In “Lessons from Flo and the Gecko – Part One” we saw how GEICO and Progressive use amusing characters to keep consumers watching their commercials. The enjoyable nature of this constantly changing series of ads transforms them into 30 second comedy skits, a tactic particularly favored by Progressive. These repeat the direct writers’ key message points until they are embedded in consumers’ minds – and no one but the competition gets tired of it.
The power of marketing and advertising
These ads reveal other important facts to insurance executives. One is the importance of marketing and advertising. While marketing departments often have to fight to maintain their budgets, high-quality research shows that advertising really does promote sales. A 10-year study done by Information Resources’ BehaviorScan looked at advertising budgets, media schedules and sales figures in 10 different markets. The results demonstrated, according to marketing professors George and Michael Belch, that “advertising can produce sales growth as long as two years after a campaign ends.” Steady sales increases helped both GEICO and Progressive weather some otherwise stormy times. Flo and the Gecko have certainly done their job in supporting their companies continued growth in a challenging environment.