This report titled Extended Warranties and Insurance for Mobile and Non-Mobile
Consumer Products in Finland is about the market for extended warranties and
insurance sold in conjunction with white goods, brown goods, grey goods,
mobile gadgets and mobile telephones in Finland. The study draws on extensive
primary and secondary research covering 57 organisations involved in the
production and distribution of mobile and non-mobile consumer products
including manufacturers, mainstream mobile network operators, mobile virtual
network operators (MVNOs), specialised retailers of consumer electronics,
supermarkets and other types of retailer (namely, department stores, DIY
outlets, speciality retailers and variety retailers). Hence, it provides a
comprehensive overview of this activity across Finland. Key features of this
publication include: - quantification of the market size for extended
warranties and insurance linked to mobile and non-mobile consumer products:
how much is the market likely to be worth in Finland, and how does it segment
between white goods, brown goods, grey goods, mobile gadgets and mobile
telephones? - analysis of extended warranty underwriters and brokers that
have established scheme relationships with manufacturers and retailers of
white goods, brown goods, grey goods, mobile gadgets and mobile telephones,
including their unweighted share of partnerships; - consideration of the
potential for cross-selling stand-alone extended warranty and insurance
policies through independent channels that are separate from either
manufacturers or retailers: does an emerging market exist for this form of
distribution in Finland? - forecasts for the market size for extended
warranties and insurance linked to mobile and non-mobile consumer products up
to 2014: assuming no significant changes in the number of manufacturer and
retailer schemes, what factors will cause this sector to grow or decline in
the next few years?
Table of Contents
Table of Contents
0.0 EXECUTIVE SUMMARY
1.0 INTRODUCTION
What is this report about?
Rationale
Most published data focuses disproportionately on the underlying
consumer product markets ignoring the fact that manufacturers and retailers
can make large profits from insurance schemes
Evolving distribution channels both favour and compromise extended
warranty provision
Methodology
Manufacturer and retailer survey
The survey extends to 57 manufacturers and retailers of mobile and
non-mobile consumer products
Market data
Definitions
Extended warranties and insurance
Extended warranties and insurance linked to consumer products come in a
variety of formats and are frequently marketed to consumers under
alternative titles
Operating models
PartnerBASE™
Finaccord
2.0 WHITE GOODS
Introduction
Underlying market value and volume
The Finnish market for white goods remained broadly stable between 2006
and 2010
Manufacturer schemes for extended warranties and insurance
Only one manufacturer of white goods in Finland maintains an extended
warranty program
Retailer schemes for extended warranties and insurance
Some retailers manage schemes themselves while others have outsourced to
external partners
Risk coverage of all schemes for extended warranties and insurance
Only two schemes are restricted to cover for mechanical breakdown only
Independent distribution channels
Market value for extended warranties and insurance
Market forecasts to 2014
Sales of white goods are forecast to accelerate in the years leading up
to 2014 leading to a modest increase in the market for associated extended
warranties
3.0 BROWN GOODS
Introduction
Underlying market value and volume
The volume of sales of brown goods was over a quarter less in 2010 than
in 2006
Manufacturer schemes for extended warranties and insurance
Four manufacturers operate their own extended warranty programs
Retailer schemes for extended warranties and insurance
Non-captive competitors include Moderna Forsakringar, Pohjola Vakuutus
and Solid Forsakringar
Risk coverage of all schemes for extended warranties and insurance
Only retailer schemes provide cover for accidental damage
Independent distribution channels
Market value for extended warranties and insurance
Market forecasts to 2014
The brown goods market is forecast to have made a substantial recovery
by 2014 helping to spur a concurrent increase in the market for related
extended warranties
4.0 GREY GOODS
Introduction
Underlying market value and volume
The market lost over half its value between 2006 and 2010
Manufacturer schemes for extended warranties and insurance
Most manufacturers of grey goods operate an extended warranty scheme in
Finland
Retailer schemes for extended warranties and insurance
Some retailers manage schemes themselves while others have outsourced to
external partners
Risk coverage of all schemes for extended warranties and insurance
11 of the 21 programs identified include cover for accidental damage in
addition to breakdown
Independent distribution channels
Market value for extended warranties and insurance
Market forecasts to 2014
The value of the grey goods market is forecast to have slipped further
by 2014 which is likely to occasion a fall in the value of the market for
related extended warranties
5.0 MOBILE GADGETS
Introduction
Underlying market value and volume
Sales volumes increased by almost a quarter between 2006 and 2010
Manufacturer schemes for mobile gadget insurance
Almost a half of the 24 manufacturers surveyed have their own insurance
program in Finland
Retailer schemes for mobile gadget insurance
Carlson, Expert, Pixmania and Tekniset reportedly run their own
insurance programs
Risk coverage of all schemes for mobile gadget insurance
A majority of policies cover accidental damage in addition to technical
breakdown
Independent distribution channels
Market value for mobile gadget insurance
Market forecasts to 2014
The value of the mobile gadget market is forecast to have expanded
further by 2014 helping the market for mobile gadget insurance to increase
in value too
6.0 MOBILE TELEPHONES
Introduction
Underlying market volumes
Mobile telephone subscriptions per capita reached 1.48 in 2010
driving up the number of individuals with a mobile telephone to almost
five million
Manufacturer schemes for mobile telephone insurance
Retailer schemes for mobile telephone insurance
At the time of the research, only Sonera, among network operators, had
introduced an insurance program
Risk coverage of all schemes for mobile telephone insurance
Cover for airtime abuse and loss is not available within any policy in
Finland
Independent distribution channels
Market value for mobile telephone insurance
Market forecasts to 2014
The number of mobile telephone subscriptions in Finland is forecast to
advance to 8.81 million by 2014 although the number of individuals owning a
mobile telephone will rise by only around 25,000
Unless other network operators launch schemes, the value of the
insurance market will remain modest
LIST OF GRAPHICS / TABLES
0.0 EXECUTIVE SUMMARY
Approximate market value for extended warranties and insurance linked to
mobile and non-mobile consumer products in Finland, 2010 and 2014 (forecast)
1.0 INTRODUCTION
Organisations researched segmented by type
2.0 WHITE GOODS
Value and volume of sales of white goods in Finland, 2006 and 2010
Manufacturer schemes for extended warranties and insurance linked to white
goods in Finland: provision rates and operating models, 2011
Retailer schemes for extended warranties and insurance linked to white
goods in Finland: provision rates, operating models and provider share of
non-captive partnerships, 2011
Risk coverage of all schemes for extended warranties and insurance linked
to white goods in Finland, 2011
Approximate market value for extended warranties and insurance linked to
white goods in Finland, 2010
Value and volume of sales of white goods in Finland, 2010 and 2014
(forecast)
Forecast market value for extended warranties and insurance linked to
white goods in Finland, 2014
3.0 BROWN GOODS
Value and volume of sales of brown goods in Finland, 2006 and 2010
Manufacturer schemes for extended warranties and insurance linked to brown
goods in Finland: provision rates and operating models, 2011
Retailer schemes for extended warranties and insurance linked to brown
goods in Finland: provision rates, operating models and provider share of
non-captive partnerships, 2011
Risk coverage of all schemes for extended warranties and insurance linked
to brown goods in Finland, 2011
Approximate market value for extended warranties and insurance linked to
brown goods in Finland, 2010
Value and volume of sales of brown goods in Finland, 2010 and 2014
(forecast)
Forecast market value for extended warranties and insurance linked to
brown goods in Finland, 2014
4.0 GREY GOODS
Value and volume of sales of grey goods in Finland, 2006 and 2010
Manufacturer schemes for extended warranties and insurance linked to grey
goods in Finland: provision rates, operating models and provider share of
non-captive partnerships, 2011
Retailer schemes for extended warranties and insurance linked to grey
goods in Finland: provision rates, operating models and provider share of
non-captive partnerships, 2011
Risk coverage of all schemes for extended warranties and insurance linked
to grey goods in Finland, 2011
Approximate market value for extended warranties and insurance linked to
grey goods in Finland, 2010
Value and volume of sales of grey goods in Finland, 2010 and 2014
(forecast)
Forecast market value for extended warranties and insurance linked to grey
goods in Finland, 2014
5.0 MOBILE GADGETS
Value and volume of sales of mobile gadgets in Finland, 2006 and 2010
Manufacturer schemes for mobile gadget insurance in Finland: provision
rates, operating models and provider share of non-captive partnerships, 2011
Risk coverage of all schemes for mobile gadget insurance in Finland, 2011
Approximate market value for mobile gadget insurance in Finland, 2010
Value and volume of sales of mobile gadgets in Finland, 2010 and 2014
(forecast)
Forecast market value for mobile gadget insurance in Finland, 2014
6.0 MOBILE TELEPHONES
Volume of mobile telephone subscriptions and subscriptions per capita in
Finland, 2006 and 2010
Number of individuals owning a mobile telephone in Finland and their
weighting within the total population, 2006 and 2010
Retailer schemes for mobile telephone insurance in Finland: provision
rates, operating models and provider share of non-captive partnerships, 2011
Risk coverage of all schemes for mobile telephone insurance in Finland,
2011
Approximate market value and policies in force for mobile telephone
insurance in Finland, 2010
Volume of mobile telephone subscriptions and subscriptions per capita in
Finland, 2010 and 2014 (forecast)
Number of individuals owning a mobile telephone in Finland and their
weighting within the total population, 2010 and 2014 (forecast)
Forecast market value and policies in force for mobile telephone insurance
in Finland, 2014
Extended Warranties and Insurance for Mobile and Non-Mobile Consumer Products in Finland published by Finaccord Ltd. in July 1, 2011. This report consists of 63 Pages and the price starts from US $ 982.
