AAA Regional Competitors

Part
01
of three
Part
01

Geico Regional Marketing, Part 1

Geico employs a nationwide marketing strategy for its products, including home and auto insurance, across various marketing channels such as digital and traditional. There is no indication that the company has any region-specific messaging or bundles, and its marketing channel mix does not differ in the assigned states. Although Geico's marketing messaging is centered on value and savings, its prices for home insurance products are not as competitive those for its auto insurance products.
  • Before Geico revolutionized insurance advertisement in 1999, insurance companies ran somber campaigns with warning messages of the consequences of not having insurance. Through its collaboration with Martin Agency, Geico changed the insurance advertising game with humorous ads that were meant to make its brand fun and likable.
  • Humor worked for Geico and it rose from the eighth-largest to the second-largest auto insurer in the United States. Other insurance companies followed suit as each tries to connect with a "younger, more cynical audience."
  • To balance between earnest messaging and funny content, Geico's advertisements always end with its informative tagline: "15 minutes saves 15%."
  • Geico's marketing is mainly focused on digital channels because it lacks "the storefront presence of the brick-and-mortar model seen with Allstate and State Farm." The company uses pre-roll ads, also known as 'unskippable' ads. These are short ads that last for five seconds form start to finish, which is time one has to watch an ad before skipping to the content.
  • According to Adweek, Geico's marketing strategy involves using "consumer data to dictate its advertising plans." It also invests heavily in advertising and currently has the largest marketing budget in the United States insurance market.
  • Geico also uses various methods to create customer engagement. Recently, the company launched the #BestofGeico contest that asked consumers to rank Geico adverts. It also has a strong social media presence where it interacts with customers.
  • Additionally, Geico advertises on traditional channels, especially on television. It has run a number of television commercials for its home and auto products, some of which were aired during the Super Bowl.
  • Geico's marketing campaigns are centered around its claim to offer comparably lower pricing. The company claims to reduce costs by limiting its physical presence and eliminating broker/agent costs by selling directly to the customer.
  • A review was conducted to establish whether geico delivers on its promise of low prices in Texas, Hawaii, New Mexico, and Alabama. The results were as follows:
    • In Texas, Geico's auto insurance rates are only second to Texas Farm Bureau's in terms of affordability. However, a review of various reports found that it fared poorly in the home insurance space.
    • In Hawaii, Geico's auto insurance rates are among the lowest in the state; however, its pricing for home insurance products falls behind other major insurers price wise.
    • In New Mexico, Geico's auto insurance products are competitively priced while its competitors offer comparably cheaper home insurance products.
    • In Alabama, Geico's car insurance products are among the cheapest in the state. However, its home insurance products are not among the cheapest on offer.

Research Strategy

The research team determined that Geico employs a nationwide marketing strategy for its products, including home and auto insurance. Our research entailed searching for reports from media and marketing resources such as Forbes and Adweek, respectively. While we managed to find insights into Geico's national marketing strategy, we could not find any indication that the company conducts regional marketing campaigns. We also searched through Geico's website, social media profiles, and annual reports (Berkshire's). The website provides a tool for calculating home and auto insurance rates by state but does not provide any information on its marketing campaigns. Also, Geico only has a single profile on all social media (Facebook, Twitter, and Instagram) and video sharing (YouTube) platforms, and our reviews showed that they did not provide any state-specific information. Therefore, the research team has provided information on Geico's overall marketing strategies. We have indicated on the spreadsheet that there is no region-specific messaging or bundles and that the marketing channel mix does not differ in the assigned states.
Part
02
of three
Part
02

Geico Regional Marketing, Part 2

Geico follows an integrated national marketing strategy while marketing their auto and home insurance products. This means that their marketing efforts for their insurance products throughout the various marketing and communication channels are consistent throughout the United States and do not vary from one state to another. Details of Geico's marketing strategy in the states of Arkansas, Kansas, Illinois, Louisiana, and West Virginia are presented in the attached spreadsheet. An overview of the findings for each of the five states is presented below.

Arkansas

  • Geico markets its auto insurance products in Arkansas by offering potential customers new to the state or those wishing to switch their insurance provider with insurance quotes at affordable rates and with great customer service. Geico offers several auto coverage options with discount rates up to 15%. Their auto insurance quote for Arkansas takes less than 15 minutes. Geico also guides its auto insurance customers on the laws and guidelines for getting auto insurance in Arkansas. Geico also offers special discounts on their auto insurance products to military and federal personnel and members of many professional, educational, medical and alumni organizations.
  • For the Little Rock area, Geico's insurance facilities extend to homes as well. Geico, however, does not offer any specific product bundles in Arkansas, as the multi-policy discount on home and auto insurance is not available in all states.
  • Geico offers one of the cheapest auto insurances in Arkansas at an annual premium of $490 for the cheapest minimum coverage. It ranks among the top five in the state.
  • In line with the company's mission to deliver a seamless and customer-centric experience for its customers, Geico uses an integrated marketing strategy to unify its marketing communication across all platforms. By using brand images like the gecko and the caveman and through its light and funny TV and online commercials, the company has left an impression among their customers. Geico is very active on social media platforms like Facebook, Twitter, YouTube, and Pinterest.

Kansas

  • Geico markets its auto insurance products in Kansas by offering potential customers a free car insurance quote on its online platform. Geico also guides its auto insurance customers on the laws and guidelines for getting auto insurance in Kansas and provides a list of the driving hazards in Kansas along with survival tips during tornadoes. Geico's insurance coverage in Kansas covers a wide range of vehicles: cars, motorcycles, ATVs, RVs, and also homes. Geico also offers special discounts on its auto and home insurance products to military and federal personnel and members of many professional, educational, Greek and alumni organizations.
  • Geico offers multi-policy discounts in Kansas. These are specific product bundles for Kansas and covers both home and auto insurance products. The home insurance products covered by the multi-policy discounts are homeowners, renters, and condominiums.
  • Since Geico has adopted an integrated marketing strategy throughout the United States, its marketing efforts for its insurance products across all channels across Kansas do not differ from that of Arkansas.

Illinois

  • Geico markets its auto insurance products in Illinois by offering potential customers new to the state or those wishing to switch their insurance provider several auto insurance coverage options. Geico also guides its auto insurance customers on the laws and guidelines for getting auto insurance in Illinois.
  • Geico offers multi-policy discounts and special bundled packages to customers in Chicago. The multi-policy insurance package includes discounts and covers cars, RVs, motorcycles, homes, renters, and condominiums. Geico offers special discounts on its multi-policy discounts to military and federal personnel and members of many professional, charitable, medical, and alumni organizations. Geico gives preference to alumni of National Louis University and DePaul University.
  • Geico offers one of the cheapest auto insurances in Illinois at an annual premium of $981 for the cheapest minimum coverage. The company ranks among the top five in the state.
  • Since Geico has adopted an integrated marketing strategy throughout the United States, its marketing efforts for its insurance products across all channels across Illinois do not differ from that of Arkansas and Kansas.

Louisiana

  • Geico markets its auto insurance products in Louisiana by offering customers a wide range of auto insurance options like full coverage and part coverage. Geico also guides its auto insurance customers on the laws and guidelines for getting auto insurance in Louisiana. Considering Louisiana's status as the Bayou State, Geico considers all types of vehicles in its auto insurance scheme: road vehicles like cars, and water transport vehicles like boats and yachts. Geico's insurance agents in Louisiana operate from the following cities: Baton Rouge, Lake Charles, New Orleans, Shreveport, and Leesville. Geico also offers home insurance that covers homeowners, renters, and condominiums. It offers special discounts to military and federal personnel and members of many professional, medical, educational, and alumni organizations.
  • Geico does not offer any specific product bundles in Louisiana, as the multi-policy discount on home and auto insurance is not available in all states.
  • Geico offers one of the cheapest auto insurances in Louisiana at an annual premium of $1,762 for the cheapest minimum coverage. Geico ranks among the top five in the state.
  • Since Geico has adopted an integrated marketing strategy throughout the United States, its marketing efforts for its insurance products across all channels across Louisiana do not differ from that of the three states covered earlier.

West Virginia

  • Geico markets its auto insurance products in West Virginia by offering customers affordable insurance option, amazing customer service, discounts up to 15%, and an insurance within 15 minutes. Its auto insurance covers cars, boats, motorcycles, and RVs. Geico also guides its auto insurance customers on the laws and guidelines for getting auto insurance in West Virginia. It also offers home insurance options. Geico also offers special discounts on its auto insurance products to military and federal personnel and members of many professional, medical, educational, and alumni organizations. Geico's insurance agents operate from Charleston and Morgantown.
  • Geico does not offer any specific product bundles in West Virginia, as the multi-policy discount on home and auto insurance is not available in all states.
  • Geico offers one of the cheapest auto insurances in West Virginia at an annual premium of $801 for the cheapest minimum coverage. It ranks among the top five in the state.
  • Owing to Geico's integrated marketing strategy throughout the United States, it follows the same marketing strategy for West Virginia as the other four states.

Research Strategy

While researching the website of Geico for its auto and home insurance product offerings, we discovered a lot of information for each of the target states regarding its auto insurance products. However, similar information for its home loan insurance products is conspicuously absent on its website. We reviewed the websites of third-party financial product reviewers like Bankrate, Value Penguin, and Benzinga for information on Geico's home insurance products and found that Geico does not sell their home insurance products themselves but rely on third-party partner agencies. Digging deeper, we found no difference in the state-wise marketing strategies adopted by Geico. This proved that Geico follows an integrated national marketing strategy throughout the United States for its insurance products. Further research into its social media handles also did not yield any state-specific marketing strategy.
Part
03
of three
Part
03

Geico Regional Marketing, Part 3

Geico markets its home and auto insurance products in the assigned states through a national strategy that encompasses an integrated marketing approach. The details of this research are also available in the spreadsheet attached.

Overview

Ohio

  • Geico markets its auto insurance products in this state with an offer on how residents can lower their auto insurance premium through the following means — multi-policy discounts on the state's insurance policies, good driver discounts, membership discounts, and good student discount. For instance, the company ranks among auto insurance companies in Ohio offering the cheapest price ($1,096 annual rate) for full coverage.
  • The multi-policy discounts cover both home and auto insurance products, while other discount offers are for auto insurance products. Such home insurance products covered by the multi-policy discounts are homeowners, renters, and condominium.
  • Geico's marketing efforts for its home and auto products in Ohio across all channels are not different from its national strategy. The company uses an integrated marketing strategy to unify its marketing communication across all platforms to "deliver a seamless and customer-centric experience."
  • For instance, the company has its celebrity gecko integrated into virtually all its commercials and print ads. It extends to its online campaigns too, as visitors cannot miss the image on the company's homepage and dedicated social media pages.
  • Operating from a national strategy standpoint, Geico's marketing efforts for its home and auto products are present across the digital, social, and search channels. For instance, the top traffic to the company's website is from its home and auto insurance pages. This means every US state, including Ohio, benefits from the SEO marketing efforts (national strategy).
  • The company uses online outreach, virtual assistant technology, mobile app, telemarketing, and neighborhood agent listings to market its home and auto products in Ohio. As part of its integrated national strategy, Geico makes use of video ads across TVs and social media channels.
  • Based on the integrated marketing strategy, Geico does not have any region-specific messaging. The company adopts national messaging that "encompass the vital aspect of its business, which is to help their customers save money through insurance." These messaging include "combine policies and you could save" and “15 minutes could save you 15% or more on car insurance.”
  • Geico offers multi-policy discounts on the state's insurance policies, good driver discounts, membership discounts, and good student discounts. These are specific product bundles for Ohio. The multi-policy discounts cover the 'buy home and auto insurance together and save' offering.
  • The company's marketing channel mix does not differ in Ohio from the national strategy. This is because Geico operates an integrated marketing strategy.

Pennsylvania

  • Geico markets its auto insurance products in this state by offering customers a shorter time (15 minutes or fewer) to free auto insurance quote from its online platform. It also offers them the basics and guidelines covering auto insurance laws and licenses in Pennsylvania.
  • The company also markets its auto insurance products in the state by making its offer cheap and affordable, as it ranks among the best top five auto insurance companies that are cheap in the state.
  • As with Ohio, Geico's marketing efforts for its home and auto products across all channels are not different in Pennsylvania from its national strategy. The company uses an integrated marketing strategy to unify its marketing communication across all platforms to "deliver a seamless and customer-centric experience."
  • The company uses virtual assistant technology, mobile app, telemarketing online outreach to market its auto products in Pennsylvania. As part of its integrated national strategy, Geico makes use of video ads across TVs and social media channels.
  • Based on the integrated marketing strategy, Geico does not have any specific messaging in Pennsylvania.
  • There appear not to be any specific product bundles applicable in the state, as the multi-policy discount on home and auto insurance is not available in all states.
  • As with Ohio, Geico's marketing channel mix in Pennsylvania does not differ from the national strategy. This is because the company operates an integrated marketing strategy.

Maine

  • Geico markets its auto insurance products in this state with an offer of up to 15% savings on a policy if Maine drivers port to Geico.
  • It also markets its auto insurance products to customers by offering customers a shorter time to free auto insurance quote from its online platform.
  • The company also markets its auto insurance products in the state by making its offer cheap and affordable, coupled with great customer service. Geico is the cheapest auto insurance company in the state, with full coverage at the rate of $696 annually.
  • In terms of marketing efforts for its home and auto products across all channels, there is no difference also in Maine from its national strategy as explained with the previous states.
  • As with Pennsylvania, Geico uses virtual assistant technology, mobile app, telemarketing online outreach to market its auto products in Maine. As part of its integrated national strategy, Geico makes use of video ads across TVs and social media channels.
  • Geico does not have any specific messaging in Maine because it relies on its integrated marketing strategy.
  • There appear not to be any specific product bundles applicable in Maine, as the multi-policy discount on home and auto insurance is not available in all states.
  • As with Ohio and Pennsylvania, Geico's marketing channel mix in Maine does not differ from the national strategy. This is because the company operates an integrated marketing strategy.

New Hampshire

  • Geico markets its auto insurance products in the state by making its offer cheap and affordable, offering the cheapest full auto-insurance coverage at $905 annually.
  • It also markets its auto insurance products by offering customers a shorter time to free auto insurance quote from its online platform.
  • The company also markets its auto insurance products by offering the basics and guidelines covering auto insurance laws and licenses in New Hampshire.
  • In terms of marketing efforts, or any region-specific messaging, or any region-specific product bundles for its home and auto products, there is no difference also in New Hampshire from Maine and the company's national strategy.
  • As with the above-mentioned states, Geico's marketing channel mix in New Hampshire does not differ from the national strategy. This is because the company operates an integrated marketing strategy.

Vermont

  • Geico markets its auto insurance products to customers by offering customers a shorter time to free auto insurance quote from its online platform.
  • The company also markets by offering them the basics and guidelines covering auto insurance laws and licenses in Vermont.
  • In terms of marketing efforts, or any region-specific messaging, or any region-specific product bundles for its home and auto products, there is no difference also in New Hampshire from Maine and the company's national strategy.
  • As with the four-mentioned states above, Geico's marketing channel mix in Vermont does not differ from the national strategy. This is because the company operates an integrated marketing strategy.

Research Strategy

Following our understanding that the home insurance products of Geico pass through a third-party arrangement, we realized that the company operates a national strategy approach for marketing these products. Similarly, after covering Geico's offering of its auto insurance policy per each state, we discovered little or no difference in the marketing of these products. We also looked through third party reports to understand how the company markets its home and auto insurance products across these states. After thorough research, we found out that the company markets its home and auto insurance products in the assigned states through a national strategy that encompasses an integrated marketing approach.
Sources
Sources

From Part 01
From Part 03
Quotes
  • "encompass the vital aspect of its business, which is to help their customers save money through insurance."
  • "15 minutes could save you 15% or more on car insurance."
Quotes
  • "coverage options and level of of service will all depend on which company GEICO connectsthe customer to."