Loyalty and Profitability of Users of All Risk Car Insurance through Cross Selling and Staggered Selling. A Promotional Focus for the Insurance Industry

DOI:  https://doi.org/10.12804/rev.univ.empresa.30.2016.07

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Published: Feb 22, 2016
Issue: Vol. 18 No. 30 (2016): (July-December)
Section Articles


Keywords: Conjoint analysis multinomial logit car insurance cross selling staggered selling

Main Article Content

Authors

Carlos Gabriel Contreras Serrano

Abstract

To maintain active relationships with profitable clients is one of the main objectives of the insurance industry in Colombia. For this purpose, and to create retention campaigns, tactical segmentation models have been generated to take into account the client’s withdrawal probability and the Customer Lifetime Value (CLV). This research produces a conjoint analysis design with 560 car insurance policy purchasers in different places in Colombia. The promotional schemes to accelerate the likelihood of insurance policy renewal with their present insurance agent were analyzed. Application of a multinomial logit model (MML) allows present evidence that suggests that promotions using cross selling are efficient in gaining profitable user loyalty, while staggered selling promotes loyal client profitability
Author Biography

Carlos Gabriel Contreras Serrano

Magíster en Administración de la Universidad de la Salle (Bogotá), especialista en Comportamiento del consumidor e investigación de mercados, de la Universidad EAN (Bogotá), bachelor in Counseling and Psychology, de Los Ángeles International Christian University (Anaheim). Customer Science Consultant de Sinnetic. Correo electrónico: gabriel.contreras@sinnetic.com

How to Cite
Contreras Serrano, C. G. (2016). Loyalty and Profitability of Users of All Risk Car Insurance through Cross Selling and Staggered Selling. A Promotional Focus for the Insurance Industry. Revista Universidad Y Empresa, 18(30), 134–157. https://doi.org/10.12804/rev.univ.empresa.30.2016.07
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