Impact of Brand Dynamics on Insurance Premiums in Turkey

Turkish Economic Review, Vol: 3, No: 3, September 2016

13 Pages Posted: 13 Feb 2014 Last revised: 31 Oct 2016

Date Written: September 15, 2016

Abstract

This paper examines influences of brand dynamics on insurance premium productions in Turkey using a dynamic GMM panel estimation technique sampling 31 insurance firms over 2005-2015. The results reveals that brands trust appears as a chief driving force behind premium production where its unit increase augments premium outputs by 5.32 million Turkish Liras (TL). Moreover, the brand value of firms also appears a statistically significant determinant of premium sales, but its size impact remains limited comparing to brand trust, i.e. a million TL increase in brand value generates only 0.02 million TL increase in sales. On the other hand, the study also documents a strong momentum driven from past years premium production with trade-off magnitude of 1 to 0.85. This might imply a higher loyalty-stickiness of customers in Turkey, as well as a self-feeding "bandwagon effect."

Keywords: Brand Value, Intangible Assets, Panel GMM, Insurance Premiums

JEL Classification: G22, C30, C32

Suggested Citation

Sovbetov, Yhlas, Impact of Brand Dynamics on Insurance Premiums in Turkey (September 15, 2016). Turkish Economic Review, Vol: 3, No: 3, September 2016. Available at SSRN: https://ssrn.com/abstract=2394500 or http://dx.doi.org/10.2139/ssrn.2394500

Yhlas Sovbetov (Contact Author)

London School of Commerce ( email )

London
United Kingdom

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
70
Abstract Views
418
rank
345,791
PlumX Metrics