Dubai Forums Dubai Discussions Dubai General Chat

Not being into Marketing i thought i would run this past you.

In UK we have a huge Chain of supermarkets called Tesco. THey sell everything from food to Car Insurance.

THey are very competitive especially for their insurance products.

Why would they advertise on TV that they have set up a new "price comparrison site" comparing their insurance products against all the others in the market place and you are able to purchase that product through their site.

Surely they cant believe the public will think their site is truely independant, it must have a bias to their own products or they will be selling others Companies products.

Perception.
If its advertised and created it must be true......

I dont see how. Lets assume there is a cheaper product out there and there probably is, if that came up on their site as the cheapest then Tesco would not sell any of their own products.

Why would they set up a site that may in effect shoot themselves in the foot?

Because its not necessarily about price. There will be cheaper products but the inclusions will not be the same, and the criteria for obtaining them may be harder. this should be reflected in their comparison chart.

the bigger question is - Should you buy insurance from a supermarket? In the aisle next to the bananas...

scarlet wrote:Because its not necessarily about price. There will be cheaper products but the inclusions will not be the same, and the criteria for obtaining them may be harder. this should be reflected in their comparison chart.

the bigger question is - Should you buy insurance from a supermarket? In the aisle next to the bananas...

actually the Insurance Dept is always next to the Deli

Seriously the Insurance is online only

check here www.tesco.com

Tesco acts as a retailer for insurance products as well - I used to consult for life companies (I worked for reinsurers in the UK) - and Tesco used to court many insurers and pit one against the other go get the best quotes.

They get money from insurance companies when they sell insurance - therefore a price comparison site isn't so stupid. If their is option to buy via Tesco, they will get a cut. Even if the link is to the insurance companies own web-site, there is probably an agreement for fees for every 'click-through'/referral.

Insurance wasn't a core business - so it could also be seen as a cheap way to get people to come to Tesco's web site. At the very least it has generated some publicity.

(I'm speaking in general terms and my information is 2 years old).

Cheers,
Shafique

shafique is right,, its not so much the actual revenue they get from that business but could be to increase general traffic in the tesco site

There is a company in the USA that sells like this called "Progressive". They tell you right on their site who is cheapest, and it is not always them.

spam edited by Mod

I did marketing at university and now study MBA with many marketing subjects. My family tell me I am an expert on it and I will share with you my knowledge.

Mr. Arniegang when you ask why would a company setup a website where you can look for other company product as well as their own they are showing strong faith in their product and believe that comparison shopping is way to go.

Their insurance may not be for all customer yet it may be targeted at a specific customer and by comparison shopping people can leave out cover they don't need and focus on LITE premiums.

Example would be also if Ryan Air did comparison with BA where it could be shown that Ryan Air is much cheaper but leaves out things that you get on BA like food and mechanical safety.

In case of Tecso they are showing it also provides help tool for customer and thus they think Tecso is good honest company.

dubaidog wrote:There is a company in the USA that sells like this called "Progressive". They tell you right on their site who is cheapest, and it is not always them.

Yeah but progressive is notorious for their add ons once the policy is actually underwritten. Rarely, if ever do you get the rate that they give you on their website.

Sheikmo if you did your Bachelor in marketing, why would you need to do more marketing subjects in an MBA?

In university I did marketing with focus on internet marketing now I am interested in marketing other services such as finance. It will help with my current job which is with large government company and when I get MBA I am assured a very senior role.

MBA is not just about marketing it also includes elements of other subjects which is good because gives you all round knowledge for director role when I get it.

^^ I think you missed my point. A bachelors degree is usually 24 subjects. if you majored in Marketing at least 8 of these subjects would need to be in marketing.

If you didn't understand Marketing at the end of this then doing an MBA with another focus on marketing is not going to help much.

Personally i think its a waste of time and you should have focussed on a general MBA or an MBA with Business Focus or as you say Finance focus.

Yes you are right but for Emirati you will find it hard to get director position without MBA. With an MBA I can get director position I think in 2 years.

I don't think that an MBA is a waste of time, but majoring in the same thing twice is. good luck on the directorship

Donno if you should say it's a waste of time as generally getting your Masters in any major is always beneficial. Maybe a more suitable choice of words would be that he would be better off spending his time doing something else. Work experience and a general MBA are both better options as you said.