Insurer's Branding Campaign Yields Unexpected Notice

CINCINNATI--What began as a conventional search for brand identity has become something of a cultural phenomenon for Liberty Mutual Group, with an advertising campaign gaining prominent mention in mainstream media, the head of its market division said.

Addressing attendees of the annual Insurance Marketing Communications Association here on Monday, Steve Sullivan, senior vice president of communications for the Boston-based insurer, described how connecting with customers on a value level has led to a wildly successful branding campaign.

In a world of "superficial entertainment," the company decided it wanted to connect with its customers on a "real value level," said Mr. Sullivan.

To determine that value level, the company arranged a series of focus groups to determine what it is that differentiates a Liberty Mutual customer from others. The overwhelming response among policyholders was a sense of responsibility above the general public, explained Mr. Sullivan.

With these results he said the marketing department knew it had found something "to build a brand around" where its customers "take responsibility and do not blame others" for actions.

The company created a branding campaign by first associating itself with sporting events and promoting safe teen driving. But it was the television advertisements that caught the attention of the public.

In a series of vignettes, people take on the responsibility for helping others, and these acts are viewed by others who respond by generously passing on their own acts of aiding others.

The response to the advertisements generated over two million responses from individuals complimenting Liberty Mutual on its message. One person even went as far as sending the company a check for $25 to help promote its message. Mr. Sullivan said facetiously that he proudly showed the check to his boss as evidence that advertising could be a source of revenue.

Mr. Sullivan said the ads struck a strong chord with teachers and the clergy requesting use of the ads to supplement their own message on "responsible behavior" to students and parishioners.

The campaign found itself highlighted on "The Today Show" and other programs, an unintentional consequence of its branding message that resonated among the public beyond paid message spots.

"You can bet we showed this to a lot of people in the company who questioned advertising," said Mr. Sullivan.

While it is difficult to quantify the results, Mr. Sullivan said since the campaign began there has been a "dramatic rise" in product loyalty by Liberty Mutual customers, and while the marketing department can't claim absolute cause and effect, he noted the company in recent years "has grown better than our competitors."

According to figures compiled by Highline Data, a Summit Business Media Company that also owns National Underwriter, Liberty Mutual is ranked ninth in the nation in direct premium written for private passenger auto insurance with a total of $4.6 billion, or close to 3 percent of the market in 2007.

The next phase of growing the Liberty Mutual brand will be through the Internet, which is now featuring interactive movies produced by professional movie makers.

The idea behind the "Responsibility Project" (www.responsibilityproject.com), said Mr. Sullivan, is to have people return to the Web site for new content and share that content with others by copying and sending links to others. He said the company also plans to produce four television movies next year on the theme.

"Our goal is to create a great relationship with our customer before their purchase," said Mr. Sullivan.

Of the campaign itself, he said the company "expected a slow build" like any other campaign, "but as the [popular] media has taken hold, we hope to continue to build and influence millions in our brand."