Geico VS. Allstate

You've graduated from college and it's time to branch out and purchase your very own car insurance. Which company comes to mind first? The friendly gecko declaring "15 minutes will save you 15% or more on car insurance!" or Allstate's ever so popular Dean Winters on his mayhem commercials that state, "Are you in good hands with Allstate?" Both marketing tactics have done exceptionally well within their target market. However, the difference is that Geico has kept their marketing light, while Allstate taken a much darker, sardonic approach.

According to ConsumerAffairs, Geico rates higher than Allstate by a large margin. Even though Geico has fewer followers on social media than Allstate with 45,400 followers on Twitter, 2,090 on Instagram, 433,205 on Facebook. However, Geico has successfully reached the family segment of their market. When people think of Geico they think of an icon that "they can trust"...a cute little gecko. This initially attracts the customer and then they think of what the company offers, which is their slogan - "15 minutes could save you 15% or more on car insurance." This is an appealing offer to consumers, because there is one thing more than safety that people appreciate, and that is saving money.

Allstate has taken a couple different approaches to marketing their brand. First they Dennis Haysbert with the "Our stand" campaign and then accelerated with the "Mayhem" campaign. Throughout both campaigns, Allstate has used the "what if" philosophy. As seen in the video below - "What if your teenage daughter is texting and driving and gets emotionally distraught?" Thus, Allstate throughout their campaigns has attempted to use a seemingly "scar/humorous tactic" to persuade customers into purchasing their auto insurance. These commercials urge customers to get serious, while Geico is a lot more subtle and friendly on the matter. I believe that due to their sarcastic and amusing videos, Allstate ranks ahead of Geico on social media with 453,139 likes on Facebook, 5,878 followers in Instagram, and 66,500 followers on Twitter. However, Geico's approach has granted them a ranking above Allstate, because they do not seem as forceful. When people make purchases, they like to think that it is their idea. Geico provides this option with their friendly stance and generous offer. Allstate has too much of a demanding approach and often seems forced. Therefore, marketers should be aware of the psychological affect that advertising may have on people and market accordingly.