Jurnal Ekonomi Perusahaan ISSN: 0854-8154 .
, 2830-1560 .
Formulating marketing strategy of Si Bijak microinsurance using SWOT analysis, marketing mix and Business Model Canvas Srikandi Utami1 .
Freddy Rangkuti2 Graduate School of Business.
Kwik Kian Gie School of Business and Information Technology.
Jl.
Yos Sudarso Kav 87.
Sunter.
Jakarta,Indonesia14350 *Corresponding author : maanrobuan1@gmail.
ARTICLE INFORMATION ABSTRACT
Flow:
Received: May 9, 2024 Reviewed: May 15, 2024 Accepted: May 17, 2024 Published: May 20, 2024 Keywords:
Micro-insurance, marketing strategy.
SWOT analysis.
Business Model Canvas How to cite:
Utami.
, & Rangkuti.
Formulating marketing strategy of Si Bijak microinsurance using SWOT analysis, marketing mix and Business Model Canvas.
Jurnal Ekonomi Perusahaan, 31.
, 67-83.
https://doi.
org/10.
46806/jep.
Copyright A Jurnal Ekonomi Perusahaan.
All rights reserved Life risks can happen to anyone, including lowincome people who are vulnerable to the risk of death and loss of property due to unexpected events.
This research uses SWOT analysis, marketing strategy, 7P marketing mix, and Business Model Canvas to find out the causes of sales failure and solutions that can be used as a reference for the sale of Si Bijak microinsurance in the future.
This research method uses qualitative methods through literature analysis, data, and information from interviews with 4 .
subjects directly conducted in November 2023January 2024 and verified through repeated checks so that it can be analyzed.
The results showed the need for repricing and the number of insurance benefits, the addition of diverse marketing communication channels and media, massive sales activities through cooperation with microfinance institutions, social institutions, and communities, development of microinsurance application technology, increasing education/literacy to the public, promotional activities for ease of sales, and supervision and support from regulators.
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Jurnal Ekonomi Perusahaan.
Volume 31.
Issue 01, 2024
INTRODUCTION
Life risks caused by unexpected disasters can happen to everyone, whether they have adequate financial resources.
Microinsurance, which is provided for low-income people, has been widely sold in Indonesia.
However, standard microinsurance that combines the benefits of life insurance and general insurance, especially based on sharia principles, only exists in Si Bijak products marketed through a consortium consisting of life insurance and general insurance companies as members of the Indonesia Sharia Insurance Association (ISIA).
Life risks such as death, illness, disability, loss/property damage can cause financial losses to heirs and result in reduced family welfare.
The Financial Services Authority (FSA) makes provisions regarding microinsurance products and marketing, namely the Financial Services Authority Circular Letter Number 9/SEOJK.
05 /2017, as a proposal so that insurance companies can develop and market microinsurance products easily and correctly according to market segments.
The development and marketing of Si Bijak microinsurance was conducted in 2014 through a consortium of 27 .
wenty-seve.
insurance companies.
During the 3 .
years of the cooperation agreement period, namely 2014-2017, sales of Si Bijak products only reached 3.
2% of the sales target of 10,000 policies.
According to the Executive Director of the Indonesian Sharia Insurance Association (ISIA), there is a discourse that Si Bijak products will be remarketed through collaboration with social institutions such as Dompet Dhuafa.
The phenomenon that microinsurance can help families with poor income improve their economic welfare should be well marketed.
Several previous studies found that the research gap.
Adriansyah .
, was using the SWOT analysis method on Si Bijak products, saying this method could be used to improve internal and external Research conducted by Luthan, et al .
on the analysis of the development of the horticultural company's using canvas business model can be used to improve the company's business.
According to Supriyadi et.
, microinsurance has a strategic role in increasing economic resilience and needs to be developed in the ecosystem of microfinance institutions.
Research conducted by Daru .
on the analysis of 7P marketing mix on increasing the number of participants in general insurance company in Samarinda said these marketing elements can be used to increase Research using marketing strategies such as marketing mix and Business Model Canvas has been widely conducted for various types of products and industries, but research that uses more complete variables, namely SWOT analysis, marketing mix, and Business Model Canvas, on intangible service products, namely microinsurance products, especially Si Bijak products, does not yet exist.
The failure of sales of Si Bijak product which is far below the expected target of only 3.
2% become the background of this study.
Therefore, this research aims to find out the causes of failure and find solutions to these failures using SWOT analysis, marketing mix and Business Model Canvas.
Utami and Rangkuty | 68
Formulating marketing strategy of Si Bijak microinsuranceA
LITERATURE REVIEW
Sharia Insurance The legal basis of sharia insurance according to Sula .
is: "A number of funds .
provided by insurance participants are tabarru' .
enevolent charit.
from participants to .
companies used to help participants in need based on agreed And the company gives it .
o participant.
as a tabarru' or pure grant without anything in return or interestAy.
Sharia insurance as mentioned in Law Number 40 of 2014 is a collection of agreements between sharia insurance companies/insurance companies and policyholders and agreements between policyholders, in the context of managing contributions based on sharia principles to help and protect each other.
Financial Services Authority Regulation Grand design of Indonesian Microinsurance Development 2013 and as outlined in Financial Services Authority (FSA) regulation, namely "Circular Letter of the Financial Services Authority Number 9 / SEOJK.
05 / 2017 dated February 23, 2017 concerning Micro Insurance Products and Micro Insurance Marketing Channels.
Microinsurance in this regulation is defined as an insurance product designed to protect against financial risks faced by low-income people.
It also regulates the characteristics of simple, easy, economical and immediate, types of marketing channels, communication media, criteria for people who market and marketing cooperation agreements between companies and marketing parties including agents.
The benefits of Si Bijak product launched by the Indonesian Sharia Insurance Association (ISIA), which are contained in the policy are death benefit due to illness of IDR2,500,000, funeral benefit of IDR500,000, benefit for loss / damage to property used for business of IDR500,000 and death benefit due to accidents of IDR2,500,000.
This product is marketed with a contribution of IDR50,000 per policy with a protection period of 1 .
year, customers can buy maximum of 3 .
Products are marketed through a consortium of 27 .
wenty-seve.
life insurance companies and conventional sharia insurance / sharia units marketed through cooperation agreements for 2014-2017.
Marketing Strategy Marketing strategy is the total sum of the integration of segmentation, targeting, differentiation, and positioning strategies designed to create, communicate, and deliver an offer to a target market (Elansary, 2.
Simamora .
stated that marketing strategy is a vector of strategic marketing decisions.
Segmentation, targeting, and positioning can be accepted as strategic aspects of marketing because they meet these In fact, according to Varadarajan .
, aspects of the marketing mix that have been considered tactical can also have strategic value.
Rangkuti .
specified several stages in developing a marketing strategy, namely: .
market segmentation consists of identifying customer needs and market segments and developing profiles of each segment.
identify target markets based on the interests of each segment.
positioning consists of identifying the advantages of each segment and developing, and selecting the concept of placement.
Management Jurnal Ekonomi Perusahaan.
Volume 31.
Issue 01, 2024 marketing planning consists of creating a specific marketing mix for each segment based on their positioning strength Customer Value According to Wenstein in Simamora .
, superior customer value is a guide for designing, implementing, and evaluating customer value strategies in informationbased services, technology, and organizations so that customers get value and benefits from a product sold and have a reason to buy.
SWOT Analysis According to Tan & Tan in Astuti and Ratnawati .
, a business's success and survival depend on its ability to observe and change its business environment.
addition, research conducted by O'Regan.
Martin, and Gallear .
in Astuti and Ratnawati .
states that internal and external analysis of businesses can provide direction on how to use business strategies to achieve company goals effectively.
Figure 1.
Relationship between Elements in SWOT based on Internal and External
Analysis IFAS
EFAS
Opportunities (O) (List of all opportunitie.
Threats (T) (List of all opportunitie.
Strengths (S) Weaknesses (W) (List of all strength.
(List of all weaknesse.
SO Strategy SW Strategy A strategy that uses strengths to take advantage of A strategy that minimizes weakness to take advantage of ST Strategy WT Strategy A strategy that uses strengths to overcome A strategy that minimizes weakness to avoid threats Rangkuti .
stated that SWOT analysis maximises existing strengths and opportunities and minimises weaknesses and threats.
The SWOT matrix shows how strengths .
give advantages to opportunities .
, weaknesses .
hinder gains, and strengths .
face threats .
According to Wiswasta, et al .
, the relationship between S (Strengt.
W (Weaknes.
O (Opportunit.
is to use strength to take advantage of opportunities to make it a strength (Strengt.
and opportunities are used to suppress various kinds of existing weaknesses or eliminate them.
T (Threa.
uses strengths to avoid threats and overcome existing weaknesses with strengths and opportunities.
SWOT analysis combines information about all four elements through internal evaluation and external factors of the organization.
After knowing what strengths.
Utami and Rangkuty | 70 Formulating marketing strategy of Si Bijak microinsuranceA weaknesses, opportunities, and threats help or hinder the achievement of company goals, researchers then combine these elements into a SWOT matrix.
The SWOT matrix in the figure below shows how strengths give advantages to opportunities, weaknesses .
hinder gains, and strengths .
face threats .
Marketing Mix 7P Sula and Kartajaya .
mentioned that the marketing mix is a combination of marketing elements used to achieve the desired sales level.
It is described as the 4 P's:
product, price, promotion, and location.
Booms & Bitner .
, developed the idea of the marketing mix into the 7Ps, with the addition of people, processes, and physical This strategy is very suitable for service products because it can analyze from many aspects such as processes that can explain in more detail the services offered and require physical evidence to explain the supporting evidence of existence, build trust and reputation.
This marketing mix benefits businesses to increase profits and correct the shortcomings of a product or service, become more flexible and competitive and increase profitable collaboration between partners and companies.
Details of the Marketing Mix, which is divided into 7 P's, are outlined below:
Product: goods or services.
By using marketing mix strategies, companies can create goods or services with unique qualities and advantages.
Thus, automatically generated products or services can improve market competitiveness.
Price: the premium rate paid according to the level of risk that depends on age, gender, and health.
These factors are reflected in mortality tables .
he chance of dying at a certain ag.
Other influential factors are costs and interest or the rate of return on investment.
In the pricing strategy, the costs consist of marketing, business operations, and policy costs.
Place: This concept centers on the company's location.
the more strategic the location, the higher the level of trust and the greater the profit the company will earn.
A strategic location facilitates sales transactions and customer service.
Promotion: Effective promotion can be both online and offline.
Agents play an important role in promoting insurance, so proper training and promotional tools are essential to help agents offer their products and company representatives.
Publications, seminars, conferences, and exhibitions can be done to encourage impulse buyers.
Human Resources (Peopl.
: In the service industry, it is very important to fulfill customer needs and involve effective resource interaction.
The company provides continuous training in the form of knowledge and skills.
Employees who show good performance can be motivated with rewards.
Process: The processing method should be easy, convenient, fast and accurate for To meet the increasing demands of customers, the payment system must be simple.
Integrated technology can save money and lower overhead costs.
Physical Evidence: physical evidence, such as technology, offers better customer service advantages.
Insurance products are starting to be offered through digital media that potential customers can easily access.
Business Model Canvas The blocks in the business canvas model help the decision maker make stronger decisions and take the business in the desired direction (Osterwalder and Pigneur.
The Business Model Canvas is also useful in identifying new opportunities with .
Management Jurnal Ekonomi Perusahaan.
Volume 31.
Issue 01, 2024 moments of innovation by visualizing the important elements of the business, making it clear which ones need improvement, development, or modification.
Figure 2.
Nine Block Business Model Canvas Key Activities Customer Relationships Value Propositions Key Partners Key Resources Customer Segments Channels Cost Structure Revenue Streams Source: Osterwalder and Pigneur .
Oster and Pignieur proposes nine block of a business model.
Each block of the Business Model Canvas contains the following elements:
Customer segmentation describes one or more customer segments that are the company's strategic focus.
Value Proposition: A value proposition created according to customer value and satisfaction, it helps customers choose a particular product over other products to gain benefits.
Channel: marketing channels through communication, such as websites, social media, and sales distribution to customers through agents, banks, and others.
Relationship with Customers (Relationshi.
: To achieve this goal, customer relationships are formed and managed together with customer segments or multiple Revenue Stream: the value proposition provided to customers through products and services to generate profits or sources of revenue for the company.
Key Resource: key assets such as intellectual property, physical, financial, and human resources provided to ensure the value proposition delivered through products and services to customers is sound so that the company can conduct its Key activities: Determine the important activities needed to properly deliver products and services according to the value proposition by the appropriate channel so that customers can meet their needs and are satisfied.
Key Partners: The company's business can be carried out if it has key partners, suppliers, distributors who work well together to ensure the business flow runs smoothly according to its goals.
Cost Structure: ensuring that the company can run effectively and efficiently to achieve company goals by business planning.
Utami and Rangkuty | 72 Formulating marketing strategy of Si Bijak microinsuranceA The 7P marketing mix concept and the Business Model Canvas are interrelated in marketing strategy, because the business canvas model helps describe the value generated by the business and the 7P marketing mix helps achieve it through its 9 The relationship between the 7P marketing mix and the Business Model Canvas is as follows:
Product.
The 7P marketing mix helps determine how the product or service will be created, packaged, and communicated to customers.
The Business Model Canvas considers how the product provides value to customers.
Price.
The 7P marketing mix helps determine the appropriate price for the goods or services.
The Business Model Canvas will discuss how price affects the value generated for customers and business profits.
Place (Distributio.
The 7P marketing mix helps determine how the product or service will be distributed to customers.
The Business Model Canvas will consider how the distribution can reach customers effectively.
Promotion.
The 7P marketing mix helps you create an effective promotional strategy to market goods or services.
The Business Model Canvas will consider how promotion can reach the target market and affect the value generated.
People.
The 7P marketing mix helps manage customer interactions and service The Business Model Canvas will discuss how high-quality service can increase customers' value.
Process.
The 7P marketing mix helps optimize business marketing processes.
How processes can be organized to maximize value will be discussed in the Business Model Canvas.
Physical Evidence.
The 7P marketing mix helps create tangible evidence or experiences supporting the value of goods or services.
The Business Model Canvas will consider how tangible evidence can improve customer understanding of the value offered.
The Business Model Canvas has a relationship with SWOT analysis, this is shown from the results of Luthan's research.
Muhamad Zulkyfli, et al .
, namely the results of SWOT analysis on the nine elements of the Business Model Canvas show that there are internal and external factors that are strengths and weaknesses for the company in running its business model and also what opportunities and threats from external that affect the company's business processes.
The relationship between the 7P marketing mix and the business canvas model is that the 7P marketing mix helps implement the business canvas model, focusing on marketing aspects that can generate value for customers.
Both can be used to develop new strategies for future business improvements.
Insana .
reported an increase in sales and marketing by using the marketing mix.
Business Model Canvas, and information technology to increase the sales of MSMEs in Cirebon.
Research Framework Research framework (Figure .
using the following rationales: .
Si Bijak products can be analyzed from the SWOT matrix elements and the 7P marketing mix in terms of product, price, promotion, distribution, process, people and physical evidence to find failure factors and future development solutions.
Si Bijak products can be analyzed using the elements of the SWOT matrix and Business Model Canvas in terms of customer segment, customer relationship, channel, value proposition, key partners, key .
Management Jurnal Ekonomi Perusahaan.
Volume 31.
Issue 01, 2024 resources, key activities, revenue stream, and cost structure so that values that support marketing strategies can be found.
The combination of the 7P marketing mix strategy and the Business Model Canvas can be used to analyze the failure factors of Si Bijak product sales and find a comprehensive development solution.
Figure 3.
Research Framework 7P Marketing Mix Failure Causes and Solutions SWOT Analysis Business Model Canvas METHODS Design This research uses qualitative methods to obtain in-depth understanding and description of the context, process, or phenomenon in the form of data collection in a natural setting, using natural methods, and conducted by naturally interested people.
Qualitative methods are used to understand complex problems related to processes, understand problems related to sensitive situations and realities.
Qualitative research can also be used for evaluation purposes and examining the background of phenomena that cannot be studied through quantitative research.
According to Yakin.
Ifa Hafsiah .
, qualitative research is a research procedure that produces descriptive data from people and observable behavior that is thoroughly directed at the background and the individual .
As stated by Raco .
in Thabroni .
, qualitative research aims to understand phenomena based on respondents' experiences, including behavior, perceptions, motivations, and actions.
Respondents are allowed to voice their ideas and opinions in unlimited numbers.
Hamzah.
A .
states that the subject of case studies, especially social research, is Data is collected through interaction or information identification through interviews, focus group discussions, surveys, and technological aids.
The sampling process is carried out to determine the research subject.
Interviews were conducted by answering questions that the researcher had prepared through direct face-to-face and by Place.
Time of Research and Data Collection This research was conducted in the Jakarta from November 2023 to January 2024.
Data was obtained through semi-structured interviews and purposive sampling of participants to 4 .
people who were members of the microinsurance task force, observers of microinsurance development, and sharia microinsurance practices in Indonesia.
Utami and Rangkuty | 74 Formulating marketing strategy of Si Bijak microinsuranceA Data Verification Data verification is carried out by repeated checks, contacting information between one subject and other subjects and literature .
, conducting in-depth observations because researchers are actively involved in developing the Si Bijak product .
ersistency observatio.
and choosing credible subjects who understand the topic of discussion.
Researchers repeatedly checked subject information with product documents and regulations, and in compiling hypotheses, they linked information from subjects with other subjects .
The researcher also checks the suitability of the reference with the hypothesis and research objectives.
RESULTS
The following section describes the SWOT analysis results on the Si Bijak.
Strengths C This is a unique product.
It is simple, easy to understand, and has a simple policy.
Its value proposition is unique and different from those of other companies' microinsurance products, and Si Bijak is the only Sharia micro-insurance product that has this combination.
Low contribution price per policy of IDR50,000 with protection for 1 .
The membership process is easy.
One can use sms via a cell phone linked to the Si Bijak website.
This product is easily available from 27 consortium members, including Sharia Life Insurance and Sharia General Insurance companies.
At the beginning of the launch, national promotional activities were carried out and supported by FSA and ISIA.
Through seminars.
FSA also helped connect sellers with market segments (BMT, cooperatives.
MSMEs and Islamic boarding school.
Weaknesses C The number of consortium members is too large to share insurance risks with small compensation/sum insured, which does not require backup capacity from reinsurance or other insurance.
The coordination process is not simple.
in addition to the large number of members, there are also coordination constraints across general and life insurance companies.
Table 1.
Illustration of amount of risk per policy per life insurance and Sharia general insurance company.
Life sharia Insurance General sharia Insurance Death Benefit IDR2,500,000 Death Benefit due to accident Funeral Benefit IDR500,000 Asset loss reimbursement Total risks IDR3,000,000 .
Management IDR2,500,000 Rp500,000 IDR3,000,000 Jurnal Ekonomi Perusahaan.
Volume 31.
Issue 01, 2024 The risk value of IDR3,000,000 per Sharia life insurance company for 1 .
policy is very small compared to the self-retention borne by insurance for individual life insurance products at least in the range of IDR400,000,000 per policy as well as for Sharia general insurance.
The formation of a consortium with many members aimed to gain the support of ISIA members for the launch of sharia microinsurance but became less effective in selling Si Bijak.
The seller's small profit is unattractive for marketers who sell the product Table 2.
Illustration of the cost component of 1 .
policy for each sharia general and life insurance.
Component Cost contribution IDR50,000 Member profit
Leader profit
Card fees and management for the vendor IT Cost of technology systems and applications for vendor IT ISIA Fee
Agent commission Promotion fee
Total
4,5%
0,5%
IDR2,250
IDR250
IDR4,500
Profit and commission income for consortium members (Sharia Life or General Insuranc.
for one policy as seller
IDR2,250
For members of consortium
IDR0
IDR0
12,5%
IDR6,250
IDR0
2,5%
IDR500
IDR10,000
IDR1,250
IDR25,000
IDR0
IDR10,000
IDR1,250
IDR 13,500
For member For member Every 1 Policy consists of 50% for cost and 50% for insurance risk.
The amount of insurance risk of 50% is divided into 25% each for Sharia life insurance consortium members and 25% for Sharia general insurance consortium members.
For Every 1 Policy, consortium members who sell get IDR13.
For every sale by consortium members, part of the company's profit, promotion costs and marketing commissions from the contributions received can be directly kept by the selling company.
the rest is submitted to the consortium leader and partly forwarded to ISIA.
Each leader of the life insurance and Sharia general insurance consortium is tasked with depositing fees to vendors through ISIA after deducting fees for the leader as coordinator.
Illustration of the profit of 1 .
ne member of the consortiu.
of the sharia insurance for the sale of 1,000 policies Total sales = IDR25,000 x 10,000 policies = IDR25,000,000 Company Profit as seller = IDR1,125,000 Illustration of agent commission sells 1,000 policies.
Total sales =IDR25,000,000 Agent commision =IDR10,000,000 Utami and Rangkuty | 76 Formulating marketing strategy of Si Bijak microinsuranceA This commission is small compared to the agent commission of traditional individual products such as endowment insurance, which has an average commission of 20% for one policy and an average minimum premium of Rp6,000,000/policy per The agent commission of 1 .
person is IDR1,200,000/policy, while the insurance company's profit assumption is 5% or Rp300,000/policy.
C Marketing channels are limited to marketers from consortium members to individuals and communities.
Regarding start-up costs, a large distribution/marketing fee is required for marketers, while the proceeds obtained are insufficient to cover these costs.
C FSA and ISIA did not conduct continuous socialization and promotion after the initial launch of the Si Bijak product.
This duty is left entirely to the consortium.
However, because insurance education requires consistency and continuity, all stakeholders' roles are still needed.
C Understanding of Sharia insurance is still very low C There needs to be a technological infrastructure that consortium members can apply to manage the distribution of premiums/contributions, risks and claims, and communication media.
C A consortium will better manage services through call centres that vendors managed during the sale of Si Bijak.
Opportunities C The microinsurance market is very broad because Indonesia has many microentrepreneurs, microfinance institutions, and religious education institutions.
Many individual workers in the micro sector have the potential to become marketers or FSA supports microinsurance marketing, including establishing regulations, financial literacy, and inclusion surveys.
ISIA supports its members in marketing microinsurance through literacy to the public and market segments.
ISIA and insurance companies can design distribution channels other than marketers, namely bancassurance, direct distribution, and smart agents through marketing communication media websites.
SMS, telemarketing, smartphones, and ISIA and insurance companies can explore marketing cooperation with social institutions as a donation program for underprivileged community groups .
onor recipients, students, and teaching staff at poor school.
ISIA and insurance companies conduct joint promotions on various electronic and non-electronic media, including social media.
Threats C Competitor microinsurance products provide greater insurance benefits, varied premiums/contributions, diverse types of insurance benefits other than death, diverse marketing communication media, and more accessible digital technology.
Other microinsurance marketing channels are bancassurance, smart agents, and non-bank business entities such as cooperation with business partners / SMEs, cooperatives, and communities.
Management Jurnal Ekonomi Perusahaan.
Volume 31.
Issue 01, 2024 The results of the research provide a more detailed explanation of failures and solutions to overcome failures, and they become a more comprehensive development of previous research, such as Ardiansyah .
Based on the analysis of the marketing strategy above, the hypothesis is accepted that SWOT elements.
SWOT matrix, 7P marketing mix and Business Model Canvas can explain failures and look for these failures that can be used for the sale of microinsurance Si Bijak.
The 7P marketing mix can explain Si Bijak's microinsurance sales business strategy and the Business Model Canvas provides value for implementing the strategy.
This research also proves that the research conducted by Anggraini .
on micro businesses using SWOT analysis and Business Model Canvas can provide new strategic solutions that also apply to Si Bijak micro insurance products.
Utami and Rangkuty | 78 Formulating marketing strategy of Si Bijak microinsuranceA.
Table 3.
The Identification of Internal and External Relationships SWOT Matrix Element Product Price Place Unique products differ from competitor products because they provide life insurance benefits due to illness, funeral benefits/ compensation, accidental death benefits, and replacement of lost/damaged assets.
Can be sold by Sharia life or general insurance of consortium members An affordable contribution value of IDR50,000 and a maximum of 3 policies can be purchased, or Rp150,000 with a maximum death benefit of IDR7,500,000.
Marketers sell products through consortium members, each of which has branch offices.
Promotion Promotion is carried out in the form of brochures, banners, print media People FSA and ISIA support Si Bijak's sales through training and socialization to market segments, including marketing channels and new product They also cooperate with social institutions, religious institutions.
MSMEs, microfinance, and non-finance institutions to develop marketing channels.
Simple and easy-to-use web-based applications, and activation using the Si Bijak card and immediately because there is no health check .
rospective customers can be immediately accepted as long as they are by the entry age and are in good healt.
Each consortium member has a branch office that can demonstrate its reputation and a Si Bijak card as proof of membership.
Process Physical Evident Involve only 2-4 insurers in the consortium for easy Review products and repricing to reorganize the allocation of insurance company profits and costs.
Product sales are not limited to agents but can be developed through other marketing channels that consortium members already have, for example, through bancassurance, direct selling, and non-bank Marketing communication media smartphones, and digita.
Promotions that are not continuous should be carried out through the media most accessed by the micro market segment.
A unique product that combines Sharia life and general insurance is attractive, but the compensation provided is low compared to similar products in the Insurance benefits are small compared to competitors' products, and the benefits offered do not include health insurance.
Prices are affordable, but the fee structure should be reviewed to provide more benefits for partners working with insurance companies.
There are competitors' products that are cheaper than Si Bijak but have lower The number of agents who sell the product is not enough to create mass production.
should be reviewed and added to other models and communication media through digital smartphones.
Continuous promotion with various media must be done, but if it is not comprehensive, it will waste money, and the target will not be achieved.
FSA and ISIA support is not only for companies that market Si Bijak.
it also encourages other companies to sell It and provides regulatory incentives.
Promotion is very limited.
effective and efficient media must be found to hit the target and be recognized by more people.
Development of a complete information technology system from sales process to seller monitoring Easy sales process using cards and SMS, but still maintaining the confidentiality of customer data Marketing through smartphones digital but still maintaining company data security.
Si Bijak card can be made into a soft file for easy The simple Si Bijak card can be lost and cannot be proven during claims, so procedures and replacement documents are determined to ensure customer Insurance companies can form a consortium or coinsurance with 2-4 companies most committed to and focused on developing Si Bijak.
Provide training to partners cooperating institutions sustainably and broadly so that more and more skilled marketers market microinsurance through partnership.
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Collaborate with as many partners as possible and develop strategic work plans that can reach the market massively.
Extensive training to partners so that more marketers, agents, bank staff, and telesales can market this product.
Jurnal Ekonomi Perusahaan.
Volume 31.
Issue 1.
MarchAeAugust 2024 Table 4.
The relationship between Marketing Mix 7P and Business Model Canvas Key Activity Ae Promotion Key partners Ae People Continues education and promotion to the public, training to marketers/agents and establishing more partnership with communities, social institution and microfinance OJK bridges cooperation with social instituions, and communities to educate markets to reach Cost Structure Ae Price Revenue Stream Ae Physical Evidence Repricing to gain higher profit to agent and independently to make it more The higher the sales volume, the higher the revenur for the company Key Resources Ae Process.
Physical Evidence Ease accessible sales application that presenting product benefits, customer service, and sales monitoring to help prospects, marketers/agents, and company to tract selling Value Proposition Ae Product The uniqueness of Si Bijak lies on the combination of life insurance and general insurance that are based on Sharia princples.
The product provides added value to the communities and can be obtained easely through Channel Ae Place Marketing channels and media are through branch office, direct selling, non-bank business entities, social institution, and Aolaku pandaiAo agents .
gents specialized in microfinanc.
of institution which are in cooperation with the company.
The use of websites.
SMS, and other digital media can help the prospect to access the Utami and Rangkuty | 80 Customer Segment Ae Price Si bijak is a unique, simple, cheap, with an easy and fast dealing process intended for low income people who aware of risks in life.
maintan its competitivess.
Si Bijak should be regularly in terms of benefits and price.
It can also be bundled with banking or Customer Relationship People Good relationship with OJK is beneficial for development, to literacy, and to cooperation with institution, and other social Formulating marketing strategy of Si Bijak microinsuranceA The findings of this research are as follows:
Si Bijak products are unique and different from other microinsurance in the market because they provide a combination of life insurance and general insurance benefits based on sharia principles.
This result is in line with the theory of Kother and Kevin .
, that product features must be made better than competitors.
According to Kothler and Armstrong .
, for a product to be attractive, it must have differentiation and the right segment, this also applies to Si Bijak products.
This product can meet the needs of the low-income market segment because of its benefits, affordable price, and easy membership process.
However, with so many competing products.
Si Bijak product needs to be reviewed, especially from a more varied amount of insurance benefit, so it is more flexible.
It can be bundled with financing products (Customer segment - Value proposition - product, pric.
The relationship between insurance companies and ISIA with FSA are running well and it should be improved to make competitive product development, literacy / education to the public and facilitate cooperation with microfinance institutions, social institutions and communities regularly so that the market share of Si Bijak products would be wider.
(Customer relationship - peopl.
Marketing channels and communication media are limited through agents from consortium members, for this reason it needs to be expanded through bancassurance, direct selling, non-bank business entities and sales person through collaboration with microfinance institutions, social institutions and communities and marketed through websites, sms, telemarketing, and digital.
The number of marketing channels and communication media can make it easier for potential customers to access Si Bijak products and services to make them easy to buy (Channel - plac.
FSA is a key partner that can bridge cooperation with microfinance institutions, social institutions, communities to help educate market segments so that the wider community can own Si Bijak microinsurance products.
The marketing or distribution department of the company can collaborate with these institutions for education, socialization and sales.
The number of consortium members, which was more than 20 .
wenty companie.
previously, can be minimized for more effective coordination (Key Partner - peopl.
Sales applications that already exist when Si Bijak products are marketed can be further developed with applications that are easily accessible starting from product benefit information, payment processes, customer service and sales monitoring in order to help prospective customers, marketers and companies (Key resources process, physical evidenc.
The main activities that need improvement are continuous education and promotion to the public, marketing training, and establishing more cooperation with communities and institutions .
ey activitiesAipromotio.
The greater the sales volume, the greater the revenue the company receives.
For this reason, it is necessary to cooperate marketing with microfinance institutions, social institutions, and more communities to generate massive sales (Revenue StreamAi physical evidenc.
The relatively small percentage of profit in the contribution component needs to be reviewed to make it attractive for companies to manage sales of Si Bijak products.
Information technology management, utilization of existing marketing channels such as marketers, bancassurance .
ooperation with bank.
, telemarketing and .
Management Jurnal Ekonomi Perusahaan.
Volume 31.
Issue 1.
MarchAeAugust 2024 service management can be carried out by insurance companies independently so that they are more efficient (Cost Structure - Pric.
SUGGESTION Microinsurance has the potential to help improve the welfare of the underprivileged and increase the stability of economic resilience.
For this reason.
FSA has role in assisting the development of microinsurance products needs to be continuously improved in the form of policy arrangements and support to insurance companies in developing products and marketing microinsurance.
In addition, further research needs to be carried out on business plans, action plans and appropriate technology so that the marketing of microinsurance products can succeed and benefit stakeholders.
References