Contact us marketing research as a tool for profitability in the service industry a case study of aiico insurance company operations in enugu metropolis

Thesis Abstract

Marketing research is the systematic design, collection, analysis and reporting of data and findings relevant to a specific marketing situation facing the company. (Koller P 2003).

This study focused on marketing research as a tool for profitability in the service industry, a case study of AIICO insurance company operation in Enugu metropolis.

In order to carryout the study, the following objectives amongst others were states;

–         To ascertain the proportion of marketing bodget allocated to the marketing research activities in a given period in AIICO Insurance Company.

–    To ascertain, if the marketing research activities increase the number of policy holders in AIICO insurance company.

–    To ascertain whether marketing research contributes to increase in profit in AIICO insurance company.

–     To ascertain whether marketing research creates awareness of AIICO insurance company and its services.

Based on the stated objectives, three hypotheses were formulated, they are-

Ho Marketing research does not create awareness of AIICO insurance company.

HI1 Marketing research creates awareness of AIICO insurance company.

Ho2 marketing research does not increases the number of policy holders

HI2 Marketing research increases the number of policy holders

Ho3 Marketing research does not increase profit of AIICO Insurance Company.

HI3 Marketing research increase profit of AIICO insurance company.

Extensive literature review of textbooks, newspapers, magazines business journals and some past projects of graduated students who studied related topic of the study was carried out to source secondary data. Primary data were source from respondents comprising policy holders, management and relevant staff of AIICO insurance company in Enugu.

The sample size was determined using Topman’s formular for the policy holders of AIICO Insurance company while a census was conducted for management and relevant staff of AIICO insurance company in Enugu.

The researcher used chi-square (x2) statistical method to test the hypotheses which were earlier formulated for the study. The data collected were presented on statistical tables using frequencies and percentages for analysis.

In the process of the study, the following finding were revealed.

–      That AIICO insurance company at one time or the other engaged in marketing research activities.

–   That the company has a marketing research department at the headquarters only but not at the zonal offices.

–                     That marketing research activities increase the number of policy holders.

–                     That marketing research activities increase the profit level of the company.

In view of the releasing findings, recommendations on how to apply marketing research for the success of the company were offered.

In conclusion, the ultimate aim of using marketing research is geared towards customers satisfaction at a profit to the company, so AIICO Insurance Company is advised to continue putting marketing research into effective use.