2. We are Chariot, a communications agency specializing in creating
solutions that transform impossible business problems into
attainable goals. We act as the vehicle, turning insight into
strategies and consumer into communities. We will guide you on
the journey to an inspired campaign. Sit back and enjoy the ride.
3. Specifically, this target is over-stretched for cash, over-
committed and overwhelmed with pressure. To put it simply,
they are stressed. They are uncomfortable with, and often
intimidated by, the insurance purchasing process. This process
is seen as adding more stress to an already stressful life.
State Farm has an opportunity to connect with these three
segments through a campaign that emphasizes what they
seek most when buying insurance: affordability, ease and
approachability. This led Chariot to a strategy which becomes
the foundation for our campaign: State Farm takes the stress
out of buying the right insurance. This strategy will resonate
with our target because they seek brands that will reduce the
stress in their lives.
Creative executions bring the campaign to life. Our message
is delivered through an exciting connections plan that
incorporates media, events, promotions, public relations and
loyalty programs to engage our normally apathetic audience.
Chariot goes beyond the current industry “switch and save”
messaging to connect with our target in a more important
way. This campaign gives them reason to ignore the constant
barrage of competitors’ offers because State Farm will
become their insurance brand of choice.
executivesummary
For nearly a century, State Farm has been a company focused
on customer advocacy. This has helped State Farm become
the industry leader in Auto and Renters Insurance. Although
State Farm has an impressive share of the insurance industry
as a whole, it continues to under-perform in the 18-25 year-old
market. State Farm must create a much stronger connection
with this audience in order to increase market share and build
a pathway to the future.
It’s time for a new direction.
Chariot has found that the 18-25 year-old market does not
respond well to traditional State Farm messages. They
view these campaigns as geared toward a more mature and
financially stable audience. These traditional selling points do
not readily address the younger audience’s key concerns.
But not all 18-25 year-olds are the same. Chariot identified
three mindset-based segments within this market that present
the greatest immediate opportunity for State Farm. These
segments are the Deal Demanders, Convenience Cravers
and Help Hunters, representing 80% of the 18-25 year-old
insurance market.
Chariot uncovered a reoccurring theme within these three
market segments that influences their insurance purchases.
1
4. the task
Attract and retain
18-25 year-old policy-
holders by making
State Farm their
insurance brand
of choice. We want
loyalty to be strong
enough to resist
the daily “switch and
save” offerings from
competitors.
The State of State farm:
Despite leading the Auto and Renters Insurance industries in market share, State Farm is experiencing a
declining share among 18-25 year-olds. State Farm has taken numerous steps to reverse this decline, but
has not seen the desired market impact.
Building a Base Before Making our Case
Extensive research led us to simple, yet surprising insights about the 18-25 year-old market that inspired us
to develop our new State Farm campaign.
Research Objectives
1. Gain insight into the lifestyles and values of 18-25 year-old Independents and learn how buying insurance
fits into their lives
2. Define our target’s level of knowledge about the insurance buying process
3. Understand the perceived advantages and drawbacks of buying State Farm Insurance
4. Identify the different segments within our target who will best respond to State Farm messages
5. Pinpoint the triggers that influence brand choice when buying Auto or Renters insurance for the first time
Secondary Research – Learning from Published Literature
by our target
of first time insurance buyers
purchasing insurance
Primary Research – Gaining fresh Perspectives
most important when buying Auto or Renters insurance, as well as to uncover current brand perceptions of
the leading insurance companies
face when selling to this target
decisions are made
identify the underlying issues that influence insurance purchases
Usage patterns of media and the independent 18-25 year-old demographic
Kysa Koerner Hubbard, Ph.D., Psychology, Cultural Studies
research
2
5. The Dependency Factor:
Approximately half of 18-25 year-olds are classified as “financially independent.” A significantly smaller
percentage actually pay for their own insurance. A Chariot survey of college students found that 77% of
those that pay more than 50% of their living expenses are still on their parents’ insurance policy.
understanding our target
independents:
73% have cars1
50% rent a house or apartment3
32% are currently in college2
2
17% have smart phones3The Implication:
The great majority of college students remain on their parents’ insurance policy. Because of this, State
Farm should consider college students as a secondary target.
3
18-25 year-old Independents:
+ Are the most ethnically diverse of any generation4
+ Are going through more life transitions than any other age group
+ View their lives as stressful
+ See money as a main source of worry5
+ Always stay connected
+ Choose “new media” as their media of choice
+ Expect companies to fit into their lifestyles
+ Favor companies that support charitable causes
1
U.S. Department of Transportation, 2
Bureau of Labor Statistics, 3 4
Insuring the Catalyst Customer: Generation Y and the Insurance Industry, 5
6. competition
The ‘Call or Click’ Brands
Seen as a strictly agent-based model
Advertising is directed toward a more experienced buying audience
Perceived as being more expensive
Our Target and Insurance
They expect the insurance buying process to be cumbersome and unpleasant
They do not have a good understanding of the insurance marketplace and often feel intimidated during the buying process
They put off buying insurance until it cannot wait any longer
Their parents often play a significant role as a first source of information
They view established or “older” insurance companies as reliable and more experienced
They do not anticipate having to file a claim, so company performance and reliability are not central to their insurance buying decision
Price and convenience are the two main determining factors when choosing among insurance brands
The ‘Classic Come In and Let’s Talk’ Brands
Seen as providing convenience and ease of use
Viewed as catering to younger audiences with little insurance experience
Perceived as relatively affordable and offering a large variety of discounts
Use characters, avatars and mascots to create a youthful image
There are dozens of insurance companies available,
our target simply places them into two categories:
4
Our target assumes "Call or Click" brands are more
flexible, less intimidating and less expensive. We learned
Independent 18-25 year-olds are most attracted to these
directly with an agent and feel "Call or Click" brands better fit
their lifestyles. These insights begin to explain why State
Farm is not connecting with
this target.
7. diving deeper
Our Target and State Farm
18-25 year-olds, even those who have not bought insurance, have still formed opinions about State Farm. To our
target, State Farm is:
Recognized: Over 90% included State Farm when asked to name three top of mind insurance brands
Respected: Ranked as the most knowledgeable, trustworthy, consistent and dependable insurance company
when compared to top competitors
Problematic: Perceived as time consuming, expensive and intimidating
INTeRNAL STReNGTHS
Substantial brand recognition
Longstanding reputation of
reliability
#1 in auto insurance industry
Nationwide network of locally
based agents
INTeRNAL
WeAKNeSSeS
Brand is intimidating to
young audiences
Buying process is perceived
as complex and daunting
First time buyers see
product as comparatively
expensive
among younger
demographics
eXTERNAL
OPPORTUNITIeS
Brand loyalty has not yet
been developed
Correctable brand
misconceptions among our
target
18-25 year-olds are unaware
of the value of renters
insurance
eXTeRNAL THReATS
Competitors gaining market
share among target
Heavy ad spending by
competitors
“Switch and Save” advertising
turns insurance into a commodity
S.W.O.T.
5
8. 6
GO
Seek a good price
Focus on affordability
Are stressed about money
Believe the agent-based brands come with a higher price tag
Deal Demanders
“Affordable car insurance”
GO
GO
GO
GO
Convenience Cravers
Focus on reducing stress
Are intimidated by the process
“Insurance ASAP”
Help Hunters
Quality Coveters
Frequent Filers
“Insurance advice and help”
“Best insurance companies”
“Accedient Forgiveness”
Are Confused and intimidated by the insurance process
Seek referrals and advice from others
Go to parents or other trusted adults for advice
Focus is on getting the best possible coverage.
Interested in reducing their risk and limiting their exposure
Look to opinion leaders for advice
Have had collisions or traffic violations in the past
Focus on finding affordable and forgiving coverage
because of past records
State Farm will create messaging to reach the two
renters segments that currently go uninsured: the
Overestimators and the Downplayers.
Three market segments offer State Farm the best
opportunity to increase market share: Deal Demanders,
Convenience Cravers and Help Hunters.
These three segments represent approximately 80% of
the Independent market and Chariot will direct the new
campaign to them
segmenting the market
We uncovered five distinct market segments of Independent 18-25 year-old
Auto insurance buyers based on what our target looks for in an insurance policy.
The Renters insurance market segments differently. The differences largely
purchasing insurance does not prompt the same sense of urgency. Chariot
has found three distinct attitudinal and behavioral segments among the
Independent 18-25 year-old market.
Protectors
They understand the importance of protecting their property and recognize
the value of insurance, often bundling Renters with Auto insurance.
Overestimators
premiums will cost $100+/month.
Downplayers
not believe they need insurance.
Renters insurance segmentation:
9. State Farm is perceived by
18-25 year-olds as being the most
knowledgeable, trustworthy, consistent
and dependable insurance company. This
perceived superiority, along with an agent-based
model, leads 18-25 year-olds to mistakenly assume that
buying a State Farm policy will be intimidating, expensive and
cumbersome. These misconceptions have caused State Farm to be
perceived as a stressful brand to an already stressed audience.
We began by assuming a successful State Farm campaign
would focus on overcoming a dated brand image, and that
providing a contemporary facelift would solve the problem. Our
research taught us the issue is more complicated and profound.
Research informed us State Farm’s “long history,” “maturity”
and “age” actually translate to favorable characteristics like
“dependable,” “reliable” and “always there.” State Farm’s
maturity is not the issue. Independent 18-25 year-olds
are not buying State Farm insurance because of
something else–something deeper.
reevaluating
the
problem
ACTUAL PROBLeM: INTIMIDATING BRAND IMAGe
ASSUMeD PROBLeM:
OUTDATeD BRAND IMAGe
the
realproblem
7
“It’s going to be more
expensive, because they have
to pay the agents.”
“[State Farm is] obviously a
good company because they’ve
been doing it so long”
“I’m sure agents are fine,
I just think I would feel
stupid talking to them”
Chariot focus group
10. STReSSeD
adding it all up
New jobs
car loans
financial
responsibilities
new apartments
uncertain futures
full schedules
other anxieties
Over-stretched for money
Over-scheduled with
responsibilities
Overwhelmed with
pressure
State Farm takes the stress out of
buying the right insurance
positioning statement
97%of 18-25 year-old
Independents say they have
stress in their lives
82%say they wish they had less
stress to deal with
84%chose “stressful” as a word
that describes buying auto or
renters insurance
8
overworked by societal
expectations
11. Create a campaign that will leverage existing brand strengths to show
that buying State Farm insurance is actually easy and affordable. The real
opportunity lies in dispelling common misconceptions about State Farm
and repositioning the brand as an ally of our target -- as a brand that will
reduce the stress in their lives.
Creating a New Brand Reality
What they think now What we want them to think
Quality insurance
The right protection
9
Expensive
Affordable
Intimidating
Helpful
Cumbersome
Quick and easy
For my parents
For me
chariot’ssolution
12. creativeconcoctions
10
Why Stress Free?
“Stress Free” responds to the key concern in the lives of 18-25 year olds—an overabundance of stress.
Our campaign highlights that with State Farm, buying the right insurance is an easy task that fits
seamlessly into their lives.
Auto: We use humorous executions to juxtapose lighthearted, stressful situations with the stress free
experience of purchasing State Farm.
Renters: We contrast exaggerated, complex alternatives for protecting property with the stress free
simplicity of State Farm renters insurance.
Stress Free Logo
This clean and professional design makes State Farm more contemporary and
approachable. “Stress Free” is incorporated into our logo with State Farm’s
typeface and color, allowing us to own this important expression.
13. creativedecisions
Why we focus on the buying process
rather than filing claims:
For our target, the barrier to purchasing State Farm is the perception that
the company is intimidating, expensive and complicated to purchase.
buying State Farm insurance.
The Stress Free Zone (Frame 7)
We resolve each spot by showing the stressed character in a symbolically
stress free space. The Stress Free Zone works as a clean and simple design
element that represents the ease of buying State Farm and the peace of
mind that follows. Red furniture brands the space and incorporates the
most familiar element of State Farm-- its signature color.
11
The Morph (frame 8)
We will end our commercials with the State Farm logo on a red background. The words “Stress
Free” will emmerge from the text, led by the “S” and the “F” of “State Farm,” and settle below
to complete our logo. This mmnemonic device will make our message more memorable and
associate the Stress Free promise with State Farm.
14. video(ONLINE AND BROADCAST)
Production Notes
Theme: Stress is a part of everyday life. Thanks to
State Farm, it doesn’t have to be a part of buying insurance.
Tone: Humorous and relatable
“Baby Talk” :30
A baby is playing in the kitchen when his mother’s cell phone
begins to ring on the countertop. As the commercial unfolds,
the situation turns stressful for the mother.
The baby is playing with a toy truck on
the kitchen floor.
A cell phone rings on the counter. The baby reaches up and grabs the
phone.
The baby, mimicking his parents, pre-
tends to answer the still ringing phone.
Woman’s Voice: “Honey, have you
seen my phone?”
With the phone in-hand, the baby crawls
over to the dog dish.
The baby drops the phone into the dog’s
water dish.
VO: “Life can be stressful.”
VO: “But when it comes to car insur-
ance, State Farm makes things a little
easier. We’re there for you- online,
on your phone, or in person.
VO: “Insurance on your terms. State
Farm. Stress Free.”
12
15. Production Notes:
Theme: Stress is a part of everyday life. Thanks to
State Farm, it doesn’t have to be a part of buying insurance.
Tone: Humorous and relatable
“A Pretty Price” :30
A young couple is on a first date at a fancy restaurant. The young
man soon discovers his date’s expensive tastes and worries about
the impact the night will have on his tight budget.
Waiter: “Have we decided?”
Young Woman: “Yes. I’ll have the
carpaccio appetizer, with the compo-
sition of turbot and red shrimps…”
The young man becomes uneasy as
his date continues to order expensive
dishes.
Young Woman (continues to order):
“…on pea cream with cuttlefish
ink croutons and confit tomatoes,
thanks“
The young woman and the waiter look at
the young man, waiting for him to order.
The young man looks at the waiter. He
is worried.
Young man (nervous): “Um. I’ll start
with water, please.”
Waiter: “Anything else for you?”
Young Man: “No, water’s fine.”
After the waiter takes their menus, she
pats the young man sympathetically on
the shoulder.
The camera zooms in on the young
man’s worried face as the young woman
calls after the waiter.
Young Woman: “Oh, and could I see
the wine list?”
VO: “Life can be stressful.”
VO: “Paying for car insurance
shouldn’t be, State Farm’s low rates
and multiple discounts keep money in
your pocket.”
VO: “Insurance on your terms. State
Farm. Stress Free.”
13
16. video(ONLINE AND BROADCAST)
Production Notes:
Theme: Stress is a part of everyday life. Thanks to
State Farm, it doesn’t have to be a part of buying insurance.
Tone: Humorous and relatable
“Bubble Wrap” :30
A young woman arrives at her date’s apartment and waits
for him as he prepares to leave.
A young woman arrives at her date’s
apartment. The young man invites her
inside.
He asks her to wait while he prepares to
leave.
Young man: “Hang on, I’ll be a sec.”
The young man walks over to his
flatscreen television and wraps it up in
bubble wrap.
He takes out a padlock and chains the
television to its stand.
Young woman: “You know, I just have
renters insurance.”
Young man, intrigued: “Oh. Renters
insurance?”
VO: With State Farm renters insur-
ance it’s surprisingly affordable to
insure all of your belongings, and
when paired with auto insurance it can
be less than $3 a month.
VO: So Leave your bubble wrap
behind.
State Farm. Stress Free.
14
He repeats the process with his laptop,
covering it in bubble wrap and securing
it to his coffee table.
17. Production Notes
Theme: Stress is a part of everyday life. Thanks to
State Farm, its doesn’t have to be a part of buying insurance.
Tone: Humorous and relatable
“Out of Reach“ :30
A young man finds himself in a stressful situation while he is using
his girlfriends’s parents’ toilet in his first visit.
The couple enters her parents’ house.
Mom: “Oh, it’s so nice to finally meet
you. We’ve heard so much about
you.”
Young man: “Yes, yes, you too. Uh,
could I use your bathroom?”
The young man gets settled on the
toilet.
The young man turns to see the toilet
paper roll, and realizes it’s empty.
The young man sees tissues on the
counter and tries to reach for them.
As the young man stretches his arm to
grab the tissue box, he loudly knocks
over bottles.
The young man attempts to shimmy his
way across the bathroom. He slips and
falls, landing on his stomach, feet in the
air.
VO: “Life can be stressful”
VO: “But when it comes to car insur-
ance, State Farm makes things a little
easier. We’re there for you- online,
on your phone, or in person.”
VO: “Insurance on your terms. State
Farm. Stress Free.”
15
19. RADIO scripts:Explanation of
executions; List stations
Renters Insurance Radio Ad
Sound FX: Shattering glass, person stumbling
around a house
Criminal: “You’re not home right now, are
real nice stereo.”
Music:
starts playing. It starts loud then continues
softly as he speaks.
Sound FX: Sounds of objects being knocked
over.
Criminal: “I really like the place. It seems nice
and relaxing. Pretty trendy. Oh, nice laptop.
You know, it’s too bad you don’t have State
Farm renter’s insurance. It doesn’t cost very
much and it protects against fire, flooding,
and accidents. Oh yeah, and theft too. Trust
me, you have more to insure than you think,
otherwise why would a ‘Smooth Criminal’ be
taking it?”
Voice Over: “Protect your stuff with renters
insurance, and when paired with auto it can
cost less than three bucks a month. State
Farm. Stress Free.”
Renters Insurance Radio Ad
(Spanish)
Sound FX: Shattering glass, person stumbling
around a house
Criminal: “No estás en casa, verdad? (short
tienes!”
Music:
starts playing. It starts loud then continues
softly as he speaks.
Sound FX: Sounds of objects being knocked
over.
Criminal: “En verdad me gusta mucho este
Cuesta poco y te protege contra incendios,
como yo no se las estaría llevando ahora.”
Voice Over: “Protege tus cosas con nuestro
seguro de renta. State Farm. Stress Free.”
radio
17
20. feel these advertisements are
more relatable than current
State Farm advertisements
Chariot pre-tested our print ads and TV spots in focus groups and in-depth
inteviews. We asked 18-25 year-olds whether the executions clearly communicate
the stress free message, whether that message resonates with them and whether
the ads enhance the image of the State Farm brand. Respondents agreed the
“State Farm. Stress Free.” campaign is both relatable and important.
“Stress is something almost
everyone can relate to.”
“Hmm...I should probably
get renters insurance.”
“I would be more likely to switch
to a less stressful company.”
“I feel like State Farm has a sense
of humor, and they are not stuffy.”
87%
78%
83%
think “stress free” is
an important message
feel more positively towards
the State Farm brand after
viewing the advertisements
testing our campaign
18
21. connections strategy:
Chariot will utilize six key media strategies in each phase of the campaign to reach,
engage and activate our target.
Placement: Be where they are.
Skew spending to geographic markets with highest concentration of young adults
Moment: Employ strategic timing.
Reach the audience when they are most likely to think about cars, housing and insurance
Assortment: Emphasize variety.
Reinforcement: Prioritize the message.
Support and strengthen brand message in all media and promotions
Engagement: Prompt a conversation.
Create disruptive messaging by inviting them to participate with the brand rather than expecting
them to listen
Involvement: Embrace diversity.
Capitalize on minority targeted media to effectively communicate to this diverse audience
“Regardless of race, we all have the same things to protect”
-Kysa Koerner Hubbard, Ph.D., Cultural Studies on diversity in America
Chariot will direct our message according to geographic ethnic clusters. While our
methods for reaching minority groups will vary, the stress free message will remain
the same. Stress transcends race, and our message will resonate with Independents
across the country.
19
Delivering the message
22. 20
Banner Ads
Chariot created two forms of banner ads that will be used in our campaign. The first will be an interactive ad
adapted from of our print ads. When the user scrolls over the image, “Life is Stressful” will appear across
the ad enticing users to continue to StateFarmStressFree.com.
The second form of banner ads will capitalize on the growing presence of Internet radio by becoming a
banner ad, an immediate stream of relaxing music will capture their attention. By clicking on the media
player, the user will be directed to StateFarmStressFree.com. Users can access Stress Free Radio at any
StateFarmStressFree.com will provide valuable information to young people investigating State Farm, as well as a personalized portal
for current policy-holders to manage their account, obtain rewards and interact with the State Farm community. StateFarmStressFree.
com will link to the current State Farm website, as well as to the websites of our corporate partners. Policy-holders, or “Stress Free
statefarmstressfree.com website
Online Media Strategy
Chariot must effectively connect with 18-25 year-olds in their medium of choice: online. To combat heavy online competition, we will
use Demographic and Behavioral Based Targeting. This approach involves purchasing “run of category” packages from the Google
Content Network. Our ads will then be placed on sites like autotrader.com, wired.com and apartmentfinder.com. Before serving an
ad, the network will use site visitors’ demographic profile and past online behavior to determine if they they fit the desired consumer
focused on people thinking about insurance.
23. 21
My Home
Provides all visitors with information on the latest State Farm news, events and special offers.
This site will also provide a preview of the perks associated with being a State Farm policy-
Hosts links to State Farm’s sweepstakes, smartphone applications and Stress Free Radio
Allows current policy-holders to view further information regarding new rewards and
offers, as well as customizable weather, traffic and calendar options
My Account
(members only)
their account information, pay their bill and
learn more about available discounts
My Perks (members only)
Displays State Farm member Policy Perks that can be earned
by redeeming points
Get Smart
timely response
Delivers relevant insurance information for first-time buyers
and current members
Includes a dictionary of insurance terms in easy-to-understand
language
Get an Agent
Links to State Farm’s nation-wide network of local agents
Get in Touch
Connects site visitors through a
series of public forums ranging
in topics from car care to local
restaurant recommendations
24. This phase is
designed to gain
new State Farm
policy-holders
by showing how
State Farm takes
the stress out of
buying the right
insurance.
This phase is about
reinforcing State
Farm policy-holders’
confidence in their
decision, lowering their
anxiety and increasing
their resistance to the
constant barrage of
“switch and save” offers.
Acquisition
Retention
arcmodel
22
Chariot has developed a three phase plan to
implement the “Stress Free” campaign. We
found that because 18-25 year-olds tend to
We must consciously be building loyalty at
all times.
This phase will create
a sense of community
among new State
Farm policy-holders by
providing opportunities
to come together for
shared purposes. This will
strengthen their loyalty and
help them become State
Farm ambassadors.
Community
Building:
25. 23
Festival Line-up
State Farm will connect with 18-25 year-
olds at an enormously popular summer
destination for this age group: music
festivals. By partnering with nation-wide
music festivals like Warped Tour, Country
Thunder, Viva! Chicago, Austin City Limits,
Summerfest in Wisconsin, and Coachella
in California, State Farm will reach over 2
million young adults.
Rather than just sponsoring each event, State Farm will offer The Good Neighbor
Shuttle Service to address a frustrating aspect of concerts: parking far away.
Branded golf carts and shuttle buses will drive concertgoers to and from their
vehicles free of charge.
acquisition: getting new policy-holders
Time-out Trivia
Chariot has developed a new promotion that will take State Farm sports sponsorships off the sidelines
knowledge of renters insurance. Questions regarding the value of renters insurance will be displayed on the
scoreboard during breaks in the action. Fans will have
30 seconds to text their answers to the screen. If they
answer correctly, they will win a free six inch Subway
sandwich through a coupon texted to their cell phone.
All spectators will learn about State Farm’s affordable
renters insurance, dispelling common misconceptions
about cost. After the answers are revealed, a message
will appear on the screen telling fans where to go to
IKEA Partnership
To reach “Overestimators” and “Downplayers”, State Farm will partner
with IKEA and offer an exclusive 25% discount to all new policy-
holders. The discount will apply to all items bought at IKEA for the
first two months of a new renters insurance policy. This promotion
will both offer an incentive for 18-25 year-olds to purchase renters
insurance and highlight the need to insure their new possessions. In
addition to increased sales generated by this promotion, IKEA will
receive publicity on our aggregated website and in other State Farm
promotional materials.
26. 24
Internal Education Program
Through interviews with State Farm agents, Chariot found agents have difficulty
understanding and connecting with younger policy-holders. We have developed
an educational program for State Farm agents to help them connect with 18-25
year-olds. The internal education program will be delivered through six webinars
broadcast exclusively to State Farm agents. The program will help the agent
better understand the 18-25 year old market - who they are, what they do, and most
importantly, what influences their purchase decisions.
State Farm Bubble
State Farm will spread its Stress Free message to the 18-25 year-old audience
through interactive digital projection displays at large malls, busy city streets and
subway stations. These displays will illustrate freedom from stress by allowing
passersby to interact with a collage of highly stressful images. As they pass the
branded collage of yelling faces, crying babies, alarm clocks and shirts with stains,
the images will disperse creating a stress-free bubble around them, visually
demonstrating that State Farm lessens the stress in their lives.
Massage Chairs:
The daily life of an 18-25 year old is stressful. Chariot will use an unexpected
promotion with non-traditional placement to help them take a break, relax and
learn more about State Farm. State Farm will host Relaxation Stations with
comfortable, bright red massaging recliners. Potential policy-holders will be able
to relax and recharge, courtesy of State Farm. Relaxation Stations will leave 18-25
year-olds with a positive brand image, as well as literature containing information
about State Farm.
acquisition
27. Augmented Reality: Price your Apartment (Phone App)
Augmented Reality technology allows digital graphics to be overlaid on real time video images. State Farm
will use this technology to create its own interface allowing users to price the furnishings in their apartment. By
pointing their smart phone’s camera at an item, the replacement cost will appear on the screen superimposed
over the digital image, demonstrating the value of renters insurance. The State Farm logo will appear with a
simple message: “You have more to insure than you think. State Farm Renters Insurance. Stress Free.”
Renters Insurance Placement at Bus Stops
Chariot will use the walls of bus shelters in key rental markets to show 18-25 year-olds the true replacement cost of
common apartment furnishings. Bus stops will resemble the inside of an apartment, and an interactive calculator will
add up the cost of its contents. Copy above the calculator will read, “See How Fast it All Adds Up?” This will not only
emphasize the value of renters insurance, it will engage our audience during idle time in their busy lives.
acquisition
25
“State Farm Rental Rater” on Facebook”
The process of finding a new place to live is stressful because it is often difficult to tell which landlords are
sell and trade within the Facebook community, and the application attracts over 12,000,000 monthly active
decision making process for renters. Below each listing, State Farm will sponsor a branded pop-up feature
that allows users to rate and comment on the listing or landlord. State Farm is helping renters feel more
confident and less overwhelmed by their housing decision.
28. 24
Graduation Congratulations
Graduation, whether from high school, trade school or college is often the first time
students consider purchasing insurance. State Farm will connect with young adults
in the following ways.
Emails and offers to recent grads
Emails and offers to recent grads
State Farm will partner with college alumni associations in key markets. We
will send new graduates personalized emails congratulating them on their
accomplishment while reminding them of the benefits of getting insured with State
Farm. We will partner with Target to give recent graduates discounts on products
they will need for the next chapter in their lives. Emails will contain printable
coupons for 15% off select items.
Cards for Parents
Through our research we found young adults often turn to their parents for advice
on issues like buying insurance. State Farm must capitalize on this parental
influence.
acquisition
State Farm “Accelerator” Site
25. State Farm will launch “SFaccelerator,” a new website that aggregates the
leading online tools for cars. Rather than visiting numerous sites, users can
go to SFaccelerator.com. Comparison shopping and links will be available for
AutoTrader.com, Kelley Blue Book, Car Soup, Edmunds, Car Fax, Vehix and
Farm as the independent’s ally.
“I haven’t really thought about it yet--I’ll probably deal
with it once I graduate and I’m off my parents’ insurance”
-Chariot focus group
We will send congratulatory cards to State Farm parents
during the months preceding their child’s expected
graduation. To broaden our reach, we will target parents
of high school, trade school and college graduates. The
cards will congratulate parents while reminding them
that graduation marks a time of independence for their
child. This will keep State Farm Insurance on the minds
of the audience that influences our target the most.
“35% of 25-30 year-olds say they bought their first
insurance policy when they bought their first used car”7
“[Young Adults] will buy approximately 25 percent of new
cars and trucks sold in the U.S. by 2010.”8
26 7 8
Insuring the Catalyst Customer: Generation Y and the Insurance Industry
29. retention:
keeping our new policy-holders
Policy Perks
18-25 year-olds love points and perks. To keep them engaged with
the State Farm brand, we have developed a rewards points system.
Policy-holders will earn points through various online and insurance
related activities. These points can be redeemed for prizes or made into
a donation to State Farm’s newest charitable cause. Providing rewards
and prizes gives State Farm policy-holders an incentive to regularly
visit their personalized site.
State Farm Free Ride
There are times when driving is not a good option. The State Farm Free Ride program
makes life less stressful by providing policy-holders with free cab rides. New policy-holders
will receive complimentary taxi fares totaling up to $50 to be redeemed within the first year
of their policy. Riders will mail their receipt to State Farm for reimbursement. The State
Farm Free Ride program shows policy-holders that their insurance company cares about
their safety.
First Time Policy-Holder’s Club
private club will receive special promotional materials like a customized pocket atlas with their name, jumper
cables, tire gauge, gas discount, oil change discounts and more.
27
Move-in Kit
State Farm will send the first 1,000 new Renters insurance policy-holders a State Farm branded canvas bag filled
with items that will come in handy.
Branded to-do list magnet pad
Power strip with a timer to prevent power outages and house fires
Calendar with stickers to remind renters to pay rent or catch a State Farm sponsored event.
Coupons for discounts with State Farm partners
Information on charity: water, State Farm’s new charitable cause
V.I.P. (Very Important Policy-Holder) Game Parking
College football games attract many 18-25 year-olds. Unfortunately, the stress of parking can detract from the
fun. During the 2010 season, twenty preferred parking spots will be reserved for State Farm policy-holders at
selected football games in each of the 31 Division 1 conferences. There will be 20 parking spots available per
venue. We will allow fans to register for the V.I.P game parking lottery on statefarmstressfree.com. Winners
will be notified via email. Parking locations and instructions will be sent out the week before game day.
30. FIFA WORLD CUP
promote the contest through multiple media channels, including emails to policy-holders, invoices, on our member
friend activities.
communitybuilding:
givingpolicy-holdersasenseofbelonging
Agent video contest
State Farm Agents will engage in friendly competition by submitting personal videos showing why they are the
agent best suited to serve the 18-25 year-old market. These videos will be posted and shared on State Farm’s
website, YouTube channel and Facebook page. State Farm policy-holders will vote for their favorite videos to
determine which Agents are best, earning rewards points for their participation. Top Agents will receive free
publicity to help build their client list. The grand prize winning agent will receive a trip to Hawaii. These videos will
allow State Farm to show a more youthful and personal side, while allowing agents to better connect with this
charity: water Partnership |
campaign. We recommend State Farm extend its current commitment to building strong communities by becoming a corporate sponsor of
charity: water.
Charity: water is an organization dedicated to bringing safe drinking water to people in developing nations. This New York based organization
works to provide water solutions, like wells and sanitation facilities, to the over 1 billion people that currently do not have access to clean, safe
drinking water. It is impossible to build strong communities without the infrastructure to provide clean water. This organization is particularly
relevant to this target because it confronts a simple problem that underlies many of the developing world’s largest issues. This partnership
offers State Farm the opportunity to introduce 18-25 year-olds to this emerging organization. State Farm members will feel a sense of pride
as charity: water grows.
FourSquare |
and unlock “badges” every time they “check-in” at a participating location. State Farm will harness the popu-
Farm sponsored event or visit a partner retailer. State Farm will use this platform to support its new charitable
cause, charity: water. During specific times, State Farm will donate $1 for every check-in up to $1 million.
BADGE 2- Sport Agent
BADGE 3- Giving Back Agent
28
“94% of 18-25 year-olds think
highly of companies that support
charitable causes” -Chariot survey
31. 29
mediaplan
In addition to traditional and
online placement, State Farm’s
:30 spots will run on pump
monitors at BP gas stations; a
common pitstop for our target
To reach our target when they are thinking
about the value of their possessions,
Renters insurance TV spots will also run on
televisions in Best Buy stores
Aqusition $34,738,610
Online $16,402,012
Magazines $2,214,500
Placebased $2,380,000
TV $7,752,800
Radio $3,800,000
Non-Traditional $2,189,298
Retention $1,249,390
Community $2,512,000
Production Costs $1,500,000
TOTAL $40,000,000
CAMPAIGN ADDED VALUE $397,000
Subway $42,000
BP $80,000
IKEA $275,000
CAMPAIGN VALUe $40,397,000
Connections Budget Summary
Pay Per Click Advertising
Because 18-25 year-olds rely on search engines, we will utilize the following relevant search terms to optimize our advertising.
apartment renters insurance
renters insurance
apartments for rent in
PS3
large flatscreen
wii
road bike
mattress
Furniture
auto insurance
local auto insurance
cheap auto insurance
car insurance
insurance
road trip
used car dealers
subwoofers
repair flat tire
street parking
Fender bender
FIFA
Auto Renters
33. Online:
statefarmstressfree.com
Effectiveness of banner advertisements
generated feedback
Use of reward points
Mobile:
Number of smartphone applications
downloaded
Promotional activities through
Sales
Increases in new 18-25 year-old Auto
and Renters policy-holders
Monitoring Campaign Impact
Chariot will monitor the effectiveness
of our campaign and use these findings
to continuously reinvigorate and
improve the campaign. We will monitor
the following:
30
evaluation
Brand Image
Changes in favorable attitudes
toward State Farm 31
34. 32
State Farm challenged Chariot to develop a fully integrated
marketing communications campaign to attract young adults.
Through extensive research, we came to understand the
difficulties of engaging them in a conversation about insurance.
We learned they lead stress-filled lives and view the insurance
buying process as daunting. State Farm is seen as particularly
target is turning to what they perceive as more accessible
insurance brands.
The solution lies in positioning State Farm as the company that
takes the stress out of buying the right insurance. The power of
this positioning is rooted in a profound understanding of this
audience and a new way of leveraging the recognized brand
strengths of State Farm.
We bring this to life in our “State Farm. Stress Free.” campaign.
This campaign juxtaposes the daily stress in our target’s life with
the relative ease and affordability of State Farm. The humorous
and light-hearted tone of our executions makes the campaign
particularly appealing to our audience. They now see State Farm
in a different light.
We deliver our campaign through a phased connections plan
that will engage them in unexpected ways. Each touch point is
designed to reinforce the message of how State Farm can help
alleviate stress in their busy lives.
By highlighting the ease and affordability of buying a State Farm
policy, Chariot will transform State Farm from an intimidating
company to our target’s brand of choice.
Conclusion
Resources: Business Source Premier, EBSCO Host, Education Resource
and American Life Project
Sources
Books: American Generations: Who they are. How they live. What they think.;
to Creating Great Advertising; Luke Sullivan, The Tipping Point: How Little Things
Publications: Advertising Age, Business Week, Forbes, The New York Times,
The Washington Post
Websites: www.adweek.com, www.adwords.google.com, www.allstate.
com, www.appbid.com, www.amfam.com, www.beyondpetroleum.com, www.
blockbustergolfcarts.com, www.blogspot.com , www.bls.gov, www.charitywater.
org, www.collegesintheusa.com, www.csnsofas.com, www.eff.org, www.
eventmarketer.com, www.expedia.com, www.facebook.com, www.fhwa.dot.
wwww.ikea.com, www.inventorspot.com, www.ircweb.org, www.marketresearch.
com, www.marketwatch.com, www.millenialmarketing.com, www.milwaukee.
bizjournals.com, www.nytimes.com, www.npr.org, www.orbitz.com, www.
pewinternet.com, ww.progressive.com, www.resourceshelf.com, www.roadtrips.
com, www.slate.com, www.stadiumguide.com, www.statefarm.com, www.twitter.
com/StateFarm, www.youtube.com
Blogs: blogspot.com, www.thecarinsuranceblog.com, www.finance4youth.
wordpress.com, mashable.com, www.worldcupblog.org, www.yaybia.com
35. Advisor: Howard
Liszt
Blake Bensman
Brian Bernier
José Manuel Chiang
Kellie Coit
Cameron Cronkite
Hilary Daniel
Alex DeNuccio
Anna Farrell
Abby Faust
Nicole Filter
Lauren Fink
Katie Funk
Derek Gisvold
Tanner Hall
Ian Kitchen
Chad Kluge
Lucas Larson
Olga Lobasenko
Taylor Lord
Corinne Long
Diana Manuel
Shauncey O’Rourke
Sarah Poluha
Tyler Purcell
Laura Rask
Jordan Rothenberg
Tom Santori
Andrea Styczinski
Brittany Sylvester
Nathan Waldvogel
Lisa Vander Zanden
A special thanks to:
John eighmey
Earl Herzog
Jennifer Johnson
Sarah Kern
Damien Salinas
