Ogunyooye emphasises need to transform insurance awareness into action
By Felicia Nwosu
Olusesan Ogunyooye, Head of Marketing at AXA Mansard PLC, has highlighted the ongoing challenges and efforts within Nigeria’s insurance industry in bridging the gap between awareness and action. He said that despite concerted efforts to boost awareness, insurance penetration in Nigeria remains low, with rates between 2% and 5% of the population, depending on the source.
According to him, a recent report by Access to Finance revealed that, of the 104 million Nigerian adults, only 5% are aware of insurance, and within that subset, just 5% actually use insurance products. Ogunyooye explained that this significant gap underscores the challenge facing the industry, maintaining that while there is some level of awareness, it often fails to translate into action.
He disclosed that, to tackle this issue, AXA Mansard and other industry players have been focusing on educational campaigns through radio shows, newspaper ads, and social media platforms. The passionate marketing expert emphasized the importance of these efforts but also pointed out that awareness alone is not enough.
“There is a lot of work being done, but much more still needs to be done. The challenge lies in moving people from just knowing about insurance to actually wanting and using it. We need to associate insurance with the value people want in their lives. Our focus should be on creating a desire for insurance, not just awareness,” he noted.
Ogunyooye also discussed the innovative strategies being employed to integrate insurance into everyday transactions, explaining that AXA Mansard, for example, has introduced embedded insurance products, allowing customers to purchase insurance alongside airtime, through mobile platforms like Airtel, or at point-of-sale locations such as Slot stores for device insurance. He affirmed that these collaborations between brands aim to make insurance more accessible and relevant.
“In terms of marketing trends, influencer marketing has played a key role in bringing insurance into mainstream conversations. While I am personally cautious about its effectiveness, it is undeniable that it has helped make insurance more relatable. Additionally, platforms like TikTok are showing potential for engaging younger audiences.”
Addressing the perception that the insurance sector is shrouded in secrecy, the insurance expert clarified that the challenge is not a lack of transparency but rather a need for better communication about the benefits and protections insurance offers.
“People often see insurance as something that takes away without giving back, but just as they trust their savings accounts and mobile devices without fully understanding the fine print, we need to build similar trust in insurance products.”
As the industry continues to evolve, Ogunyooye emphasized that the focus remains on transforming awareness into action by highlighting the real value insurance can provide in safeguarding what matters most to Nigerians.
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