mutual life insurers have stood out as pillars of security, an
attribute New York Life and Massachusetts Mutual are exploiting to
the full in hard-hitting marketing campaigns. Executives from the
two mutuals provided Charles Davis with insight
into their strategies.
Even as AIG’s spectacular collapse began to grab headlines,
executives at New York Life knew that they had an opportunity to
calm the waters and distinguish the well-performing insurer from
the contagion on Wall Street.
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New York Life, the US’ largest mutual life insurer, already had a
national advertising campaign running, but after a presentation to
CEO Theodore Mathas, the marketing team put its agency, Taxi, to
work creating ads that would underscore the stability and
permanence of the insurer.
The resultant ads emphasise that, even in these uncertain economic
times, New York Life is a solid, secure insurance company that the
public can depend on today, tomorrow and every day. The proof
points for the ads are straightforward: New York Life has billions
more in surplus than is required to maintain the highest credit
ratings; it is a mutual company, not subject to the
quarter-to-quarter demands of Wall Street, but managed for the long
term benefit of its policyholders; and that over a 163-year history
New York Life has helped its policyholders deal with the
consequences of natural disasters, market crashes and world
wars.
“We really wanted to distinguish ourselves in the marketplace and
remind the community of our stability,” William Werfelman, first
vice-president at New York Life told LII.
Werfelman said that the insurer felt it was important to sound a
note of strength in these uncertain economic times, and noted that
this was not the first time that New York Life had done so.
“We have taken this focused approach to promoting our financial
strength before, most recently in August 2007 when this financial
crisis was already brewing,” he said. “At that time rating agency
Standard & Poor’s (S&P) upgraded New York Life to its
highest rating, AAA. That upgrade gave us the highest ratings from
all four major rating agencies – and we developed an ad to
celebrate that fact. It is worth pointing out that both Fitch and
S&P have affirmed those highest ratings in recent weeks.”
The ads are anything but subtle: “We’re Main Street. Not Wall
Street. New York Life.”
The body states that “we are built for times like these,” and
continues by stressing that New York Life is a mutual company:
“Because we are owned by our policyholders, we don’t have to please
Wall Street. For the past 163 years, we’ve had a history of solid
financial strength. We protected families and met all of our
obligations during the panic of 1857, the crash of ‘29 and
throughout the Great Depression. It’s time again to reassure you we
are here, in good times and bad.”
Another mutual insurer, Massachusetts Mutual Life Insurance Company
(MassMutual), had a campaign in the works long before the crisis,
but must have been channelling the future as its “Good Decisions”
spots tie directly into the angst many consumers are feeling. The
ads discuss the desire among consumers to feel confident in the
decisions they’ve made and are about to make regarding their
personal finances, regardless of where they are on the spectrum of
life and finances.
The fully integrated campaign, created by agency Mullen of Wenham
spans a host of communications channels, including consumer and
trade print executions, broadcast, online, collateral materials and
direct marketing materials. There is also particular emphasis on
providing localised advertising support for MassMutual financial
professionals across the US. The campaign directly supports the
value proposition of MassMutual and its major business lines, such
as the company’s US Insurance Group and its core product, whole
life insurance, and its Retirement Services and Retirement Income
businesses.
The campaign is an extension of the company’s core position and tag
line – “We’ll help you get there” – that underscores the company’s
understanding of the real, practical issues consumers face when it
comes to life insurance and retirement, and positions MassMutual as
the company that helps consumers take the steps that are right for
them, said John W Chandler, senior vice-president and chief
marketing officer for MassMutual US Insurance Group.
“Long before the economy became more entertaining, the indecision
was there… it has been an underlying issue for consumers for quite
some time,” Chandler said. “Then we looked at the mutual company
orientation and our long-term view, and it really comes down to
good decisions. The kinds of things we say behind closed doors at a
strategy meeting should be no different from that which we say to
the public.”
MassMutual’s creative executions pose the philosophical and
practical question: “What is the sign of a good decision?” The
decisions captured in the executions are all real, almost everyday
scenarios, like cutting short a fishing excursion to head for safe
harbour at the first sign of a storm. In another, a young father
decides to work from home, using his good financial decisions to
help him make a good parenting decision.
“Like real life financial decisions, the scenarios depicted all
have consequences that can affect people beyond just the
decision-maker,” Chandler said. “The campaign illustrates the value
and confidence that come with making sound decisions and mix the
emotional and the rational in a compelling way.”
The campaign will run in a variety of print, broadcast and online
properties, including Fortune, Forbes, The New Yorker, More, Inc.,
Time and Money, as well as on CNN, FoxNews, CNBC and MSNBC cable
networks, and online via economist.com, aol.com, and cnnmoney.com.
In addition, the ads are currently running during the US Open
Tennis Tournament on CBS.
Chandler said that MassMutual conducted focus groups with customers
and non-customers alike, then sent the Mullen creative team out to
spend time with agents in the field. The result, he said, was a
focus on what makes a good financial decision.
When the crisis on Wall Street began, MassMutual also quickly
prepared an ad reassuring the investment community of its
rock-solid credentials. Chandler said that MassMutual executives
concluded that it had to “get out in front of the situation and
tell our story.”
“It’s a good time to be a mutual company, and we wanted to bring
that home,” he added.
