Project Proposal

Name: Priyadarshi Soumya Prakash

I.

Project Proposed
Study of Consumer Behaviour with respect to IDBI and its products

II.

Description of the Project in brief

With rise in product awareness and disposal income, the middle class is
emerging as the most attractive segment of the market for financial
services companies. With increasing propensity to buy among the
population which is mostly of the working age, there is vacuum created in
the supply-demand equation. This vacuum is created due to a gap
between consumers expectations and the suppliers limitations. Thus,
there is a rapidly evolving market, particularly in the Insurance industry,
where customer loyalty to brands is unstable and fluctuating.
Thus, there arises a need to reevaluate the companys beliefs about the
consumer in the market. A study on consumer behavior becomes
imminent in order to devise new strategies to attract and retain
customers.

III.

Objective of the Project

The following are the main objectives of the project:
a) To understand the general consensus and confidence of the customers
in the Insurance industry
b) To understand the general consensus and confidence of the customers
in IDBI Federal Life Insurance Co Ltd.
c) To position IDBI with respect to its competitors based on the consumer
behavior(Preference, Loyalty, Trust)
d) To understand the behavior of the existing customers to cross-selling.
e) To understand the dynamics of selling whether it is customer-driven
or agent-driven.
f) To understand the confidence and preference of customers towards
various IDBI products.
g) To understand how important is personal interaction to closing a deal.
h) To understand whether insurers can influence customer retention.
i) To create a customer perception map of IDBI and its products.

IV.

Proposed Methodology

The project methodologies will consist of an extensive survey of the

insurance-buying population in and around Bhubaneswar with minority or
responses from other parts of the country. The response collection will be
done through online panels as well as by interacting with the customer
during sales pitches.
The survey would be specifically designed to address all the objectives.
Regression models will be formed and data analysis tools will be utilized to
gain a clearer perspective of the consumer behavior.
V.

Possible Limitations
a. Sample size: The entire study will depend upon the survey and hence
the sample size should be large enough to make unbiased inferences.
b. Scale: Since limited time is available for the study, the observations
will be restricted to a specific geography (Odisha) and hence might not
be held valid on a large scale.
c. Sample demographics: As a student, very little resources are at
disposal, and hence most responses might be available from a largely
young population who are less likely to own an insurance policy.
d. Validity of Responses: Some responders might fill random responses
for the survey which will contaminate the analysis afterwards and lead
to skewed results. Cleaning of data night not be very efficient to curb
this.

Project Guide: Mrs. C. Shanthi

Date: 20th April, 2015
Soumya Prakash

Priyadarshi

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