METHODOLOGICAL ASPECTS OF STUDYING CONSUMER BEHAVIOR IN THE ROMANIAN INSURANCE MARKET

Petrescu Eva-Cristina Academia de Studii Economice Bucureti, Facultatea de Marketing, Pia a Roman nr. 6, sector 1, Bucureti, eva_petrescu@yahoo.com, 0722316532 Ioncic Maria Academia de Studii Economice Bucureti, Facultatea de Comer , Pia a Roman nr. 6, sector 1, Bucureti, maria.ioncica@com.ase.com, 0721749741 Petrescu Marian Academia de Studii Economice Bucureti, Facultatea de Marketing, Pia a Roman nr. 6, sector 1, Bucureti, posta_ro@yahoo.com, 0726750710 Nowadays, insurance products are seen in developed countries as products for basic needs. In order to successfully adjust to changes in the environment insurers need a thorough knowledge of the characteristics of the market achieved through a coherent marketing activity. The paper aims to present a methodology of how to analyze the consumer behavior in the Romanian insurance market, which are the proper ways of analyzing the influence of endogenous and exogenous factors on the insurance consumer behavior using desk research as well as direct market research so as to study the most important factors in the decision making process. Multicultural Marketing, Global Marketing, Consumer Behavior, Endogenous Factors, Exogenous Factors, Documentary Study, Qualitative Direct Market Research, Quantitative Direct Market Research

1. Global marketing versus multicultural marketing in insurance

The marketing activity in insurance has been the concern of renowned specialists they tried to find the answer to these questions: What kind of marketing is the right one for the development of the insurance sector and for enhancing welfare?, Which are the main characteristics of the consumer behavior in insurance market and how we can adapt the marketing activity to these characteristics? and How to study the consumer behavior in the insurance market? The consumer behavior particularities influence the marketing orientation of the insurance company. Even in the services sector the globalization has made important changes in the way the consumer behave and in consequence in the way the firms manage their marketing activity. By this perspective we shall try to find the response to the question What kind of marketing is the right one for the development of the insurance sector and for enhancing welfare? by presenting the various theories concerning the most appropriate type of marketing in insurance: global marketing or multicultural marketing. The globalization of the insurance market is a fact that cannot be contested. It is determined by a series of factors such as: the development of world trade, the entry on foreign markets of business clients of insurance companies, the need of a more effective activity of insurance companies, economic growth on emerging markets, a greater need of capital and know-how on these markets etc. (Swiss Re, Sigma no. 4/ 2000). The globalization of the insurance market has lead to the uniformity of tastes of consumers worldwide, making their attitudes and preferences similar (Harold Chee, Rod Harris, 1998). However, starting with the 90s, multicultural marketing - which accounts for the differences in perception, attitudes and behavior of consumers in different cultural areas - has been viewed as an alternative to global insurance marketing. Ruy de Carvalho in How does the future look? went even further in predicting the appearance of the so called emotions marketing in insurance a type of marketing necessary as a consequence of an increasingly sensitive consumer behavior. (Ruy de Carvalho, 1998).

1091

Philip Kotler showed that companies tend to turn more and more to the marketing of images and emotional incentives to gain the best position in the clients minds and hearts and try to sell an attitude or a way of life, promotional campaigns acting more on emotions than on the intellect. (Philip Kotler, 2003). Michael Solomon, Gary Bamossy and Soren Askegaard maintain the theory that nowadays consumers are trying to build an identity through various consumption activities (Michael Solomon, Gary Bamossy, Soren Askegaard, Margaret Hogg, 2007) and consequently a consumer will choose the product / service / company brand that has an image in accordance with the ideas he holds about himself - the choice being indicative of the type of image the consumer desires. The same idea is sustained by a renowned specialist in international marketing, Charles Croue: he argued that the 21st century has a complex cultural heritage which is a decisive factor for the success or failure of the marketing activity on international markets (Charles Croue, 2003) and the insurance companies should adapt their activity to the specific consumer behavior. This situation implies that consumer should be treated as individuals and the insurance companies should try to comprehend the consumer behavior and the complex factors that influence that consumer behavior and the insurance companies should try to act as a one-to-one partner. Sergio Balbinot in STRATEGIES FOR THE NEW WELFARE SOCIETY IN THE LARGER EUROPE notices that the interest of insurance companies to make profits corresponds to the interest of customers, as making profits means establishing long-term relations with customers in order to have a stable portfolio. (Sergio Balbinot, 2005). Theories regarding the importance of taking into account the features of different cultures in marketing are numerous in specialized literature in the field. Moreover, in the context of the new positions of power created by globalization, there are many supporters of the theory that global marketing is the best solution, as the globalization of markets has lead to the uniformity of tastes of consumers worldwide, making their attitudes and preferences similar (Harold Chee, Rod Harris, 1998). In any case we should study

2. How to study the consumer behavior in the Romanian insurance market

The social development and quality of life in Romania depend to a large extent on the way in which Romanians view insurance services, as well as on their attitude towards risk and insurance. So it is very important to know and understand the consumer behavior in the Romanian insurance market. There are three important aspects that should be studied in order to know the consumer behavior in the Romanian insurance market: 1. the main characteristics of insurance supply and demand and the trends on the Romanian insurance market, 2. the particularities of the Romanian consumer behavior and the particularities of the consumer decision making process in the Romanian insurance market and 3. the influence of exogenous and endogenous factors on the behavior of the Romanian consumer of insurance services. For the study of the consumer behavior in the Romanian insurance market we consider that we should combine three research methods: the documentary study, the qualitative direct market research and the quantitative direct market research. Documentary researches, qualitative and quantitative researches are complementary see Image no. 1. Both primary and secondary sources of information should be used in the study of the consumer behavior in the Romanian insurance market.

1092

d Z

Y -d d Z -d d Z -d d Z Y d Z

Image no. 1. The study of the consumer behavior in the Romanian insurance market using complementary marketing researches We can use the documentary study for analyzing the insurance supply and demand and the market mechanisms, for studying the trends on the Romanian insurance market. This will lead to obtaining important information for the harmonious development of the sector in Romania. The study of market development ma trends can help insurance companies in Romania become more competitive. An important source of become information on the Romanian insurance market is represented by the rapports of the CSA. This study can represented be used in order to establish some of the hypotheses f the quantitative direct market research. for The direct research is the most important modality of obtaining information for the study of the consumer consu behavior in the Romanian insurance market and both qualitative research and quantitative research should litative be used for identifying the particularities of the Romanian consumer behavior and the particularities of the consumer decision making process in the Romanian insurance market and for analyzing the influence of influenc exogenous and endogenous factors on the behavior of the Romanian consumer of insurance services. The exogenous variables that should be studied are: family, belonging and reference groups, social class, family, culture and subculture. The study of the endogenous factors implies the study of perception of insurance endogenous insu services among Romanians, the study of the attitude of Romanians towards insurance services and the study of the motivation of the consumers of insuran services. insurance We propose to use two qualitative marketing research methods: the semi guided interviews and the Delphi semi-guided group method. The qualitative marketing research u using semi-guided interviews is the best method for guided studying the particularities of the Romanian consumer behavior and the particularities of the consumer decision making process in the Romanian insurance market and the influence of exogenous and endogenous factors on the behavior of the Romanian consumer of insurance services. There are two qualitative marketing researches to organize: ( a research for studying the particularities of the Romanian (1) consumer behavior and the particularities of the consumer decision making process in the Romanian insurance market and (2) a research for studying the influence of ex exogenous and endogenous factors on the ors behavior of the Romanian consumer of insurance services. To find the influence of endogenous factors we services. w have to study the role of family, belonging and reference groups, social class, culture and subculture in the reference decision making process in the Romanian insurance market. To find the influence of endogenous factors we have to study the attitude of Romanians towards insurance services on age, income, environment and socio-professional categories and to analyze the way in w professional which specific features of perception, attitude and behavior of the consumers in different cultural areas influence the marketing in insurance activity. The areas T organization and implementation of the qualitative marketing research using semi-guided interviews guided implies designing marketing research, implementing marketing research: selecting the participants based selecting on the recruitment questionnaire, interviewing each subject by using the conversation guide and recording record the interviews, the analysis and interpretation of information, drawing up conclusion and presenting the p final rapport. The qualitative researches will be conducted among Romanians living in urban and rural conducted environments, between 18 and 60 years, by using sem semi-guided interviews. The Delphi group method can be used in order to establish the particularities of the marketing activity establish activ function of the particularities of the consumer behavior and of the influences of endogenous and exogenous 1093

factors on the behavior of the consumer of insurance services. The qualitative market research using the Delphi group method involves questioning a group of experts composed of 8 -10 specialists in insurance and marketing. In the group of potential experts we should include persons that have an overall view of the problem and use multiple information sources journalists and consultants included. The method of information gathering can be based on on line systems: questionnaires and their answers can be sent via Internet. The quantitative research should be used for the study of consumer behavior on the insurance market in Romania. Quantitative research aims at quantifying data and generalizing results at the level of the entire population studied. The phases of research are: determining the objectives of research, determining the hypotheses of the research, defining the research variables, identifying the population studied, the unit of observation and the unit of survey, setting the sample, establishing modal, spatial and temporal coordinates, elaborating the questionnaire, the pilot survey, gathering information, processing information, analyzing results and drawing up the final rapport. The direct marketing research using the market survey should be made on a representative sample of 1083 insured persons (the error 3%). As to the risks we might face we must take into account the fact that in direct market research problems might arise related to the elaboration and applying of research tools (for instance, questions might be insufficiently clear and precise, subjects might miss interpret them etc.), therefore the research tool: the questionnaire must be tested in advance. In order to study the evolution of the Romanian consumer behavior of insurance services and the influence of endogenous and exogenous factors on the behavior of the Romanian consumer of insurance services we should realize a diachronic study: this suppose to repeat the qualitative and quantitative research that will use the same methodology as the study realized before and to compare the results obtained so as to emphasize the way in which the behavior of the Romanian consumer of insurance services evolved and in order to highlight the evolution of the influence of endogenous and exogenous factors on him.

Bibliografie
1. Aaker, David A.; Day, George S.; Marketing Research, 3rd edition, John Wiley & Sons, New York, 1986 2. Balbinot, Sergio in STRATEGIES FOR THE NEW WELFARE SOCIETY IN THE LARGER EUROPE THE GENEVA ASSOCIATION INFORMATION NEWSLETTER INSURANCE ECONOMICS, NO. 51, JAN. 2005 3. C toiu, Iacob, B lan, Carmen, Onete, Bogdan, Popescu, Ioana Cecilia, Veghe, C lin, METODE I TEHNICI UTILIZATE N CERCET RILE DE MARKETING APLICA II, Ed. Uranus, Bucureti, 1999 4. C toiu, Iacob, Teodorescu, Nicolae, COMPORTAMENTUL CONSUMATORULUI, edi ia a IIa, Ed. Uranus, Bucureti, 2004 5. C toiu, Iacob (coordonator), B lan, Carmen, Popescu, Ioana Cecilia, Orzan, Gheorghe, Veghe, C lin, D ne iu, Tiberiu, Vrnceanu, Diana, CERCET RI DE MARKETING, Ed. Uranus, Bucureti, 2002 6. Chee, Harold Harris, Rod, GLOBAL MARKETING STRATEGY, Financial Times, Pitman Publishing, London, 1998 7. Croue, Charles, MARKETING INTERNATIONAL, 4e edition, De boeck & Larcier, Bruxelles, 2003 8. de Carvalho, Ruy, HOW DOES THE FUTURE LOOK?, in THE GENEVA PAPERS ON RISK AND INSURANCE ISSUES AND PRACTICE, no. 89, OCT. 1998 9. Ganassali, Stephane, LES ENQUETES PAR QUESTIONNAIRE AVEC SPHINX, Pearson Education France, 2007, 10. Kotler, Philip, MARKETING INSIGHTS FROM A TO Z: 80 CONCEPTS EVERY MANAGER NEEDS TO KNOW, John Wiley&Sons Inc., New Jersey, 2003 11. Kotler, Philip, Keller, Kevin, MARKETING MANAGEMENT, United States Edition, 12th Edition, Pearson Education, 2005 1094

12. Kotler, Ph., Keller, K. L., Dubois, B., Manceau, D., MARKETING MANAGEMENT,12e edition, Pearson Education, Paris, 2006, 13. Solomon, Michael, Bamossy, Gary, Askegaard, Soren, CONSUMER BEHAVIOUR A EUROPEAN PERSPECTIVE, Financial Times, Prentice Hall, 2nd edition, 2002, 14. Solomon, Michael, Bamossy, Gary, Askegaard, Soren, Hogg, Margaret, CONSUMER BEHAVIOUR, Enhanced Media Edition, Pearson Education, 2007 15. Werner, Ute, ASPECTS OF MULTICULTURAL MARKETING OF INSURANCE COMPANIES in THE GENEVA PAPERS ON RISK AND INSURANCEISSUES AND PRACTICE, no. 71, APR. 1994,

1095