Allstate Insurance Case Study

Allstate Insurance Case Study

MGT 704 – Marketing Management

Allstate, a leading insurance provider, offers a vast array of products including life, automobile, and homeowner’s insurance. The company has gained popularity due to it’s innovative and witty commercials often narrated by Dennis Dexter Haysbert (known for portraying Cuban baseball player Pedro Cerrano in the Major League films) and recently the “Mayhem is Coming” Campaign. Allstate began to fall behind market competitors such as Progressive and Geico in the non conventional divisions specifically motorcycle insurance. Allstate conducted market research after reviewing a large number of varying environments to determine the needs and demands of the motorcycle community. The research results urged Allstate to redirect marketing strategies to target the growing market or risk losing future profits to competitors.

Slide 4-4 What is Marketing Research?

Marketing research can be defined as the “systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company” (Kotler,pg 98,2012).Allstate conducting market research allowed them to visualize the need to begin approaching and marketing the non traditional insurance sectors specifically the motorcycle market. The research results concluded that the motorcycle market is expanding due to increased interest from baby boomers and also Generation Y consumers (Helm, 2007). Allstate had the potential to increase their market share and revenue by marketing the previous uncharted terriority for their company. The marketing research also allowed the company to realize many of their own agents were motorcycles enthusiasts ultimately leading to their “good hands are on handle bars” campaign.

Slide 3-13- Population and Demographics

Despite the fact that there were known changes in the demographics of the marketplace, Allstate failed to analyze the data and make the necessary changes to...