Market segmentation of the collision insurance policy of one of the largest insurance companies in Iran

Niakan Lahiji, N.; Haghighi Nasab, M.

doi:10.22056/ijir.2020.03.04

Document Type : Original Research Paper

Authors

Department of Management, International Marketing Management, Faculty of Social and Economic Sciences, Al-Zahra University, Tehran, Iran

https://doi.org/10.22056/ijir.2020.03.04

Abstract

Objective: In the process of marketing management, market segmentation affects all decisions related to the market mix, including product design, pricing, distribution, and advertising, and its correct implementation makes marketers gain a better understanding of customers and better meet their needs with the appropriate design of the marketing mix. Therefore, the current research was carried out with the aim of identifying the car body insurance market segments that have high importance, position and sales volume in the insurance industry.
Methodology: The current research is applied in terms of purpose and quantitative in terms of method. Its statistical population consisted of car body insurance customers of one of Iran's largest insurance companies in 2017, including more than 20,000 insurance policies, of which 972 were randomly determined as the sample size, and their information was extracted from the database of the company's car body insurance policy issuing systems. Also, the variables of car life and value, number of cylinders, used, method of insurance premium payment, history of previous damage and policy term were used to segment the market.
Findings: The two-stage clustering analysis led to the identification of four segments in the car body insurance market, and it was suggested that cluster one should be considered as the target market, which is the largest segment identified. Also, considering that the use of a car for administrative and corporate affairs is one of the main features of this cluster, it was suggested to focus on B2B strategies, including selling body insurance policies along with other insurance policies to the company, considering special facilities and discounts for them, and direct sales.

Keywords

References

شیرخدایی، میثم.، نجات، سهیل و اکبری، امیر. (1395). بخش‌بندی بازار بیمه عمر از طریق سبک زندگی مشتریان با استفاده از الگوی (AIO). تحقیقات بازاریابی نوین. 6(2): 74-55.

قلی‌زاده، حسین. ، گواهر، سولماز. (1394). بخش‌بندی مشتریان شرکت بیمه آسیا با استفاده از روش تحلیل خوشه‌ای (مطالعه موردی : شهر تهران). پایان نامه ارشد مدیریتبازرگانی، دانشگاه آزاد اسلامی واحد تهران جنوب.

حنفی‌زاده، پیام و رستخیز پایدار، ندا. (1390). مدلی جهت دسته‌بندی ریسکی گروه‌های مشتریان بیمه بدنه اتومبیل بر اساس ریسک با استفاده از تکنیک داده کاوی (مورد مطالعه: بیمه بدنه اتومبیل در یک شرکت بیمه‌ای). پژوهشنامه بیمه (صنعت بیمه)، 26(2): 81-55.

حنفی‌زاده، پیام و رستخیز پایدار، ندا. (1390). مقایسه دو روش داده کاوی در بخش‌بندی مشتریان بیمه بدنه اتومبیل براساس ریسک (مورد مطالعه: شرکت بیمه ملت). مطالعات مدیریت صنعتی، 30(1): 97-77.

مرادپور، زهرا. (1394). بخش‌بندی مشتریان بیمه عمر پاسارگاد با استفاده از خوشه‌بندی فازی. پایان‌نامه کارشناسی ارشد مدیریت صنعتی. دانشکده مدیریت، دانشگاه تهران.

Alvarez, C. Dickson, P. & Hunter, G. (2014). The four faces of the hispanic consumer: An acculturation-based segmentation. Journal of Business Research, 67)2): 108-115.

Bijak, K. & Thomas, L. (2012). Does segmentation always improve model performance in credit scoring?’. Expert Systems with Applications, 39(3): 2433-2442.

Bond, J. (2003). A class of its own: latent class segmentation and its implications for qualitative segmentation research. Qualitative Market Research: An International Journal, 6(2): 87-94.

Casabayó, M., Agell, N. & Sánchez-Hernández, G. (2015). Improved market segmentation by fuzzifying crisp clusters: A case study of the energy market in Spain. Expert Systems with Applications, 42(3): 1637-1643.

Floh, A., Zauner, A., Koller, M. & Rusch, T. (2013). Customer segmentation using unobserved heterogeneity in the perceived-value–loyalty–intentions link. Journal of Business Research, 67(5): 974-982.

Han, S., Lu, S. & Leung, S. (2012). Segmentation of telecom customers based on customer value by decision tree model. Expert Systems with Applications, 39(4): 3973-3964.

Hanafizadeh, P. & Mirzazadeh, M. (2011). Visualizing market segmentation using self-organizing maps and Fuzzy delphi method – AdSL market of a telecommunication company. Expert Systems with Applications, 38(1): 198-205.

Harrison, D. & Kjellberg. H. (2010). Segmenting a market in the making: Industrial market segmentation as construction. Industrial Marketing Management, 39(1): 784-792.

Hiziroglu, A. (2013). Soft computing applications in customer segmentation: State-of-art review and critique. Expert Systems with Applications, 40(16): 6491-6507.

Kesic, T. & Piri Rajh, S. (2003). Market segmentation on the basis of food related lifestyles of creation families. British food Journal, 105(3): 162-174.

Kim, S., Jung, T., Suh, E. & Hwang, H. (2006). Customer segmentation and strategy development based on customer lifetime value: A case study. Expert Systems with Applications, 31(1): 101-107.

Kourtney, K., Collum, J. & Daigle, J. (2015). Combining attitude theory and segmentation analysis to understand travel mode choice at a national park. Journal of Outdoor Recreation and Tourism, 9(2): 17-25.

Legoh ere, P., Hsu, C. & Dauc, B. (2015). Variety-seeking: Using the CHAId segmentation approach in analyzing the international traveler market. Tourism Management, 46(9): 359-366.

Lilly, B. & Nelson, T. (2003). Fads: segmenting the fad-buyer market, journal of customer marketing. 20(3): 252-265.

Liu, Y., Kiang, M. & Brusco, M. (2012). A unified framework for market segmentation and its applications. Expert Systems with Applications, 39(11): 10292-10302.

Safari Kahreh, M., Tiveb, M., Babania, A. & Hesan, M. (2014). Analyzing the applications of customer lifetime value (CLV) based on benefit segmentation for the banking sector. Social and Behavioral Sciencesel, 109(8): 590-594.

Shameem, B. & Gupta S. (2012). Marketing strategies in life insurance services. International Journal of Marketing, Financial Services & Management Research, 1(11): 132-141

Thach, L. & Olsen, J. (2015). high frequency wine consumer by price segmentation in the US: Profiling the market. Wine Economics and Policy, 4(1): 53-59.

Valentine, D. & Powers, T. (2013). Generation Y values and lifestyle segments. Journal of Consumer Marketing, 30(7): 597-606.

Wedel, M., Kamakura, W. (2000). Market Segmentation Conceptual and Methodological Foundation.springer.

Wang, B., Miao, Y., Zhao, H., Jin, J. & Chen Y. (2016). A biclustering-based method for market segmentation using customer pain points. Engineering Applications of Artificial Intelligence, 47(4): 101-109.

Letters to Editor

IJIR Journal welcomes letters to the editor for the post-publication discussions and corrections which allows debate post publication on its site, through the Letters to Editor. Letters pertaining to manuscript published in IJIR should be sent to the editorial office of IJIR within three months of either online publication or before printed publication, except for critiques of original research. Following points are to be considering before sending the letters (comments) to the editor.

[1] Letters that include statements of statistics, facts, research, or theories should include appropriate references, although more than three are discouraged.

[2] Letters that are personal attacks on an author rather than thoughtful criticism of the author’s ideas will not be considered for publication.

[3] Letters can be no more than 300 words in length.

[4] Letter writers should include a statement at the beginning of the letter stating that it is being submitted either for publication or not.

[5] Anonymous letters will not be considered.

[6] Letter writers must include their city and state of residence or work.

[7] Letters will be edited for clarity and length.

Name *

Email Address *

Affiliation *

Comments *

Security Code *

Iranian Journal of Insurance Research

Market segmentation of the collision insurance policy of one of the largest insurance companies in Iran

References

References

Letters to Editor

Send comment about this article

Volume 9, Issue 3 - Serial Number 33
July 2020
Pages 294-309

Market segmentation of the collision insurance policy of one of the largest insurance companies in Iran

References

References

Letters to Editor

Send comment about this article

Volume 9, Issue 3 - Serial Number 33July 2020Pages 294-309

Volume 9, Issue 3 - Serial Number 33
July 2020
Pages 294-309