Executive SummaryThe education insurance region is a large part in the Vietnam insurance market. Vietnam with the tradition of respecting education, learning conditions of children is paid attention of the families and the whole public. Pru Triple Education is a standard of Prudential Vietnam insurance company and in the market. Pru Triple Education help the customers good education for your kid assures him a bright future. In this assignment, our aim is introducing, analyzing and evaluating this product of Prudential Vietnam. This assignment based on the information of many sources. Hopefully, it can bring some knowledge about Pru Triple Education to raise the attention to this product. I. Company analysis: What is Prudential: • Slogan: “Always Listening. Always Understanding” As can be seen, Prudential is one of the leading life insurers, it is believed by millions of Vietnamese people and it has the network of over 155 customer service centers, branch offices and general agency and business partner offices nationwide. Now Prudential make up more than 40% market share in terms of premium income (according to AVI's 2009 report). Moreover, Prudential Vietnam not only focuses on insurance market share, but also it studies about other fields. Such as: Prudential Vietnam Fund Management Company, established in 06/2005, is also a leading fund manager with the largest investor base in Vietnam and highly experienced investment professionals. Prudential Vietnam Fund Management Company currently serves for more than 11,000 clients, with over US$1.4 billion funds (as of 31/12/2008) In addition, providing financial security to customers through life insurance and fund management, Prudential also widen its business to include consumer finance with the birth of Prudential Vietnam Finance Company on 09/10/2007. After ten year operation, Prudential Vietnam has been playing an important role in mobilizing idle funds from people to invest in the national economy as well as transferring skill and creating high quality human source. Besides business activities, Prudential Vietnam has been keen on participating in social activities One of their principles is providing the excellent service. Company objective: We can see that the company objective of Prudential Vietnam is expanding in Vietnam market. Prudential Vietnam realizes that listening is the only way to understanding customers. Prudential Vietnam has been actively investing in the development of abundant products and efficient service systems in order to improve its ability to serve its customer throughout the country. 2.asp?pageid=22 The slogan is also the service guideline of Prudential: “Always listening. http://www. Prudential opens 29 new offices in Vietnam.prudentialreports.com/2009ar/index. In 2009. Therefore. Prudential Vietnam prides itself on being a good and . Andrew Yeo. according to Mr. Prudential has the agency office system in 63 city and town through the country. always understanding”. Mission statement: Like the mission of the Prudetial plc. And understanding customer is the best way to provide the perfect service and product to satisfy them.1. In 2010. the mission statement of Prudential Vietnam is what the chairman said Our mission has been to meet our customers' changing needs for savings. income and protection. It can be seen that the company objective is continue to be the market share leader Prudential also want people know that their company is an insurance company offers brings brighter future for customers. 2. The market has been become more competitive than ever for Prudential. cause of the global economic crisis. technological. economic. political and social forces. it can not be avoided. It brings many insurance companies to the life insurance market. Prudential has been orgnised and take part in many community activities. the nominal GDP reached $92.) 23% (2008 est. with nominal GDP per capita of $1. Vietnam became the WTO's 150th member on 11 January 2007.439 billion[1]. The influence of these factors will be specified in the next part. Cultural: The culture of Vietnam has big influence to insurance market. . Insurance or investment in Vietnam is quite new and strange.17%. involves demographic.trusted company. economic conditions are the basis of the Prudential development.060[. Vietnam economic has been developed through years Government figures of GDP growth in 2006.5% for 2007. Vietnamese people don’t have the habit of giving their money for other man or the habit of worry for the risk in the future. In 2009. the inflation rate was maintained at less than 10% (6. not only Prudential and Pru Triple Education have problem with finding potential customers and the number of canceling contracts. but also the whole market. In recent years.9% (2009 est. II. It consists of the six main factors. It has strong impacts on the performance of Prudential.) Therfore. was 8. It means the number of competitor is rising. the government targets a GDP growth of around 8. If the incident really comes. Environmental analysis Prudential and its marketing intermediaries. customers. According to Vietnam's Minister of Planning and Investment. competitors and publics all operate in a large macro environment. natural. Lot of them thinks that their life risk is depends on fate. Economic: Initially. 1. 3.net/cẩm-nang-bảo-hiểm-nh/1359-cau-hi-216-co-nhng-nhan-tnao-nh-hng-n-s-phat-trin-ca-th-trng-bo-him-nhan-th-vit-nam. However. reduce bulky . Hence. Legal: The Vietnamese policy and laws for life insurance is still quite complex. However. Therefore. the education insurance and Pru Triple Education has the opportunity to develop. including labor age group and children are the majority. the tradition of taking care for family members of Vietnamese people is a condition for the development of insurance industry. including Prudential. Beside. Technology: Information technology has met the for Life insurance of Prudential. the proportion of people having life insurance was only about 7%. the system of legal on the insurance industry improves to accommodate to international standard.However. 5.webbaohiem.html) That shows insurance industry is very potential in Vietnam. while this average rate in other country in the same area is 20-25%. Vietnam's population of more than 83 million people. Parents are always willing to do anything for the best learning conditions of their children. Vietnam has the tradition of respecting education. (According to http://www. 4. also the whole public. Ministry of Finance supervises the insurance operation in the industry. By late 2005. It’s a problem to Vietnam insurance industry. the number of people who have life insurance is approximately 5 million people. Now. the application of information technology has allowed insurance companies computerized service process. Demographic The third factor is demographic forces. Vietnam is trying to improve the insurance laws. openness and integration contributed to change Vietnamese mind. In the field of general insurance and life insurance in particular. Besides. Regarding the population of Vietnam is a densely populated country in the world. from recruiting and training agents to the activities. children education always is the top concerns of parent and relatives. webbaohiem. So this is a chance to Prudential triple education thorough application of scientific achievements and technical needs and the increasing diversity of customers in terms of competition and integration. diversifying distribution channels and other forms of services. Prudential was leading the market-share with 40%.html) 6. Clearly. next to Prudential also has many other competitors. phone. (http://www.In addition. According to the Vietnam Insurance Association.properties of the organizational structure of enterprises insurance. Customers demand increasingly to seek information via modern media such as via: Internet.. enhancing customer service through ancillary services tech. Nature Another factor in the macro environment which affects on Prudential is nature. ..investment . Prudential insurance market becomes more necessary than ever.. in 2009. in the natural environment had many changes. The second highest market-share is Bao Viet with 34%. where humans can not anticipate natural risks that can carry at any weird today. email . And then.bar accounting .. III.. is to provide integrated financial services including insurance .. the rapid development of information technology created a new consumer habits for clients. Competitor analysis In the insurance market. the insurance becomes a good wealth. Next to the two companies is Manulife with 10% of the market-share.net/c%E1%BA%A9m-nang-b%E1%BA%A3o-hi %E1%BB%83m-nh/1359-cau-hi-216-co-nhng-nhan-t-nao-nh-hng-n-s-phat-trin-ca-thtrng-bo-him-nhan-th-vit-nam.. Climate change real for people how often cause disasters. Moreover. established on 01/15/1965.% 4 5 4 0 3 5 3 0 2 5 2 0 1 5 1 0 5 0 P ential rud 41. Bao Viet has established relationships with many reinsurance companies to help enhancing the . As a state-owned organization.58 11 . Bao Viet has that utilize and develop their strengths. especial for Bao Viet and Manulife.5 10.6 Thị phần Bảo hiểmnhân thọ 36. in the process of competition. Bao Vietnam. First. Not only having networks across the country. but also known as a strong brand. In addition. strong financial capability. Prudential faced many difficulties from the competition. To have that position. a reputation in the field of insurance. in the process and development activities. understanding the local market to help protect Vietnamese advantages compared to Prudential. Bao Viet received the assistance and special incentives from the government.32 Bảo Việt N ân T h họ M nulife a C ng ty ô N hững C ty khác Clearly. Bao Viet has now become the Finance – Insurance Group in Vietnam. At the present. Customer service is the only Vietnamese. comparison with Prudential Vietnam. This problem is caused by Manulife Vietnam do not pay attention to communication. both to reduce the risk. Manulife’ education endowment product is the education insurance which provides the assuring for the kid. With the advantage of 100% capital from abroad and more than 100 years of credit in favor of Asian markets. can not reach out to foreign markets. Each of those product lead to different time of education in Vietnam. Manulife is committed to assuring long-term operation. (http://www. Slogan "Vietnamese security interests" binds scope of activities of this group. it is clearly not the business of Manulife is.asp? websiteId=1&newsId=27&catId=3&lang=VN) Another direct competitor is Manulife.cooperation. The age child at the beginning of the contract is from 0 to 10.com. etc. Manulife has been the third leader in market-share. Manulife Vietnam has developed rapidly and become a world-class company providing a wide range of financial protection products quality and best service for customers in Vietnam. When you see this icon. Founded in 1999. An Sinh Hieu Hoc. and advertisings his company's image on the mass media. An Sinh Lap Nghiep. after more than 10 years of operating with the slogan "Your future is our future". . The education insurance of Bao Viet includes: An Sinh Thanh Tai. Manulife is the logo of a little-known. except for their customers.baoviet. However.vn/newsdetail. However. Bao Viet still has some security weaknesses that affect performance. Psychographic Socio-economic status: nowadays. To head firmly and development.when customer buy insurance that means they invest their money to future so they usually find out the most safety case. when Vietnam joins the WTO.manulife. drastic.com.htm) To conclude.vn/web/vietnam. the influx of a growing number of insurance groups will bring a market share race dramatic. IV. Customer Analysis Customer segments Behavior Characteristics Loyalty status: strong_ when customer choose financial investment in this type of insurance that is safe for their finances and it can bring profit as well as a guarantee of future Usage rate: various stage of user Benefit sought: safety .(http://www. And . Thus.nsf/public/Introduction_VN. When they have better life. the economic of Vietnam is developing quite quickly so the economic status of people increase so much. it is necessary for Prudential to have suitable for detail strategies in the competition with their rivals. Vietnam's market becomes ever more promising for high-speed development. they find out the way to take care the life of family and themselves in future. attitudes: in the past Vietnamese don’t think that insurance is safety. Buying insurance becomes formal with Vietnamese. 3-level. Rights education is designed with flexible payment options at the time of your school age children 2. But now this product becomes very popular over the world so people have new attitudes about it. Lifestyle. Insured Age: 18-55 years old Benefits are reduced premiums for contracts with large denominations . university or start a business.insurance is a good choose for them to sure for a good life. Not only you but also your spouse and your children have the opportunity to provide the same protection in the contract. Demographic It is also suitable for the whole families with parents and children who are students needing money to pay for fee. However. There are very little people who do not know about Vietnam slogan “Always listening. and 2009. has more than 28. Hochiminh city. before go to the information of it. Hai Phong…) often have a big proportion of customer V. Pru Triple Education: In eleven basis products of Prudential. always understanding” as well as the image The man from Pru with the familiar red color. Prudential Brand: Prudential was established in the UK and had operated in many countries.040 agents. Brand Analysis The brand we are consider in this assignment is Pru Triple Education. we’d better have a look at the Prudential brand. always understanding" – the slogan of the Prudential had become Vietnamese idioms in modern life and go on naturally.Geographical Actually. we choose analyzing the Pru Triple Education cause of the below reasons: . with the level of awareness up over 90%. Through this point. Life insurance company Prudential Vietnam officially established in 1999. "Always listening. we can speak about the influence of Prudential Vietnam to the insurance market. 2. At present. the big cities ( such as Hanoi. 1. Prudential is a strong brand in Vietnam. Prudential has already become the market-share leader with 40% market share of insurance industry. it’s necessary to conduct these following portfolio analyses: a) PLCs: . The age to entry insurance is 18 to 55. the fat her ( or mother) of the children. Prudential agents is not seller product. Besides. social welfare policy of government. With so many Vietnamese people. saving money to defend before incidents which may happen in the future is a routine. Therefore. but financial planning for individual stages of life is very strange. a insurance for education. To evaluate better the performance of this brand name. This insurance has the capability of assuring and saving. We can say that Pru Triple Education is a flexible insurance product for customers. and also is a standard in the insurance. economic environment. This is one of three product has the largest number of contracts in Prudential. Besides. Besides. This point is what the competitors have not gotten already. The last reason is the flexible applied ways of Pru Triple Education. family size. another speciality of Pru Triple Education is the capability of protecting for the whole family if the policyowner can take full advantage of it. so it can be use to saving for the entire time or simply for their own needs. the policyowner is the bread maker. but the professional financial advisors to help each client evaluating financial condition to create a long-term financial plan for the customers and their relatives for selecting a good insurance products.understanding customer needs. Pru Triple education is the first insurance product for education in which the policyowner is one of the parents of the kid – who get the education benefit of the contract. balancing many factors such as income. by that Prudential could provide products and best service.This product has many characteristics of Prudential. The name of this product reflects the it’s characteristic. the Prudential insurance products designed various suitable products for individuals and families symbol of Vietnam. The company products usually are built based on listening . there are ten kind of education products which were provided by five insurance company. Since then. Those information are stable still through two years ( according to the Prudential Agents). However. Customers who are reducing premiums for contracts with large denominations A year ago. name .com. Besides.Pru Triple Education appeared in the public in 2007. this product line maybe has 50% of the market-share. the education insurance area in Vietnam insurance market is large.vn. Pru Triple Education is in the growth stage in the Product life cycle. the purpose of polishing the image. not only on the channel information. The number of competitor in this product line is quite big. According to daiichi-life. by now. One of the result is the present attention is in the investment region. Pru Triple Education contracts is one of the third highest percentage in the total contract. In general. the condition and benefit of Pru Triple Education is suitable and satisfy the Vietnamese customers. the number of contract is increasing. It will take amount of years to change to the maturity. However. to commemorate the founding Marginalized. the number of competitor is stay still. its contract was rising and rising. At 2007. However. * Vietnam has a big advertising program. Education Products Triple Pru also in product groups which are widely introduced. Customer can also wait for the maturity to receive the contract benefits with the highest cash.Good education for your kid assures him a Bright Future! Like what the name said. Pru Triple Education is an education insurance product.of the company. The main purpose of the product is protecting and supporting for the education of children in the future and assuring of protecting the financial plan for the family. The condition to use Pru Triple Education: Age of the policyowner: 18 – 55 years old Policy term: 10 – 22 years Premium term: 6 -18 years ( it’s up to the policy term – 4) Major benefit insurance: Flexibly choose the time of receiving education benefits for children learning: Customers can choose the time of receiving the benefits of education in the first seven years before maturity. There is the exactly solution for customers . b) 4Ps: Product: Pru Triple Education . 4th year before the maturity date or on each year in the last five years of the contract. Especially. . and be free the costs for the remain time of the contract period. the payment for your kid’s education shall be continued regardless of acidents to the life assured. customers will receive insurance money. senior high school. They also can keep all the entire cash benefit in the origin selected contract to serve the educational needs of children. also bread earner.Total payment Kid’s age Solution A Payment for your kid’s education during his years of junior. university level %Sum assured %Accumulated dividend and terminal bonus Schooling Stages Junior high school Senior high school University 11 20 0 14 18 Solution B Payment for your kid’s education in his years at senior high school 14 15 16 17 18 Solution C Payment for your kid’s education in his years at University and career starting 18 19 20 21 22 25 75 20+10 20 20 20 20+10 20+10 20 20 20 20+10 25 75 20 20 20 20 20 20 20 20 20 20 On the entry to university University and career starting The total payment for your kid’s education may be up to 120% of the sum assured. Ensure educational benefits in cash when the risk occur When risks occur. Payment for your kid’s education shall be continued on term in accordance to your kid’s educational plans. Although there are no restriction on sum assured. However. Protect when death or injury Upon death or total and permanent dismemberment of the policy-owner. Pru Triple Education has the process Large Sum Assured Discount to customers who choose the high value contract. This price of this Pru Triple Education is quite cheap to campare to other familiar products in the market. like the other basis product of Prudential. the whole family can be assured completely and perfectly. then. the two of children. . Vietnamese family structure usually has four members: the two of parent. except the fee of riders which can be attached. (Upon total and permanent disability of the life assured. payment will be made in 10 installments for ten years. In addition to the primary insured. . Prudential will pay 100% of the sum assured to assist the life assured and family to overcome hard days. It depends on the health condition of the life assured and the policy owner’s financial conditions.5 million VND per year. the product form of protection (riders can be attached) for the spouses and their kid. Besides. Price: Prudential give the customers various level of price to match with many financial stages of customers. If one family with four members purchase two Pru Triple Education (policyowners are two of the bread makers). Both families have been covered One Pru Triple Education contract can protect for three member on the family. the lowest premium of Pru Triple Education is about 1. if the customers take part in Pru Triple Education with the sum assured of ! 50 millions.60 For instance. All of agents of Prudential are trained carefully to understanding and hold the spirit of “Always listening.000 VND per year. the agents are reminding that customer benefits is the first thing to considers. . Fairness and Perfect Services. Then. they would discount the annual premium : 150. Place: Pru Triple Education is suitable with much kind of customers.less 180 180 and above 0. always understanding” and make sure that their activities are based on “Honest.000 0.Sum assured (million) Discount rate (% the sum assured) 60 . The major part of agency offices is in cities. towns and wards.less 120 120 .” At Prudential. so the distribution is large. the major distribution of this product is in the urban area. Promotion: Because of the characteristics of insurance product: Unsought goods. However. Prudential has been expanding agency offices through the country.000. so most of the promotion of Pru Triple Education is aggressive advertising and personal selling. Therefore. human resource of Prudential is pay attention.45 0.30 0.45% = 675. Strengths Prudential has been a well-known brand in the world before entering to Vietnam. you are completely assured because of the financial safety measures are planned to closely follow every step on the path of your child's education. the father (or mother) of the baby. there are strengths. They have two cash benefit option and three solutions for the time customers get the sum. there is too much option for them. we will discuss all aspect of Pru Triple Education. 2. • Rights education is designed with flexible payment options at the time of your school age children 2. 1. • Not only you but also your husband (or wife) and your children have the opportunity to provide the same protection in the contract. 3-level. One of product of Prudential is Phu-An Gia Thanh Tai. opportunities and threats which Pru Triple Education has. who is also a pillar of the family. the benefits of this education are guaranteed payment in case the unlucky incidents happen to the insured person.Swot analysis In SWOT analysis.VI. Honda Vietnam now becomes a part in the Vietnamese people’s life. Moreover it can many benefit for customers: • The first educational insurance in Vietnam offers benefits to the leader of the family. However. so they . We can say that With Phu-An Gia Thanh Tai. different needs. Weaknesses: Pru Triple Education provides many solutions for the different stage. Over 10 years of long existence and development. Specially. • General education benefits are paid up to 120% of the amount insured. university or start a business. different situation of customers. • Customer has opportunity to receive bonus plus accrued interest divided by the end of the contract. weaknesses. 3. Besides. now the percentage of pupil and students increase rapidly and the parent take care their studying very carefully it is a good traditional of Vietnamese and the product is educational insurance so there are many families want to buy insurance to life of their children. Prudential and “Pru Triple Educare” products have to face with not only opportunities but also threats. Because there are many people who don’t have old-age pension. people will think about future with many ill-luck things. the economic develop fast. Therefore. However.can be confused to try to understanding and finding the suitable service for themselves. it is not easy for Prudential and “Pru Triple Educare” to access with large parts customers. Finally rural area is a potentially environment for Phu-An Gia Thanh Tai. In fact. Hence. When life is beginning to return to normal. After Vietnam joint in WTO. There is the problem of find information in this website. Firstly. Vietnamese does not have the habit of buying insurance. the capability and effort of each person is very different. a permanent campaign and also the . So it is a good opportunity for Prudential. too. they often choose to send a bank or savings because of not realized the profound benefits and profits of insurance offers. Opportunity: It cannot be denied that some factors and forces of the external environment bring Prudential great opportunities. the customers care offices response customers not immediately. to do this. Threats In the dynamic environment. the income of people will go up. Another weakness is the providing information for customers. In the website of Prudential. Moreover. providing the information and knowledge of product to customers is up to the agents’ responsibility. Instead. want to hoard up money for 4. the customers are hard to find the information they need. Prudential should focus on links with the powerful financial groups to increase capital. attract staff of highly qualified and bring high quality products. In addition. Vietnam is opening up to welcome businesses to invest and grow. That was the reason for the growing number of insurance groups in Vietnam. VII. The second threat which is really important for Prudential is competitive pressure among competitors. Thus. It brings many benefits for customer and focus on the pupil and student which suitable with . better service quality. sometimes up to 50% in the product mix of insurance on the life insurance market Vietnam. Besides. several years of data showed that sales of insurance security costs of education constitute a large proportion. with abundant capital and human resources with high qualifications and diversity of products became ever more challenging by Prudential. Prudential may promote and advertise “Pru Triple Educare “products to customers through mass media. insurance market has about 10 insurance products safety education is provided by five life insurance companies. Conclusion There is no denial that Phu-An Gia Thanh Tai is a good educational insurance.specific steps are as a suggestion for Prudential. reasonable prices. Obviously. as a member of the World Trade Organization. the insurance market is very potential investment. As a specialist. In addition. Always understood. after more than ten years of operation in Vietnam (1999-2007) has achieved much success. First of all. But we have some suggestions for the product’s or company’s future direction to improve it more development and increasing the number of customer. investment on website of Prudential… We reckon that Prudential should explain carefully about everything of this product to attract customer more than. we believe that if this company focuses on short-term training course about skill to keep relationship with customer and having professional employees. Prudential Vietnam joint in social activities to help build the lives of poor families as well as incubates for young talents. On conclusion. everyone's confidence . Besides business. has given millions of people in Vietnam a guarantee for a bright future. On the other hand.traditional of Vietnam. I am sure that when anyone see the logo "The Man from the Pru" with the slogan "Always listening. This is a testament to the success of Prudential Vietnam turned over the building and put their brand in mind. "then everyone can say that is the Prudential. Prudential Insurance Company of Vietnam. that is the information about this product is not detail about price. they will have more opportunities to development.