Australian B2B Automotive Insurance Market

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Australian B2B Automotive Insurance Market

This brief provides an analysis of the marketing content of Insurance Australia Group Limited and Suncorp Group Limited and a report on some trends within the fleet road transport vehicle space in Australia. IAG displays its stock market data including share price on the welcome page so that visitors can quickly and easily assess the financial strength and popularity of the company. Suncorp runs a YouTube series called, 'That is the Suncorp Spirit' which highlights the various interventions the company makes to assist its customers whenever they are faced with disasters. A poorly performing economy has in recent times constrained demand for vehicle fleet leasing in Australia, and businesses prefer to buy fleets instead of leasing from industry firms. Some fleet management companies are regularly providing Covid-19 regulations to enlighten their staff and clients on how they are expected to conduct themselves during the Covid-19 pandemic.

Marketing Content of Insurance Australia Group (IAG) Limited

  • IAG's welcome message on its website reads, 'We make your world a safer place'. This message is very likely to catch the attention of anyone visiting this website and cause the visitor to open the link that highlights the company's purpose.
  • The image on the welcome page of IAG's website illustrates how IAG will create a safer place. In the image, there are two swimming pools, one is very stormy while the other is calm and the people in the calm swimming pool look relaxed. This image is designed to enable visitors to the IAG's website to see what IAG can do for them.
  • The company displays its stock market data including share price on the welcome page so that visitors can quickly and easily assess the financial strength and popularity of the company.
  • IAG has a Covid-19 page on its website and this page is dedicated to informing its customers and the public the things the company is doing to cushion its customer during the Covid-19 pandemic period. All the measures outlined are designed to show that IAG puts the customer above sales.
  • The company has a page on its website where customers and visitors can access webcasts of some conversations between IAG's shareholders and management. This strategy enables visitors to hear from a third party concerning IAG's activities.
  • Our Stories page on IAG's website highlights some community interventions the company engages in and shows the impact of the intervention. According to Taylor & Francis Online, 'investment in CSR policies increases consumer value, satisfaction, and loyalty to the company'.
  • The company presents a simplified version of the 2020 financial report on its website and Inc indicates that annual reports can be used as a marketing tool for organizations.
  • Information on IAG's LinkedIn page is designed to show that the company is not an ordinary insurance firm but a highly diversified company that is addressing diverse human needs. To prove the story, videos are included to provide evidence of the IAG story.
  • IAG regularly produces YouTube videos where the company's staff make presentations on topical issues, such as the company's financial performance, customer focus, and auto engineering tips. The presentations are structured in a way to appeal to the company's customers and leads.

Marketing Content of Suncorp Group Limited

  • On the welcome page of its website, Suncorp Group states that it had delivered great results for its superannuation members and shows that its performance was about 4 times higher than the national median. Such an announcement has the capacity to attract many customers for it shows a stable company.
  • On the same page, the company introduces the new CEO of Banking & Wealth, Clive van Horen, and highlights how he has had a very successful career background. This story is strategically designed to build customer confidence in the company and attract leads to Suncorp.
  • Suncorp Group lists the 12 brands associated with the company on the welcome page of its website, including AAMI, Apia, CIL Insurance, and Asteron Life. The disclosure of such a strong network will automatically build customers and public confidence in the company.
  • The company narrates the measures it took to assist its customers during the recent disastrous bush fires. It announced that it had assigned a dedicated client manager who would take care of its customers till they recover from the disaster.
  • In the case studies section of its website, Suncorp Group highlights some CSR programs it is running in Australia, and most of these programs targeted vulnerable individuals and communities. According to Taylor & Francis Online, 'investment in CSR policies increases consumer value, satisfaction, and loyalty to the company'.
  • Financial Review reports on Suncorp Group's marketing fail where the then CEO, Michael Cameron, in 2017 initiated a huge project that would make the company an 'Amazon' in financial services. The project had an allocation of about $146 million to help connect Suncorp's estimated 9.6 million customers with all the company's products in general insurance, banking, and life insurance using a smartphone app. By mid-2020, only half of the targets had been met and indications are that they are not likely to be met soon.
  • In February 2020, Suncorp Group announced that it would use artificial intelligence and data analytics to boost its competitive advantage and drive improvement in the core business. The announcement indicates that the company would continue to invest in digital self-service capabilities to enhance services to its members.
  • The company runs a YouTube series called, 'That is the Suncorp Spirit' which highlights the various interventions Suncorp Group makes to assist its customers whenever they are faced with disasters.
  • Kristi Barrow, a marketer with one of Suncorp's brands says the company targets to build an online-only brand because everything is instantly traceable, data is available in real-time, there is an increased speed of reacting to market conditions and companies have a chance to test ideas quickly.
  • In a YouTube advert titled, 'No One Knows Queensland Like A Queenslander', Suncorp shows that it is the best-suited company to provide insurance cover to Queenslanders because it understands the region. The advert is a very innovative creation that will quickly catch the attention of any viewer.
  • In another innovative advert to encourage Queenslanders to band together and prepare for the upcoming storm season, Suncorp features one of Queensland’s favorite sons, Johnathan Thurston, as he pitches in to do his bit to prevent storm damage alongside his local community.

Trends in Australia's Fleet Road Transport

  • In the 2014–2019 period, the fleet vehicle leasing industry showed increased demand for novated leasing that enhanced industry growth. However, a poorly performing economy has in recent times constrained demand for vehicle fleet leasing, and businesses prefer to buy fleets instead of leasing from industry firms. This trend has reduced the rate of industry growth over the past five years and industry revenue is projected to grow at a CAGR of about 1.9% in the 2014-2020 period to reach about $2.8 billion.
  • According to Automotive Fleet, there was a reduction in the number of registrations for commercial vehicles in Australia during the 2014-2019 period although the general vehicle market realized a gradual growth during this period. Automotive Fleet reports that the number of heavy commercial vehicles sold in 2019 was 1914 less than those sold in 2018 and Toyota is the dominant brand in Australia's fleet market. More information on the fleet industry in Australia for the 2014-2019 period can be found here.
  • Team Transport is a fleet transport firm based in Brisbane, Australia, and the firm has over 250 vehicles ranging in size from one-tonne taxi trucks up to extendable semi-trailers, crane trucks, low loaders, tilt trays, and container vehicles. It is among the top transport companies in Brisbane and South East Queensland.
  • The company's first Covid-19 regulation issued on March 17, 2020, stated that any employees, contractors, or customers that had traveled to Mainland China, Iran, Republic of Korea, and Italy were not permitted to visit or enter any Team Transport depots for a minimum of 14 days since returning to Australia.
  • Team Transport's latest Covid-19 regulation issued on July 30, 2020, states that it was mandatory for any drivers who had been through Victoria and Sydney over the past 14 days to complete the standard wellness check prior to entry and they must also wear masks when visiting Team Transport sites. All pick-ups and deliveries to any of the company's sites will observe the no personal contact rule and the pick-ups' drivers will remain clear of staff and from each other.
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