ISSN - 2250-1991
Customer Satisfaction on Products of Private Sector Insurance Companies - A Study with Reference to Kotak Mahindra Life Insurance Company Limited, Jorhat Branch *Sarat Borah * Associate Professor, Department of Business Management, CKB Commerce College, Jorhat, Assam ABSTRACT The modern concept of marketing emphasizes on the satisfaction of customers. Marketing begins and end with the customers. Customers are the King in business. The study analysis the sevice quality perception of 50 customers in Jorhat, Assam chosen from Kotak Mahindra Life Insurance Company to access their satisfaction level and also identify service factors which have the maximum impact on customers’ satisfaction. For choosing the sample, non-probabilistic judgment-cum-convenience sampling technique was used. The finding of the study shows that most of the customers are satisfied.
Keywords :Relationship Marketing, Customers’ Expectation, Satisfaction 1. Introduction: Customer is the ‘king’ of any business whether it may be big, medium or small. Due to overgrowing competition, increase in consumer literacy level, awareness of customers about their rights, increase in standard of living are forcing insurance companies to review their service strategy. Rendering quality service is very much essential to satisfy and retain the customers. ‘There are strong relationships between service quality improvement, customer satisfaction and economical success.’(sahel and Tooraj 2011). Customer satisfaction, a term frequently used in marketing, is a measure of how products and services supplied by a company meet or surpass customer expectation. In a competitive market place where business competes for customers, Customer satisfaction is seen as a key differentiator and has become a key element of business strategy. Kotler (2004) defined customer satisfaction as ‘a person’s feeling of pleasure or disappointment resulting from comparing a product’s perceived performance (or outcome) in relation to his/her expectation’. He also said that “the key to customer retention is customer satisfaction.” Within organizations, customer satisfaction ratings can have powerful effects. They focus employees on the importance of fulfilling customers’ expectations. Furthermore, when these ratings dip, they warn of problems that can affect sales and profitability. These metrics quantify an important dynamic. When a brand has loyal customers, it gains positive wordof-mouth marketing, which is both free and highly effective. Therefore, it is essential for businesses to effectively manage customer satisfaction. Many institutions including Insurance companies spend a considerable portion of their time, energy and resources to keep their existing customers and enhance customer satisfaction. There are many factors such as friendly employees, courteous employees, knowledgeable employees, and helpful employees, accuracy of billing, billing timeliness, service quality, and prompt services etc. which affect customer satisfaction. Insurance in India goes back to the time of British. The first Life Insurance Company to operate in India is the Oriental Life Insurance Company. It was established in 1818 in Calcutta. But it was a British company. The first Indian Insurance Company, the Bombay Mutual Life Insurance society started it operation in 1871. In 1956 Indian Life Insurance industry was nationalized. Now India is ranked 9th among 156 countries in the life insurance business. During the year 2009, life insurance premium in India grew by 10.1% while the Global Life Insurance industry contracted by 2%. Since the opening up of the Insurance sector in 1999, 40 private companies have been granted license by 30th September, 2000 to conduct business in life insurance and general insurance. Of the 40, 22 are in the life insurance and 18 are General Insurance. The new concept of marketing emphasizes upon the...