―Factors Affecting the Adoption of E-Marketing in the Insurance Industry: A Case Study on Ethiopian Insurance Corporation in Addis Ababa‘‘

Abstract

In an increasingly digital world, e-marketing has become a vital tool for enhancing customer engagement, service delivery, and competitiveness across industries—including insurance. However, in developing countries like Ethiopia, the adoption of e-marketing remains limited due to several barriers. This study investigates the impact of awareness, technology infrastructure, and resistance to change on the adoption of e-marketing within the Ethiopian Insurance Corporation (EIC) in Addis Ababa. A quantitative research design was employed, using a descriptive and explanatory approach to explore the relationships among variables. Data was collected through structured questionnaires distributed to employees in the marketing and sales department, using a five-point Likert scale. The data was analyzed using SPSS, with descriptive statistics and multiple linear regressions applied to examine the strength and direction of relationships. The findings revealed that awareness, technological readiness, and resistance to change significantly influence the adoption of e-marketing, with a coefficient of determination (R²) of 62.3%. The study highlights that low awareness, underdeveloped infrastructure, and organizational resistance are key challenges hindering digital transformation. These insights provide a foundation for developing context-specific strategies to overcome barriers and promote effective e-marketing adoption in the Ethiopian insurance sector. The findings indicate a significant positive relationship between e-marketing adoption and each of the three variables. Based on these results, the study recommends that insurance companies in Addis Ababa enhance awareness initiatives, invest in robust technology infrastructure, and strengthen change management efforts to effectively improve the adoption of e-marketing.