Exploring antecedents of consumer behaviour within the South African life insurance industry

Abstract

An antecedent is something that happens prior to an action or is the origin of an action. The main objective of this study was to explore the antecedents that determine consumer behaviour in the South African life insurance industry. By exploring these antecedents, life insurance companies can get a better understanding as to why consumers behave in the manner they do. The research was conducted from an external social and cultural influence point of view. The first chapter begins with an introduction which explained the problem statement and purpose of the study. This is followed by a literature review which gives an industry overview, an investigation of consumer behaviour, loyalty and trust in the industry, word of mouth, attitude and post-purchase behaviour. A qualitative approach was used and 14 people were interviewed by means of a semistructured interviewed. The data was recorded, field notes were made and the recordings were transcribed. The data was analysed on Atlas.ti by using codes and code groups. Finally conclusions and findings were made. The primary and secondary objectives were assessed, and all of them were deemed to have been achieved. The factors that drive consumer behaviour in the South African life insurance industry were explored. It was assessed that the financial intermediary does play a role in the behaviour a consumer has towards the life insurance industry. Parents do influence the stance of consumers towards the South African life insurance, as does the opinion of someone in the circle of influence of the consumer. Lastly it was established that what happened to other people in terms of life insurance plays a critical role in the way consumers behave towards the life insurance industry in South Africa. Research suggestions for further studies are provided at the end of chapter 4.