Aviva Lets Change Insurance
Aviva: Let’s Change Insurance Institute of Communication Agencies Bronze, Canadian Advertising Success Stories, 2010 Title: Source: Issue: Business Results Period (Consecutive Months): April-September 2008 Start of Advertising/Communication Effort: April 2008 Base Period for Comparison: April-September 2007 a) Synopsis of the Case Bold advertisers in the past have proven that a Jujitsu approach to strategy can help brands turn a perceived weakness into a strength. But what if people are turned off by the whole category you operate in? And what if they are so cynical they’re not prepared to listen to you?
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This is the story of how a convention-doubting insurance company – one that almost no one had heard of prior to investing in brand advertising – managed to make a name for itself and reverse a five-year share decline. How? By accentuating the negative and channeling the deep-rooted frustration people feel towards the insurance industry in the name of honest reform. In the process, Aviva got more than Just breakthrough advertising; it developed a new way of approaching its marketing, as the company embraced a wide-ranging brand strategy that would bring tighter shape and focus to everything from product design to staff training. Summary of Business Results the future”) by 34%. National Share grew for the first time in five years, from 8. 4% to 8. 7%. SITUATION ANALYSIS a) Overall Assessment Aviva: A sleeping giant. Prior to benefiting from brand advertising, Avis’s size was massively out of kilter with its public profile: number two in market share in the Canadian auto and home insurance category, but only 2-3% in unprompted brand awareness – less than half its market share. How could this possibly be? Consider two reasons: 1 . Home & Auto Insurance is most often a mandatory, passive purchase we delegate too broker.
People tend to see their Downloaded from war. Mom 2 broker as “their insurer” rather than the underwriting company. So, even to thousands of its customers, Aviva was known only by way of policy documents. 2. Aviva was a recent entity formed by the merger of other big insurance names in 2000 – something that had never been communicated in a high-profile way to the public. Multiple brands names were still in existence. Avis’s relative brand anonymity was holding back its market potential. The data made for unhappy reading: The amalgamated company, Aviva, was slowly losing market traction with share slipping from 9% in 2004 to 8. % in 2007. But what impact was low brand wariness having on market share? Aviva commissioned model choice analysis research that strongly underlined the role that brand recognition played in the buying decision: people are twice as likely to accept a broker recommendation about an insurance company they’ve heard of than one they have not. Said another way, Aviva could have the perfect product, perfectly priced, but without a reputation to bank on, it would lose out on 50% of its broker recommendations to its competitors. ) Resulting Objectives Business