2010 Planbook - Johnson _ Wales University by linzhengnd


      This atlas presents our strategy for State Farm to
      build their business among the ripe and ready
      emerging adult category.
    To align our compass, we conducted research including a 15           3 State Farm, with 17,700 neighborhood agents, is
    question comprehensive survey completed by 1,665 A18-25                 positioned to offer face-to-face service to relieve some of
    from 30 states. We also conducted 200+ one-on-one interviews,           the confusion.
    spoke with industry experts and tested creative concepts with
    4 groups in our target market.
                                                                         4 Our campaign objective is to drive these people who are
    From these findings we chart a journey of surprising insights,          in need of guidance to State Farm agents.
    compelling creative and a unique media approach.
                                                                            The creative strategy is built around the problem; a
                                                                         5 significant portion of the target doesn’t fully understand
        The target market is at a critical intersection in their lives
     1 where they are confused about how to make important                  car insurance, and, the solution; State Farm has real, live
        decisions for the first time, such as buying car insurance.         agents in the field who can help when they buy it and
                                                                            down the road.
        Our segmentation strategy was to better define the
    1A target market not as a demographic, nor strictly a
                                                                         66 Our media will focus on frequency of message to move
        psychographic, but as a mindset brought on by a critical            our target from awareness to consideration and more
        point in their lives.                                               importantly to the State Farm agents who will convert
                                                                            them to customers.
     2 Key competitors have managed to commoditize auto                     Our competition may have a higher share of voice, but
        insurance and trivialize the buying process.
                                                                            this plan will secure a higher share of mind.


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                                                                                                                                 Bloomington, IL

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                                                                      Points of Interest
                                                                      Table of Contents
                                                                       0   Executive Summary
                                                                       1   Table of Contents
                                                                       2   Target Market
                                                                       4   Competitive Landscape
                                                                       6   State Farm Perception
                                                                       7   State Farm Opportunity
                                                                       8   Positioning Map
                                                                       9   Positioning Strategy
                                                                      10   Communications Model
                                                                      11   Objectives
                                                                      12   Media Rationale
                                                                      13   Media Strategy
                                                                      14   Creative Strategy
                          1    Johnson & Wales University             15   Creative Development
                               Providence, RI                         16   The National Unveiling
                                                                 22   17   Idolizing State Farm
                          28                                          18   Creative Phase 1 TV
4                                                                     20   Web Banners
                                                     23               21   Organic Search / AdWord
                                    26                                22   Outdoor / Transit
                                                                      23   Viral / Micorsite
                     27                                               24   TV Encore
                                                                 21   26   Theatre / Viral
                                               24                     27   Internal Promotion
                                                                      28   Agent Website
                                                                      30   Media Schedule
                                                                      31   Budget
               17   16                                      20
30                                                                    32   Evaluation & Conclusion
                                                                      33   Thanks & Sources

          15                                                 19
                                            We’d like to dramatically shift your                                                    2
                                            perspective on the target market.
                                                                                        ics, but by a mindset brought on by a
                                            Our target is not defined by demograph
                                            critical point in their lives .
                                                                                        y are part of the most demographically
                                            We call them the Emerging Adults. The
                                                                                         e. Digging deeper, we found something
                                            diverse and tech-savvy generation to dat
                                                                                          of uncertainty about their futures
                                            that they had in common: a deep feeling
                                                                                           and decisions they have to make.
                                             caused by the myriad of choices they face
                                                                                                                                    Target Market

                                                                                                   and many of them have no idea
                                                    “The lives of young people are so unsettled,
                                                                                                struggle with uncertainty... once
                                                    where their explorations will lead. They
                                                     they take on the full weight of adult resp
                                                                                                         Adulthood: The Winding
                                                            - Dr. Jeffrey Arnett, author of Emerging
                                                              Road from Late Teens through the Twentie

                                                                                      feelings of uncertainty ? It’s finishing
                                             What is the trigger that activates these
                                                                                      ar college, 2-year community college or
                                             school, whether it’s high school, a 4-ye
                                                                                         cture of an educational program, the
Avoid Hazardous Conditions                   a vocational trade school. Losing the stru
                                                                                       become an adult is intensified. Referred
             Who am I?                       accompanying pressure to grow up and
                                                                                         se experiencing a QLC are plag ued by
                                             to as the Quarter-Life Crisis (QLC), tho
                                                                                        how to move forward.
                                              self-doubt, anxiety, and confusion as to
                                                                                        about or cared much about is auto
                                              One choice they haven’t thought much
                                                                                         il now, they haven’t had to make that
                                              insurance - and why would they? Up unt
                                                                                        of A18-25 relies on family and friends
                                               decision. Our research shows that 74%
                                               for auto insurance information.
                                                                                    e to make that decision on their own
                                               So what do they do now, when they hav
                                                                                    ill-equipped to do so?
 Wh                                     o      and lacking money and knowledge, are
 I wat do
    ant?                         How dit?
                                 I ge
According to Christine Hassler, author
of The Twenty Something Manifesto, the
target is at a crossroads where they have
to make important choices.
             The decision path to adulthood. Use caution when entering.
“Looking back, so far it has all been pretty simple
- easy choices, with minimal ramifications: what
to wear, where to go, and who to hang out with?
Now it’s time to look forward, but the view is not too
clear yet. Now all the choices seem so important
and they may hold significant consequences.”
                          - Pete, College Senior, 22
                                                                               Target Market

Choices like what car insurance to buy. Did
somebody say, “Hello, State Farm?”
                                                                The red zone
4           Competitive Landscape
    Company       Slogan                Personality      Message           Visual

    GEICO         “15 Minutes can       Funny            Easy, quick,      Gecko,
                  save you 15%                           cheap             Caveman,
                  or more on car                                           Kash (money
                  insurance”                                               with eyes)
    Progressive   “Shopping less and    Enthusiastic     Comparison        Flo
                  saving more. Now                       shopping for
                  that’s Progressive”                    you to save
    AllState      “You’re in good       Authoritative,   Discounts based   Serious
                  hands”                Intense          on situations     Spokesman

                           Competitive                   Insight
                                                          that the target
                   The competition has leveraged the fact
                                                          o insurance
                   market does not know much about aut
                   and convinced them that it is a commo

                  The competition has turned what was a high-involvement product
                  into a low-involvement product. They’ve taken the approach of                    -6900
                  repetition to create top of mind awareness. The competition’s           1-866

                                                                                              VE BIG!
                  advertising has conditioned A18-25 that price is the sole
                  differentiator between auto insurance brands: the quicker and
                  easier it is to get to the lowest price, the better. Our own research     SA
                                                                                                   NTS! D
                                                                                                          ISCOUNTS! D

                  supports this:
                   Nearly 50% of those surveyed said that price is the most important                               expires

                   attribute when choosing an insurance policy.

                  Despite current advertising efforts to paint insurance as simple, it
                  remains a product that’s not as easy to buy or to understand as it
                  may appear. This is reflected in the fact that the turnover rate for
                  auto insurance is the highest in the industry – particularly among        1-800-86
                  our target. According to JD Power and Associates, over 30% of                                                 .com

                                                                                            SAVE 15%
                  auto insurance policy holders change insurers each year, with the
                  majority being younger with a lower income.

                  The competition may be successful in convincing the target that          15 minute
                                                                                                      s could sa
                  the purchase process will be quick and easy, but what’s next? What       you 15%                  ve
                                                                                                     or more o
                                                                                           car insura              n
                  happens when you actually need to use the insurance? Current                        nce!
                                                                                                           expires         5/1/10
                  messages do not address this reality, so the target is left with the
                  impression that buying insurance ends with the click of a mouse.
    Competitive Landscape            5

“A cave ma
 can’t do
                         It ain’t
                       that easy!”

  “A liz ard wo
    be  road k
6          State Farm Perception

                                                            The target is mostly interested in price, yet State Farm continues to talk
                                                            about service.

                                                            Through the “Good Neighbor” slogan and attendant imagery, State Fa
                                                            built a position based on personalized service, and their advertising ha
                                                            consistently maintained this emphasis. This message has resonated wi
                                                            past and older customers but is not as relevant to the 18-25 year old ta
                                                            get market that is focused on price.

                                                            “If you’re not talking about price, then you must not be talking to me.”
                                                            -Name, 22 year old college student
                              Rewards Save Drivers
                                                          VIS: Perceptual map to illustrate how State Farm stacks up in strong
                                                       Allstate imagery vis a vis competition.

                                         Caption: As America’s preeminent auto insurance brand, State Farm
                                         enjoys strong brand ratings not only from owners of their policies, but
                                         non-owners, as well. According to a Maritz research study that evaluat
     State Farm is known for their Agents.
                                         brand positioning of auto insurance providers, State Farm is differenti
     Website Info                        ated by its agents’ characteristics, most notably those of knowledge and
                          Coverage Options
                                                         Although State Farm has relatively low unaided advertising awareness
                   Toll Free Number                             Meets Needs
    Geico                                                compared to their competitors, the aided awareness of the “Good Nei
                                                         bor” slogan is extremely high, with 90% of respondents associating it w
                                              Accessible Agents
                                                         State Farm. However, respondents also stated that “neighbor” held litt
                                                             State Farm
                                                         relevance for them in the traditional sense; the new neighbor is a frien
                                                         on Facebook.
                                                 Knowledgeable Agents
                                                           TrustworthyAgentsState Farm is to connect the values of State Farm to
                                                           The imperative for
                                                            the values of the target market.
           competitive analysis

    According to a Maritz research study that evaluates brand posi-
    tioning of auto insurance providers, State Farm is differentiated
    by its agents’ characteristics, most notably those of knowledge
                          and trustworthiness.
                                                     State Farm Opportunity                       7



.”          State Farm nee
                           ds to        change the con
           Through the “G
                            ood Neighbor”
           a position based                  slogan and atte
                             on personalized                 ndant imager y,
          maintained this                     service, and thei              State Farm buil
                            emphasis. The                      r advertising has              t
          customers but                    message has reso                      consistently
                         is not as relevan                   nated with past
          on price.                       t to the A18-25                     and older
                                                            target market w
                                                                            ho are focused
t             “If you’re not ta
tes                            lking about price
                                                 , then you must
                                                                 not     be talking to me.
i-                                                              – Ashley, College        ”
 d        Although State                                                           Senior, 22
                           Farm has relati
         compared to th                     vely low unaided
                          eir competitors                      advertising awar
         slogan is extrem                   , the aided awar                    eness
                           ely high, with 9                  eness of the “G
        with State Farm                      0% of our surv                  ood Neighbor”
                          . However, resp                    ey respondents
        relevance for th                    ondents also st                 associating it
igh-                     em in the tradit                   ated that “neigh
       Facebook.                           ional sense ; the                 bor” held little
with                                                         new neighbor is
                                                                              a friend on
       State Farm nee
nd                      ds to start talkin
                                          g about their ag

8   Positioning Map
                                                        Position Strategy                                9

      People want in
                               formation. Peo
     Direct insurers
                     like GEICO an                      ple want agent
     insurance pro
                   cess imperson
                                    d Progressive
                                al an
                                                  have been succ
      an agent to wal                         d convincing                          l in making th
                          k them throug                        the target that                       e
      and Associates                       h the confusio                      they do not n
                        , buyers who p                      n. However, ac                      eed
     agents give sig                      urchase their au                   cording to JD
                      nificantly high                        to insurance p                    Power
     who purchase                        er average sati                     olicies throug
                      policies from                      sfaction score                       h local
                                       call center rep                   s compared w
                                                       resentatives or                    ith those
    Our primar y re                                                       the Internet.
                       search survey
   bers of the targ                     spanning 30 st
                      et market con                      ates and reach
                                       firms this min                     ing out to 1,6
                                                       dset:                              65 mem-
     - Only 15% a
                      greed or strongl
        Internet is mor                 y agreed with th
                          e reliable than                  e statement: “I
    - 76% agreed                           information ob                   nformation from
                      or strongly agr                        tained from an                     the
       before purchasi                 eed that speakin                       insurance agen
                         ng auto or ren                   g with an agen                       t.”
   - They includ                         ters insurance.                   t was importan
                    e an agent as on                                                        t
                                       e of their Top 3
                                                        sources of insu
                                                                         rance informa
Proposed posit                                                                           tion.

If you want toion                         for this target
the road, get a
                understand ca
                                r insurance wh            m
                                                en you buy it
                real, live agen                               and down
                               t, a State Farm
10       Communication Model

            Geico (92%), Allstate (72%) and Progressive (71%) have greater advertising
                                 awareness than State Farm (63%).
                                                            The Opportunity
                                      Due to the substantial advantage State Farm has in the
                                      conversion of potential customers, an increase in advertising
                                      awareness would increase the number of new policies sold.
           One of State Farm’s major advantages is that they reness
                                                         Awa(37%) convert potential cus-
                                     Geico the time, which is and Progressive (71%) have
            tomers thirty-seven percent of (92%), Allstate (72%) more frequent than Allstate
                                      greater advertising awareness than State Farm (63%).

             on al Mod                                          Consideration
     Traditi        ess
        Ad A  waren                 When customers are aware of the brands, Geico (53%)
                                    and Progressive (46%) enter their consideration set more
                                    successfully than State Farm (42%) due to the lack of
                        Farm’s major advantages is that they (37%) convert potential cus-
           One of State on
                  rati              advertising awareness.
          Considethirty-seven percent of the time, which is more frequent than Allstate
                            (23%), Geico (19%), and Progressive (18%).
                                      One of State Farm’s major advantages is that they (37%)
             Conver                   convert potential customers more frequently than Allstate
                                      (23%), Geico (19%), and Progressive (18%).

                                                                                          mB    efore
                                                                                State Far
                                      Source: Maritz Research
                                                                                          63 %

                                                                                             42 %

      These lead to THE OPPORTUNITY: Due to the substantial advantage State Farm 7% in the
       conversion of potential customers, an increased advertising awareness would increase the
                                     number of new policies sold.
                                                                           Objectives       11

  “That’s a different kind of ad for State Farm.”
  Increase State Farm’s advertising awareness by 28% before May 2011.

   “Have you seen those St            Objectives
                           ate Farm commericals?
  Wow that’s different!”
     “I never thought that rtisin
  Increase State Farm’s ad way about State Farm before. That’s really cool.”
                            ve     g awareness by fro
     Elevate befo Farm’s relevance within the m
  63% to 81%Statere M                                 target market and change their per-
                         ay 2011.
     ception of the brand to enter their consideration set by an additional 12 percent.
  “Yea, I really don’t unde
                            rstand insurance.
  A real agent would help
 Elevate State Farm’s re
                           levance within the targ
 and change their perc                             et market
                          eption of the brand. Gr
 sideration from 42% to                           ow con-
   “Nearly all of my face to face meetings with young customers result with them
         Market they Objec
   commenting thating made the right choice.”
“I’m gonnaState State
   Attain call a Farm’srm Agent.”     tives
                      Fa “fair share” of the 18-25 year old market. Delineated by the
   brand’s current 17% overall market share, this equates to a 4% percent increase
   by May 2011.
  tain State Farm’s “fair sh
                              are” of the A18-25 mar
Increase conversion ra                               ket.
                        te from 37% to 41%, re
more policies sold over                          sulting in

                                                                  State Far
                                                                                 m After
                                                                           81 %
                                                                Grow Co
                                                                          47 %

                                                                     Convers e
                                                                        41 %
12   Media Rationale

                                             othe      rs are dominating
                           te when GEICO and
          How do we compe
          the media landscap
                                         e inroads with the
           State Fa rm is trying to mak          earthed a startling
           demographic,     but our research un
                                        e Farm is being dr
             Agai nst this target, Stat
              outspent by the co
                                      ent considerably le
            We  knew State Farm sp           petition, but we
            overall co mpared to the com                    til
                                        the discrepancy un
             didn’t realize the size of              target.
                                cally at the A18-25
             we looked specifi

                ntar Media
      Source: Ka
                                                      Media Strategy                          13

 We’ll launch the campaign with high-         market is most receptive to our message.
 profile event advertising on the finale of   Our three-phase media plan will launch
 American Idol, which delivers the largest    nationally and in targeted DMAs with
 audience of the quarter. We are going        the highest concentration of the A18-25
 to flight a concentrated, high-frequency     target and State Farm offices:
 schedule during the times our target

 •	 Launch campaign with event
 •	 Front load buy in May - National Spot
    and cable TV, banner, Google AdWords,
 •	 Launch outdoor (auto), cinema
    advertising and email blast to agents
 •	 Leverage campaign kick-off to coincide
    with sweeps, peak auto purchase
    period and trigger point (graduation)

•	 Launch transit ads (renters), mall ads
   and consumer contest winners ads.          •	 Launch second TV iteration, including
•	 Leverage timeframe when target                consumer generated content and
   spends time outdoors and is in                product placement (theater tactic)
   targeted DMAs searching for                •	 Freshen new creative to avoid wear-out
                                                 and to coincide with start of school year,
                                                 sweeps and peak auto purchase period
14           Creative Strategy

                                                                                     . Our final
                                                            ey, sometimes voyage
                             dy  namic process - a journ
  Creative is a process, a              g creative campaign.
  destina   tion? A game-changin
                                                                                        ent a solution. We
                                                            proposition: real live ag
                               ed   on the unique selling                             conceptual waters
  Our creative brief focus                                  ed beyond over-fished
                             ilia r creative terrain, push
  ventured past old fam
   and int   o the blue ocean.
                                                                                      bnail form. We then
                                                           te this message in thum
                                ct ways to communica                                  t members.
   We discovered 63 distin                                   group of target marke
                              15   approaches in a focus
   appeal-tested the top
                                                                                     blew these out
                                                           ative approaches, then
                                  wn to four distinct cre                                . We evaluated the
    We narrowed the list do                                   new media and beyond
                              dia   - from TV and print, to
    across all forms of me
                                       following criteria:
    “finali st” campaigns by the
                                                                   √  Will the tone resonate
                                                                                                 with target?
     √  Is it relevant to the tar
                                    get market and case?            √ Is it distinctive in th e category?
                                         ’s brand equities?                                      dia and time?
     √  Will  it leverage State Farm
                                 lue of a “real” agent?             √ Will it work across me
     √  Will it elevate the va

         Two camp
         to explore ns emerged the str
                      further, ti                ongest, “A
        gauge me                  ghtening                   gent as Pro
                     ssage com                both conc                     p” and “Qu
                                   prehensio              epts, and                     ick Fix.” W
                                               n and app               tested bo                   e continu
        One camp                                           roach.                 th with ro                 ed
                     aign receiv                                                              ugh anim
       comprehe                    ed overw                                                            atics to
                    nsion and                 helmingly
      positione                  likeability              higher ma
                  d the age                  . “Ouick F                 rks in term
                             nt and Sta                 ix” resona                  s
                                          te Farm as                ted with th of message
     •	“Agents	a                                        a valuable                e target m
                   re	there	fo                                      , relevant                arket and
                               r	you	whe                                         solution:
                                            n	someth
   •	“State	Fa                                         ing	goes	w
                rm	will	he                                           rong.”	
                            lp	you	to	u
  	•	“State	Fa                                        	what’s	co
                rm                                                vered.”
 the dark w 	is	trustworthy	and
                ith ambig                  	doesn’t	k
                            uous poli                 eep	you	in
•	“Agents	w
               ill	always	b
help with                    e
             the big an 	there	when	you	ne
                          d little thin               ed
Creative Development   15
16   The National Unveiling

                                                              marketing and communications
              Our proposed campaign will achieve both our
         objectives. The campaign portrays real images
                                                   when their
      improvised repairs that car owners often use
                                                     a result of
      insurance coverage isn’t adequate – frequently
      not fully understanding their policies.
       These visuals are compelling on their own, but
       coupled with informative messages that dram
                                                         lts of not
       and sometimes humorously point out the resu
                                                        getting the
       having the right policy. They emphasize that
                                                            the impersonal service you receive
       right advice from a real, live agent is better than
       when buying insurance online or over the pho
                                                      ium for quick fixes, it is used liberally
       With duct tape being the most universal med
                                                     ible symbol for the temporary solution or
       throughout our creative, and becomes a tang
                                                        e online, without an agent to guide you.
       “quick fix” that you get when you buy insuranc                              ld’s largest stages,
                                  Not only are we launching on one of the wor
                                                                                    ted in media
                                  we’re doing it in a manner that is unpreceden
                                                                                     on TV, we’ll feature
                                   On the finale of American Idol, the top show
                                                                                    e other advertisers
                                   Idol host Ryan Seacrest and partner with thre
                                                                                      cial break. This
                                  to create a unique “quick fix” 2-minute commer
                                                                                     ingly live exchange
                                  120-second commercial pod starts with a seem
                                                         testant where duct tape is only a “quick fix.”
        between Seacrest and a recently banished con
                                                            l do a push wipe, and make the commercial
        Instead of cutting to our first partner’s spot we’l
                                                         g duct tape. We’ll transition all the partners’
        appear to be attached to our commercial usin
                                                        ing the break with State Farm’s inaugural
        commercials in the pod in a similar way, end
        commercial in the campaign.
         In the spirit of American Idol’s use of classic
         we’ll use the Beach Boy’s “Don’t Worry     Baby”
         covered by a contemporary artist (possibly an
         American Idol contestant) as a music track und
         this and all of the TV in this campaign. “Do
                                                         n theme
          Worry” is the perfect set up for our campaig
          line “Agents Included.”
Idolizing State Farm   17
18    Creative Phase 1 TV

     Beyon d Our American Idol
     Television                                      ll be mostly :15s, each
     The early commercia    ls in our campaign wi                 ners often perform
                                       ive “quick fixes” car ow
     some of   the wonderfully creat                                     e :15 will also
                                              its of their policies. Th
     when they fai  l to understand the lim                                   contest and
                                                   ain our “Ultimate Fix”
      maximize frequen    cy. A :30 spot will expl                                  ateFix.
                                                         k fix” rides to TheUltim
                               upload photos of “quic
      encourage viewers to                   ese commercials will ru
                                                                         n on targeted
      com (see m  icrosite on page 23). Th                                   r national
                                                d NBC’s The Office in ou
      programs such    as Fox’s Family Guy an
      spot schedule.

         Logo in all TV starts tight on a group of   …then quickly zooms out to reveal all   ... forming the State Farm logo marching
         agent silhouettes…                          17,000 agents…                          band style.
Creative Phase 1 TV                          19

 Our :15s will also run in cinemas. Ac-
 cording to Arbitron, 67% of 18-24 year
 olds have been to the movies in the past
 30 days. Additionally, they do not find
 cinema advertising to be intrusive. By
 focusing cinema advertising in New York
 City during key movie viewing time, we’re
 compensating for a low level of transit
 advertising. Cinema ads will allow us to
 reach an additional 22 million people.
20   Web Banners

                                                                    Static & Animated Flash
     Interactive Banner                                             Banners
     On selected sites, we’ll buy space to place large rich         (230 x 400 pixels actual size)
     media banners that use faux editorial and two “fake ads”.      The animated banners
     Seconds after loading, the “Tree Removal” vertical banner      above rotate four “Quick Fix”
     will fall, the ad itself tumbling as if a tree has fallen on   images in each ad.
     our “car ad”, crushing the car and the ad simultaneously.
     Behind the vertical banner, where the tree orginally
      stood, our State Farm ad will appear, reading “Most
      drivers don’t know what’s covered and what isn’t.” The
      copy will drive them to AgentsIncluded.com
                                                     Organic Search/AdWords                    21

                          Search Engine Optimization
       Though State Farm does not offer the online purchase of insurance, it
       is still important to reach out to Emerging Adults through the internet.
       Both the internet itself and insurance websites are taken into high
       consideration when the target is comparing providers, and an increased
       web presence would increase consideration.

       One of the primary ways to optimize State Farm’s web presence is search
       engine ranking through HTML Tags. This is extraordinarily important
       in regards to the target’s primary search engine, Google, as the search
       engine’s use is so prevalent that respondents in our survey replied that
       they would “Google” for automobile insurance quotes rather than just
       search online.

       Optimization would be achieved through refined heading, meta, title
       and alt tags in addition to back linking through insurance comparison

                                  Google AdWords
        Another way to reach the target market online is through Google
        AdWords. These sponsored advertisements on Google can be placed
        according to region and further refined by keyword search, enabling
        maximum impressions in our DMA’s.

         By purchasing keywords that pertain to automobile and renters
        insurance, graduation, job hunting, purchasing a car, and apartment
        rental, the target can be reached at the times when they would be more
        predisposed to having State Farm enter their consideration sets.

  The Sites that Att
                     ract the Most Fish
  Emerging Adults ar
                       e part of the most
  savvy generation                           technologically
                      to date, so we w
  using banner ads                          ill target them
                     on popular websi
 iPerceptions, the m                      tes. According to
                      ajority of ad clicks
 website visitors, m                        are from repeat
                     aking it importan
 advertising on w                        t to place banner
                     ebsites that the
frequents. We bu                            target market
                    y ads on the fo
that index highly                       llowing websites
                   against our target
searching for insu                      , especially those
                   rance online:
                                                                      Source:MRI+, Quan
22    Outdoor/Transit

     Outdoor media has strong frequency with younger, more active
     demographics, particularly in urban areas. It also complements
     TV advertising and increases reach and frequency, since unlike
     TV, outdoor advertising does not run at specific times of the
     day but all the time.
             Billboards to promote auto insurance will be used in
     “driving DMAs”: LA, Dallas, Atlanta, Houston and Phoenix.
                                                                       Our research showed that the target doesn’t
             Transit advertising to promote renters insurance will
                                                                       know much about renters insurance. While
     be used in “public transit DMAs”: New York City, Washing ton
                                                                      almost half of our survey respondents do
     D.C., San Francisco, Philadelphia and Chicago.
                                                                      rent, 64.2% do not have renters insurance.
     We will layer mall advertising into the campaign to reach        The top two reasons they don’t have a
     Emerging adults during the time of year when they are indoors    policy? They thought it was too expensive or
     and doing holiday shopping.                                      they did not even know it was available. Our
                                                                      renters strategy will increase awareness of
     We will buy 30 mall displays each in the following DMAs: LA,     the need for renters insurance and drive the
     Dallas, Atlanta, Houston and Phoenix. This will yield at least   target to agents to get more information.
     4,500,000 impressions/month against the target.
Viral/Microsite                    23

  In our advertising we will
  feature a thirty second com-
  mercial that will kick off the
  consumer generated viral
  portion of our campaign. On
  our micro site, TheUltimate-
  Fix.com, consumers will have
  the opportunity to show us
  their creative solutions to
  their individual car prob-
  lems. By uploading a photo
  of their “quick fix” car, they
  will be automatically entered
  to win. Each month, a win-
  ner will be chosen and re-
  warded with a full repair and
  get the chance to have their
  car used in a State Farm ad.
  This branch of the campaign
  will show the consumer that
  their cars deserve better, and
  better is an agent.
24   TV Encore

         Thank you, America (and Egypt)
         When our television campaign returns to the air, we’ll continue the campaign
         with a few twists.

         “Consumer Generated” :30 will be a spot edited in the same style of the intro
         commercials featuring the winning photographs from our “Ultimate Fix” con-

         “Make Over” :30 will showcase photos of the monthly “Ultimate Fix” winners
         juxtaposed to the make-overs of the same cars that State Farm paid to repair.

         “Mankind’s Ingenuity” :30 will take the campaign to the next level, as we salute
         some of the greatest achievements in the history of mankind, and compare
         them to the creative quick fixes people resort to using when they don’t under-
         stand their car insurance policies.
TV Encore   25
26   Theatre / Viral

                    To insure or not to insure?
                                                That is the question.
                     Beginning in September 20
                                                   10, State Farm and the Ed
                     Association will develop a                                 ucational Theatre
                                                  partnership to promote th
                    campuses through produc                                    e Arts on college
                                                 t placement. Reverting ba
                    of theatre promotion, script                              ck to the early days
                                                   s will be distributed to me
                    that are essentially State Fa                               mbers of the EdTA
                                                 rm “Agents Included” comm
                    member colleges performing                                    ercials. In return,
                                                     these scripts prior to their
                   will receive funding for th                                    own productions
                                                eir programs. The amount
                   correlate to the number of                                 of funding will directly
                                                 audience members, thereby
                   member colleges to promot                                    encouraging the
                                                  e viewership across their cam
                   of the target audience.                                        puses to members

                   In addition to word of mo
                                             uth, there is a web element
                  push the idea of product pla                           designed to further
                                               cement. Colleges who parti
                  upload their performances                                cipate can film and
                                              which will be voted on by
                  promoting State Farm and                               the target, thereby
                                             the school’s theatre perform
                  ends, the schools with the                              ances. After voting
                                             most votes will receive mo
                                                                        netar y prizes.
                                                           Internal Promotion     27

Strategy: Include the Agent in “Agents Included”
State Farm employs 17,700 agents who have been successful in retaining
older consumers due to their perception of being knowledgeable,
trustworthy and offering unparalleled service, but they’ve been less successful
in reaching out to A18-25. Our research has found that this is mainly
because the agents can’t secure the face time necessary to convert the target
into life-long customers.

Our trade campaign is going to change that by giving the agents the
opportunity to reach the target, sell them on the value of service over price
and convert them into long-term customers.

             “If I can get face time with them, I can sell to them.”
                                   - Scott West, State Farm Agent

Our approach to informing the agents is an 8-page booklet that visually
mimics the overall design of this plans book and informs agents that we are
going to drive A18-25 traffic to them. The booklet will contain a breakdown
of the return on investment that an Emerging adult’s policy will have over
time, informative tips on the target market, as well as an overview of the
tactics and executions of the consumer campaign.

To further educate the agents there will be webinars with additional
information about Emerging adults . These remotely accessible webinars
will feature Christine Kassler , author of The
20-Something Manifesto , and her insights into the
mindset and lifestyle of the their customers.

Additionally, as an added incentive, the agent who
sells the most policies in each district will win the
honor of being designated the “Featured Agent”
mentioned on our website’s front page.

                                 ill be
                The booklet w
                                 n e-mail
                produced as a
                                  nd formatted
                friendly PDF a
                 for print, if req
28   Agent Website
                                                                              Agent Website 29

                                                       microsite strategy
Face time for the target means being online, and our
                                                     t market and agents
is dual focused, with information for both the targe
                                                         t and State Farm
available on the website. The microsite brings the targe
                                                       interact with the
agents together, by offering tips for agents on how to
                                                        Farm agents.
target and offering information to the target on State
                                                        d more relatable
This will make not only the agent and State Farm bran
                                                      ity for closing a
to A18-25, but also give the agents a better opportun
                                                       will be offered
In addition to the website’s specific features, agents
                                                          ed researchers on
access to district-wide training sessions led by recogniz
interaction techniques with Emerging Adults.
                       Phase 1          Phase 2                                                  Phase 3
                       May       June   July      August   September   October   November   December   January   February   March   April               30
GOOGLE Adwords
                                                                                                                                                       Media Schedule


                                                                                                  Advertising on American Idol presents an
                                                                                                  opportunity to leverage the buzz surrounding the
                  Measured Media                                                                  show.
                                                                                                  Use of national spot in the top 10 A18-24 DMAs
                  Impressions                                                                     and national cable will create top of mind
                  national spot: 331,817,354                                                      Banner advertising will target active internet
                  network: 30,000,000                                                             searchers.
                                                                                                  Out-of-Home advertising will increase frequency
                  theatre: 1,000,000
                                                                                                  and reach in the spot TV markets, as well as
                  transit: 333,665,000                                                            reinforce the campaign message.
                  cable: 133,846,154                                                              Guerilla tactics will stimulate word of mouth,
                  mall: 60,000,000                                                                increase engagement with target and increase
                  outdoor: 396,830,000                                                            interaction with the agents.
                                                                                                  Cinema ads in key DMAs will increase reach within
                   banner: 125,000,000                                                            a heavy movie-going target, including light TV
                   Google: 800,000 (clicks)                                                       users.
                   cinema: 4,760,000                                                              Use of mall advertising will increase reach during
                                                                                                  time of year when target spends time indoors.
                    total: 1,417,718,508
                                                                                                  All media vehicles will drive traffic to the
                                                                                                  campaign microsite, AgentsIncluded.com.
Media                            Expenses
National Spot Television         $ 21,568,128.00
Cable Television                 $ 8,700,000.00
Outdoor                          $1,984,150.00
American Idol                    $1,300,000.00
Internet Banner / Video          $1,000,000.00
Google AdWords                   $ 600,000.00
Transit                          $1,668,325.00
Cinema                           $1,128,000.00
Mall Advertising                 $ 300,000.00
Theater                          $150,000.00
                           Total $ 38,198,603.00
                                                                                                                             ex high-
Production & Miscellaneous expenses                                                        u the following cable channels ind
                                                   Accor  ding to the National Cable Burea                          D, Fuse, Dis-
                                                                                    ult Swim, VH1, MT V2, SPEE                    ed
Production                   $ 400,000.00          est among A18-25: MT V, E!, Ad                the channels broadcast highly rat
Talent                       $ 800,000.00          covery, and  Mun 2(part of Telemundo). All                          of our target
                                                                                       t relates to the psychographics               -
                                                   pro gramming during primetime tha
Research                     $100,000.00                            ed over 12 months we will purch
                                                                                                     ase 1000 GRPs across the follow
                                                   market. Flight
Contest Prizes               $100,000.00            ing cable channels.
Website                      $50,000.00
Contigency                   $ 151,397.00                                                                        )
                                                    Programming :                       The Boondocks (Adult Swim
                       Total $1,601,397.00            Real World (MTV)                  Celebrity Fit Club (VH1)
                                                      Nitro Circus (MTV)                Pink All Out (SPEED)
                                                      The City (MTV)                    Super Bikes! (SPEED)
                  Overall Total $40,000,000
                                                      The Soup (E!)                      The Fuse 20 (Fuse)
                                                      E! News (E!)                       Chronicles (Fuse)
                                                      Family Guy (Adult Swim)
32   Evaluation & Conclusion
     Measuring the Success of the Campaign

     In order to accurately measure the effectiveness of our campaign strategy,
     we will conduct ongoing research, including tracking surveys over the
     course of the campaign.

     Our surveys will establish benchmarks for the following assessments:
             Unaided Advertising Awareness
             Aided Advertising Awareness
             Intent to Purchase
     By quantifying each of the above stages at different                 Cons
     times in the campaign, we can assess the effectiveness                             ion
     of our message and media strategies. We will also be
     able to measure the response to various media by DMA
     and then deploy the contingency fund based on specific              Ad A
     market needs. Additionally, we will track behavior on                         ess
     AgentsIncluded.com .
     Survey cycle: Four cycles starting at the end of July 2010, end    Conv
     of October, end of January and finally end of April 2011.              ersio

     The bottom line of this campaign was to increase the number of poli-
     cies purchased by A18-25. In order to achieve this we cut our own path
     through this journey, beginning at the insights and ending at the solu-

     Without sacrificing core brand values, State Farm needed to become
     relevant to Emerging Adults. To do this, we knew that we needed to first
     create advertising awareness by using creative that would get our target’s
     attention. Next, we needed to increase brand consideration achieved
     through creative focused on changing the target’s perception of the
     brand. Finally, we increased conversion by driving traffic to our cam-
     paign microsite, causing an influx of prospective customers.

     We focused on the true value of the State Farm Agent to enlighten the
     target on the realities of insurance, and the importance of having a red
     line guide along the way.
Sources                     Thanks & Sources                           33
          JWU Ad Team             Sources
          Ashley Deley            Ad-ology Research
          Bruce Millard           Arbitron Incorporated
          Christopher Rosario     Christine Hassler:
          Dan Mackinnon             20 Something Manifesto:
          Erica Lytle               Quarter-Lifers Speak Out
          Evan Dunn               Clear Channel Communications
          Folu Akinkuotu          ComScore
          Joe Russomano           Experian Simmons Consumer
          Lauren Turner           Research
          Peter Cavas-Mitson      Insurance Information Institute
          Robert Erskine          iStockphoto
          Ryan Healey             JD Power and Associates
          Stephanie Amaral        Kantar Media
          Victoria Deetz          Kate Carraway: Welcome to Your
          Gianna Joseph             Quarterlife Crisis
                                  Keturah Gray: Quarterlife Crisis
                                    Hits Many in Late 20s
          Oscar Chilabato
                                  Kirk Akahoshi : The Origins of the
          Tom Monahan
                                    Quarterlife Crisis
          Christine Ure
                                  Dr. Jeffrey Arnett, Dept. of
          Acknowledgements          Psychology, Clark University
          Piya A. Sarawgi         Lamar Advertising Company
          Dr. Dave Mitchell       MRI+
          Joanne Galenski         Maritz Research
          Pat Fisher              The Nielsen Company
          Rae Caloura             Pew Research Center
          Tim Howes               Quantcast
          Michelle Morin          SQAD Media market Guide
          Linda Hatch             SRDS
          Rick Keough             Simmons Choices 3
          Steve McNally           Sunday New York Times Magazine
          JWU Safety & Security   Survey Monkey
          Juan Alvarado           Velocity Cinemas Advertising
          Max Johnson             The Wall Street Journal
          Mallory Clayton
          Pat Briden              Special Thanks and Our
          Neal Manchester         Profound Gratitude to:
          DES Printing            Jonathan “Biscuit” Vega
          Scott West
          Sal Gioello
          Tiffany Dusche
          Allie Brewi
          Simon Lechter
          Sydny Loughlin
          Jessica Whittaker

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