scroll to top
Stuck on your essay?
Get ideas from this essay and see how your work stacks up
Word Count: 665
Problem Definition Progressive is a service organization an auto insurance provider that is looking to diversify its service offerings By examining Progressives existing service offering we see that compared to other insurance providers its economics are not typical In exploring the reasons we learn that the company does things very differently than its competitors and as such has significantly different capabilities Understanding these capabilities is necessary before assessing the new service innovation under consideration pay-as-you-go insurance We can analyze the existing capabilities of Progressive Insurance and the market demands of its customers to determine the viability of a potential new service We can evaluate the introduction of technological service innovations Because the perception of technological capabilities plays an important role in customer acceptance of such innovations their introduction must be considered from a behavioral as well as business perspective Situation Assessment Strengths differentiated services technological leadership good price segmenters innovation Use Internet technology in gaining customers Weaknesses Immature level of development of marketing efforts No clear strategy or roadmap of dealing with competition from top tier insurance companies Opportunities consistently outsegment and differentiate from competition Threats Excessive customer segmentation Excessive technology investment in non-value added projects that are not reigned in before fruition Increasing deregulation in the insurance services industry Progressive prides itself on providing low cost premiums resulting in 25 savings to customers employing innovative technology and price segmentation and it is regarded as Progressives core competency However Progressive is at crossroads whether to continue to attract niche markets employing innovative technologies such as the Autograph or to go the conventional insurance route aka State Farm or All State in the future Progressive took advantage of the Internet technology for customer education and quote comparison shopping and other innovations to offer insurance to customers Some of the threats that could endanger Progressives prosperity or survival in the future include excessive customer segmentation where the varied offerings available
@Kibin is a lifesaver for my essay right now!!
- Sandra Slivka, student @ UC Berkeley
Wow, this is the best essay help I've ever received!
- Camvu Pham, student @ U of M
If I'd known about @Kibin in college, I would have gotten much more sleep
- Jen Soust, alumni @ UCLA