We run a benefit segmentation of 2,017 insurance consumers in order to analyze the structure and heterogeneity of the German term life insurance market. The consumers’ preference information has been obtained through a choice-based conjoint (CBC) experiment and a subsequent hierarchical Bayes (HB) estimation routine. Drawing on their part-worth utility profiles, we first construct a diverse cluster ensemble, comprising a total of 1,624 hierarchical and k-means solutions based on different linkage criterions and sensibly drawn starting points. Then, final group memberships are determined by means of consensus clustering. Our empirical results indicate that the market divides into three segments characterized by substantially different consumer types with distinct demands and needs. While the first group is clearly driven by the premium, the opposite holds true for the brand-loyal group. Additionally, the market is completed by a third segment with in-between preference structures. Hence, both brand insurers and companies with a lower reputation face consumer groups that almost perfectly fit their provider profiles. More specifically, by offering segment-oriented products, an efficient resource allocation is fostered and the basis for long-term business relationships is laid. This is becoming increasingly important, because ongoing regulatory efforts, low interest rates, and market entrances from InsuranceTech start-ups and tech giants aiming to utilize the market’s enormous hidden potential are changing the competitive environment significantly. A consequent alignment of important strategic decisions related to product innovations, pricing, and distribution channels to our identified consumer segments enables incumbents to maintain a stable and sustainable market share and profitability.
Annuity contracts transfer the risk of an individual outliving available assets to an insur-ance company. Thus, the insurance company has to value and manage long term risks. Interest rate risk and longevity risk are the two most important risks for annuity providers. In this paper, we develop a framework to evaluate deferred life annuities with stochastic mortality and stochastic interest rate dynamics. We then study the impact of model risk on valuation. An important result of this paper is the considerable risk potential due to random fluctuations and systematic deviations from the assumptions about in-terest rate dynamics and mortality dynamics over a long time period.
Social Media (SM) have attracted considerable research Attention in the last decade. In this paper, we investigate whether SM influence consumer's choice of the purchase channel. Our model suggest that a high level of consumer identification with the brand using SM increases the likelihood of consumers' choice of the purchase channel - mediated by the consumers' perceptions of the channel. An experimental study and a large scale survey Support our model.The paper offers practical insights as well as useful theoretical implications.
In den letzten Jahren hat sich die Kommunikation
stark verändert. Standen früher
traditionelle Massenmedien, wie beispielsweise
Fernsehen und Radio im Vordergrund,
nimmt heute das Internet, vor allem
mit den Social Media, eine entscheidende
Rolle ein, wodurch sich die Art der
Kommunikation grundlegend verändert
hat. Somit wird die One-to-Many-Logik
durch eine Many-to-Many-Logik ersetzt,
in der alle miteinander kommunizieren
und interagieren (können). Dieser Effekt
wird vor allem auch durch neue technische
Errungenschaften und deren rasche Verbreitung
gefördert. So kann gerade mit dem
Smartphone ortsunabhängig und in Echtzeit
am digitalen Geschehen teilgenommen
werden. Diese Veränderungen haben grosse
Auswirkungen auf die Kommunikation
von Unternehmen. War in der Vergangenheit
häufig eine einfache Channelstrategie
ausreichend, ist heute ein attraktiver Mix
aus verschiedenen Interaktionspunkten nötig,
um die eigenen Zielgruppen entsprechend
erreichen zu können und um somit
einen Wert für den Kunden (Customer
Value)
zu schaffen. Dieser Customer Value
kann aber an vielen Punkten innerhalb
der Customer Journey entstehen, beziehungsweise
gefördert werden.
Two research areas that have attracted considerable attention in recent marketing research are sustainability and social media. Our approach combines these two areas by developing and testing a conceptual framework that relies on social identity theory. First, we suggest an influence of environmental-consciousness and perceived corporate social responsibility. Second, we analyze the effects of perceived corporate social responsibility on the consumers' intention to share experiences. Finally, we examine the influence of Internet usage and the number of used social media channels on intention to share. The proposed structural equation model is mostly supported by empirical data we gathered through a consumer survey conducted in four countries. The paper offers useful insights for managers to handle social media channels.
Mit Beyond Budgeting wird die Steuerung des Unternehmens
mittels Budgetvorgaben durch Leadership und Empowerment abgelöst.
Internationale Konzerne wie Svenska Handelsbanken, IKEA, Toyota, Southwest Airlines, Dell und UBS Global Wealth Management & Business Banking haben den neuen Management-Ansatz erfolgreich eingeführt. Die Implementierung benötigt Zeit: Kompetenzen gilt es neu zu erteilen
und die Mitarbeiter müssen lernen, Verantwortung zu übernehmen.
Since the 1990s, there has been extensive growth of financial groups involved in the insurance sector. As a result, supervisors and regulators are currently developing group-wide capital standards intended to enable effective monitoring of the financial soundness of such groups. Some jurisdictions are taking steps towards a consolidated approach, which views the group as one single integrated
entity, while others model the group as a collection of interrelated but separate legal entities. This paper provides a theoretical as well as a numerical comparison of these two approaches to group-wide solvency assessment in light of the different regulatory issues and challenges associated with consideration of group effects. As a benchmark case, we consider a "silo approach" that is based
on a solo assessment of the risks and solvency capital requirements of each legal entity within the insurance group. Our analysis contributes to the ongoing discussion about the best way to conduct group-wide solvency assessments.
