In today’s day and age, it’s difficult not to sing along to commercial jingles or finish an advertisement slogan without a quality digital advertising display. This is living proof that advertising is an effective method of staying on top of consumers’ minds and eventually enticing them to avail the product that you are selling.
Of course, this is no longer a foreign technique even to insurance companies, thanks to pioneers like Geico who jumped into the advertising bandwagon back in 1999.
Read on to know how insurance companies are using digital platforms to enthuse consumers about their products.
Dominating the Screens
Insurance companies that make time and spend money to invest in digital advertisements know exactly what this system does for their business. Recent studies show that digital advertising plays a role in boosting brand awareness by at least 12%, increasing purchase intent by approximately 3%, and improving potential customer education by precisely 2%.
Let’s take for example two famous insurance companies: State Farm and Geico. State Farm allocated 52% of its budget on mobile and desktop display. Their digital impact depends mainly on education, albeit doing fairly well on the other aspects. You can see them taking advantage of the digital advertising screens in the form of three displays, four videos, and three with sponsored content. Most of these ads offer simple yet impactful messages that enhance brand awareness, such as “Save with State Farm” or “Here to help life go right”.
On the other hand, Geico spends 63% on mobile and desktop display. They are banking heavily on ten creative displays, with ten of those focus on variations of the term “savings”. Like State Farm, Geico brandishes short and concise messages paired with their flagship gecko icon.
Occupying the Audios and the Visuals
Two other examples of insurance companies making it big on the digital front are Lemonade and Root. Lemonade spends immensely on Facebook ads with 72% of its digital spend allocated to the social media giant. On the other hand, they invest 24% of their digital budget on display.
Root also concentrates a majority of their funds on Facebook advertising at approximately 84% while spending only 8% on display. Unlike Lemonade, Root’s overall expense within the past year was relatively smaller compared to Lemonade.
Both insurance companies focus on video, which is not a surprise for brands that maintain significant social media presence, especially on Facebook. The videos serve the same purpose as Geico’s ads, which is to enhance brand awareness. Lemonade’s most famous video shows an animation of a house riding a skateboard while sporting a pair of sunglasses. A simple text overlay declares, “Homeowners insurance that doesn’t suck.”
Similarly, Root’s top videos are those of its employees reading user reviews of Root insurance. The videos are playful and engaging without pushing the viewer to buy the product.
Digital advertising screens and social media campaigns are just a few mediums to enhance product awareness and encourage education for customers of all ages.