MK-00600 Our Marketing Strategy

How will my company develop marketing intelligence and strategy?


PRINS INSURANCE – MARKETING STRATEGY WORKSHEET

 

 

 

Target Market Definition

 

 

Central Demographic Model

35 to 55

50% female – 50% male

Married

Blue collar  &  White collar - middle class occupations

High proportion of 2-earner households or retired

$40,000 to $90,000 Family Income

High School Education 75%  College degree  25%

Good Credit

Homeowners  - 85%

50% have children living at home  50% have adult children

 

 

 

 

 

 

Central Psychographics Model

Self-image: proud and satisfied to have a normal middle class life.   Values are family oriented and honest.  These customers are exactly where they are supposed to be in life.  They live the American middle class life that they think is secure and stable for the rest of their lives. 

 

 

 

 

 

Trading Area Descrition

Location: Sioux Falls, Minnehaha & Lincoln Counties in South Dakota  (Sioux Falls and 30 mile radius)

 

 

Positioning Strategy

Prins Insurance sells and services automobile and homeowners insurance policies to a target market of middle class married homeowners usually in the age group of 35 to 55 years old.  There is a lot of competition selling insurance as a commodity.  The competition sells price and convenience. The target market requires competitive pricing or they won’t buy the product.

 

The competition usually does not educate the clients and prospects are often confused when purchasing insurance.  Customers don’t know what they purchased.  They feel out of control. 

 

Our positioning strategy is to advertise price in combination with product understanding as it relates to the insured’s needs.  This understanding will take the frustration and confusion out of the buying process, put them in control, and still gives them the price they need. 

 

The general message is that we can give you a competitive product and at the same time putting you in control by helping you understand your needs and the insurance products that will protect you and your family.

 

 

 

 

 

Unique Selling Proposition

“Your in Control with Prins Insurance”

 

 

 

Positioning Statement

We are automobile and homeowner insurance specialists, and have found that most of our customers want to save money, but at the same time they’ve been frustrated when buying insurance because they don’t fully understand the protection they need or the insurance policy that can give them that protection.  They feel out of control.

 

This is why at Prins Insurance we bring you competitive prices and help you understand your insurance needs and the insurance policy that will protect you, so you can be in control. 

 

 

 

 

 

 

Sensory package description

Office must look professional, neat, and clean, and be decorated with light colors, taupe, blue, and a touch of red. 

 

Employees must be dressed professionally, act friendly can caring.

 

Mail and all printed material must have a consistent look with logo and print.  We use Black, Gray, and White in our material.  We have black for high preference for both male and female.  We want to start adding some blue and red in our correspondence.  Blue for the feelings of reliability and professional, and red for warmth and excitement.

 

 

 

 

 

 

 

 

 

 

Product Strategy

 

Key Product Attributes

 

 

Functionality

Provide a good value – competitively priced

Provide trustworthy protection – quality company and agency

Provide a clear understanding – coverage must be understood by clients.

 

Sensory impact

Office must look professional, neat, and clean, and be decorated with light colors, taupe, blue, and a touch of red. 

Employees must be dressed professionally, act friendly can caring.

Mail and all printed material must have a consistent look with logo and print.  We use Black, Gray, and White in our material.  We have black for high preference for both male and female.  We want to start adding some blue and red in our correspondence.  Blue for the feelings of reliability and professional, and red for warmth and excitement

 

 

 

 

Unconscious associations

 Proper coverage gives trustworthy protection.  We give good value and the purchase transaction is easy.

  Clients think that the product is complicated to understand so we make it easy to understand.  We bring Clarity to the client.  We also provide freedom from fear and worry.

   Clients want a proven product. We have been serving satisfied clients for over 20 years in South Dakota.  We invite them to be a part of our growing family

 

Conscious-mind conclusions

Performance and reliability are needed for this market segment.  Customers want something reliable, dependable and have proven quality.   They also want good service and an agency staff who is friendly and caring.

 

Price and value

Value is needed for this market segment.  Customers want the best price or the sense of the best value for their money.  We market with pricing examples, and also provide multiple insurance company quotes to show clients the difference in prices from each company we represent.

 

Access and convenience

 Given the same product, access and we think that location drives at least 10% of this market.  Access also means ample parking, no traffic problem, and an address prospects are familiar with.  Our location is only 25% appropriate for our market segment, but our other access qualities are met.

 

 

Packaging

Package discounts available for Auto and Homeowers insurance.

 

 

Enhancements

Roadside assistance, 24 hour claims service, Good drivers get discounts

 

 

Publicity

We will send news releases to the newspaper for special things that happen in our agency. (Employee promotions, Designations completed, or special rewards from insurance companies. 

 

We should also try to write articles about personal insurance and get them published in local shoppers or newspapers.

 

 

 

 

 

 

 

 

Advertising

 

 

 

Audience Selection

35 to 55 year old, married, with children at home or adult children not living at home.

 

Media Selection

Newspaper, Direct Mail to Premier Credit List (most are homeowners), Radio (Easy listing) with proper demographics.

 

Message:  the general approach, tone, content; must be compatible with USP, positioning statement and product attributes

1.      Attention grabbing opening

2.      Saving money for general interest

3.      Some idea about what our agency can furnish the reader that he or she may be missing now.  

4.      And because we provide that, we can put the customer in control.

 

Presentation: the general description of writing tone and style, layout, graphics, artistic quality, and images

General examples are shown below.

 

 

Are you Paying Too Much For Car Insurance?

 

If you’re the kind of person that wants to save money on car insurance from a quality company, but also wants prompt and easy policy service from a local agency?

You’re in control

 With Prins Insurance and The Hartford

Call 332-5300

 

Are you Paying Too Much For Car Insurance?

 

If you’re the kind of person that wants to save money on car insurance from a quality company, but also wants friendly, caring, and responsive service from a local agency?

You’re in control

 With Prins Insurance and The Hartford

Call 332-5300

 

Are you Paying Too Much For Car Insurance?

 

If you’re the kind of person that wants to save money on car insurance from a quality company, but also wants a local agency to help you understand your coverage?

You’re in control

 With Prins Insurance and The Hartford

Call 332-5300

 

Are you Paying Too Much For Car Insurance?

 

If you’re the kind of person that wants to save money on car insurance from a quality company with 24 hour toll-free claims service, but also wants a local agency available regarding your claims?

You’re in control

 With Prins Insurance and The Hartford

Call 332-5300

 

Front and Back of the Prins Insurance Business Cards

 

 

 

We are committed to providing you quality
 coverage at competitive prices.

 

We are friendly, caring, responsive, and
 available whenever you need us.

 

We can help you understand your insurance coverage
so you can make informed buying decisions.

 

“Your In Control”

 

 

 

 

 

Selling

Needs-based selling functions – We want to have most of the functions available and complete because there are many buyers that do not have the personal confidence in there own ability to purchase insurance.

 

Information

We gather information about the prospects insurance needs on a survey.  We get information about their present coverage and inquire about their thoughts about coverage.  Do they understand it, is there any question they have about any of the coverage they have now.

 

Understanding

We quote the best-priced policy we have available for the client, and provide a complete written proposal with explanations of each coverage on the policy being proposed.

 

Needs Clarification

 We hope that the proposal provided has clarified the coverage for the prospects insurance needs.  If not, some may call or stop in for consultation with one of our agents.  They will personally go over the proposal one item at a time.

 

Advice

We have a cover letter with our proposal that will describe the transaction process, payment terms available, a description of the financial standings of the insurance company quoted and web address for our agency and the insurance company quoted.

For further advice prospects can call our agents, or stop into the office to talk to one of our agents.

 

Assistance

We just want to assure the client that local assistance is available anytime they need it.  We can tell them to call us to see if they like the way we sound on the phone, or stop by the office to see if they like the way we look and act.

 

Reassurance

 The back page of our proposal has pictures of the agency office, and all staff.  (We should have some testimonials from current clients also)  (We can tell prospects again to look at our website and check out the quality of companies we represent.) (We need to assure them we are the proper agency to buy from)

 

Transaction Processing

We want a simple transaction process.  When the quote is sent out, the cover letter explains the transaction process.  We basically can go to the clients home or office in the Sioux Falls area, the client can come to our office, and with a couple companies, we can complete the process over the phone and through the mail.  All explained in the cover letter attached to the proposal.

Sales People (types of people who will do your selling; in-house staff versus external agents and representative; automated approaches, if any)

Our sales are completed by in-house agents in two ways: 

  1. The sales made to the client who understands everything about the policy that they want to know will use our agents as an order taker, but the client also knows that our agents are more than order takers.

 

  1. Sales made to the client who doesn’t understand everything will use our agents as a consultant before purchasing the policy.

 

 

Sales Channels (what combination of approaches will be used to interact with customers)

Telephone: Inbound initial survey. Outbound to present customers for referrals, and outbound to contact those referrals.

Mail:  Direct mail to premier prospects in Sioux Falls – Call us for a quote.

Direct response print media:  Newspaper advertising – Call us for a quote.

Face-to-Face:  With clients for referrals whenever the opportunity exists.

In-office Visits:  Prospects visit us at the office – provide a proposal while they are here

 

 

Basic Pricing Strategy

Overview of strategy that fits our markets

 

Value-Driven Strategy

Together with pricing, we will always throw in insurance company quality and a reason our agency gives our customer a chance to be in control.

 

Cost-Driven Strategy

 

 

Market-Driven Strategy

 Market Driven pricing is our attention grabber because the market is flooded with advertising insurance as a commodity.  This will be about 50% of catch.  50% will be value-driven.  We are always able to have insurance companies available in the lowest 25% of the marketplace.

 

 

 

Base Price and Options

We do not have control over policy pricing, other than having the proper insurance companies to sell for that offer the prices we want to have available.  We want at least two companies in the lowest 25% of the marketplace.  Options for additional coverage are available at different levels from each company.

 

 

Reductions

We don’t use any reductions in price.

 

 

Terms and Conditions

Each company has it’s own terms and conditions for each policy.  The insurance company develops this strategy.  Our job is to make sure we know the terms and conditions for each company and inform the client of those choices.

We have one company that gives a 10% discount to pay in full for 6 months.  We have one company that has a 5% discount if paid in full.  Most companies have free monthly payments using electronic checking, but charge a $5 to $8 fee if the client wants to be billed monthly.

 

 

Attitude and Demeanor (the way customers are treated by your business)

Employees will treat the customer in an exceptional manner.  Friendly, caring, responsive and available.

We also will use this as a means of putting the customer in control when he buys insurance.  He is making sure that he will get a friendly, caring, responsive and available team of agents to work with.

 

 

Delivery (getting product into the customers hands)

The complete policy is checked over for accuracy and mailed to the client.  A cover letter with a sincere Thank You is attached.

 

 

Customer Service (additional services you give to bring satisfaction and emotional gratification to your customers)

  1. Thank you letter with policy delivery.
  2. (We will start to use a policy service manual for our preferred customers.  Hartford is doing this for us on their policies, and We like it)
  3. Agents are always available for questions or consultation from 8:30am to 5:00pm Monday thru Friday on the phone or in person at the office.
  4. Annual policy reviews by one of our agents
  5. Birthday cards for the two main drivers.
  6. One holiday card within three months of the annual renewal.
  7. One holiday card at Christmas
  8. Four small newsletters directing customers to our website and also asking for referrals.

Our goal will be to service our customers better than any other agency in town.

 

 

Facilities (how the customer experiences your place of business)

Our location does not have good visibility, and it is not in the preferred location we would like it in.  Our plans call for 3 more offices in Sioux Falls to increase our penetration of customers that purchase insurance because of location.

 

We do have easy parking, and is on a street that is well known in Sioux Falls.

 

We have a comfortable and clean office that does not hinder our sales to our central demographic model.

 

Our office must look professional, neat, and clean, and be decorated with light colors, taupe, blue, and a touch of red.  Improvements are in process.

 

 

 

Key Marketing Indicators will be completed at a later date.