Determinants of Marketing Strategies of Crop Insurance in Narok County, Kenya

Abstract

The research study was to establish the determinants of marketing strategies of crop insurance in Narok County, Kenya. The research looked at the various factors often cited by the insurance industry players. The study was guided by the following research objectives: to establish determinants of marketing strategies applied of crop insurance in Narok County, Kenya and to determine the relationship between the determinants of marketing strategies and the choice of marketing strategies applied on Crop Insurance in Narok, County. The research adopted descriptive survey design to collect quantitative and qualitative data. This was preferred as it could enable the researcher to obtain complete and possible accurate information. A sample of 25 crop insurance firms and agents were used to collect data by use of questionnaires. The data collected was then analysed by use of SPSS to show correlations. The presentation of data was by tables and mean. The findings were analysed using Pearson correlation statistic. The findings showed that there is a correlation between the determinants and marketing strategies of crop Insurance in Narok County, Kenya. The study findings show that the choice of crop insurance marketing strategy by insurance firms Narok County is influenced by a number of factors hereby referred to as determinants. These factors include size of the insurance firm, type of customer to insured, resources available to sustain the insurance scheme, the level of competition in the market, the nature of crop problems, the prevailing government legislations and the culture of the people in the County. The study further revealed that most crop insurance firms adopted marketing strategies that were cost based, product differentiation, market focused, competition based and reputation based. It is recommended that crop insurance firms should ensure the determinants of marketing strategies are fully implemented. The management of the firms will have to set up clear policies on crop insurance and communicate to all the stakeholders on what it entails, what is expected, and the potential benefits. The aim of this will be to embrace acceptance that indeed crop insurance is key to gain substantial farm inputs.