NEW PRODUCT DEVELOPMENT AS A STRATEGY FOR EFFICIENT MARKETING OF LIFE ASSURANCE PRODUCT IN NIGERIA
This research titled new product development in insurance industry as a strategy for efficient marketing for life assurance products in Nigeria was carried out with the objectives of identifying why marketing of life assurance product are low in Nigeria. Why many life assurance companies do not go into new product development and the prospects of new product development in life assurance industry. Related literatures were reviewed and structure questionnaire and oral interview were used to collected primary data from the respondent. The data collected were analyzed using likest-scale of ranking and the hypothesis were tested using Z-test statistic yaro Yamane method were used to determinant the sample size out of the total population. The work discovered that new product development increases market share, profit margin and also help in customer loyalty and new product development were necessitate by the changing demand from the insuring public and technology. The work recommended that among other that there should be also be a method by which the regulatory bodies in the life assurance industry regulates all these new product to make sure that their capital base can carry it. There should also be marketing of life assurance product.
1.9 Background of the Study
The most important thing a company offer to its customer is its product. The product which marketing organization offer to customer, protend reason for its existence.
Thus, the relevance of can organization much depends on relevance of its product to the community. New product development of any corporation is always of great important to their performance and operation. It is also very important when they deal with the production of those goods that are the community or customer need or go into producing of those product that are not been seen in the hand of their competitors. In connection with life assurance as the product. Life assurance industry offer to their customer is security and confidence for financial protective in event contingent upon human life. These products they offer to their customer are intangible strategic planning is required in order to achieve high level of sales. There is always doubt whether their existing products a company’s product going.
Product has life cycle which entails the introduction stage (when the product is just new in the market) the growth stage (the stage when the sales of goods or products grow at an increasing rate).
The maturity stage (when the sales of products are in its apex level and the decline stages (sales decreased for the product which mare consequently lead to its abandonment).
Any company which depends only on existing product in the market can easily fall off from the market, if its products are not renewed. For a company or any industry to ensure continue existence in the market, the company must go into development of new product to sustain its existence in the market. Life assurance industry also engaged in the development of new products to sustain its existence in the market. Efficient marketing of the product designed to suit the demand of the customer were usually pursed.
1.10Statement of the Problem
The problem that leads to this study is how new product development will help in efficient market of life assurance products in Nigeria.
1) Determine the new product available for life assurance companies in Nigeria.
2) Determine the new product development will help in life assurance industry.
3) To know the effectiveness of life assurance product department.