Consumer Motivations in the Life and Pensions Markets - Market Research Reports

Contents:

Overview

Introduction

'Consumer Motivations in the life and pensions markets, 2002 provides statistical analysis of people holding life assurance and pensions products by age, employment status, housing tenure, income, lifestage and level of consumer satisfaction. In addition, this brief identifies the dominant reasons for consumers, in each of these categories, choosing a particular life assurance or pension provider.

Scope

Consumer analysis in the life and pensions markets, examining holders of life and pension products.
Analysis in the life and pensions markets in identifying consumer reasons for choosing a life assurance or pension provider.
Statistical analysis of consumer reasons for choosing a product provider, highlighting significant differences in reasons between consumer groupings.

Report Highlights

People with incomes of £30,000 or more are the most likely to hold a life assurance product, with an above market average index of 143 in 2001. This equates to a market size of 5.43 million.

Couples aged under 30 are the most likely lifestage to cite ‘cost’ as the primary reason for choosing a life assurance provider.

Individuals aged between 60 and 69 are most likely to choose a pension provider for ‘distribution’ reasons than any other age group. This age group citing ‘distribution’ had an above market average index of 192 in 2001.

Reasons to Purchase

This report gives readers in-depth analysis of which consumer segments are most likely to hold a life assurance or pension product.
With the information contained in this report readers are able to identify potential consumer hot spots to market products to.
This report provides readers with comparative data on why individuals, in each consumer segmentation, choose a particular product provider.
The information in the report allows readers to identify which consumers are most likely to respond well or badly to potential acquisition strategies.

CHAPTER 1 EXECUTIVE SUMMARY

Introduction
Life assurance
Holders of life assurance
Reasons for choosing a life assurance provider
Pensions
Holders of a pension
Reasons for choosing a pension provider

CHAPTER 2 INTRODUCTION

Scope of the report
Purpose of the report
Target reader
Types of company
Personnel
Methodology
Market sizing
Statistical analysis
Data used

CHAPTER 3 LIFE ASSURANCE

Holders of life assurance
By age
By employment status
By housing tenure
By income
By lifestage
Level of satisfaction
Reasons for choice of life assurance provider
2001 hot spots
By age
By employment status
By housing tenure
By income
By lifestage
By level of satisfaction

CHAPTER 4 PENSIONS

Holders of a personal pension
By age
By employment status
By housing tenure
By income
By lifestage
Level of consumer satisfaction
Reasons for choice of pension provider
2001 Hot spots
By age
By employment status
By housing tenure
By income
By lifestage
By level of satisfaction

CHAPTER 5 APPENDIX

Definitions
Markets featured
Lifestages
Research methodology
Market sizing
Statistical analysis
Data used
Do you need more information?
Datamonitor Financial Services Consulting
The IFA Service
Further readings
Present readings
Future readings
Relevant links
SPP writing team

LIST OF TABLES

Table 1: Statistical analysis of the reasons for choosing a life assurance provider by housing tenure, 2001
Table 2: Statistical analysis of the reasons for choosing a pension provider by age group, 2001
Table 3: Estimated market sizes for holders of life assurance by age group, 2001
Table 4: Holders of life assurance by age band, 1997-2001
Table 5: estimated market sizes for holders of life assurance by employment status, 2001
Table 6: Holders of life assurance by employment status, 1997-2001
Table 7: Estimated market sizes for holders of life assurance by housing tenure, 2001
Table 8: Holders of life assurance by housing tenure, 1997-2001
Table 9: Estimated market sizes for holders of life assurance by income, 2001
Table 10: Holders of life assurance by income, 1997-2001
Table 11: Estimated market sizes for holders of life assurance by lifestage, 2001
Table 12: Holders of life assurance by lifestage, 1997-2001
Table 13: Holders of life assurance by level of satisfaction, 1997-2001
Table 14: Consumer segmentation hot spots of reasons for choosing a life assurance provider, 2001
Table 15: Reasons for choosing a life assurance provider by age, 2001
Table 16: Statistical analysis of the reasons for choosing a life assurance provider by age group, 2001
Table 17: Reasons for choosing a life assurance provider by employment status, 2001
Table 18: Statistical analysis of the reasons for choosing a life assurance provider by employment status, 2001
Table 19: Reasons for choosing a life assurance provider by employment status, 2001
Table 20: Statistical analysis of the reasons for choosing a life assurance provider by housing tenure, 2001
Table 21: Reasons for choosing a life assurance provider by income, 2001
Table 22: Statistical analysis of the reasons for choosing a life assurance provider by income band, 2001
Table 23: Reasons for choosing a life assurance provider by lifestage, 2001
Table 24: Statistical analysis of the reasons for choosing a life assurance provider by lifestage, 2001
Table 25: Reasons for choosing a life assurance provider by level of satisfaction, 2001
Table 26: Statistical analysis of the reasons for choosing a life assurance provider by level of satisfaction, 2001
Table 27: Estimated market sizes for holders of a pension by age, 2001
Table 28: Holders of a personal pension by age, 1997-2001
Table 29: Estimated market sizes for holders of a pension by employment status, 2001
Table 30: Holders of a personal pension by age, 1997-2001
Table 31: Estimated market sizes for holders of a pension by housing tenure, 2001
Table 32: Holders of a personal pension by housing tenure, 1997-2001
Table 33: Estimated market sizes for holders of a pension by income, 2001
Table 34: Holders of a personal pension by income, 1997-2001
Table 35: estimated market sizes for holders of a pension by lifestage, 2001
Table 36: Holders of a personal pension by lifestage, 1997-2001
Table 37: Holders of a personal pension by level of satisfaction, 1997-2001
Table 38: Consumer segmentation hot spots of reasons for choosing a pension provider, 2001
Table 39: Reasons for choosing a pension provider by age, 2001
Table 40: Statistical analysis of the reasons for choosing a pension provider by age group, 2001
Table 41: Reasons for choosing a pension provider by employment status, 2001
Table 42: Statistical analysis of the reasons for choosing a pension provider by employment status, 2001
Table 43: Reasons for choosing a pension provider by housing tenure, 2001
Table 44: Statistical analysis of the reasons for choosing a pension provider by housing tenure, 2001
Table 45: Reasons for choosing a pension provider by income, 2001
Table 46: Statistical analysis of the reasons for choosing a pension provider by income band, 2001
Table 47: Reasons for choosing a pension provider by lifestage, 2001
Table 48: Statistical analysis of the reasons for choosing a pension provider by lifestage, 2001
Table 49: Reasons for choosing a pension provider by level of satisfaction, 2001
Table 50: Statistical analysis of the reasons for choosing a pension provider by level of satisfaction, 2001

LIST OF FIGURES

Figure 1: As people’s income increases so does the likelihood that they will hold a life assurance product

Figure 2: ‘Distribution’ is the most likely reason for choosing a life assurance provider across housing tenure groupings, in particular by those renting from the local authority

Figure 3: Full time workers are more likely to hold a pension product than part time workers

Figure 4: Individuals over the age of 60 are more likely to choose a pension provider for ‘cost’ reasons

Figure 5: Those in the middle-aged bands are most likely to hold a life assurance product. In 2001 those aged between 40 and 49 were most likely to hold a life assurance product

Figure 6: People in full time employment are more likely to hold a life assurance product than those in part time employment

Figure 7: People renting property are less likely to have a life assurance product than those purchasing a property. People who have bought a house on a mortgage are most like to hold a life assurance product

Figure 8: As people’s income increases so does the likelihood that they will hold a life assurance product

Figure 9: Single people are less likely to hold a life assurance product

Figure 10: Holders of life assurance are more satisfied with their product in 2001 than 1997

Figure 11: The legend for reasons cited for choosing a life assurance provider

Figure 12: ‘Distribution’ and ‘cost’ were the reasons most cited for choosing a life assurance provider. Those aged over 50 were more likely to give ‘distribution’ as the reason they chose a life assurance provider

Figure 13: People working full time do not display a preferential reason for choosing a life assurance provider, 2001

Figure 14: ‘Distribution’ is the most likely reason for choosing a life assurance provider across housing tenure groupings, in particular by those renting from the local authority 54

Figure 15: ‘Distribution’ is the primary reason for individuals with lower incomes to choose a pension provider 58

Figure 16: ‘Convenience’ is the most likely reason for choosing a life assurance provider to be cited. It is most likely to be cited by singles aged under 30 61

Figure 17: Individuals that are satisfied with their life assurance product are less likely to have a dominant reason for choosing a life assurance provider 65

Figure 18: People aged between 40 and 49 are most likely to have a pension product 69

Figure 19: Full time workers are more likely to hold a pension product than part time workers 72

Figure 20: People purchasing property on a mortgage are most likely to have a pension product 75

Figure 21: People earning more than £30,000 per annum are most likely to hold a pension product 78

Figure 22: Couples are more likely to hold a pension product than single consumers 81

Figure 23: People holding a pension product are most likely to be satisfied with it, 2001 84

Figure 24: The legend for reasons cited for choosing a pension provider 87

Figure 25: Individuals over the age of 60 are more likely to choose a pension provider for ‘cost’ reasons 88

Figure 26: Consumers working full time do not have an over-riding reason for choosing a pension provider 91

Figure 27: People buying property on a mortgage have the least variation between reasons given for choosing a pension provider 94

Figure 28: Individuals with middle band incomes are more likely to choose a pension provider for ‘distribution’ reasons 98

Figure 29: ‘Distribution’ is the reason for choosing a pension provider with the greatest variation in index value between lifestages 101

Figure 30: Individuals who are dissatisfied with their pension product are most likely to give ‘cost’ as the reason for choosing a particular product provider 105

Figure 31: Definition of lifestage segmentation 109