In the past couple of years, auto insurance has sprung into a position as one of the noisiest advertising categories in the world. Whether it’s the Geico cavemen or All State State Farm at the MLB All-Star Game, there’s apparently a lot of money to be made by getting in front of our eyeballs to talk insurance rates. But an underdog success story is forming around Liberty Mutual, which has moved its marketing approach to meaning and is starting to reap some powerful returns.
Thanks to David Hessekiel at the Cause Marketing Forum, I found the video interview below with Liberty Mutual’s Senior VP of Communications, Steven Sullivan. Sullivan tells an impressive story of Liberty Mutual’s strategy for increasing its share of the profitable auto insurance market, from a position as a smaller player with smaller budget.
What I found most fascinating was that Liberty Mutual and its new advertising agency, Hill-Holliday, started to build its strategy by looking within. They gravitated to the company’s mission statement, which ended with the line: “helping people live safer, more secure lives.” They then interviewed employees to understand what they felt was special about Liberty Mutual. This research led to a strong overall belief that, “at the end of the day, we do the right thing.”
Liberty Mutual saw a connection between its employees and the customers it most coveted. The connection was a shared belief in the importance of personal responsibility. However, the team realized that just another 30-second ad would not be enough….
How do you really make something like that tangible? How do you connect with people in a way that’s not just another claim from a big insurance company that people are going to disbelieve?” (Steven Sullivan, Senior VP of Communications, Liberty Mutual)
The marketing team’s solution was to use television and print ads to build awareness of the importance of personal responsibility, and then drive them to engage and discuss the issues with others. The hub of this deeper engagement has been a website called The Responsibility Project, which includes video stories of personal choices around responsibility. And Liberty Mutual poses engaging debate questions on popular news sites – for example, asking if government should be responsible for regulating trans fats in restaurants.
While many brands claim that their consumers wish to engage in a dialogue, Sullivan has proof. Within months of its campaign launch, the company received more than 3,000 requests thanking them for promoting this message and asking for copies of the commercials that they could share in schools and churches. One man who doesn’t drive even sent in a $20 donation to the “cause.”
This Liberty Mutual campaign hits on what we label as “achievement” in the realm of meaningful marketing. It is the highest form of meaning in that it has the potential to actually help people improve their lives, their family, and the world. The company is continuing its success and deepening its impact; for example, it has partnered with NBC to develop two made-for-TV movies that will promote the theme of personal responsibility.
And at the end of the day, this campaign seems to be a significant business builder. Liberty Mutual’s premium revenue in auto insurance is up 17.4% to $3.6 billion in the most recent six months, in part due to “strong customer retention and new business growth.” The added benefit is that by bonding with people who believe in personal responsibility, they are keeping and attracting the most profitable customers – the ones who take personal responsibility for not getting into auto accidents in the first place! Sure enough, the six-month numbers show that auto liability losses are down.
Our goal is to get people to say that Liberty Mutual shares my values and I’m going to get my insurance from them.” (Steven Sullivan, Senior VP of Communications, Liberty Mutual)
I also believe there is a strong long-term benefit to be seen in Marketing with Meaning and this specific example. While Geico might be remembered fondly for years for its cute cavemen and gecko, Liberty Mutual has a chance of deeply linking in our minds as a company that stands for something uniquely important to our lives and society overall.







