TV like SUN network, etc.

CREATING TV COMMERCIAL: The complete cost of making a commercial which includes all the equipments, actors, etc is approximately Rs.20 lacs. The company has tie-up with Ogilvy and Mather as its advertising agency along with Equinox (TLG) as its media partner. The life of usage of a single television commercial is 2 years.

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RUNNING THE TVC: Following are the costs associated with running the TVC:

REGION/CHANNEL COST (IN Rs.) DURATION/SLOTTamil Nadu 45,000 10 secondsLocal channels 6,000-8,000 10 secondsCricket channels 60,000 Onwards 10 seconds

Mainly the ads are shown in between TV soaps and Cricket matches to gain attention of the consumers.

DISTRIBUTORS: A strong network of distributors and parent advisors also helps a lot in promoting products/services of IDBI Federal by WORD OF MOUTH. A Viral campaign is also run on the Internet by wherein flash videos of working of products is explained in a very humorous manner. The same is shown on www.bosskaboss.com

LOCAL EVENTS: Some great events are also conducted in and out the city to create more awareness about the IDBI Federal and free gifts are given wherein local marketing people interact with the prospects and try to gauge their financial needs and respectively pitch the products. The overall costs associated with such events totals to Rs.2,00,000 per annum such events are mainly conducted in Apartments, Schools, etc.

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http://www.bosskaboss.com/


Balance Sheet of the Company

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Cash flow statement

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P & L Statement

Marketing mix

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The term insurance marketing refers to the marketing of Insurance services with the aim to create customer and generate profit through customer satisfaction. The Insurance Marketing focuses on the formulation of an ideal mix for Insurance business so that the Insurance organization survives and thrives in the right perspective.

The marketing mix is the combination of marketing activities that an organization engages in so as to best meet the needs of its targeted market. The Insurance business deals in selling services and therefore due weight age in the formation of marketing mix for the Insurance business is needed.The marketing mix includes sub-mixes of the 7 P’s of marketing i.e. the product, its price, place, promotion, people, process & physical attraction. The above mentioned 7 P’s can be used for marketing of Insurance products, in the following manner:

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PRODUCT:

A product means what we produce. If we produce goods, it means tangible product and when we produce or generate services, it means intangible service product. A product is both what a seller has to sell and a buyer has to buy. Thus, an Insurance company sells services and therefore services are their product. When a person or an organization buys an Insurance policy from the insurance company, he not only buys a policy, but along with it the assistance and advice of the agent, the prestige of the insurance company and the facilities of claims and compensation. It is natural that the users expect a reasonable return for their investment and the insurance companies want to maximize their profitability. Hence, while deciding the product portfolio or the product-mix, the services or the schemes should be motivational. IDBI Federal provides many products which cater to the needs of the Indian customers. IDBI Federal products:-

Wealthsurance Childsurance Incomesurance Lifesurance

PRICING:

In the insurance business the pricing decisions are concerned with:

i) The premium charged against the policies

ii) Interest charged for defaulting the payment of premium and credit facility, and

iii) Commission charged for underwriting and consultancy activities.

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With a view of influencing the target market or prospects the formulation of pricing strategy becomes significant. In a developing country like India where the disposable income in the hands of prospects is low, the pricing decision also governs the transformation of potential policyholders into actual policyholders. The strategies may be high or low pricing keeping in view the level or standard of customers or the policyholders. The pricing in insurance is in the form of premium rates.

The three main factors used for determining the premium rates under a life insurance plan are mortality, expense and interest. The premium rates are revised if there are any significant changes in any of these factors.

Mortality (deaths in a particular area): When deciding upon the pricing strategy the average rate of mortality is one of the main considerations. In a country like South Africa the threat to life is very important as it is played by host of diseases.

Expenses: The cost of processing, commission to agents, reinsurance companies as well as registration are all incorporated into the cost of instalments and premium sum and forms the integral part of the pricing strategy.

Interest: The rate of interest is one of the major factors which determine people’s willingness to invest in insurance. People would not be willing to put their funds to invest in insurance business if the interest rates provided by the banks or other financial instruments are much greater than the perceived returns from the insurance premiums.

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PLACE:

This component of the marketing mix is related to two important facets

i) Managing the insurance personnel, and

ii) Locating a branch.

The management of agents and insurance personnel is found significant with the viewpoint of maintaining the norms for offering the services. This is also to process the services to the end user in such a way that a gap between the services- promised and services offered is bridged over. In a majority of the service generating organizations, such a gap is found existent which has been instrumental in making worse the image problem. The transformation of potential policyholders to the actual policyholders is a difficult task that depends upon the professional excellence of the personnel.

The agents and the rural career agents acting as a link, lack professionalism. The front-line staff and the branch managers also are found not assigning due weight age to the degeneration process. The insurance personnel if not managed properly would make all efforts insensitive. Even if the policy makers make provision for the quality up gradation, the promised services hardly reach to the end users.

It is also essential that they have rural orientation and are well aware of the lifestyles of the prospects or users. They are required to be given adequate incentives to show their excellence. While recruiting agents, the branch managers need to prefer local persons and provide them training and conduct seminars. In addition to the agents, the front-line staff also needs an intensive training programmed to focus mainly on behavioral management. Another important dimension to the Place Mix is related to the location of the insurance branches.

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While locating branches, the branch manager needs to consider a number of factors, such as smooth accessibility, availability of infrastructural facilities and the management of branch offices and premises. In addition it is also significant to provide safety measures and also factors like office furnishing, civic amenities and facilities, parking facilities and interior office decoration should be given proper attention.

Thus the place management of insurance branch offices needs a new vision, distinct approach and an innovative style. This is essential to make the work place conducive, attractive and proactive for the generation of efficiency among employees. The branch managers need professional excellence to make place decisions productive. IDBI Federal has around thousands and thousands of insurance agents all over India to manage their regional customers effectively. Also, IDBI Federal has over 796 branches all over India which help in increasing their customer base.

PEOPLE:

Understanding the customer better allows in designing appropriate products. Being a service industry which involves a high level of people interaction, it is very important to use this resource efficiently in order to satisfy customers. Training, development and strong relationships with intermediaries are the key areas to be kept under consideration. Training the employees, use of IT for efficiency, both at the staff and agent level, is one of the important areas to look into. IDBI Federal has created various financial products which have been tailored according to the needs of the customers. They have over thousands of sales personnel who are trained efficiently to bridge in the gap between the customers and the company.

PROCESS:

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The process should be customer friendly in insurance industry. The speed and accuracy of payment is of great importance. The processing method should be easy and convenient to the customers. Instalment schemes should be streamlined to cater to the ever grow.

Promotion:

The insurance services depend on effective promotional measures. In a country like India, the rate of illiteracy is very high and the rural economy has dominance in the national economy. It is essential to have both personal and impersonal promotion strategies.

In promoting insurance business, the agents and the rural career agents play an important role. Due attention should be given in selecting the promotional tools for agents and rural career agents and even for the branch managers and front line staff. They also have to be given proper training in order to create impulse buying. Advertising and Publicity, organization of conferences and seminars, incentive to policyholders are impersonal communication. Arranging Kirtans, exhibitions, participation in fairs and festivals, rural wall paintings and publicity drive through the mobile publicity van units would be effective in creating the impulse buying and the rural prospects would be easily transformed into actual policyholders.

IDBI Federal has also adopted various promotional strategies like:

Commercial Ads Print Ads Events Personnel selling Word of mouth

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viral marketing

FINDINGS and RECOMMENDATION

Findings

Company still lacks in creating awareness among the customers.

Customer knows about the brand IDBI Federal Life insurance but hardly

about its product and their features.

Though brand name plays an important role in influencing the customer

but also advertisement play even bigger role.

There is hardly any presence of company on online platform where the

huge portion of population spends their most of time, also they find online

advertisement more attractive than TV.

60% of people do insurance for tax saving and other 40% to cover risks and

uncertainties and this shows that the company’s strategy to only

advertising in the month of FEB & MAR because that’s time people go for

tax savings and all is not so fully good enough.

Recommendations

The suggestions have been classified into two categories.

Action oriented suggestions

People oriented suggestions

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ACTION ORIENTED SUGGESTIONS

An intense AIDA model needs to be adopted the AIDA model (Awareness,

Internet, Desire and Action). As it helps in creating awareness of majority of

products of IDBI FEDERAL Life Insurance Co. Ltd. to the customers.

Print & Electronic Media Advertisement should be done (as we can see

intense ad campaign of HDFC Standard Life & Bajaj Allianz.)

Hoardings at prime areas should be used.

Company should try to make their customers satisfied through their

advertisements about their product.

Company should go for Online campaigns and show their presence on

facebook and twitter.

Company should advertise throughout the year as a reminder and

aggressively in the months of FEB & MAR.

In order to increase market share advertising on all the platforms

throughout the year is very important, company should aim to increase it

market share 0.3% every year and this can only be achieved through

consistent advertising.

PEOPLE ORIENTED SUGGESTIONS

Creating offers like lucky draws for the users of internet.

Giving free gifts for the customer.

Suggested Marketing Mix

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1. Product Insurance policy is a customer resistant product. The Indian economic environment have changed a lot after 1999. The GDP growth rate of India in the last decade was very high and hence the consequence of which, we saw substantial growth in inflation rate. Hence, now even a common man thinks about investment which will give him better return to cope with inflation. So, nowadays customer thinks a lot about the rate of return on his investment. If we made a product which just gives customer life cover but not the return of investment then this product have a very little chances of being liked by customers. Most of the LIC life insurance policies are very poor in terms of rate of return. Hence after liberalization like the other private companies, IDBI should also create policies which will give a higher rate of return.

The Incomesurance policy has a higher rate of return as compared to the other non-linked LIC policies. But there are few private insurance companies who offer products which gives better return of investment than Incomesurance. Now, SBI life insurance is also coming up with products who had advantage over Incomesurance in terms of rate of return as well as life cover. In future SBI life insurance can be a tough competitor for IDBI federal life insurance. Most of the clients whom I met were interested to buy Incomesurance because of

Higher rate of return as compared with LIC

Additional features specially waiver of premium and flexible pat-out option

And a policy which is backed by a government owned bank i.e. IDBI bank

2. Place IDBI federal is blessed with the promoters like IDBI bank and Federal bank which together have one of the largest banking network in India. IDBI bank, being a government owned bank, has presence in many rural areas. IDBI Federal should capitalise on the infrastructure that can be provided by IDBI bank. I have visited three IDBI banks in rural areas, but I have not seen any advertisement in the form of pamphlets or posters or anything related to IDBI insurance. I suggest

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that we should have one small cabin or at least a table reserved for IDBI insurance. Hence, we can increase company’s presence in rural areas and that too in a cost effective way. The rural areas in India is a big untapped market for private sector insurance companies with presence of only one or two competitors like LIC. IDBI Federal should start extending its presence over rural areas before SBI insurance does it.

3. Price The price factors acts differently in case of urban and rural customers. As shown in my research only 20% of rural people are ready to pay more than Rs.10000 as annual premium for a single policy. And around 60% of urban people are ready to pay more than Rs.10000 as annual premium for a single policy. Hence there is a huge difference between urban and rural buying behavior considering price as a factor. I suggest that there should be different minimum premium amount allocated to an urban and rural customer. This can be decided on the basis of the address of the customer. One more suggestion is that we can give more benefits for rural customers if they are willing to pay higher annual premium.Many customers from rural area liked Incomesurance but were asking for annual premium less than Rs.10000

4. Promotion IDBI Federal is quite lagging behind its competitors in terms of promotions. Being a new company in the market, there should be aggressive promotion done. Most of the clients whom I met didn’t know about the IDBI federal life insurance. But most of them knew about IDBI bank, so it was easy for me to introduce While talking to people, I found that brand equity of LIC was far better than any other insurance companies in India. People are ready to pay more to buy LIC policy. When I tried to find out the reason behind that, I found only one major factor - LIC is a government owned company The main reason behind people buying LIC policy is the assurance of the money they have invested. They believe that being a government owned company, LIC will never cheat them. They feel there money is secure. Most of them also believe that LIC gives the best rate

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of return in the industry are reluctant to know about policies offered by other private companies. This buying behaviour is more common in rural areas. The fact that, market share of LIC in 2011 -12 is 72 % is enough to prove the point. So, the best thing IDBI Federal can do is to focus on one of their promoters i.e. IDBI bank which is a government owned bank. 75 % of the people whom I interviewed from the rural areas don’t know that IDBI bank is a government owned bank. If we want to pull people toward IDBI federal then IDBI bank should be first promoted as a government bank And the tag of IDBI bank itself will attract a lot of people. I persuaded my clients by informing them that IDBI bank is a government owned bank and it worked really well. People know SBI is a government bank, and hence SBI insurance is capitalizing on that factor. IDBI bank should also be promoted as “Government’s New Age Bank” which will not only benefit the bank but IDBI Federal Life Insurance Co. Ltd.

General Suggestions and Strategies

The Company can promote its products through social networking sites such as Facebook, Twitter and LinkedIn or other popular sites where potential customers visit frequently like news channel sites. Customers who prefer to read news online will be able to notice the ads if the ads are put in such sites.

The best television marketing opportunities would be during programs specifically aimed at the target prospects. The company can aim those channels which potential customers see regularly such as news channels or sports channels. An important promotional strategy would be to roll out advertisements during cricket matches such as IPL or one day series which will gain a lot of popularity for the products as well as the company.

Online E-mail newsletters should be sent to customers on a regular basis so as to attract potential customers and retain existing clients. The newsletters will constantly remind the clients about the products and they will re-think over their decisions while investing in insurance products and will keep IDBI federal in mind.

The company can host seminars about financial planning, understanding insurance, saving money on insurance etc.

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One more promotional strategy is advertising through hoardings and billboards in important public places like railway stations, airports, bus stands, restaurants, etc.

The company can also go for celebrity endorsements as customers go for celebrity endorsed brands as they attach some value to the product when it is endorsed by any celebrity.

Since there are only three branch of IDBI bank and only 1 atm in Mysore, so it is necessary for IDBI bank to open more branches and install more atms to serve the vast market of Mysore especially.

As Government is the majority shareholder in the shares of IDBI bank, which makes this bank more reliable than other private banks, this thing can be used in the favor of IDBI bank by making people aware about this fact and winning their faith.

If we look at the promotional strategies followed in IDBI Federal, we cannot see the portfolio of their ad investment in online advertising. The world has been changing from a decade or so. Things are getting done easier than they used to. Most of the people are going online over good old traditional methods. So it’s highly important change according to the surroundings and to invest money on online advertisements.

IDBI should introduce variable monthly premium, the rationale behind introducing variable monthly premium is non-availability of excess money. There are some periods in the year which are highly non-productive. Say for example the employees have an off season. After fulfilling the daily needs, it’s extremely difficult to invest in insurance or pay their monthly premium. Therefore company can think of introducing the variable payment of monthly premium which would be flexible.

One point the company always have to keep in mind is that rural market is financed by government aided co-operative societies. All the farmers would be the members of these societies. If we consider the rate of returns these societies offer, very hard to compete. 11% on the fixed deposit is way too high to compete with.

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So apart from the rural market, the urban and the metropolitan people are expecting returns which is on an average more than the rate of returns which the commercial banks give. So it is better if the company gives a return say 9.5-10%. Idbi should start with CSR activities in the rural areas.

In many the cases people are ready to invest on their auditor’s advice. So it would be really better if the company collaborates with ICAI (Institute of Chartered Accountants of India) or some leading auditors to give ads on their websites. Important thing here to note is that, the websites which facilitates the income tax payments are owned by Chartered Accountants. Therefore a seal from the auditor on the company’s logo, which says recommended for investment, can really make the company sustain. So the company heads can start thinking about investing in online portfolio.

Apart from Promotion and Distribution Strategies, IDBI should keenly follow the developments in Social Media, FDI, and Rural sector, Global Trends, Competitors, New Entrants, Challenges and Opportunities, Regulatory Differences. Keeping an eye on these factors are very pivotal for Success.

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Weblography:

www.google.com

www.wikipedia.org

www.yahoo.com/question-answer/

www.idbifederal.com

www.ageas.com

www.federal.com

www.irda.org

http://www.swissre.com/media/news_releases/Swiss_Re_sigma_study_on_world_insurance_in_2012_shows_premium_growth__resumed.html

http://www.idbifederal.com/Products/Healthsurance/Pages/What-is-Healthsurance.aspx#

http://www.studymode.com/essays/Market-Segmentation-40523.html

http://en.wikipedia.org/wiki/Q_methodology

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http://en.wikipedia.org/wiki/Q_methodology

http://www.studymode.com/essays/Market-Segmentation-40523.html

http://www.idbifederal.com/Products/Healthsurance/Pages/What-is-Healthsurance.aspx



http://www.irda.org/

http://www.federal.com/

http://www.ageas.com/

http://www.idbifederal.com/

http://www.yahoo.com/question-answer/

http://www.wikipedia.org/

http://www.google.com/

advertising startegies of idbi federal life insurance

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