Cultural intelligence and sales performance in online insurance marketing: evidence from a Chinese insurance firm

The increasing prevalence of online marketing has brought cultural clashes between geographically dispersed customers and salespeople to the forefront. This is particularly relevant in culturally diverse nations like China, where regional, religious, and ethnic variations significantly impact consumer behavior. While traditional insurance sales relied on local salespeople, the rise of online platforms has exposed salespeople to a broader, more heterogeneous customer base. This necessitates a deeper understanding of how cultural differences impact sales performance and the role of cultural intelligence (CQ) in bridging this gap. This research focuses on the Chinese insurance industry, where the growth of online sales channels presents unique challenges. The limited existing research on the interplay of CQ and online marketing provides a strong rationale for this investigation. The study aims to address three key objectives: (1) to highlight the cultural challenges emerging from the expansion of internet-based marketing, (2) to identify the role of salespeople's CQ in online marketing performance, and (3) to provide actionable insights for businesses operating in online environments. To the authors' knowledge, this is the first study to investigate the role of CQ in online insurance marketing, significantly expanding the understanding of management and operations in this rapidly growing sector.

The literature review examines the existing research on cultural intelligence (CQ), adaptive selling, customer orientation, and perceived organizational support. Various definitions of CQ are discussed, emphasizing its four dimensions (metacognitive, cognitive, motivational, and behavioral) as proposed by Earley and Ang (2003). Previous studies highlight the positive impact of CQ on cross-cultural work adaptation and performance, however, research focusing specifically on its role in online marketing remains limited. The literature also supports the positive correlation between adaptive selling and sales performance, with salespeople adapting their strategies based on perceived customer needs and the sales situation. Furthermore, customer orientation is shown to be positively correlated with sales performance and customer satisfaction. Finally, perceived organizational support is linked to employee well-being and performance, potentially influencing cultural adaptation and CQ development. Based on these findings, the research proposes seven hypotheses exploring the relationships between CQ, adaptive selling, customer orientation, perceived organizational support, and sales performance.

This study employed a quantitative research design using a questionnaire survey distributed to online insurance marketers at a mid-sized digital insurance brokerage firm in China. The survey comprised six sections measuring demographic information, adaptive selling behavior (using a modified ADAPTS scale), customer orientation (using a modified SOCO scale), perceived organizational support (using a modified scale from Riggle et al., 2009), cultural intelligence (using a modified SFCQ scale), and job performance (using a modified scale from Williams and Anderson, 1991). Data collection was performed through the "Questionnaire Star" platform and distributed via WeChat. A total of 572 valid responses were collected after data cleaning. Partial Least Squares Structural Equation Modeling (PLS-SEM) was used to analyze the data due to the presence of latent variables and the advantages of PLS-SEM in handling non-normally distributed data and smaller sample sizes. The PLS-SEM model included adaptive selling, customer orientation, perceived organizational support, CQ, and sales performance as latent variables. Reliability and validity analyses were conducted to assess the quality of the data. ANOVA analysis was also employed to examine potential differences in the variables based on demographic characteristics. Smart PLS software was used for data analysis.

The study's key findings are presented through ANOVA analysis and PLS-SEM results. ANOVA indicated no significant differences in adaptive selling, customer orientation, cultural intelligence, perceived organizational support, and sales performance across gender, education level, and managerial position. However, significant differences were observed in perceived organizational support across age groups, with younger salespeople reporting higher levels. Experience also significantly affected adaptive selling, perceived organizational support, and sales performance. The number of professional certificates held was positively correlated with customer orientation, cultural intelligence, and perceived organizational support. PLS-SEM analysis revealed significant positive relationships between customer orientation, adaptive selling, perceived organizational support, and CQ with sales performance. The moderating effect of CQ on the relationship between adaptive selling and sales performance was found to be insignificant. However, CQ significantly moderated the relationship between customer orientation and sales performance, with higher CQ enhancing the positive impact of customer orientation on sales performance. Furthermore, CQ partially mediated the relationship between perceived organizational support and sales performance, suggesting that organizational support impacts performance through its influence on CQ.

The findings support the hypotheses regarding the positive impact of customer orientation, adaptive selling, perceived organizational support, and CQ on sales performance. The insignificant moderating effect of CQ on adaptive selling suggests that while CQ is important, it might not enhance the effectiveness of adaptive selling strategies in all contexts. This could be due to culturally intelligent salespeople being more inclusive and potentially overlooking individual customer differences. The significant moderating effect of CQ on customer orientation highlights the importance of CQ in leveraging customer-centric strategies, especially in diverse cultural contexts. The partial mediation effect of CQ on the relationship between perceived organizational support and sales performance indicates that supportive work environments contribute to better sales performance partially through the development of CQ. These findings contribute to a deeper understanding of the factors driving sales performance in online insurance marketing, emphasizing the crucial role of CQ in navigating cultural nuances.

This study contributes to the literature by highlighting the critical role of cultural intelligence (CQ) in the success of online insurance sales. Customer orientation, adaptive selling, and perceived organizational support are important for sales performance, and CQ significantly enhances the positive effect of customer orientation. Furthermore, organizational support positively affects sales performance, partly by boosting CQ. Future research could explore the different dimensions of CQ separately, investigate the interactions between CQ and other factors, and consider different cultural contexts.

The study's limitations include the use of a single company's data, potentially limiting the generalizability of findings. The use of self-reported questionnaires might introduce bias. Future research could explore these limitations using larger, more diverse samples and different data collection methods. The limited focus on specific dimensions of CQ, and failure to account for varying degrees of cultural gap, also restrict the study's reach.