Published by MBA Skool Team, Last Updated: April 08, 2017
Marketing Strategy of Prudential analyses the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on Prudential marketing mix, help the brand succeed.
Prudential marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Prudential Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
Prudential Product Strategy:
The product strategy and mix in Prudential marketing strategy can be explained as follows:
Prudential UK is one of the leading financial services companies in the world. Prudential UK provides retirement solutions and give tax efficient ways to save for the future. They provide a variety of pension products designed for individuals and for members of a company pension scheme. They offer Prudential Retirement Account, Flexible Retirement Account, Self-Invested Personal Pensions, Additional Voluntary Contributions, Money Purchase Plan and Group Personal Pension.
Prudential UK offers a range of investment plans so that the consumers meet their short term and long term goals and be financially secure. They offer a stock and shares ISA under their Prudential ISA plan. They offer open ended investment company funds where one can pool one’s money with other investors. They offer different kind of investment bonds under Prudential investment plan, Prudential Onshore Portfolio Bond, Prudential International Investments. Prudential also offers car and home insurance through its partner Churchill which is one of the UK’s most trusted brands.
Prudential Price/Pricing Strategy:
Below is the pricing strategy in Prudential marketing strategy:
Prudential has a wide product and service offering and hence a diverse pricing strategy in its marketing mix.
Every fund has a bid and offer price. On top of this it has a base annual management charge and some other additional charges. Exchange rate fluctuations might influence the values of foreign investments.
A unit pricing manager is given the responsible for the pricing function and the application control over it. Prudential aims to provide a fair valuation of the assets within a fund, a fair price to policyholders on purchase and sale of units. It uses a transparent method of unit pricing. Prudential does quantitative analysis to build investment portfolios by analyzing the various asset market and currencies. Each unit fund’s price is calculated at least once in a month with a minimum and a maximum value. An external property surveyor values the property representing a fair and reasonable market price. There are various expenses which impact the price of the fund. Some of such expenses are Register fee, Trustee fee, Handling charges, Audit fees, bank charges, Interest charges, broker commission, value added tax etc.
Prudential Place & Distribution Strategy:
Following is the distribution strategy in the Prudential marketing mix:
Prudential UK operates in three different locations in the U.K. The head office is in London. It is in an up and coming, newly developed area of Paddington Basin. Prudential occupy two floors in the complex. The company’s other office is in Reading. It has been there since 1990, it is easily accessible as it is in the town center. Some of their office work is operated out of their Stirling and Mumbai office.
Prudential UK has a strong presence across UK and many Asian countries.
Prudential Promotion & Advertising Strategy:
The promotional and advertising strategy in the Prudential marketing strategy is as follows:
Prudential has been involved in direct marketing like print mailing for its pension business. Prudential were themselves handling their digital communications but they are looking for a creative agency to handle the digital platform for them and target the affluent people in their 50s for the company’s retirement plans. Good services and financial assistance helped the brand grow through a positive word of mouth marketing.
Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Prudential UK.
It’s the people of the company that makes it so successful. Prudential UK makes sure that they hire the right kind of people for their company. People who have the right skills and experience. They have permanent and temporary roles available in their company. Prudential give competitive remuneration to their employees which reflects their contribution to the company. The company also offers flexible benefit plan called PruSelect. The company gives share option scheme to the employees so that they can become the shareholders of the company. Prudential has an Apprenticeship Programme which recruits apprentices for a 13-month period so that they can gain valuable experience working in a reputed company. This helps the recruits with future career choices. Apprentice placements tend to fill in the junior roles across the company.
Prudential UK’s financial services and products can be seen on their websites. The customers can visit their offices for help and assistance. The customers can call the helpline of the company and can also meet a Prudential Financial advisor in their area. They can review their retirements plans and seek advice on other money saving instruments. The company’s website also provides different tools to help the customers like the income tax calculator, Tax relief calculator etc. Prudential has a long term strategic involvement with the national and local level communities to address the key issues of the communities they serve. This serves the overall business strategy of the company and make a positive difference to retirement communities around them.
The offices of Prudential are in great locations which are accessible and provide the customers the convenience and comfort of finding them easily. The environment in the offices is vibrant and relaxed. It is the perfect place for the company aiming to be the leaders in retirement – the right mix of opportunity and stability. A representation of cautious but wise behavior- PRDUDENCE has been Prudential’s logo since 1848. In 1986 an updated image of prudence bearing her trademark symbols was created to unify the image of the Prudential group. Hence, this concludes the marketing mix of Prudential financial service and insurance company.
About Prudential (U.K):
Founded in 1848 Prudential is a London based group offering financial services. It has been providing financial security and taking away the uncertainty from people’s life from the past 168 years through their long term savings and protection products, retirement solutions and asset management. They deliver high quality products and services to 24 million customers globally. Prudential is listed in four different stock exchanges in London, Hong Kong, Singapore and New York. They focus on customers and distribution and leverage on the different demographics of their different markets in which they operate. They access each market’s long term growth and the opportunities in it to provide their goods and services. That’s how they maximize their asset gathering capabilities in the region’s investment management industry. Prudential UK is one of the main business unit of Prudential group.
Prudential UK provides retirement solutions and savings options to the ageing populations in the United Kingdom. Prudential UK has five star ratings in the life and pensions and investments categories.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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