Back in February I posted about how many of the U.S. Auto insurance companies were treating their “products” as commodities and focusing on price. I had some thoughts about targeting, which I included in that post. It appears that at least on insurer, State Farm, has decided that focusing on their value difference is a better strategy.
Quoting Tim Van Hoof of State Farm, “We are a brand that’s been known for the service end of the business for a long time. As we learn from consumers about just some of the distrust in the world today after what we’ve been through financially and economically as a country, it seemed like a great opportunity to tell our core story, which is the best value in the business.”
Their new ads reflect that story. However, to make sure they are not totally excluded from consideration on price, they also have a price-focused ad as well. Perhaps if they took to heart the targeting I suggested in my February post, along with the re-focus on their value difference, they could really get a substantial marketing ROI.