Micro Insuring Low-Income Consumers through Innovative Channels (A)

Published 15 Dec 2017
Reference 6325
Topic Marketing
Industry Insurance
Region Africa
Summary

The case illustrates how Microensure deploys strategies for the bottom-of-the-pyramid (BoP) as the cornerstone of a successful, cost-efficient scale-up that aims to democratize insurance in countries where consumers have very low incomes.

Teaching objectives

Discover how the 5-step BoP framework can be used to structure a market approach for a segment that is underserved. Understand how competitive advantage can be gained from a low-cost/vast-breadth strategy, and how value is generated from a market that (at first glance) seems unattractive. Show how a deep understanding of the value chain coupled with a cooperation strategy is used to create a symbiotic partnership with telecommunications companies.

Keywords
  • Bottom of the pyramid
  • Consumers
  • Telco
  • Distribution channels
  • Marginal cost
  • Symbiosis
  • Low-cost
  • Mobile
  • Cost-effectiveness
  • Micro-insuring
  • Low-income
  • Channels
  • Zambia
  • Q21718